Zero Biodiversity Loss

Biodiversity has become one of the most important sustainability challenges facing businesses today. Scientific assessments, including the IPBES Global Assessment and WWF Living Planet Report, continue to highlight the accelerating decline of nature worldwide.

In response, new frameworks and regulations are reshaping expectations for business. Initiatives such as:

• The Taskforce on Nature-related Financial Disclosures (TNFD)
• The Science Based Targets Network (SBTN)

provide guidance on understanding and managing nature-related impacts, dependencies, risks and opportunities.

Meanwhile, regulations including:

• European Union Deforestation Regulation (EUDR)
• Corporate Sustainability Reporting Directive (CSRD)

are increasing requirements for traceability, transparency and evidence-based reporting.

For Croda, biodiversity is both a sustainability priority and a business resilience issue. Our double materiality assessment identified nature-related impacts and dependencies across our operations and value chain, helping inform our strategy and actions.

We have committed to achieving 100% deforestation and conversion free sourcing for key bio-based feedstocks by 2030. In 2025, 63% of palm derivative raw material volumes were DCF, 78% were traceable to plantation level, and 91.7% were RSPO physical mass balance certified or better.

Innovation also plays a vital role. Technologies such as Plant Cell Culture can help reduce pressure on vulnerable ecosystems, lower reliance on land-intensive production methods and support compliance with frameworks such as the Nagoya Protocol and Access and Benefit Sharing requirements.

Ultimately, achieving zero biodiversity loss requires the beauty industry to become nature-aware by design—combining traceable sourcing, biodiversity science, responsible innovation and transparent decision-making to support the long-term resilience of the natural systems on which beauty depends.