pal*system guide2024
English edition

Foreword

Helping each other, working together
We have been facing various challenges in recent
years, including the devastating Noto Peninsula
Earthquake in January 2024 that mainly hit
Ishikawa Prefecture, the pandemic, suppressionof human rights, and climate change. These
challenges have had political and economic
effects on numerous people, creating a sense of
uncertainty about the future. Our society is also
becoming less tolerant, with a number of conflicts
and divisions witnessed at all levels. Considering
these circumstances, we strongly feel that now is
the time when helping each other and working
together play an essential role.
In Japan, we are witnessing a further worker
shortage due to rapid population aging and a
sharp decline in birth rates. Wage growth is notcatching up with price hikes, making people’s
lives even more challenging. In addition to
problems close to our daily living, we are also
facing global challenges that are at a criticalstage, such as environmental issues including
climate change and plastic pollution in the ocean,
as well as peace and human rights issues
deriving from military invasion and oppression ofpeople.
Aiming to address these social issues, thePalsystem Group strives to help build asustainable society based on five key words
defined in the “Palsystem Group’s Vision for2030”: eating, producing, supporting each other,changing, and understanding each other.
As part of these efforts, in September 2023, weestablished a general incorporated foundation
Palsystem Youth Support Fund, which aims tohelp young people with difficulties going toschool due to family circumstances, financial
hardship, and various other reasons. The fund is
unique as it provides not only monetary benefits
but also psychological support, such as
consultation on daily living and future careers, tohelp them pursue their education. Our co-op
members contribute over 50 million yen to thisprogram every year.

02

The co-op members have demonstrated thepower of cooperation in the wake of the Noto
Peninsula Earthquake as well. Our emergency
fund raising resulted in 260 million yen
contributed by over 170,000 people, which has
been donated to individuals and production areas
affected by the disaster as well as toorganizations supporting the affected
communities. Our employees have also worked
with co-ops and local support organizations todeliver products, help rebuild people’s lives, andsupport care and welfare services to contributeto the restoration and reconstruction of theaffected communities.
All these initiatives have received support andappreciation from people and organizations invarious fields. These growing expectations forcooperatives as organizations for mutual help arealso reflected in the United Nations’ resolution,
declaring the year 2025 as the second
International Year of Cooperatives. We aredetermined to remain rooted in our communities,
both as business and movement, aiming tocreate a spiritually rich lifestyle and a society ofco-existence.
We need to further reinforce our efforts to fulfill
our roles as a solution to problems and as social
infrastructure, based on strong trust of andrelationships with all of you, to build a recyclingbased and sustainable society. We look forward
to working together with you to help build a safe
and comfortable society for all.

President &Representative Director

Execitive Director &Representative Director

Masakazu Oonobu

Atsushi Shibusawa

About Palsystem

Palsystem is a community-based consumer co-op,
working closely with people in their everyday lives.
Palsystem Consumers' Co-operative Union is a federation consisting of local co-ops and the Palsystem Insurance
Consumers' Co-operative Federation, located mainly in the capital region.
Based on consumer co-op’s spirit of mutual help, Palsystem Consumers' Co-operative Union works with Palsystem
Group’s member co-ops and subsidiaries to promote essential businesses, including merchandise (mainly food) delivery,mutual-aid and insurance, welfare services, and electric power supply.

Overview of Palsystem
As of March 31, 2024

Group Co-ops’ total revenue

254.1 billion yen
Date Founded

February 9th,1990
*Changed the corporate name to"Palsystem Consumers’ Co-operative Union"
in 2005

Union's revenue

176.1 billion yen
Member’s shares

Total members

15.87 billion yen

1.735 million

Philosophy of the Palsystem Group

Create a spiritually rich lifestyle and a society of co-existence.
● Spiritually Rich Lifestyle

This refers to a lifestyle whereby people pursue generosity and peace of mind, good quality of life as well as strong
interpersonal relationships as important values, never remaining content with mere materialistic wealth.
● Society of Co-existenceThis refers to a society in which people help their neighbors by pursuing a symbiotic coexistence between natureand human beings, a peaceful coexistence of people that transcends regionalism and any conventions, creating anorganic relationship between the present and the future.

Palsystem Group's Vision for 2030

Building inclusive communities
through eating, producing, andsupporting each otherWe will share the importanceof eating and promote safe
and spiritually rich food
throughout our communities.

Producing
Agriculture,
Sanchoku** Sanchoku: Direct producer-market
channeling based on traceability,
standardization, and communication.

EatingFood

Supporting
each otherWelfare,mutual help

We will change individual
lifestyles and promote thenurturing environment fordiverse forms of life.

We will create communities
together and ensure sustainableproduction and consumption.

We will promote comfortablecommunities for all throughmutual support in everyday life.

Changing
Environment

Understanding each otherPeace

We will promote mutual
understanding and build an
inclusive and peaceful society
where everyone is valued.

03

Various Service Options for Member’s Needs

A variety of catalogues to accommodate different lifestyles
There are two main merchandise catalogues to choose from to suit to your lifestyles.
There are also four optional catalogues to address different needs in everyday living.

Koto-Koto
Food information and recipes for everyone in the family to enjoy
For families with growing children● Enjoy cooking with children and for special family events●●― Extensive line of staple food products that are highly convenient to use,
as well as bulk packages. Lineup of snacks and sweets that children enjoy.

Kinari
Add comfort and enrich adult life style
Emphasis on quality more than quantity
Attention also on merchandise in small quantities● Importance placed on seasonal and traditional fare●●

― Featuring small-size packages for small families and discriminating
foods placing emphasis on quality more than quantity.

For families withbabies & kids

Plain Page

Care Support

Merchandise focusing
on allergies

Merchandise focusedon nursing care

Merchandise delivery service
with the App

04

Catalogue and order form in one

All-in-one app on Palsystem

Easy ordering with

Palsystem App

Kinari SelectWith the app, you can selectand order products fromcategory search and special
features.

In response to members finding thatentering on the order form while
checking a separate catalogue istroublesome and that there are too many
items in the catalogue to cover them all,an order-form catalogue that combines
the conventional catalogue and orderform in one is delivered to members eachweek. Each member is able to enter
the number of items to be purchased
directly in the catalogue, and the orderis completed. Products that are usefulfor everyday living for small families havebeen compiled in 24 pages.

Lots of useful functions
Checking product reviews
Finding allergen information
Bookmarking your favorites
Checking estimate delivery
times
Ordering while checking
the catalogue

Life with dogs and cats

Direct entry inthe catalogue!

Services Tailored to Each Member’s Lifestyle

Need help with cooking for your family? The solution is just a tap away!

生協パルシステムのレシピサイト

Palsystem’s recipe website

DaidokoLog
This website, with 600,000 visitors
every week, offers recipes introducedin our catalogues as well as seasonal
recipes. You can also order recipe
ingredients.

Support for everyday childcareChildcare 123
This website offers useful childcare information
supervised by a registered dietitian and otherexperts, such as weaning recipes at various stages,
Q&As, as well as articles with essential information
for parents with small children. You can also finda list of foods that can be used at different stagesof weaning, which is particularly helpful if you arepreparing weaning foods for the first time.

Useful services for daily cooking & shopping

3-Day Time-Saving Meal Kit

More helpful apps
by Palsystem!

Day 1

You can order items
anywhere

We deliver ingredients and recipes
for three dinners.

Day 2

Day 3

An example of the kit

Apps & websites

Web Catalogue
You can check our catalogue
on your smartphone and place
an order.
Making foodmanagement easy & funwith less waste

Mame Pal
Niku-Sakana-Sai-Sai-Meal Prep Kit
You can prepare four
dishes: one with meat(niku), one with fish(sakana), and two withvegetables (sai).

An example of the kit

The app gives a list of all thefood items in stock. Whenyou order items, they areautomatically added to the list,
making your food inventory
management easy. The app
can also help you reduce foodwaste by offering recipes using
delivered items as well asrecipe suggestions based on
ingredients on your stock list.
05

Palsystem’s Initiative

We are now in the third year of “GoBeyond,” our initiative to build a sustainable
future.
This year, in addition to “Go Beyond withrice,” we are also promoting a new action“Let’s eat fish.”
We will drive our society forward bybringing together the passion and energy of
all Palsystem stakeholders.

1

Go Beyond throughsafety and security

2

Go Beyond throughgender neutrality

We will ensure safety and security forourselves, our families, and all the people
and communities involved in production.

We will reexamine the assumptions andinequalities in society and develop new
suggestions, products, and services.

“Okome Switch”= Let’s switch to rice

For a better tomorrow
Go Beyond through rice

Let’s eat more rice!
“Go Beyond through rice” is our action to promote consumerproducer and human-nature connections through eating.
In fiscal 2024, with a new key phrase “Okome Switch”(meaning “Let’s switch to rice”), we will promote concrete
activities including use of rice and rice products, ricesubscription, and interaction with production areas.

Promise between producers
and co-op members

Enjoying rice in your own way

Rice for sustainable
stockbreeding

Rice subscription

Processed Sanchoku riceproducts

Using feed rice

Mr. Norimasa Onodera,
a producer at
Shonai Kyodo Farm
(Yamagata Prefecture)

Mr. Hitoshi Aoki,a producer at
JA Niigata Kagayaki(Niigata Prefecture)

In our rice subscription system, co-op
members pre-order rice for theentire year to support the work ofrice producers. The system, whichcelebrates the 30th anniversary thisyear, was also recognized with the Good
Design Award 2023.
06

Fried
Sanchoku Rice

Limited-time
package
Sanchoku rice(packaged)
Akita Komachi 200g x 5

You may think, “I want to eat a lot of
rice, but it's not that easy.” You canalso support rice producers by eatingprocessed Sanchoku rice products foryour lunch and snack.

In Japanese-style stockbreeding,
producers promote resource circulationby using domestic feed rice as much as
possible rather than relying on imported
livestock feed. You can help rice fields
and communities by choosing products
made from livestock raised on rice.

3

Go Beyond throughinteractions

4

Go Beyond throughlifestyles

5

We will go beyond face-to-facerelationships by promoting exciting andmemorable interactions for all.

Go Beyond throughcooperation
We will go beyond members’ activities
and turn them into social action tobuild a society that respects diversity
and promotes mutual support.

“Good for me, good for the planet” as ourshared value. We will enjoy sustainable,
comfortable, and healthy lifestyles.

Let’s eat fish

Enjoy delicious fish to support fisheries!
Japan, surrounded by water, has a rich culture of eating fish.
“Let’s eat fish” is our action to pass this delicious seafood
culture on to future generations. As fisheries face various
challenges, including the lack of successors and changes in fish
catches, eating fish can be the biggest support we can offer tothe sector.

Fun educational site on
fish and fisheries

Easy and delicious way toenjoy fish

Preserving the bountiful sea forthe next generation

Special page

Processed seafood products

Environmentally friendly
fisheries
Planting corals

Limited-time
package
Smoked Autumn
Salmon by Core
Food Notsuke
Planting trees

Pan-fried breaded
soy-marinated tuna

On this special website,
you can enjoy learning
about fish and fisheries
through fish quizzes, fish
recipes, and many more.

Cooking fish may seem a lot of work,
but what if it is already deboned or
all you need to do is boil it? It will bemuch easier to use and include in yourmenu. We support the fisheries sector
by promoting the use of processedseafood products and sea vegetables.

Protecting the marine environmentis essential for sustainable marine
resources. Palsystem works together
with production areas to plant corals andtrees, striving to promote environmentallyfriendly fisheries while nurturing thebountiful sea and ecosystems.
07

Contributing to Everyday Life Through Products

Palsystem’s original products (private brand/label)
Palsystem launches a private-label product only when it meets strict
in-house requirements. We aim to develop products that can truly
contribute to people’s lives.

The number of Palsystem’s
original products

867*As of March 2024, excluding Sanchoku vegetables. We offer 100%Sanchoku rice, and most of the products we deliver are our private
brand, except for some special online products.

This logo is on
the product package

When ordering,
look for the “pal” logo

148

160

Product development using less plastic

Naturice lotion N
with rice malt
150ml

Reducing plastic use
We have been reducing our environmental impact by, for example, using recycledmaterials in packaging and not using plastic trays for some products. We put
logos on these products in our catalogues to help members choose.
The number of productswith the “Less Plastic” logo
*As of March 2024.

625

Brown rice tea
with organic
Sanchoku
matcha 200g

Using Sanchoku ingredients also for processed food

Promoting the use of Sanchoku ingredients
We particularly promote the use of
Sanchoku ingredients, which weknow who grew and how, supporting
those working to produce
sustainable food with attention to
the environment and safety.

08

The number of products
using Sanchoku ingredients

681*As of March 2024.

Sugar-cured daikon
S
rradish made ofSanchoku vegetables
S

Japanese-style
stockbreeding

Focus on domestic production & Sanchoku

Core Food: proof of real andUsing domestic feed rice to help

authentic foodsustainable livestock farmingCore Food is Palsystem’s top

Japan heavily relies on imported livestock feed,

brand, aiming to keep introducing

with its self-sufficiency rate as low as 25% in fiscal

real and authentic food based on

2019. To help address this challenge, we blend

the idea that the role of food is todomestic feed rice in livestock feed. For livestock

sustain our lives over generations.

products, including processed ones, of pigs andchickens grown up on feed rice, we put logos to

The number of Core Food products(including agricultural, livestock, and fisheryproducts and processed seasoning)

115

show the proportion of feed rice being used.

*As of March 2024. The name of Core Food vegetables has been changed to Organic.

Expanding Sanchoku also to

Feed rice

fisheries, forestry, and other countries
Palsystem has formulated fisheries policies,
working together with 14 production areas
to promote Sanchoku fisheries through thesustainable use of marine resources in its
business and movement. We also work with
two areas to promote Sanchoku forestry tohelp create sustainable forests.
Similar efforts are made internationally with
12 areas in various countries.

Nihon no Komebuta(Japanese rice pork)

Farmland using
compostProduction area of Sanchoku eels
Osumi Eel-Farming Fisheries
Co-operative Association

The number ofSanchoku meat andSanchoku marine products

The number of livestock products(including processed products) using feed rice230

*As of March 2024.

53*As of March 2024.

Products developed with co-op
members

Say “No!” to GMOs

Using labels to help co-op members

Members contributing to

Flavored Mixed
Sea Veggies

choose products

product development

The use of genetically modified organisms

and improvement(GMOs) has been growing in various

Some products have been developed

countries outside Japan, posing various

jointly by co-op members, producers, andproblems including environmental impacts.

Palsystem, with the members contributing

Yet, we may be using GMOs without

as development team members andrealizing it. Palsystem firmly stands againstinternet monitors by sharing their everyday

this situation by working together withexperiences. Members get together to discuss

producers and manufacturers to develop

and try different methods to develop products

proper products.

while also organizing online activities.

We have also changed our labels in our catalogues inaccordance with the revision of the labeling system forgenetically modified products.

The number of products
developed with co-op members

aiiyxFirst Press Canola Oil*As of March 2024.

Palsystem Ibaraki
Tochigi members, whodeveloped the flavored
mixed sea veggies (whenthe activity took place)138
09

Palsystem’s Sanchoku

Four Fundamental Sanchoku Principles
1. The producer and the production area are identified.
2. The production method and shipment standards are clear, and the production history is identified.
3. The objective is environmentally-friendly and recycling-based agriculture.
4. It enables interaction between the producers and co-op members.

Connecting production areas
and your dining table
Valuing connections between producers and consumers, we organize a variety
of programs to bring them closer through food, nature, and interactions so that
co-op members can experience the great things production areas offer. For
example, we provide tours to production areas, as well as online events since
the COVID-19 pandemic began, to keep building their face-to-face relationships.
Observing wildlife in an organic rice field

Palsystem’s own standards to reduce agrochemical use
Since 1998, Palsystem has promoted a program to reduce agrochemical use, in which producers and co-op members work
together to reduce total agrochemical inputs while avoiding highly hazardous agrochemicals. For example, we have developed
and used our unique standards, such as Eco-Challenge and Core Food. Our Sanchoku production areas also contribute toresource circulation by actively using compost and organic fertilizer.

Core Food

Eco-Challenge

Palsystem’s top brand for
agricultural products with theorganic JAS certificate (using no
synthetic agrochemicals or
chemical fertilizer*)

Products using the reduced amountof chemicals (50% of prefectural
standards or lower). In principle, theyalso use none of the agrochemicals
Palsystem aims to reduce the use of.

* Excluding those permitted by thecertification system.

* For vegetables, no herbicides or soil
fumigants are used.

No labeling
Agricultural products madein Palsystem’s Sanchoku
production areas.

10

The Organic JAS logo tohelp consumers identify
organic products

International Sanchoku

Supporting and nurturing lives together
Deepening Sanchoku across the sea
Fair trade means fair, equitable, and sustainable trading at fair prices.
Palsystem promotes international Sanchoku based on the Four
Fundamental Sanchoku Principles, building mutual relationships withproduction areas just like domestic Sanchoku.

The numberof Sanchoku
production areas

12

partnerareas

KIPG and Palsystem members on Kangaroo Island, Australia (in 2019).
Our First Press Canola Oil is made from canola grown on the island.

Production areas
Spain
Oleoestepa S.C.A.
We signed the sanchoku
agreement in September 2015.
They are a producer’s group in
Andalusia with a 50,000 m2 olive
farm. They focus onenvironmentally friendly
production and quality
management, avoiding
agrochemicals asmuch as possible.

Philippines

Indonesia

Altertrade Philippines
Inc. (ATPI)

PT. ALTER TRADEINDONESIA (ATINA)ATPI was established to help
producers’ self-reliance, in
response to the hunger on
Negros Island in the mid-1980s.
They started providing Eco
Bananas (Balangon) since 1990.

ATINA is a local subsidiary of
Alter Trade Japan, Inc. They havebuilt relationships with extensive
black tiger shrimp farmers ineastern Java and southern
Sulawesi. They are managing theentire process from purchasing,freezing to export.

Eco Bananas(Balangon)

MexicoCalavo Growers, Inc.
The production area (near Uruapan in
Michoacan State) is suitable for growing
avocados thanks to its altitude and alarge day-night temperature difference.
Calavo makes contracts withproducers and checks theirprogress.
Eco Avocados

Ecoshrimp

Colombia

Extra Virgin Olive Oil– Limited Edition

C.I. La Samaria S.A.
Located in an area suitable for cultivatingbananas, they also develop forests insurrounding areas to live inharmony with wild animals
and the natural environment.

ThailandBanlat Agricultural
Co-operative

Organic Bananas

In 1999, they started supplying
chemical-free Eco Bananas(Homton).
In 2003, they established the
Sanchoku Council with
Palsystem.

C.I. Tequendama S.A.S.
The company extracts palm oil in theirown mill, located in their plantation, to
produce raw materials for soap,
shortening, etc. They develop
the farmland utilizing recycled
natural resources without
destroying forests.

Thung Kha Wat
Gardening
Management group
They invited Japanese farmers
and hosted a workshop on
production technology toovercome drought damage.
They also work to introduce anirrigation system.

J Fresh Seika Co., Ltd.
(JFS)Working with a banana importer
Pacific Trade Japan (PTJ), they
manage farmers, production
areas, cultivation, and export.

Eco Bananas(Homton)

Save the Planet Body Soap

Australia
Kangaroo Island Pure
Grain (KIPG)
Kangaroo Island is a valuable
production area of non-GMO
canola for our First Press Canola
Oil, and KIPG is its producer
organization. The Government ofSouth Australia will ban
genetically modified canola
crops for a
foreseeable future.
First Press
Canola Oil

New Zealand

Ecuador

Zespri

Hacienda Celia Maria C.A.

Zespri was funded and establishedby kiwifruit growers, mainly
supplying Green and SunGoldvarieties. With the organic
certification, they actively work on
environmentally friendly production.

With its plantation located in El Oro,southeastern Ecuador, Celia Maria
practices circular agriculture bycomposting banana waste (e.g., leaves,stems) and using it in the field. The
company is also Fairtradecertified and ensures good work
environments for employees.

NZ Organic
Green Kiwifruit

Organic Bananas

11Supporting Communities and Society

The 2024 Noto Peninsula Earthquake
Relief Fund

Grant programs to support
citizen-led community activities

The earthquake in January 2024, striking the Noto area of

We support organizations working to solve problems by

Ishikawa Prefecture, has caused tremendous damage tostrengthening community ties, aiming to build a safe andnumerous people. Palsystem Consumers’ Co-operative Union

comfortable society for all. In fiscal 2023, we provided

promptly took action in the same month by calling for donations

52,366,270 yen to 208 organizations through 11 grant programs

to help the affected areas, which resulted in 261,774,483

operated by our nine group organizations. These grants are

yen contributed by a total of over 170,000 people. The funds

funded by the surplus generated through co-op members’ usewere donated to nine organizations that will provide long-termof Palsystem products, services, and insurance. Palsystem

support for people affected

is committed to further strengthening collaboration with civil

by the disaster, to sevensociety organizations, producers, and business partners to build

affected organizations including

an inclusive society where no one is left behind.

producers, and to affectedindividuals.
The 2024 Noto Peninsula Earthquake
Relief FundOn April 18, 2024, we visited
one of the organizations, JA
Noto, to present the certificate
of our donation.

261,774,483 yen
Housing support

Urinko Club, a group aiming to build an
inclusive society for people regardless of
disabilities through emotional education
support for parents and children. The
photo shows their miso (a traditional
Japanese seasoning) making event.

Co-op members’ social event throughthe Community Development Fund by
a support organization

Fiscal 2023 result
Palsystem has joined the National Council of Housing
Support Organizations to help address poverty and support
older people and those with disabilities, aiming to contributeto a safe, secure, and harmonious society for all.

Support for people affected by the
nuclear power plant accident

52,366,270 yen
provided to

208 organizations

Palsystem grant-type scholarshipsystemSince immediately after the accident at the Fukushima Daiichi

For young people with difficulty going to school due to family

Nuclear Power Station in 2011, we have worked with local

circumstances and financial reasons, we provide 40,000 yen percommunities and groups to support those being affected.

month until they graduate without obligation to pay back. The

The funds raised by our co-op members help relevant groups

system also offers unique support through relevant organizations

to organize recreation and to support evacuees.

to help them pursue their education (e.g.,
consultations on daily living and future careers).
It is entirely funded by co-op members’
donations; in fiscal 2023, about 30,000 coop members contributed to the system. The

A child getting a thyroid exam
(Photo by Annaka Hidamari Marche)

12scholarship currently helps 56 students.

Fiscal 2023
Donations to support people affected by the TEPCO
Fukushima Daiichi Nuclear Power Station Accident

Fiscal 2023
Donations to the Palsystem
grant-type scholarship

8,836,677 yen

56,571,345 yen

We distribute flyers,
encouraging co-op members
to contribute to the system.

Protecting the Environment

Starting electricity trading through off-site PPA

Promoting the 3Rs

Jumonji Chicken Company, a biomass power generator using chicken manure,

We work on the 3Rs (reduce,

Palsystem Electric Power Corporation, and Palsystem Consumers’ Co-operative Union

reuse, and recycle) to reduce ourstarted trading electricity in July 2023. The trade is based on an off-site PPA (Powerenvironmental impact by leveraging

Purchase Agreement), a system for a medium-

our unique distribution and collection

to long-term electricity supply agreement

system as a consumer co-op.

between a power producer and consumers. The
long-term purchase agreement reduces the riskof price volatility and enables stable electricity
supply. Moving forward, we will also explore thepossible expansion of this initiative to Palsystem
Group co-ops and private households.

Jumonji Chicken Company’s biomass power plant

Reducing food waste

We organized an activity “Seven-day no leftover
challenge” to reduce food waste at home. A total of

We have started collecting small yogurt cups.

12,046 people participated and reduced food waste by
4.49 tons.
*1 Calculated based on the results of the participants’ activities under theassumption that the average daily food waste per person is 24.8 g, referring toresults in “Fiscal 2021 report on support for municipal food waste surveys” by the
Ministry of the Environment.

Renewable energy

Aiming for a sustainable society, we mainly deliver “FIT electricity” (renewable energy in the FIT scheme).
Many of our “energy production areas” using natural sources are also our Sanchoku production areas
making vegetables, meat, rice, and many more for Palsystem.

Palsystem Denki power generation
by source (fiscal 2023 results)

Others(including fossil fuels)

Total proportion of
FIT electricity (renewable energy)
and renewable energy

70.5％

FIT (renewable energy)

54.0％

An energy production area

Renewable energy

16.5％
13

Supporting Link between Production Areas and the Daily Table

From order placement to delivery

Catalogue delivery
Ordering
A merchandise catalogue,
order form and the merchandiseare delivered on a fixed dayeach week.

Merchandise arrives
A purchase order is placedby the specified day of theweek either via the web orusing the order form.

Payment
Merchandise arrives a week
after the purchase order isplaced. Along with themerchandise, a catalogue forthe following week isdelivered.

Direct debit or credit card
payment. Closing at the end ofeach month and the monthly
payment withdrawn on the 6th
day of the following month.

A truck wearing our brand character "Konsen-kun"

Delivery method that preserves freshness and delicious taste
Foods are delivered in four temperature ranges for each food category.

Refrigerated foods

Frozen foods

Fresh produce

Dry storage foods

Packed in an insulated
styrofoam box alongwith ice packs.

Packed in an insulated
styrofoam box together
with dry ice.

Fresh produce isdelivered at the optimal
temperature level.
Delivered with ice packs
in April-November.

Delivered in a folding container.
Merchandises are packaged
according to type, such as crushable
foods packaged separately in bags
and products with fragrance such assoap sealed to prevent odor transfer.

Careful attention to security
Various measures have been put in place to ensure security and food safety for deliveries made while the member is not at home.

Use of ice packs
and dry ice
Merchandise is packed incustomized insulated boxes
and containers for delivery
to the designated location.

Break seal

Merchandise cover

A break seal is
attached at delivery.
Breaking is
identifiable by traceson the container.

A cover is attached to thedelivery box. A breakseal is attached to thehook to confirm that theseal is intact.

Each member Co-op has its own measures for delivery method and security.

14

History of Palsystem
1977● Established the "Business Liaison Conference of

1981
1983
1990

1992
1994
1997
2001

Metropolitan Cooperatives"● Started joint product development and joint purchasing
businesses● Developed and launched the original product: "Konsen
Milk"● Started additive-free ham and sausage production using
Sanchoku meat
● Acquired a corporate license as the "Metropolitan Co-op
Consumers' Cooperative Union"● Started a "Personal Delivery System" on a trial basis● Established the "GPS Corporation," a cooperative
vegetable buying business● Started a supply and recovery business with reusablebottles● Established the "Pal Bread Corporation" bakery● Started an Internet order-receiving system● Introduced merchandise catalogues targeted at different
life stages

2005● Changed the corporate name to "Palsystem Consumers'

2009● Established the "Palsystem Insurance Consumers' Co-

2011● Opened the "Palsystem Service Center" for general

2014
2016

● i-coop Miyagi joined the Union

2017● Received the Deputy Director of SDGs Promotion

Co-operative Union"
operative Federation"customer service● Palsystem Electric Power Corporation started electricity

retailing
Headquarters (Chief Cabinet Secretary) Award at the FirstJapan SDGs Award
2021 ● Integrated the business of GPS Corporation to Palsystem
Consumers' Co-operative Union● Started the Palsystem East business (distribution in theeastern area)
2023 ● Established the Palsystem Youth Support Fund

Subsidiaries

Palsystem Member Co-ops
No. of members

Total sales (1,000 yen)

Palsystem Tokyo

532,465

86,314,544

Palsystem Kanagawa

360,535

55,387,233

Palsystem Chiba

267,798

35,750,464

Palsystem Saitama

225,193

32,323,483

Palsystem Ibaraki Tochigi

140,308

18,162,805

Palsystem Yamanashi Nagano

58,4107,863,753

Palsystem Gunma

50,034

6,097,583

Palsystem Fukushima

39,0514,701,188

Palsystem Shizuoka

44,403

5,263,814

Palsystem Niigata Tokimeki

17,6142,235,838
Ordinary revenue (1,000 yen)

Palsystem Insurance Consumers'
Co-operative Federation

11 members

Pal Meat Corporation
Meat processing of beef, pork, etc.
Pal Line Corporation
Delivery / Catalogue printing and setting
Palsystem East Corporation
Delivery for member co-ops, distribution, garden
center, and intermediary service
Pal Bread Corporation
Manufacturing bread and confectioneries
Palsystem Relations Corporation
Planning, designing, and sale of information system
Palsystem Electric Power Corporation
Electric power business / Recycling business

4,219,163
As of March 31, 2024

Revenue and Number of Members■Union's revenue ■Group Co-ops’ total(Unit: 100 million yen)

● Total members(Unit: 10,000 members)
200

3,500
3,000

157.7

2,500
2,149.2

162.6

164.9

168.3

171.4

173.5

2,573.5

2,569.1

2,530.9

2,541.0

2,210.3
1,864.8

2,000
1,568.7160

1,616.4

120
1,769.7

1,740.9

1,761.0

1,500

80

1,000
40
500
0

2018

2019

2020

2021

2022

2023

0
As of March 31, 2024

15

Palsystem’s Sustainability

Taking small steps every day for a sustainable future
We are introducing our initiatives to build society for all, enabling everyone to enjoy life andlive in harmony with other people, nature, and communities while helping each other.

Palsystem x SDGs
Since Palsystemʼs predecessor was established in the 1970s, we have always worked with
co-op members, discussing issues surrounding products, to build a sustainable society.
In recognition of these efforts, in 2017, we received the Deputy Director of SDGs
Promotion Headquarters (Chief Cabinet Secretary) Award at the First Japan SDGs Award.
We are committed to continuing our efforts through merchandise delivery, mutual aid andinsurance, electricity, and general welfare services, striving to achieve our Vision for 2030
and contribute to the SDGs.

Palsystem has received the First Japan SDGs Award.

The cover illustration was created by Mr. Yu Nagaba.

Palsystem Consumers’ Co-operative Union
2-2-6, Okubo, Shinjuku, Tokyo 169-8527, Japan
Phone: +81
6233-7200（3）

https://www.pal-system.co.jp/
2024.08