"In order for people to be healthy,everything around them must also be healthy."This slogan embodies Yakult's belief that everything on the Earth,from the natural environment to society itself,must also be healthy to ensure our human well-being.
Yet the global environment is now being put at riskdue to climate change, pollution and other factors caused by human activity.
Uniting both “People and Planet as One.” Since its founding, Yakult has been devoted to preventive medicine, which aims to help people avoid sickness.We take this the same for approach with the environment.We strive to conduct our corporate activities without impacting the environment,and pursue a society where people and the planet can co-exist as one, both now and into the future.
People and Planet as One . Yakult Group Environmental Vision
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The Yakult Group has established its Environmental Vision, a guide towards its goal of uniting both "People and Planet as One."
Our ideal vision for the future is set out in the Environmental Vision 2050, which details our plans for a value chain with zero environmental impact by aiming to achieve net-zero carbon emissions (in scopes 1, 2 and 3*1) by 2050. In order to make effective progress towards this vision, we have used backcasting*2 to also establish both Environmental Targets 2030 and Environmental Actions (2021-2024).
*1 Scopes 1, 2 and 3: Areas of greenhouse gas emissions monitoring Greenhouse gas scopes (summary based on GHG Protocol) Scope 1: The direct GHG emissions (from fuel combustion and manufacturing processes) Scope 2: Indirect GHG emissions resulting from use of power supplied by other companies (Scope: Yakult Honsha, including logistics, and five subsidiary production companies) Scope 3: Indirect emissions occurring in the supply chain linked to a company's business activities *2 Backcasting: A method of identifying actions to be taken now based on a desired future result
Top Message
The Yakult Group has worked to expand our business globally based on our corporate slogan, “In order for people to be healthy, everything around them must also be healthy,” because a healthy earth is vital for the health and happiness of people around the world.
In creating the Yakult Group Environmental Vision, which was established in March 2021, we reviewed the impact of Yakult's business activities on society and the environment, clarified the material themes related to the sustainability of the global environment and the sustainable development of the Yakult Group, and formulated our ideal vision and targets.
In Environmental Vision, we aim to realize a value chain that has zero environmental impact by 2050, and established quantitative targets for 2030 for climate change, plastic containers and packaging, and water, which are our material themes related to environmental issues. We will take concrete actions to achieve our vision and targets.
For these environmental issues, we will listen to feedback from our customers and other stakeholders and undertake measures throughout the entire value chain.
We will continue to work toward achieving our goal of uniting both “People and Planet as One” where people and the planet can co-exist as one, both now and into the future.
In creating the Yakult Group Environmental Vision, which was established in March 2021, we reviewed the impact of Yakult's business activities on society and the environment, clarified the material themes related to the sustainability of the global environment and the sustainable development of the Yakult Group, and formulated our ideal vision and targets.
In Environmental Vision, we aim to realize a value chain that has zero environmental impact by 2050, and established quantitative targets for 2030 for climate change, plastic containers and packaging, and water, which are our material themes related to environmental issues. We will take concrete actions to achieve our vision and targets.
For these environmental issues, we will listen to feedback from our customers and other stakeholders and undertake measures throughout the entire value chain.
We will continue to work toward achieving our goal of uniting both “People and Planet as One” where people and the planet can co-exist as one, both now and into the future.
President and Representative Director Hiroshi Narita
Environmental Vision 2050. To realize a society where people and the planet co-exist as one through a value chain that has zero environmental impact
Our goal is to achieve Net Zero Carbon by 2050 (in scopes 1, 2 and 3).
flow image. Research and Development→Procurement→Production→Logistics→Sale→Consumption and waste
Establishing our Environmental Vision 2050
Behind Yakult’s decision to establish the Group's Environmental Vision 2050 stands a global environment in crisis. Climate change-related issues caused by human economic activities are becoming increasingly severe on a global scale, resulting in challenges such as water scarcity, damage to infrastructure and livelihoods due to extreme weather events, and detrimental impacts on natural ecosystems and agriculture.
In light of these issues, we thought it necessary to approach environmental and social issues throughout the value chain by listening to and co-creating with our customers, suppliers and other stakeholders, in order to improve the sustainability of not only our own Group, but also of the planet and society.
We therefore identified six material themes to prioritize within our value chain. Of those, three are related to environmental issues: climate change, plastic containers and packaging, and water. These three material themes guided the establishment of Environmental Vision 2050, as well as our medium- and short-term targets.
In light of these issues, we thought it necessary to approach environmental and social issues throughout the value chain by listening to and co-creating with our customers, suppliers and other stakeholders, in order to improve the sustainability of not only our own Group, but also of the planet and society.
We therefore identified six material themes to prioritize within our value chain. Of those, three are related to environmental issues: climate change, plastic containers and packaging, and water. These three material themes guided the establishment of Environmental Vision 2050, as well as our medium- and short-term targets.
Yakult Group Materiality
Based on the standpoint of contributing to the Sustainable Development Goals (SDGs), the Yakult Group worked together with external experts and referenced reports from groups like the IPCC*1 and WEF*2 to identify six material themes that should be prioritized within the value chain.
Using these themes, we will establish strategies and plans that work towards improving the sustainability of not only our own Group, but also of the planet and society, to make our corporate philosophy and goal of uniting both “People and Planet as One” a reality.
Using these themes, we will establish strategies and plans that work towards improving the sustainability of not only our own Group, but also of the planet and society, to make our corporate philosophy and goal of uniting both “People and Planet as One” a reality.
*1 IPCC: Intergovernmental Panel on Climate Change, which releases an evaluation report on climate change every 5-6 years. In their 2018 special report, “Global Warming of 1.5ºC”, they detailed the ramifications of a 2ºC rise in global temperature, and pointed to the importance of taking immediate action to limit this rise to below 1.5ºC.*2 WEF: World Economic Forum
Six Material Themes to Achieve Sustainability
Innovation Transition into a company that offers even more ways to contribute to people’s health, further pursue the potential of bacteria, provide new products and services, use resources effectively, and others
Value co-creation with communities Connect closely with local communities, deliver information on health, provide safe and reliable health products and services, and others
Supply chain management Maintain sound relationships with business partners, promote CSR procurement, ensure stable procurement of raw materials, and others
Climate change Reduce GHG emissions (decarbonize), proactively shift to renewable energy, introduce energy-saving practices,Realizing a Low-carbon Society
Plastic containers and packaging Convert to fully-recyclable containers and packaging, reduce environmental impact by changing container materials,Environment-Friendly Design and Logistics
Water Use sustainable water resources, reduce water consumption,Promoting Water Resource Conservation,Special Feature 3 The Environment
Environmental Targets2030
The medium-term milestones on the path to achieving
our Environmental Vision 2050
our Environmental Vision 2050
Climate change Reduce GHG emissions (in Japan, scopes 1 & 2*) by 30% compared to fiscal 2018 levels (Scope: Yakult Honsha, including logistics, and five subsidiary production companies)
Plastic containers and packaging Reduce single-use plastic containers and packaging (in Japan) by 30% compared to fiscal 2018 levels, or make them recyclable
Water Reduce water consumption (at dairy product plants in Japan, per production unit) by 10% compared to fiscal 2018 levels
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●Climate changeFrom natural disasters to loss of biodiversity, the impacts of climate change have brought about a number of risks on a global scale, and worldwide action is urgently needed. We see climate change as an important issue for Yakult’s business continuity as well. As society is being urged to decarbonize, we as a Group will also reduce our greenhouse gas (GHG) emissions by promoting energy conservation and proactively shifting to renewable energy.
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●Plastic containers and packagingSociety currently struggles with issues such as challenges in resource recycling and environmental contamination caused by plastic waste. The Yakult Group aims to establish fundamental technology for environmentally responsible containers and packaging in order to reduce their environmental impact while promoting the transition to easily-recyclable materials. We will also go even further in our efforts to reduce the amount of plastic used in containers and packaging, and reuse the plastic packing materials utilized during production.
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●WaterWater is a limited resource on the Earth, and issues such as imbalanced availability and water-related disasters are occurring on a global scale. This makes it an essential theme for our business activities, which use water as a raw material. Together with reducing our water consumption (per production unit), we will establish water management plans to respond to risks at production bases, and promote the conservation and sustainable use of water resources.
Environmental Action (2021-2024)
The short-term milestones on the path to achieving our
Environmental Vision 2030
Environmental Vision 2030
Achieve a zero-carbon society.Climate change. By the end of fiscal 2024, reduce carbon emissions (in Japan, scopes 1 & 2) by 10% compared to fiscal 2018 levels
Convert to fully-recyclable containers and packaging. Plastic containers and packaging.(1) By the end of fiscal 2024, reduce plastic containers and packaging (in Japan) by 5% compared to fiscal 2018 levels, or make them recyclable (2) Reduce raw material consumption for containers and packaging (3) Reduce environmental impact by changing container and packaging materials (4) Use plant-based or environmentally responsible materials
Reduce water consumption. water. By the end of fiscal 2024, reduce water consumption (at dairy product plants in Japan, per production unit) by 3% compared to fiscal 2018 levels through Methods 1. Conserving water 2. Establishing water management plans
Reduce waste (1) By the end of fiscal 2024, reduce amount of waste generated by 20% compared to fiscal 2010 levels (2) Maintain a 95% recycling rate for food waste
Conserving and utilizing biodiversity (1) Support and participate in conservation activities (2) Promote biodiversity education
The Social and Environmental
Impact of the Yakult Group
Impact of the Yakult Group
The Yakult Group creates products that are sold in 40 countries and regions around the globe to
a marketing population of 2.4 billion people — about one third of the world’s total population.
To operate on this global scale, we promote our corporate activities on the basis of local production for local sale.
Yet to put it another way, our business has an impact on local communities and
environments around the world that is not only positive, but also negative.
a marketing population of 2.4 billion people — about one third of the world’s total population.
To operate on this global scale, we promote our corporate activities on the basis of local production for local sale.
Yet to put it another way, our business has an impact on local communities and
environments around the world that is not only positive, but also negative.
Number of bottles of dairy products consumed each day worldwide(As of the fiscal year ending March 31,2021) 40.15millon bottles
Annual CO2 emissions 409,434t
Annual Plastic containers and packaging consumption 11,994t
Annual water consumption 6.085 million ㎥
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With the intensification of climate change, increase in environmental disasters, growing plastic waste problem and other global issues, environmental conservation movements have been gaining momentum around the world. Within the international community, the Paris Agreement adopted in 2015 has accelerated the decarbonization movement, which strives to completely eliminate greenhouse gas emissions worldwide.
In 2020, the Government of Japan also declared it would aim to become a decarbonized economy by 2050.
As a corporate group active worldwide, Yakult has also taken responsibility by establishing an Environmental Vision that will guide our activities and help us contribute to the creation of a sustainable global society.
In 2020, the Government of Japan also declared it would aim to become a decarbonized economy by 2050.
As a corporate group active worldwide, Yakult has also taken responsibility by establishing an Environmental Vision that will guide our activities and help us contribute to the creation of a sustainable global society.
Yakult Environmental Risks and Opportunities
The Yakult Group recognizes the necessity of assessing our business and formulating measures relating to both the risks and opportunities of climate change — not only for our own sustainable development, but also for the realization of a sustainable society and a healthy planet.
In response to the TCFD recommendations*1, we deliberated at length in internal study groups and meetings with management, and used the RCP scenario*2 method to analyze the climate change risks and opportunities facing the Group.
We will continue by further investigating measures to handle risks and opportunities, as well as by devising and implementing specific management strategies to extend our efforts.
In response to the TCFD recommendations*1, we deliberated at length in internal study groups and meetings with management, and used the RCP scenario*2 method to analyze the climate change risks and opportunities facing the Group.
We will continue by further investigating measures to handle risks and opportunities, as well as by devising and implementing specific management strategies to extend our efforts.
*1 TCFD: Task Force on Climate-related Financial Disclosures, an international organization established by the Financial Stability Board in 2016. In their final report published in 2017, TCFD issued recommendations that companies disclose information on climate-related risks and opportunities through scenario analysis to examine risk strategies under various different conditions.*2 An analysis using the scenarios with the lowest rise in temperature (RCP 2.6 scenario = a rise of around 2ºC) and greatest rise in temperature (RCP 8.5 scenario = a rise of around 4ºC)
2ºC scenario
2ºC scenario images
Main phenomena.Risks Opportunities -Reduced grazing land - Increased demand for energy crops*-Difficulty in procuring raw materials (powdered skim milk)-Develop probiotics and food products that increase cows' milk output-Stronger environmental regulations-Increase in energy costs - Increase in cost of transitioning from plastic-Switch to biomass plastic for containers and packaging- Increased ratio of low-carbon energy- Increase in fuel and electricity costs-Develop energy-efficient manufacturing for cosmetics, heatless manufacturing for certain products, etc.*Energy crops: Agricultural products grown as a raw material for bio fuel, such as grains and sugar cane. Demand for energy crops could potentially result in less grain available for dairy cow feed, creating problems in procuring powdered milk created from raw cow milk.
*Energy crops: Agricultural products grown as a raw material for bio fuel, such as grains and sugar cane. Demand for energy crops could potentially result in less grain available for dairy cow feed, creating problems in procuring powdered milk created from raw cow milk.
4ºC scenario
4ºC scenario images
Main phenomena.RisksOpportunities-Extreme rise in temperatures-Difficulty in procuring raw materials (powdered skim milk) -Deterioration of workingenvironments for Yakult Ladies -Consumers go outside less -Outbreaks of infectious diseases illnesses among plants and animals-Shift to using non-dairy protein sources created from low-priced agricultural products with a stable supply (soy, insects, etc.) -Use safe and reliable delivery independent of human workers -Develop beneficial bacteria that help prevent new pathogens-Flooding and torrential rain - Increased water stressSuspension of procurement, production, distribution and sales activities-Develop sustainable manufacturing and management methods with low water consumption
Understanding Water Risk
The majority of water resources on the Earth are actually oceans, with freshwater making up only 2.5% of water on the planet. Freshwater that humans can access in rivers, lakes and shallow underground areas is no more than 0.01% of that. This precious resource is not distributed equally among all areas, and certain infrastructure is also necessary to make use of it, meaning that there are many regions in places such as the Middle East, Africa and Asia that struggle with a lack of water.
While demand for water is expected to rise on a global scale due to population growth and other factors, in many places safe and clean water infrastructure does not yet exist, and more than 2.2 billion people around the world have no access to a secure supply of drinking water. Water-related issues such as these are thus a serious problem throughout the world.
As a company that operates globally, we at the Yakult Group are conducting water risk surveys at production bases in order to understand more about sustainable methods of water use, and the impact of our business activities on local communities and ecosystems.
At each base, we will investigate appropriate responses to water risks and formulate a water management plan that addresses such issues in each region, while promoting water resource conservation and sustainable water use.
While demand for water is expected to rise on a global scale due to population growth and other factors, in many places safe and clean water infrastructure does not yet exist, and more than 2.2 billion people around the world have no access to a secure supply of drinking water. Water-related issues such as these are thus a serious problem throughout the world.
As a company that operates globally, we at the Yakult Group are conducting water risk surveys at production bases in order to understand more about sustainable methods of water use, and the impact of our business activities on local communities and ecosystems.
At each base, we will investigate appropriate responses to water risks and formulate a water management plan that addresses such issues in each region, while promoting water resource conservation and sustainable water use.
Water risk evaluation in areas with production bases (fiscal 2020)
Water risk evaluation in areas with production bases images
Water risk evaluation in areas with production bases (fiscal 2020)No. of production basesExtremely highHighYakult plants (in Japan)12Yakult plants (outside Japan)28Supplier plants3723577Total4124587Aqueduct water risk evaluation (Future projections/2040/pessimistic)of the 412 bases evaluated, 132 (approx. 30%) are located in areas found to have“extremely high” or “high” water stress