Climate Change Data

Arcor Group

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:872,645 tCO2e/year
Scope 1 Emissions:280,361 tCO2e/year
Scope 2 Emissions:253,465 tCO2e/year
Scope 3 Emissions:338,819 tCO2e/year
Renewable Energy Share:55%
Water Consumption:36,324,069 m3/year
Waste Generated:17,809 tons/year

ESG Focus Areas

  • Producing Sustainable Food
  • Promoting People Prosperity
  • Preserving the Planet Sustainability

Environmental Achievements

  • Reduced specific water consumption by 16.57% compared to 2021
  • Achieved zero waste sent to landfill in three Argentinian plants (Zucamor Quilmes, Zucamor Cartón Ranelagh, Bagley Córdoba) in 2022
  • Used 100% paper and cardboard from sustainable origin
  • Reduced absolute GHG emissions by 12,187 tons of CO2eq compared to 2021; 4.78% reduction compared to 2017

Social Achievements

  • Launched the new Healthy Eating & Habits Strategy: Food for a Better Life, resulting in 32.3% of turnover from products with outstanding nutritional benefits
  • Launched the "We are Arcor" Ambassadors Program on LinkedIn
  • Celebrated 30 years of Arcor Foundation, impacting 6.7 million children and 1.5 million people
  • Workplace Well-being Survey achieved 78% response rate and 82% average commitment level

Governance Achievements

  • Publicly presented the 2030 Sustainability Strategy and the new "A Better Life" Sustainability Policy
  • Incorporated ISO 45001 standard in all plants
  • Implemented the 6C Risk Program

Climate Goals & Targets

Long-term Goals:
  • Zero waste to landfill by 2025
  • Reduce total waste volume by 40% by 2030 (compared to 2016)
Medium-term Goals:
  • Reduce water consumption by 30% by 2030 (compared to 2020)
  • Reduce GHG emissions by 30% by 2030 (compared to 2017)
  • Achieve 80% renewable energy by 2030
Short-term Goals:
  • Reduce water consumption by 25% by 2025 (compared to 2020)
  • Reduce landfill waste by 40% per ton by 2025

Environmental Challenges

  • Supply chain disruptions
  • Water scarcity in certain regions
  • Climate change impacts on agriculture
  • Reducing GHG emissions across all scopes
Mitigation Strategies
  • Developed alternative sourcing strategies
  • Implemented water conservation measures and new consumption goals for 2025 and 2030
  • Launched Agro +30 Program for regenerative agriculture
  • Defined specific actions and targets to achieve 30% reduction in GHG emissions by 2030

Supply Chain Management

Supplier Audits: REconocer Program evaluated 1,191 suppliers (53.8% of purchase volume) since 2017; 69 new suppliers evaluated in 2022

Responsible Procurement
  • Letter of Adherence to Fundamental Principles for Responsible Management
  • REconocer Program
  • Responsible Inclusive Purchasing Program (CIR)

Climate-Related Risks & Opportunities

Physical Risks
  • Water scarcity
  • Extreme weather events
Transition Risks
  • Regulatory changes
  • Market shifts towards sustainability
Opportunities
  • Development of energy-efficient products and processes
  • Regenerative agriculture practices

Reporting Standards

Frameworks Used: GRI, SASB

Certifications: ISO 9001, ISO 14001, ISO 45001, BRC, HACCP, BPM, FSSC 22001, IFS, Global GAP, Bonsucro, Rainforest Alliance, RSPO, FSC, PEFC

Third-party Assurance: Monasterio & Asociados S.R.L - Crowe

UN Sustainable Development Goals

  • SDG 2
  • SDG 3
  • SDG 4
  • SDG 5
  • SDG 6
  • SDG 7
  • SDG 8
  • SDG 9
  • SDG 10
  • SDG 11
  • SDG 12
  • SDG 13
  • SDG 14
  • SDG 15
  • SDG 16
  • SDG 17

Initiatives aligned with multiple SDGs, detailed in the report

Sustainable Products & Innovation

  • Topline Turbo sugar-free gum
  • BC Mayonnaise (25% less lipid)
  • Criollitas with high oleic sunflower oil and no added salt
  • Gluten-free products
  • Plant-based products

Awards & Recognition

  • 100 Companies with Best Corporate Image (Apertura magazine)
  • Top Brands (Apertura magazine)
  • Dircoms Awards
  • Eikon Awards
  • Business Prestige Award
  • Top 100 Confectionery Companies in the World (Candy Industry magazine)
  • Exports Awards (Prensa Económica magazine)
  • Fortuna Awards
  • The 500 most influential companies in Latin America (Bloomberg)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:1,817,521 tCO2e/year
Scope 1 Emissions:259,870 tCO2e/year
Scope 2 Emissions:219,524 tCO2e/year
Scope 3 Emissions:1,338,127 tCO2e/year
Renewable Energy Share:63%
Water Consumption:32,191,497 m3/year
Waste Generated:13,482 tons/year
Carbon Intensity:0.798 Tn CO2/Tn produced in 2023

ESG Focus Areas

  • Healthy and Affordable Food
  • Inclusion, Diversity and Equality
  • Water Care
  • Climate and Biodiversity Action
  • Regenerative Agriculture
  • Circular Material Flow
  • Quality at Every Step
  • Workplace Well-Being
  • Community and Value Chain Development

Environmental Achievements

  • 6.9% reduction in net water consumption in High Water Risk areas plants compared to the previous year.
  • Carbon Neutral Certification for Papel Misionero plant.
  • Zero waste sent to landfill achieved in 16 of the Group’s plants.
  • 280,000 hectares of corn and wheat from suppliers certified under the SAI-FSA sustainable production standard.

Social Achievements

  • 43% of the company’s new hires were women.
  • 38% of management vacancies were covered by women.
  • 1.5% of the total staff is made up of people with disabilities.
  • Donation of more than 1,100,000 kilos of products through the Corporate Food Donation Program.

Governance Achievements

  • Formalization of the Commitment to Human Rights Policy.
  • Separation of the functions of the Finance, Investments and Strategies Committee, creating the Finance and Strategies Committee and the Investments Committee.

Climate Goals & Targets

Long-term Goals:
  • 100,000 people reached by development and socioeconomic inclusion initiatives by 2030
  • Train 200,000 people by 2030 to contribute to equal educational opportunities for children in Latin America
Medium-term Goals:
  • 50% of vacant management and leadership positions covered by women by 2030
  • Reduction of the Disabling Frequency Index (IFI) in operations, reaching <3 by 2030
  • 40% reduction in waste generated in operations by 2030, compared to 2016
  • 100% recyclable, reusable, compostable or biodegradable packaging by 2030
  • 100% certified or recycled paper in packaging by 2030
  • Reduce specific water consumption (m3/ton) by 30% by 2030
Short-term Goals:
  • 50% of vacancies covered by women by 2025
  • 2.4% of the total workforce made up of people with disabilities by 2025
  • Reduction of the Disabling Frequency Index (IFI) in operations, reaching <5 by 2025
  • 100% of the plants with zero waste sent to landfills by 2025
  • Zero PVC in the packaging of our products by 2025
  • Reduce specific water consumption (m3/ton) by 25% by 2025

Environmental Challenges

  • Challenging political, economic and social context.
  • Increase in accidents compared to the previous year.
  • Increase in ergonomic diseases compared to 2022.
Mitigation Strategies
  • Implementation of action plans to reduce accidents.
  • Update of the Ergonomics Program.
  • Implementation of the 6C Risk Program.

Supply Chain Management

Supplier Audits: 94% of Arcor Group’s Outsourced Suppliers were audited for their economic, social, environmental and quality performance

Responsible Procurement
  • Letter of Adherence to the Fundamental Principles for Responsible Management
  • REconocer Program
  • Responsible Inclusive Purchasing Program (CIR)
  • ADN PyME Program

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI 2021 Standards, SASB Standards for Agricultural Products, Processed Food, and Containers Packaging

Certifications: ISO 14001, ISO 45001, ISO 9001, BRC, HACCP, Global GAP, IFS, FSSC 22000, PEFC, FSC, BONSUCRO, Rainforest Alliance, RSPO

Third-party Assurance: Crowe Argentina

UN Sustainable Development Goals

  • SDG 2
  • SDG 3
  • SDG 4
  • SDG 5
  • SDG 6
  • SDG 7
  • SDG 8
  • SDG 9
  • SDG 10
  • SDG 11
  • SDG 12
  • SDG 13
  • SDG 14
  • SDG 15
  • SDG 16
  • SDG 17

Arcor Group’s initiatives contribute to 46 of the 169 established goals through initiatives promoted in accordance with the commitments of our Sustainability Strategy.

Sustainable Products & Innovation

  • SUGARFIBE syrup
  • Triunfo Cereal Mix with Whole Grains
  • Flourless Cereal Snacks
  • Selz Corn Cracker
  • Maná Petit

Awards & Recognition

  • 100 Companies with Best Corporate Image
  • Top Brands
  • Dircoms Awards
  • Eikon Awards
  • Merco ranking
  • Las Mejores ranking
  • Perfil.com Awards
  • Ranking Empresa de los Sueños
  • Golden DIENTE Awards
  • Business Career Award
  • Top 100 Confectionery Companies in the World
  • Business Sustainability Award 2023
  • Gold Eikon Award
  • Silver Eikon Award
  • APSAL Award
  • Early Childhood Friendly Company