Vinamilk is honored at the Asia Responsible Enterprise Awards 2024

Vinamilk is the only Asian dairy enterprise honored in the Green Leadership

Launched in 2011, the Asia Responsible Enterprise Awards (AREA) is one of Asia's most prestigious international awards, aiming to honor excellent businesses in implementing social responsibility and development. In 2024, the award will be held for the first time in Vietnam with the theme "Building Towards an ESG-Driven Future - Building a sustainable future according to ESG strategies" to emphasize the importance of sustainable business, applying ESG (environmental, social, and governance standards) in a practical way and create a more sustainable future.

For the first time participating in the award, Vinamilk was honored in the "Green Leadership" category for its strategies and efforts to implement Net Zero 2050. It is the only dairy enterprise in Asia to receive the award in this category.

It can be seen that the sustainable development program requires awareness and determination from the leadership level, followed by a thorough implementation by each employee in the organization to reach the destination. Therefore, "Green Leadership" is always a markable category.

This year, the issue of climate change and net zero has been one of the hot topics that has received special attention. That is also why the "Green Leadership" category is built according to criteria such as Effective use of resources, measures to reduce emissions, application of green technology, and sustainable development initiatives... It also honors Asian businesses with many typical and outstanding practices in sustainable development strategies.

"Net Zero" – from commitment to implementation strategy

The action program "Vinamilk Pathways to Dairy Net Zero 2050" was announced in 2023, which emphasizes the commitment and roadmap to reach the net zero emissions target (Net Zero) by 2050. After launching the roadmap in the first year, Vinamilk's initial results can include owning 3 units that achieve carbon neutrality according to international standards PAS 2060:2014, including Nghe An Dairy Factory, Nghe An Dairy Farm An and Vietnam Beverage Factory. The total emissions neutralized by Vinamilk is 21,000 tons of CO2 (equivalent to more than 2 million trees planted).

Years ago, "greenhouse gas emission management" appeared in this company's Sustainable Development report as one of 11 critical sustainable development aspects. Since 2021, Vinamilk has been a pioneer in greenhouse gas inventory according to international standards ISO14064 for factories, conducting emission assessments and developing optimal reduction plans. This enterprise said it is ready to carry out inventory reports in scope 3.

The greenhouse gas inventory helps Vinamilk form a database and standardize "greening" activities in the production and livestock chain. Vinamilk's waste reduction and energy-saving technologies meet international standards such as ISO 50001 energy certification, ISO 14001 environmental certification (for factories), and European organic standards certification (Organic), GlobalG.A.P good agricultural practice certification (for farms)... and recently PAS 2060:2014 carbon neutral certification.

"In fact, despite applying many synchronous solutions to reduce greenhouse gas emissions, it is tough for a livestock and production enterprise to cut emissions and achieve the Net Zero goal completely. Therefore, very early on, Vinamilk oriented to plant trees to absorb carbon. After completing the 1 million green trees fund, we implemented the Vinamilk Net Zero Forest project to form carbon absorbers in the environment. The future, moreover, is to protect and develop forests for Vietnam," said Mr. Le Hoang Minh, Executive Director of Production and Head of Vinamilk's Net Zero project.

Specifically, the business is investing about VND 25 billion for projects such as planting trees towards Net Zero 2023-2027, delineating and regenerating 25 hectares of Ca Mau mangrove forests, protecting and developing forests in Laos (under the Lao-Jagro project)... and continuing to research many other afforestation projects.

According to Vinamilk's commitment, by 2027, the business will cut emissions by 15%; this number will be 55% by 2035 and move towards net zero emissions by 2050. Dairy businesses are pursuing this challenging goal. Vietnam's leaders vigorously promote and create leadership and positive impact, contributing to Vietnam's common journey towards Net Zero according to commitments at COP26.

Vinamilk currently manages 16 domestic and foreign factories and 15 dairy farms, with a herd of 140,000 dairy cows, providing more than one million liters of raw fresh milk daily. In 2023, Vinamilk's revenue reached VND 60,479 billion, and consolidated pre-tax profit was more than VND 10,968 billion. The company maintains the leading market share in the Vietnamese dairy industry with a distribution system of more than 200,000 points of sale, covering 63 provinces and cities.