Climate Change Data

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions
• Waste minimisation and management
• Finite resource consumption
• Biodiversity action planning
• Sustainable procurement
• Climate change adaptation
• Sustainable construction

Climate Goals & Targets

Environmental Challenges

• Data collection challenges for waste and resource consumption from third parties and contractors.
• Difficulties in accounting for embodied carbon in assets.

Mitigation Strategies

• Encouraging early engagement with suppliers to obtain necessary data.
• Developing plans to improve data collection and reporting in future years.
• Focusing on immediate asset embodied carbon accounting upon purchase.

Supply Chain Management

Responsible Procurement

• Using Government Buying Standards
• Considering supply chain impacts in procurement

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GHG Protocol, Greening Government Commitments (GGC), Government Financial Reporting Manual (FReM), Global Reporting Initiative (GRI)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Environmental Sustainability
• Social Responsibility
• Governance

Environmental Achievements

• Pulmuone reduced company per unit greenhouse gas emissions by 72% between 2008 and 2020.
• Pulmuone reduced disposed plant residues by discharging bean sprouts residues through an extraction process.
• Pulmuone uses fruit that was to be discarded to make fruit juice.
• Pulmuone Water reduced the weight of its 200ml bottled water to 11.1 grams in 2018 from 15 grams in 2008.
• Pulmuone introduced Korea’s first ultra-light 1.4 lid.
• CJ Cheil Jedang almost reached its zero-landfill waste goal in its food processing plants in Korea by reusing waste as industrial ingredients and agricultural feed.
• CJ Cheil Jedang reduced its PVC use to 0.4% of its total plastic use in 2020.
• E-mart increased low-carbon, organic gift sets to 30 types for the Lunar New Year holiday.
• E-mart overall sales of low carbon certified agricultural products surpassed 10 billion won in 2021.
• Home Plus removed labels on water bottles as part of its goal of reducing 40,000 tons of plastic use and 550 tons of paper use by 2025.
• Market Kurly saved 1.06 million square meters of paper boxes, 7.4 tons of plastic bags, and 17,000 cubic meters of refrigerants within 100 days after introducing the purple box.
• Market Kurly switched to water-based ice packs, saving 4,831 tons of plastic in a year.

Social Achievements

• Pulmuone’s sustainability efforts coincided with an increase in sales (1.87 trillion won in the first three quarters of 2021, up 8.4% from the same period in 2020).
• Increased sales of low-carbon, organic food gift sets by 43% during the Lunar New Year holiday promotion weeks (Dec 12, 2021- Jan 24, 2022) compared to the same period of last year (E-mart).
• Expansion of antibiotic-free certified pork to 130 branches (E-mart).

Governance Achievements

• Pulmuone won the ‘ESG Grand Prize’ in 2021 from Korea Corporate Governance Service.
• CJ Cheil Jedang announced in 2021 that it will seek to achieve carbon neutrality and zero waste.

Climate Goals & Targets

Environmental Challenges

• Plastic waste is viewed as a serious environmental issue by Korean consumers.
• Increased use of plastic containers for food deliveries leading to increased overall waste.
• Difficulty in recycling contaminated plastic containers.

Mitigation Strategies

• Korean government's implementation of the 2050 Carbon Neutral plan and the 2030 National Greenhouse Gas Reduction Goal (NDC).
• Companies are increasingly using recyclable packaging and reducing plastic use.
• Government initiatives to promote recycling and reduce waste (e.g., revised Food Labeling and Advertisement Act, Circular Economy Implementation Plan).
• Food upcycling initiatives to reuse byproducts.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• CJ Cheil Jedang establishing green partnerships with suppliers.
• Increasing number of Korean companies signing MOUs with companies producing organic, fair-trade, and eco-friendly certified products.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Carbon labeling certification (Pulmuone Water), MSC and ASC certified marine products (Pulmuone), Rainforest Alliance (RA) certified vanilla (Lotte Food)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Pulmuone's plant-based foods, plant-forward foods, and animal welfare foods.
• CJ Cheil Jedang's plant-based dumplings and food upcycling products.
• Lotte Food's vanilla extract using RA certified vanilla beans.
• Nongshim's plant-based meat brand ‘Vegie Garden’.

Awards & Recognition

• Pulmuone’s ‘ESG Grand Prize’ in 2021.