HEALTH and SAFETY

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Health and R&D Innovation-Oriented New Products

With rising health awareness among the public, TaiSun observes market demand and upholds the goals of safety, health, and deliciousness. We continue to move toward low-sugar/no added sugar/ high-fiber/ low-fat/elderly-friendly/ eco-friendly packaging/ packaging reduction, meeting consumer needs with safe and simple ingredients. In 2024, TaiSun launched 10 new products: 4 sweet canned snacks (low sugar, additive-free), 2 beverage products with pulp, 1 juice, and 3 oil products. ESG concept products accounted for 40% of the 2024 launches. Three additive-free snack products and one low-sugar porridge product were introduced. Every step, from raw material selection to processing, is strictly controlled. The recipe design focuses on the principles of being additive-free or low-additive, thereby preserving the original and pure deliciousness of the products. In 2024, ESG concept products accounted for approximately 22 million TWD in annual revenue.

The basics of customer safety and health lie in the manufacturing process, from R&D, raw material and OEM management to process management and laboratory control, and third-party quality testing. TaiSun is committed to ensuring product safety, confirming health and nutritional value, creating public trust, and minimizing risk damage from strict incoming quality assurance to post-production, striving to maintain consumer trust and company reputation.

Laboratory Management

TaiSun has 3 laboratories: a food laboratory, a microbiology laboratory, and a cooking oil products laboratory. The current laboratory equipment configuration complies with the “Food Factory Building and Equipment Factory Standards” announced by the Ministry of Health and Welfare. Equipment is sent to impartial units for annual calibration. Laboratories have significant influence in R&D and quality assurance stages. To enhance product quality control capabilities, TaiSun improves equipment, talent, and experimental expertise. The laboratories are established based on ISO/IEC 17025, building a certified laboratory quality management system to serve as professional food and oil product testing laboratories, safeguarding food hygiene and safety quality.

1. Equipment Management

In 2024, 122 external calibrations were commissioned. Some equipment was internally calibrated by qualified trained personnel, with 226 internal calibrations in 2024.

2. Laboratory Testing Capability Compliance
  Food and Microbiology Laboratory
Snacks, Beverages, Packaged Water		 Cooking Oil Products Laboratory
Physical Tests PET bottle pressure resistance leak test, high sugar content
detection, carbonated drink CO2 volume measurement, can
seam test, can vacuum leak test, can vacuum measurement,
paper box sealing leak test, cardboard bursting strength, cap
torque, microscopic projection (max 200x magnification), fresh rice analysis, color Lab value, moisture content (oven method, infrared method), T%  transmittance), HOBO temperature monitoring, specific gravity, sugar content, viscosity and weight, environmental monitoring (including HOBO temperature and humidity monitoring), canned food heat preservation test, reliability test, water quality test (including effective residual chlorine, turbidity, conductivity, hardness, salinity), sensory evaluation.		 Moisture, color, smoke point, absorbance,
container leak test, reliability test, cardboard
bursting strength, viscosity weight, bottle cap leak test, sensory evaluation, low-temperature property test, frying test, cooking test, slip melting point, deterioration test, UV spectrophotometry for olive oil grade identification.
Chemical Tests pH value, total acidity titration, formaldehyde nitrogen, tea
polyphenol test, allergen test, pesticide residue
(organophosphorus and carbamate series pesticides)		 Acid value, peroxide value, Gas chromatography (GC) analysis of fatty acid
composition (trans fat, saturated fatty acids,
unsaturated fatty acids), total polar compounds, erucic acid, iodine value.
Microbiological Tests Microbiological tests (including total bacterial count, E. coli,
coliform, Pseudomonas aeruginosa, fecal streptococci,
Salmonella, mold and yeast, spore-forming bacteria, Enterobacteriaceae, Listeria monocytogenes), ATP fluorescence
rapid microbial detection, environmental monitoring (RCS air
collection test)		  
3. Talent Training

TaiSun’s quality assurance team has 34 members responsible for quality assurance system control. About 85% of QA personnel have food science-related educational backgrounds, impacting 100% of all products on various
production lines. To ensure food safety and quality, we continuously arrange for different personnel to participate in external training courses to improve professional competencies and obtain professional certifications. 2024 External Training Courses Related to Product Assurance:

Training Course Number of Participants Hours
Sanitation Seminar for Hygiene Management Personnel 4 32
HACCP Continuous Education 3 24
Complete Management of Hermetic Sealing – Aseptic System, Including Hot-Filled PET Bottles 1 6
Food Safety and Hygiene Management Regulations 1 4
Food Factory Cleaning and Disinfection (Online Video) 1 6
Practical Measurement Instrument Calibration and
Management		 1 12
Training for Crimping Hermetic Seals (First Session) 1 19
Internal Review Seminar for the Laboratory Department 1 18
Determination of Shelf Life for Refrigerated and Ambient Foods 1 6
2000 v6 Food Safety Management System (FSMS) Lead Auditor
Training Course		 2 80
Complete Management of Hermetic Sealing – Aseptic System, Including Hot-Filled PET Bottles 1 7
Test Laboratory Supervisor Training 1 14
HACCP Continuous Education – New Food Labeling System, Including Nutrition Labeling Standards 2 6
2024 Proficiency Testing 1 456
Training for Crimping Hermetic Seals 1 19
Total 22 709
4. Laboratory Testing Related Expenses

In 2024, TaiSun launched a food safety risk substance monitoring project. In addition to the legally required pesticide residue testing, we also added other non-required items and increased testing frequency to ensure food
safety. In the future, we will also assess higher-risk raw materials based on the Food and Drug Administration’s “Border Inspection Non-conforming Food Information Inquiry” system to implement food safety early warning principles.

5. Self-Inspection Pass Rate
Product Labeling

Product packaging labels are an important basis for consumers to understand products. All label text must comply with regulations and provide honest and transparent product information to consumers. TaiSun’s internal product label review is conducted through an electronic system for application and approval in order to ensure that all label details comply with management regulations.

All of TaiSun’s product labels are collected from relevant information from various departments by the responsible unit, then sent to design for product packaging file design and layout. After the product packaging layout is completed, it is confirmed through email and online electronic forms with the marketing, legal, R&D, quality assurance, production, and accounting departments to ensure that the packaging labels comply with regulations and to retain online approval records for future reference.

In 2024, there were 152 product packaging label reviews, including 15 for canned snack products, 68 for beverage products (including 25 room temperature beverages, 23 refrigerated beverages including PE and refrigerated snacks, 20 carbonated beverages), 46 for oil products, 22 for water series products, and 1 for commercial oils.

All of TaiSun’s products containing genetically modified ingredients are labeled on the packaging according to law. Some oil products use refined genetically modified soybean raw materials, but the refined oil products no longer contain genetically modified components. The annual revenue from oil products refined using genetically modified soybeans is approximately TWD 1.83 billion, while the revenue from non-genetically modified products is approximately TWD 3.17 billion.

Acceptance of External Audits and Certifications

To ensure the safety and quality of every can of product in consumers’ hands, TaiSun samples products and raw materials annually and sends them to third-party certification units for inspection, such as local health bureaus, the Food Industry Research and Development Institute, and third-party certification units (like SGS, Intertek). In 2024, a total of 515 samples were sent for inspection. For source management, water source quality was inspected 9 times, raw material food safety and hygiene items were inspected 205 times, and packaging materials were inspected 38 times, all passing the inspections. Furthermore, to control product risks, TaiSun strictly monitors oil product safety, with a total of 116 oil products sent for inspection, achieving a 100% pass rate. Other product categories such as refrigerated beverages (40 inspections), room temperature beverages (4 inspections), canned foods (88 inspections), and packaged drinking water (15 inspections) all achieved a 100% pass rate.

In addition to self-initiated external product inspections, in terms of food safety work management, TaiSun’s food factory and oil factory underwent 5 mandatory audits by local government and government- commissioned units in 2024, all meeting requirements. To continuously improve and maintain food safety quality certifications, TaiSun underwent 6 food safety quality audits by third-party certification units in 2024. When deficiencies were found during audits, TaiSun actively made improvements and passed all audits.

Product Food Safety Certifications Obtained in 2024

Domestic Procurement management
1. Supplier Management Strategy

To avoid risks of cost increases or supply abnormalities, the purchase strategy focuses on diversified suppliers. Under reasonable prices, long-term cooperation models are established with suppliers to maintain price and
quality levels, stabilize sources, and reduce raw material supply management risks. While maintaining good mutual trust and cooperation relationships with existing suppliers, TaiSun continuously develops new suppliers and cultivates suppliers that meet requirements.

For raw material supplier selection, TaiSun conducts strict reviews. Cooperating suppliers must operate legally, and their products or services must meet production requirements, with reasonable prices and high cooperation. The entire raw material procurement process must be reviewed and confirmed by relevant departments such as R&D and quality assurance, with priority given to suppliers with food-related certifications to enhance quality management standards.

Additionally, TaiSun actively promotes the signing of the “Integrity and Sustainable Development Commitment” by suppliers. The commitment covers integrity management, labor rights, environmental protection, consumer protection, and respect for third-party intellectual property rights, advocating for suppliers to value corporate social responsibility. In 2024, 4 new raw material suppliers with transaction amounts over 100,000 TWD all signed the integrity management commitment, achieving a 100% signing rate.

2. Supplier Evaluation

TaiSun conducts annual supplier audits, gathering relevant personnel to fill out the “TaiSun Cooperative Supplier Management Review Scoring Form.” Based on the review scores, a supplier evaluation plan is drafted, and written
or on-site evaluations are conducted according to the plan. For deficiencies or improvement plans, suppliers are required to propose improvement measures to ensure delivery quality standards. Evaluation results serve as a reference for subsequent follow-ups.

Since 2022, safety, health, and environmental protection have been included in the evaluation items, hoping that suppliers will pay more attention to social responsibility and meet social ethics, legal, environmental, and public requirements standards. Through practical management methods, TaiSun maintains sustainable cooperative relationships with suppliers.

Supplier Evaluation Process: Plan Formulation → Review & Approval Process →On-site Evaluation → Deficiency Improvement Tracking → Evaluation Grade Management. Evaluation items include: 25% for Operational Management, 25% for Incoming Quality Control, 25% for Process Control, 25% for Finished Product Quality Control. Starting in 2025, employee rights, environmental protection, and occupational safety will be listed as key evaluation items.

3. Evaluation Items

Upon the arrival of the raw materials at the factory, quality assurance personnel conduct inspections according to the item specifications. If they do not meet acceptance standards, suppliers are notified for return. Once the inspection is completed and the conformity is confirmed, they are screened again during production to control quality.

4. Management Results

① Local Procurement of Suppliers
In 2024, 55% of qualified suppliers obtained certifications. Due to insufficient production in Taiwan, major commodities like soybeans and edible crude oil are mainly purchased from abroad. Other raw materials prioritize local Taiwanese vendors. Excluding soybeans and edible crude oil, the procurement amount from local suppliers in Taiwan accounts for 95% of raw material procurement costs. Raw materials from qualified suppliers that have passed GFSI-recognized food safety certification standards account for 15.57% of raw material procurement costs. Raw material suppliers from high or extremely high water stress areas account for 0.6% of raw material procurement costs. In the future, TaiSun will strengthen its influence and urge suppliers to propose Water Resources Management policies to ensure sustainable Water Resources Management.
Note：Certification broadly refers to vendors who have passed quality, food safety, environmental protection, and occupational safety certifications and obtained third-party verification.

② Evaluation Results
According to TaiSun’s “Cooperative Supplier Management Review Scoring Form,” supplier comparisons are conducted. Risk scoring items are divided into four major aspects: stability, importance, quality, and delivery time. When there are other consideration factors, on-site evaluations are required. In 2024, TaiSun engaged a total of 167 suppliers, with on-site evaluations conducted for 62 of these entities, accounting for 37% of this year’s total number of suppliers. The qualification rate for the on-site evaluations was around 92%.
Note: Suppliers scoring above 70 are given priority for consultation and purchase quotation.

③ Raw Material Acceptance Status
The acceptance rate for raw materials entering the plant was 99.3%, and the usage acceptance rate was 99.7%.

In 2024, the total weight of externally purchased packaging materials was 12,955 tons, with 87.24% being recyclable materials. Following the “Application Process for Suitability of Recycled PET Resin Raw Materials for Food Container and Packaging Manufacturing” announced by the Food and Drug Administration in 2022, TaiSun will discuss its feasibility with packaging material suppliers in the future and work towards the goal of reducing packaging materials to decrease environmental impact.

International Procurement Management
1. Soybean and Vegetable Oil Raw Material Procurement

TaiSun’s international procurement mainly focuses on soybeans and vegetable oil raw materials, with particular emphasis on controlling “quality” and “quantity.” They must meet the quality control specifications and standards
set in contracts, balancing company profits and ensuring consumer food safety, supporting sustainable agricultural production through actual procurement actions. TaiSun strictly reviews suppliers and controls the raw materials to
comply with procedures from procurement to delivery. This is mainly achieved through implementing supplier evaluation and management, verifying official certifications related to raw materials, quality inspection certificates, or sustainable production certifications to ensure procurement safety.

TaiSun chooses international large-scale grain merchants or well-known traders as raw material suppliers. Before procurement, thorough investigations of the vendor’s basic information and official registration of their manufacturing plants are conducted, as well as whether they have obtained relevant food quality system certifications. After procurement, product quality management evaluations are implemented, selecting the strong and eliminating the weak. Each batch of imported raw materials must be accompanied by certificates of origin, phytosanitary certificates, third-party quality inspection certificates, etc., to ensure that the raw materials meet contract standards.

The United States, Brazil, and Argentina are the world’s main soybean producing and exporting countries.TaiSun Enterprise continues to purchase U.S. soybeans certified for sustainable production by the U.S. Soy Export Sustainability, LLC. In 2024, the total import value of soybeans was 3.87 billion TWD, of which soybeans meeting U.S. sustainable production certification amounted to 1.323 billion TWD, accounting for 34.19% of the total; the estimated proportion based on import quantity was 34.51%. Each year. TaiSun sends representatives to visit production states with the U.S. Soybean Export Council and interacts with local suppliers and farmers to understand the overall raw material production process. According to the U.S. Soy Sustainability Assurance Protocol (SSAP), through crop rotation and reduced tillage, energy consumption is reduced to achieve sustainable production goals and protect farmland. According to statistics from the U.S. Soybean Export Council, U.S. farmers adopting sustainable production farming methods can reduce greenhouse gas (GHG) emissions by 42% per bushel of soybeans produced, improve irrigation water efficiency by 61%, increase land use efficiency by 47%, improve energy use efficiency by 45%, improve soil protection by 35%, and increase production per unit of land by 130%. Moreover, with the continuous improvement of breeding technology, production machinery, and input varieties, even with unchanged land area and reduced use of natural resources, the average yield of soybeans can still continue to grow, achieving a balance between environmental protection and overall demand.

2. Stabilizing Feed Raw Material Prices

Although the feed factory ceased operations in December 2024, during its operation, TaiSun works to lower bulk raw material procurement costs and control stable raw material prices to reduce the feed cost burden for domestic poultry and livestock farmers. This is achieved through implementing raw material position management, strictly controlling procurement costs and delivery gaps, avoiding supply shortages that could lead to market price spikes, and maintaining long-term close relationships with overseas raw material suppliers to avoid excessive raw material fluctuations.

After the COVID-19 pandemic in 2020, logistical disruptions and the La Niña phenomenon caused global climate chaos. Agricultural areas faced rapid climate changes, leading to reduced crop yields. International tensions, such as the Russia-Ukraine war in 2022 and the Israel-Palestine conflict in 2023,further exacerbated the supply of bulk agricultural raw materials. To stabilize consumer prices and reduce the cost burden on edible oil and feed manufacturers, the Taiwanese government extended the import business tax exemption period for soybeans, wheat, and corn to avoid price fluctuations affecting the domestic economy.

OEM Management

Due to limited space in TaiSun’s factories and production line limitations, they cooperate with excellent industry peers to complement their capabilities. OEM factories are important partners for TaiSun, significantly impacting product reputation and company image. They must follow TaiSun’s operational standards for product manufacturing. TaiSun also hopes to exchange and learn from OEMs to create a mutually beneficial food industry environment and jointly build a good food safety environment in Taiwan.

TaiSun selects excellent OEMs based on the “Outsourced OEM Factory Evaluation and Guidance Implementation Standard.” They evaluate suitable OEM factories based on product characteristics, with specific conditions required to be included in the inquiry list (must have obtained HACCP certification, have legal factory registration and business registration certificates, beverage products must have qualified water rights usage certificates, and no illegal incident records). TaiSun encourages OEMs to improve factory management to meet international standards and ensure production quality meets regulatory requirements.

All cooperating OEM must undergo factory visit evaluations of their operating environment, production quality testing, and product verification. Verification items include: sampling for headquarters inspection for each batch, routine production checks (graded management), GHP audits (graded management), quality meeting communication reviews (graded management), and annual evaluations (graded management). TaiSun periodically arranges quality assurance personnel to conduct quality monitoring at OEM factories. In addition to the OEM’s own inspections, samples are also sent back to TaiSun for inspection, ensuring double-checking to ensure products meet TaiSun’s requirements and prevent substandard products from entering the market and affecting the company’s reputation.

In addition, according to the annual evaluation plan, TaiSun conducts on-site audits of OEMs, evaluating six major areas: organizational personnel, plant facilities and environment, machinery and equipment, sanitation management, process management, and quality management. The evaluation results serve as a basis for subsequent cooperation and graded management.

In 2024, 11 OEM manufacturers signed agreements, all of which have obtained 100% food safety-related certifications. We are actively promoting our OEMs to acquire food safety and quality certification. The current status of the 11 OEMs that have successfully obtained international certification is as follows:

Transparent Labeling, Track and Trace

When major product abnormalities occur, to protect consumer health and reduce company losses, TaiSun quickly traces food raw material supplier information from the problematic product end or rapidly tracks product flow from problematic food raw materials, swiftly and accurately removing problematic products. When abnormal products are quickly recalled, we immediately trace the root cause to prevent recurrence. TaiSun implements a tracking system according to the “Identification and Traceability Management Procedure Manual”, grasping abnormal flows within 24 hours and quickly establishing a recall network.

A total of 13 simulated recall tests were conducted in 2024, covering all product types (including products manufactured under client contracts). The tests demonstrated a 100% recovery rate, with data collection completed within 2 hours, ensuring the production history of products can be accurately tracked and traced.

To ensure traceability of product flow and raw material sources, the government requires oil product manufacturers, tea beverage manufacturers, and soybean, cooking oil and tea importers to upload information for each batch of products to the Taiwan Food and Drug Administration’s traceability management information system “Food Traceability Administration System (https://ftracebook.fda.gov.tw/)” electronic platform. TaiSun complies with these regulations. In 2024, a total of 220 manufacturing industry product items and 22 import industry product items were uploaded, with a 100% completion rate.