Summary strip: In the journey towards achieving net zero emissions by 2040, Marico is set to accomplish a key milestone of transitioning to 100 per cent recyclable, reusable and compostable packaging for its entire product line over the next two years.
The FMCG major aims to achieve 100 per cent recyclable packaging by 2025, with a focus on sustainable packaging interventions and promoting circularity to reduce its overall carbon footprint. “During this period, we plan to phase out hazardous substances such as PVCs while introducing at least 30% r-PCR in the packaging portfolio, wherever applicable. We currently use 0.37% PVC in packaging and aim to have 100% recyclable, reusable or compostable packaging portfolio by FY25,” said Amit Bhasin, Chief Legal Officer and Group General Counsel, Marico.
The latest development comes close on the heels of a commitment made by the company in February 2022 to achieve net zero emissions in all global operations by 2040. This will be done through a slew of measures including a transition to 100 per cent certified carbon neutral operations across Marico’s global operations and utilising 100 per cent renewable energy, while reducing direct GHG emissions across its global footprint.
“FY22 has been a milestone year in our sustainable value creation journey as we also stepped up our overall climate resilience and ESG leadership agenda. Towards achieving net zero emissions, we have pivoted our carbon management strategy on three key aspects – resource optimisation and efficiency, transitioning to 100 per cent renewable energy sources to meet operational requirements and investing in technological interventions that accelerate decarbonisation of our operations and value chain,” Amit Bhasin further said.
Marico has undertaken several ESG and sustainability initiatives over the past few years. On the packaging front, the company has already achieved 96 per cent recyclable packaging through the ‘Upcycle’ program, which was started to reduce waste to landfill and offer a better alternative for plastic waste management. In FY22, Marico collected, co-processed and recycled plastic waste to the tune of 6,300 MT. This was in line with Extended Producer Responsibility (EPR) towards collection and environmentally safe disposal of post-consumer plastic waste.
At a time when the world is witnessing the dire impact of climate change, India too has reported the world’s highest social cost of carbon – the country may have already lost 3 per cent of its Gross Domestic Product (GDP) on account of global warming according to a recent report by think tank ODI. Marico’s global manufacturing landscape has been designed using a zero-coal strategy. In fact, about 70 per cent of the company’s operational energy requirements came from renewable sources in FY22.
The three major enablers for Marico to transcend into its net zero, carbon neutral and climate resilient future are transition to renewables, investments in low-carbon technology options, carbon forestry and a 100 per cent phase-out of fossil fuels from its operations.
The change towards sustainability is not just limited to Marico’s own operations. The company is driving sustainability along its whole value chain as the company believes that this is fundamental to the future growth of its business and is ambitious to deliver positive impact. Marico is working along with its suppliers to drive up social and environmental standards in the supply chain by capacitating them to commit to sustainability goals. 46 per cent of Marico’s critical value chain partners have been certified with SAMYUT, which is Marico’s Responsible Sourcing Framework Level 1.
Water stewardship is another natural resource that features high on Marico’s sustainability agenda. The company’s water stewardship program, ‘Jalashay,’ focuses on replenishing more water for the community than that consumed in their operations, on a year-on-year basis. Marico has successfully created 263 Crore litres of water conservation capacities pan-India, till date which is over 3 times of total water the company has consumed in its operations in FY22. “We aim to build 412 Crore litres of total water harvesting capacity across India by FY25. We are geared to achieve certified water-neutral operations across all our manufacturing facilities by offsetting 100 per cent of our consumption volume with capacity created for community use” Bhasin added.
Source : livemint
