2024 Natural Grocers Sustainability Report

PLANET

QUALITY

NUTRITION EDUCATION

COMMUNITY

CREW

ALWAYS AFFORDABLE SM PRICING

PEOPLE

ANIMAL WELFARE

HEALTH

Product Standards

OUR GMO POLICY Our philosophy is that food should undergo as few modifications as possible. To this end, since 2013, we have sought to avoid sourcing new items with ingredients at high risk of originating from genetically modified organisms (GMOs). If high-risk ingredients are included, they must be organic or verified as non GMO. If a supplier cannot provide confirmation, we will not carry the product. Our GMO Policy In Action: We prioritize organic whenever possible, and organic is naturally non-GMO Our produce is 100% certified organic, and therefore non-GMO Our bulk department offering is 100% non-GMO, with more than 65% organic selections More than 65% of the products we sold were non-GMO OUR PALM OIL POLICY The production of this extensively used ingredient has such significant social and environmental impacts that we are seeking to influence the supply chain at the farm and production levels through our transparent sourcing policies. We accept all certified organic single-ingredient palm oil For products that are not certified organic, we accept Roundtable on Sustainable Palm Oil (RSPO) Certified under the following circumstances: We accept RSPO Segregated palm oil, which is kept separate from conventional palm oil throughout the supply chain and is certified sustainable We do not accept RSPO Mass Balanced or Book & Claim palm oil because up to 90% of the batch can come from conventional sources. As we want to incentivize the change to responsible palm oils, we are aiming at RSPO levels that are above this minimum standard and avoid co-mingling We also accept Palm Done Right certified palm oil as it comprehensively monitors through third-party certifications the social, wildlife, and environmental impacts, and ensures responsible sourcing throughout the supply chain

NATURAL GROCERS ® IS AMERICA’S ORGANIC HEADQUARTERS ® Our company is well-positioned to serve our communities as the principal source for organics due to our long history as leaders in the organic products movement, our commitment to organic advocacy, and our prioritization of organic offerings in our stores.

We believe that choosing organic products is one of the most impactful ways to lower the environmental footprint of food.

More than 50% organic across all products

100% ORGANIC PRODUCE We sell only USDA Certified Organic produce and source from local, organic producers whenever feasible. Our selection varies based on seasonal availability, and we strive to offer a wide variety of produce that is not typically found at conventional food retailers. We carry only 100% certified organic produce to eliminate the possibility of contamination from the chemicals applied to conventional produce. Certified Organic Handlers: Each Natural Grocers store is certified annually as an organic handler and processor by an accredited USDA certifier. We operate all our stores in compliance with the National Organic Program standards, which restrict the use of certain substances for cleaning and pest control and demand rigorous recordkeeping and methods to prevent co-mingling and contamination, among other requirements.

More info is ava ilable at: 100% Organic Produce and 100% Organic Produce Standards

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FISCAL YEAR | 2024