Vinamilk announces its Sustainable Development Report, choosing the theme 'Net Zero 2050'

As a business highly appreciated for its ESG practices, Vinamilk's Sustainable Development Report is always paid attention to and carefully researched by investors and the community. In its 12^th year of announcement, the theme that Vinamilk has chosen for its Sustainable Development Report 2023 is "We Care We Do: Net Zero 2050."

Following international standards but being close to readers

Vinamilk launched its first Sustainable Development Report in 2012, which was released voluntarily and independently from its annual report. At that time, there were no mandatory requirements for preparing and publishing sustainable development reports. The report is referenced according to the Global Reporting Initiative Standards for Sustainability Reporting (GRI Standards), released by the Global Sustainability Standards Board (GSSB) in 2016 and revised in 2021. This is an international standard and the latest version of Sustainable Development Reporting.

Besides, the report also presents a number of additional published indicators according to GRI guidelines specifically for the food sector (GRI Food Processing). The strategic goals and activities in Vinamilk's orientation are also associated with the United Nations' Sustainable Development Goals (17 Sustainable Development Goals) and the Global Dairy Sustainability Framework (DSF).

The business representative said that important results from the project with DSF helped Vinamilk raise 11 materiality aspects and six priority aspects of sustainable development. This is an important step that helps orient Vinamilk's sustainable development strategy closer to the focus of the dairy industry.

In 2023, the report's theme is "We Care We Do: Net Zero 2050," showing contents related to the roadmap to implement Vinamilk's Net Zero goal, such as greenhouse gas inventory according to ISO 14064, units achieving carbon neutrality according to international standards PAS 2060:2014, action programs, etc.

The information presented includes management methods, goals to outline the overall picture of activities during the year, and sustainable development orientation for the future. Promoting transparency, Vinamilk's Sustainable Development Report is always guaranteed by an independent auditing unit.

"In addition to common types of reports such as financial reports and management reports, sustainable development reports are increasingly paid attention to and highly appreciated by many investors before making decisions to invest in stock symbols. For businesses that are transparent with sustainable development information and data, the first subjects they attract are institutional investors, foreign professional investors, and large investors, because these units are often interested in management, production and business depth, and corporate responsibility to the community. In the long run, the sustainable development practices of these businesses will also impact individual investors," said Mr. Truong Hien Phuong, Senior Director of KIS Vietnam Securities Corporation.

Since 2019, Vinamilk has also gradually reduced print releases and developed a lively online version, helping viewers easily look up necessary information and contributing to reducing printing paper and protecting the environment. This shows the business's efforts to improve the report, which was inherently dry and full of data, to make it more vivid and easier to understand for the public, even younger people or students.

Making a report for benefits of the business itself

At the end of 2023, the Prime Minister issued Decision No. 1726/QD-TTg approving the Stock Market Development Strategy until 2030. One of the notable contents is the direction for the application practices on environmental, social, and corporate governance (ESG) standards at Stock Exchanges and the Vietnam Securities Depository and Clearing Corporation, aiming at sustainable development factors according to international practices.

Mr. Truong Hien Phuong shared further: "I personally appreciate the trend of announcing sustainable development reports because the world has been 10–20 years ahead, but it has only become popular in Vietnam in recent years. Currently, only large businesses proactively publish sustainable development reports, but I hope that in the future, small and medium-sized businesses will recognize their strengths and follow this trend to bring better benefits to consumers, the community, and society.”

Talking about implementing the Sustainable Development Report early, even when there are no mandatory regulations, Ms. Tran Thai Thoai Tran, Director of Vinamilk's Internal Control and Risk Management Department, said that "To effectively manage the aspect of sustainable development, the basic foundation to start with is a database and an understanding of data. With the motto 'What gets measured gets managed', behind each report is a huge data warehouse, helping Vinamilk get a correct and complete picture of the company's sustainable development practices. This also helps us provide accurate, transparent, and consistent data to stakeholders.”

Listed businesses' preparation of ESG reports, or, more broadly, sustainable development reports, is considered an important factor in the process of upgrading the stock market. The announcement of a sustainable development report is an extremely necessary practice for businesses to demonstrate transparency, professionalism, and a focus on sustainable development.

It is known that Vinamilk has a process for preparing reports, whereby personnel are specifically assigned to each field and member unit so that data collection, drafting, and announcement are guaranteed. It can be said that with 12 Sustainable Development Reports containing huge amounts of information and data, Vinamilk is a typical example of proactivity and professionalism. Thanks to that, this business regularly appears at major awards with the leading position in terms of Sustainable Development Reports and is often assessed as "desirable" every year.

The representative of the Voting Council of the Listed Enterprise Voting 2023 shared: "Vinamilk's report continues to be a standard report, fully covering important indicators and areas; presented concisely and neatly with a moderate number of reporting pages. Right from the beginning of the report, the General Director's message showed the high commitment of Vinamilk's board of directors and the successful integration of the sustainable development factor into the business strategy. This is reflected in serious orientations and commitments to "Net Zero Emissions by 2050."