THE AFGRI COMMITMENT

The Modern Slavery Statement by AFGRI Australia Pty Ltd (ABN 14 103 619 067) and its controlled entities, including AFGRI Equipment Australia Pty Ltd (ABN 52 008 686 002), hereby referred to as (AFGRI Group) is prepared as required by the Modern Slavery Act 2018 (Cth) for the financial year ended 31 March 2023. This statement is submitted within the temporary extension of reporting deadlines under the Act. AFGRI Group has a zero-tolerance approach to modern slavery and is committed to addressing any modern slavery risks in its operations and supply chains. We have undertaken an initial risk assessment of modern slavery in AFGRI operations and supply chains. This statement outlines AFGRI’s progress to date and the current and future commitments.

THE AFGRI STRUCTURE, OPERATIONS AND SUPPLY CHAINS

AFGRI Group is a privately owned company that acquired its Western Australian operations in 2004 and has operated under the AFGRI name since 2013. AFGRI Group has been a reliable source of premium new and used equipment, including spare parts and servicing. AFGRI Group started with only three regional dealerships based in the Mid-West of Western Australia and has seen significant growth over the last several year AFGRI now supports 20 branch locations covering Western Australia. AFGRI Group is the leading John Deere franchise holder in Western Australia, selling and support John Deere products, but there are also various other franchises to ensure we continue to meet the farming needs of our customers. Other franchises include Kuhn, Manitou, Bourgault, Equalizer, Horsch, Croplands, Grainking, MacDon, Midwest, Gason, Marshall, Fieldquip and Agrowplow.

During the reporting period, we undertook many significant transactions with some of Australia’s leading and predominant Agricultural operations, as well as leading government and private civil construction and forestry operations, employing more than 450 employees Predominantly, AFGRI Group contracts and partners with leading global entities and where possible supporting leading local and regional Australian-domiciled companies that provide specialised services in the following areas:

• Agricultural Machinery and Spare Parts,
• Heavy Equipment parts and repair services
• Precision Agricultural products and solutions.
  
  From those suppliers, we buy:
  
  
• Complete Machinery
• Agricultural machinery parts, accessories, and consumables.
• Heavy machinery parts, accessories, and consumables.
• Plant and equipment hire services and various servicing and support services.
  
  

In 2023, we had approximately 1850 active vendors and suppliers and spent more than $435M with direct suppliers. Since its establishment, AFGRI’s core values have been the foundation of the business and formed the basis of how AFGRI engages its relations with Customers, Suppliers, and the broader community. Utilising AFGRI Group’s Risk Management Program, which is a structured and proactive program to facilitate the early identification of hazards, assessment of risk and implementation of control measures to enable a safe working environment for all AFGRI employees and contractors, we undertook an initial risk assessment of modern slavery in our operations and supply chains. We will continue to monitor the effectiveness of actions to assess and address modern slavery risks.

Potential areas identified by us where there may be some risk for modern slavery are suppliers who may use products purchased or manufactured in high-risk countries and products (such as seeding equipment) purchased which are made in high-risk countries. Although there may always be potential risk areas for modern slavery, the risks are considered minimal. Nevertheless, AFGRI Group is committed to assessing and addressing the risks of modern slavery. It will look to implement processes and systems to address and remedy any actual risks that may arise.

ACTIONS TAKEN TO ASSESS AND ADDRESS RISKS

To assess the risk of modem slavery in the AFGRI business, we rely on our policies, processes and procedures. The following policies and procedures are in place to assist AFGRI Group in assessing and addressing any modern slavery risks accordingly:

• XD11 Supplier Code of Conduct.
• XLH8 Code of Ethics and Conduct.
• XLH19 Health Safety Environment (HSE) Policy
• XK5 Risk Management Program
• XJ12 Tender Policy
• XF18 Supplier Incentive Policy; and
• XC10 Procurement and Payment.

AFGRI Group and its board is committed to continued improvement in governance and management to address the risks of modern slavery in AFGRI’s operations and supply chains. AFGRI Group has developed a Modern Slavery Policy, the objective of which is to assist management to identify, report and implement appropriate controls to ensure that modern slavey is not taking place within AFGRI’s operations and supply chains.

AFGRI Group has also included provisions within its template supply agreements (for goods and services) addressing modern slavery. AFGRI Group continues to monitor and update other agreements to include similar provisions to ensure that we meet our obligations under the Act.

ASSESSING THE EFFECTIVENESS OF OUR ACTIONS

AFGRI Group undertakes due diligence when considering new suppliers and contractors, which includes but is not limited to a process addressing, among other things, our obligations under the Act, which in turn assists us in identifying, investigating and remedying any potential modern slavery issues that may be present. We are also updating our induction and onboarding training materials to include the potential modern slavery risks identified within AFGRI’s operations and supply chains and educating incoming employees by providing examples of such circumstances to enable them to identify modern slavery practices better. We will also be sharing this material with key personnel within the business.

CONSULTATION PROCESS

 AFGRI Group Management team (Chief Executive Officer, General Manager's, Human Resources Manager, Finance Manager and Branch Managers) oversee the operations, risk and management of the AFGRI business and meet regularly to collaborate and discuss the business practices and how these can be improved. This statement was prepared with the engagement and input of those specialists within AFGRI's business. 

MOVING FORWARD 

AFGRI Group continues to and is committed to further enhancing its governance to address the risks of modern slavery in our operations and supply chains through its existing Risk Management Program and internal policies, procedures, and management. This statement was approved by the AFGRI Group Board of Directors on 29/08/2023 and is available on our website.