Vinamilk Announces "Pathways to Dairy Net Zero 2050" and the First Carbon-Neutral Factory and Farm in Vietnam

HO CHI MINH CITY,Vietnam,June 22,2023 -- Vinamilk marks a significant milestone in its pioneering journey toward sustainable development by mapping out its Pathways to Dairy Net Zero 2050,which seeks to reduce its environmental impact while bolstering sustainability efforts throughout the company's entire value chain.

Vinamilk is the first local dairy producer to publicly announce its pledge to carbon neutrality and Net Zero following the Vietnamese Government's commitment to achieving net-zero emissions by 2050,made by Prime Minister at the COP26 in 2021.

The leading dairy brand identified its sustainability focus in four fundamental pillars: sustainable agriculture,green production,environmentally friendly logistics,and sustainable consumption. Furthermore,the company strives to reduce its greenhouse gas emissions by 15% by 2027,55% by 2035,and reach net zero emissions by 2050.

Vinamilk announces “Pathways to Dairy Net Zero 2050”

Besidesdeclaring its Net Zero goal,Vinamilk takes pride in being the first dairy company in Vietnam (Source: Intage Vietnam) to obtain a carbon-neutrality certification from Bureau Veritas and BSI for its dairy factory and farm,located in Nghe An province,followingthe PAS 2060:2014 standards.

According to the published and verified report,the total greenhouse gas emissions of these two units that have been neutralized is 17,560 tons of CO2,equivalent to approximately 1.7 million trees. This is the result of a "dual action" approach involving efforts to reduce emissions in Vinamilk's production and livestock activities,while also maintaining the company's trees source to absorb greenhouse gases over the years.

Achieving greenhouse gas emission reductions and moving towards Net Zero in the dairy industry poses significant challenges,especially for large-scale dairy farms. It requires comprehensive investments in technology,transitioning to renewable energy,and applying circular economy practices. Vinamilk's accomplishments are noteworthy and serve as a significant motivation for the broader dairy sector's journey toward Net Zero - as assessed by Mr. Nguyen Viet Dung,General Director,Bureau Veritas Vietnam.

Vinamilk has long made substantial contributions toward enhancing the sustainability of Vietnam's dairy industry. Since 2012,Vinamilk has published its sustainability report which aligned with the GRI Standards and the United Nations' Sustainable Development Goals (SDGs) and recently included sustainable development as one of its strategic development goals from 2022 to 2026. It has utilized solar energy in 13 farms and 11 factories,pioneered the Green Farm model and successfully achieving the "1 Million Trees for Vietnam Fund" goal.

The first dairy company in Vietnam to obtain a carbon-neutrality certification

"Vinamilk recognizes that achieving "reducing,neutralizing,and eliminating greenhouse gas emissions to 0" is not merely an option but an inevitable journey. We must race against time and seize opportunities,unwavering in our pursuit of the Net Zero target by 2050,leaving no room for delay or deviation from our determined plans," expressed Mrs. Mai Kieu Lien,CEO ofVinamilk.

Vinamilk and the Ministry of Natural Resources and Environment kicked off the tree planting initiative working towards Net Zero 2023 – 2027 goals with a total budget of VND15 billion (USD630,000) in February 2023

As a supporter of the "Pathways to Dairy Net Zero" initiative and aligning with its ESG strategy,Vinamilk intends to launch more elaborate activities to achieve its sustainability goals such as boosting afforestation initiatives and strengthening international collaboration.

About Vinamilk

Vinamilk is the leading dairy company in Vietnam and the 36th largest dairy manufacturer,in terms of revenue. It manages 15 farms and 17 modern factories domestic and overseas.

For more information,please refer to Vinamilk's Sustainable development report and Sustainable news.