Monsanto Water Risk Disclosure 2012
|Filer||Midwest Coalition for Responsible Investment|
|Subject(s)||Supply Chain; Water Pollution; Water Scarcity|
|Resolved Clause Summary||Water Risk Report|
|Status||Withdrawn; Company will address|
Resolved: Shareholders request that by June 2013, the Board of Directors provide a report to shareholders (at reasonable cost and excluding confidential and proprietary information) on how Monsanto is assessing water risk in developing and developed countries and report data in a disaggregated format.
Water management is an emerging strategic business issue. The Securities and Exchange Commission states in its 2010 “Guidance Regarding Disclosure Related to Climate Change”, that climate change and water may challenge companies “dependent on suppliers that are impacted by climate change, such as companies that purchase agricultural products from farms adversely affected by droughts or floods.” (http://www.sec.gov/rules/interp/2010/33-9106.pdf). Corporations purchasing grain for process are beginning to consider water management in their supply chain.
Our company acknowledges the business risk of climate change and water shortages in various sections of the 2011 Sustainability and Corporate Responsibility Report. However, additional information on its efforts to mitigate the risk of water shortages/floods is limited to aggregated global information. Information is not expanded to metrics in countries where Monsanto operates where drought or floods are serious hazards to farmers and to the success of our Company; a few of these countries are Bangladesh, Egypt, India, China, Australia and USA.
The report should include intake from specific watersheds and any impacts on potable water. The report should include metrics on total water withdrawn by bioregion, chemical runoff to streams and rivers, cooperation with governments on water use. Modern farm equipment is capable of measuring inputs of chemicals, water levels, even evaporation rates. Farmers, governments, and corporations in developing countries are also capable of measuring their inputs and outtakes. What may be the disruption of ecosystems, water availability, water accessibility, affordability, and smallholder participation due to Monsanto products in water stressed bioregions?
Water scarcity, droughts, and flooding are business risks to our Company, its customers, and consumers. Scientists have again found that climate change is caused by humans (noaa.gov 07/10/12); it must be remedied by humans. Water use must be measured and managed for business sustainability.