Climate Change Data

Baladna Q.P.S.C

Climate Impact & Sustainability Data (2021, 2022, 2023)

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:38,402 tCO2e/year (reduction)
Waste Generated:47.9 kt/year (treated)

ESG Focus Areas

  • Food security
  • Animal welfare
  • Environmental sustainability
  • Community investment
  • Employee well-being

Environmental Achievements

  • Initiated the process of establishing a water treatment unit to create a closed loop system for dairy effluent and improve water reuse.
  • Construction of a new effluent treatment plant with a Biogas reactor to produce energy from factory waste.
  • Established a state-of-the-art composting facility to reduce methane emissions from dairy waste and produce compost for sale.
  • Pledged to plant 5,000 trees.

Social Achievements

  • Sponsored Al Rayyan Football Club, Al Bidaa Football Club, the 1st Al Thukhira Paddle Championship, Al Jassem Magazine for Children, Emir Sword, the Qatari Society of Al Gannas, and landscaping and irrigation work at Qatar Foundation.
  • Partnership with Dreama The Orphans Care Center to support childcare and children’s protection and rights.
  • Provided dairy and juice products to Qatar Red Crescent Society and various schools.
  • Continued collaboration with KidzMondo Doha.

Governance Achievements

  • Implemented a comprehensive risk register and initiatives to mitigate identified risks.
  • Developed a comprehensive risk register and relevant initiatives are taken to mitigate identified risks. This includes written policies and procedures developed in line with local regulations and industry best practices.
  • Received an award from the Middle East Investor Relations Association (MEIRA).

Climate Goals & Targets

Long-term Goals:
  • Maintain market leadership and increase market share.
  • Contribute to Qatar’s National Food Security Strategy.
Medium-term Goals:
  • Continue growing volumes and introduce new SKUs.
  • Expand into new international markets (Eastern Europe and Asia).
Short-term Goals:
  • Increase volumes in existing product lines and introduce new SKUs.
  • Complete the evaporated milk factory and butter processing facilities.

Environmental Challenges

  • Significant rise in freight charges, feeds, raw materials, and packaging materials due to the COVID-19 pandemic.
  • Significant temporary decrease in the total retail market in Qatar.
  • Substantially increased raw material (+8.9%), packaging material (+6.8%), and logistic costs (+245%).
  • Reduction in government compensation.
Mitigation Strategies
  • Introduced new product lines and grew market share in existing segments through higher promotions and discount programmes.
  • Investment in technology to improve sales, procurement, and operational efficiency.
  • Implemented “Route Pro Merchandising and Sales” and “SAP Sales and Operation Planning modules”.
  • Implemented “SAP Ariba Supplier Life Cycle Performance” to improve the Supply Chain Process.
  • Maintained strategic inventory levels for raw materials to support continuity in case of supply disruptions.

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

  • Middle East Investor Relations Association (MEIRA) award

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:38,402 tCO2e reduction projected from composting
Water Consumption:Reduced consumption by more than 50% at one farm
Waste Generated:52.7 kt processed, 13 kt compost produced

ESG Focus Areas

  • Food security
  • Environmental sustainability
  • Animal welfare
  • Community investment

Environmental Achievements

  • Reduced freshwater consumption by more than 50% with a new wastewater treatment plant
  • Processed 52.7 kt of solid waste and produced 13 kt of organic compost, resulting in a projected greenhouse gas reduction of around 38,402 tCO2e per annum

Social Achievements

  • Launched trials with homeopathic medicine to treat cows with health issues
  • Initiated trials with Qatar University Research Centre to produce a mastitis vaccine
  • Sponsored Al-Rayyan Sports Club, Qatar Major 2022 Padel Tournament, DADU Children’s Museum of Qatar, Al Jassem Magazine for Children, Ooredoo Doha Marathon, and Emir Sword
  • Became a Humanitarian Partner with Qatar Charity

Governance Achievements

  • Received two awards from the Middle East Investor Relations Association (MEIRA) for corporate reporting

Climate Goals & Targets

Long-term Goals:
  • Become one of the most sustainably focused dairy companies in the region
  • International expansion and partnerships
Medium-term Goals:
  • Further increase milk yield and total milk production
  • Digital transformation in cow care
  • Improve cow comfort by upgrading flooring and installing smart soakers
Short-term Goals:
  • Commercial operation of evaporated milk plant in early 2023
  • Launch of robotic sanitation and milking technology in May 2023
  • Development of a dashboard to display farming data in early 2023

Environmental Challenges

  • Pandemic-related supply chain issues
  • Increased financing costs due to rising global interest rates
  • Steep inflation resulting in higher input costs for commodities, energy, and animal feed
Mitigation Strategies
  • Ramping up sales
  • Improving efficiencies across the business
  • Increasing milk yields and production
  • Launching new products
  • Entering new categories
  • Accelerated efficiency improvements, including Overall Equipment Efficiency (OEE), reduction in Loss In Process (LIP), reduction in sales wastages, and the application of latest technologies

Supply Chain Management

Responsible Procurement
  • Memorandum of Cooperation (MoC) with Inter Plastic Factory for plastic packaging material

Climate-Related Risks & Opportunities

UN Sustainable Development Goals

  • Goal 2 (Zero Hunger)
  • Goal 6 (Clean Water and Sanitation)
  • Goal 7 (Affordable and Clean Energy)
  • Goal 8 (Decent Work and Economic Growth)
  • Goal 12 (Responsible Consumption and Production)
  • Goal 13 (Climate Action)
  • Goal 15 (Life on Land)
  • Goal 17 (Partnerships for the Goals)

Baladna's initiatives contribute to these goals through sustainable farming practices, waste management, community investment, and partnerships

Awards & Recognition

  • MEIRA award for corporate reporting (digital and print)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:300 tons CO2 reduction from idling
Water Consumption:65% reduction in pilot project, 50% reduction in freshwater consumption overall
Waste Generated:231,285 reused paper-based boxes, 55,000 kg plastic reduction, 1.57% overall wastage reduction

ESG Focus Areas

  • Food security
  • Environmental responsibility
  • Societal engagement
  • Animal welfare
  • Employee wellbeing
  • Corporate governance

Environmental Achievements

  • Reduced water consumption by 65% in a pilot project using SmartSoaker™ technology (to be implemented across all barns in 2024)
  • Reduced carbon emissions by 28% (300 tons of CO₂) by reducing vehicle idling.
  • Reduced wastage by 1.57%
  • Repurposed over 231,000 paper-based boxes
  • Saved 55,000 kg of plastic

Social Achievements

  • Launched Ramadan and Back to School marketing campaigns reaching 1.5 million consumers.
  • Partnership with Qatar Charity for humanitarian aid.
  • Partnership with Bel Group to produce locally made international brand cheese, reducing imports.
  • Sponsored the 13th edition of HH The Amir’s Sword Showjumping and Dressage Championship.
  • Increased share ownership in Juhayna Food Industries (Egypt) to 15%.

Governance Achievements

  • Implemented a new management structure to improve efficiency.
  • Won two awards at the 15th Middle East Investor Relation (MIRA) conference for investor relations reporting.

Climate Goals & Targets

Medium-term Goals:
  • Achieve GSAS certification for all operations
Short-term Goals:
  • Implement SmartSoaker™ technology across all barns (2024)
  • Reduce water and energy consumption in manufacturing (2024)
  • Reduce landfill waste (2024)
  • Reduce water consumption by 50% (2024)
  • Boost recycling through local partnerships (2024)

Environmental Challenges

  • Global economic slowdown
  • High commodity prices (partially normalized later in 2023)
  • Supply chain disruptions (mitigated through partnerships and local production)
Mitigation Strategies
  • Stringent cost controls
  • Efficiency improvements across the value chain
  • Strategic partnerships (e.g., with Bel Group)
  • Increased local sourcing
  • Investment in new facilities (Plant 4)

Supply Chain Management

Responsible Procurement
  • Prioritising sourcing from nearby suppliers

Climate-Related Risks & Opportunities

UN Sustainable Development Goals

  • Goal 2
  • Goal 6
  • Goal 8
  • Goal 9
  • Goal 12
  • Goal 13
  • Goal 15
  • Goal 17

Baladna's initiatives contribute to these goals through sustainable food production, water conservation, job creation, technological innovation, waste reduction, climate change mitigation, biodiversity protection, and international partnerships.

Sustainable Products & Innovation

  • Lighter weight plastic bottles and yoghurt cups
  • Repurposed paper-based boxes

Awards & Recognition

  • First place in digital category and second place in print category at the 15th MEIRA awards