BAT VIETNAM TO PROTECT ENVIRONMENT AND CREATE POSITIVE SOCIAL VALUE THROUGH NATURE-BASED SOLUTIONS

Nature-based Solutions (NbS) are defined by International Union for Conservation of Nature (IUCN) as actions to protect, sustainably manage and restore natural or modified ecosystems, which address societal challenges effectively and adaptively, while simultaneously providing human well-being and biodiversity benefits.

Some environmental and social issues that can be addressed by Nature-based Solutions include climate change mitigation and adaptation, water security and food security, and disaster risk reduction. The Climate Action Summit by United Nations in 2019 featured Nature-based Solutions as an effective method to tackle climate change.

Today, many businesses are also actively applying Nature-based Solutions to minimize their impacts on the environment, promote natural recovery and protection, as well as create positive social value. Those efforts aim for the goal of sustainable development.

At the 7th Training program for media agencies on sustainable development organized by the Vietnam Business Council for Sustainable Development under the Vietnam Chamber of Commerce and Industry (VBCSD-VCCI) with the topic “Towards sustainable development and the Net Zero goal through Nature-based Solutions (NbS)”, many businesses have shared their strategies and typical initiatives in implementing NbS along with positive outcomes. In particular, Ms. Do Hoang Anh, Head of Corporate and Regulatory Affairs at Vietnam Cluster of British American Tobacco (BAT) shared about BAT Vietnam’s program to build sustainable material growing areas, and its activities to restore and protect biodiversity in Vietnam.

Vietnam Cluster Head of CORA to present at the training for media by VCCI-VBCSD

Protect, sustainably manage, and restore ecosystems

As a business strongly committed to sustainability in Vietnam, BAT Vietnam has focused on ensuring the balance between business development and environmental and social factors, especially sustainability in farming activities in its supply chain when BAT Vietnam’s production and business have a close relations to material growing areas.

Firstly, BAT Vietnam has closely coordinated with its suppliers and farmers in the supply chain to implement environmental management in harvesting and material processing activities through many practical initiatives, focusing on land and water resource management, responding to climate change, and conserving and protecting biodiversity and ecosystems.

Specifically, to manage land resource in farming activities, BAT Vietnam conducts soil sample analysis, thereby developing a suitable fertilizer regime to limit fertilizer loss, applying lime to improve the potential of Hydrogen (pH) of the soil to increase the efficiency of fertilizer use.

Regarding water resource management, BAT Vietnam has researched and tested the drip irrigation system since 2021 with the aim of saving water, limiting leaching and irrigation water loss. To date, the drip irrigation system has been applied on 1,748 hectares (accounting for nearly 90% of the area applied with irrigation methods), contributing to saving about 1,200 m3 of water per hectare - equivalent to about 25% of irrigation water saved in comparison with the traditional furrow irrigation method. The enterprise aims to reach 100% of the area applying with irrigation methods will apply the drip irrigation system by 2025.

Drip irrigation applied in BAT Vietnam’s leaf growing areas

BAT Vietnam has also implemented many Nature-based Solutions to cope with climate change. The company has closely coordinated with its suppliers in the supply chain to implement sustainably traceable curing fuels. At the same time, the semi-automatic loose leaf barns were deployed in 2021, and currently there are 150 loose leaf barns, helping to save about 33% of curing fuel compared to traditional manual curing barns. Moreover, BAT Vietnam also tests electric loose leaf barns with 3 barns powered by 100% electricity, not using wood fuel this year, which contributes to reducing CO2 emissions in Scope 3 and minimizing deforestation-related risks.

Loose leaf barns to help save curing fuel, contributing to CO2 reduction

In addition to efforts within its supply chain, BAT Vietnam has driven conservation and protection of biodiversity and ecosystems.

The business ensures the compliance with BAT Group’s new biodiversity operations standards, which includes regulations and instructions related to preventing deforestation and converting natural ecosystems, net positive impact on forests, sustainable curing fuel traceability, biodiversity management plan.

At the same time, BAT Vietnam has partnered with Gaia Nature Conservation Center to carry out a afforestation project through zoning 120 hectares of mangrove forests in Ca Mau Cape National Park – which is expected to witness nearly 450,000 mangrove trees growing up by 2030, and covering 4 hectares of forest with 2,000 trees in Dong Nai Cultural Nature Reserve. This afforestation program contributes to greenhouse gas emissions reduction, erosion prevention, biodiversity enhancement, and offering other practical benefits to the local communities who depend on the forests. This reflects BAT Vietnam’s effort to support BAT Group’s commitment to Carbon Neutral by 2030 and Net Zero by 2050.

Create positive social impact

Nature-based Solutions adopted by BAT Vietnam create positive social impact ​​through improving incomes and ensuring safety of farmers in its supply chain.

To improve farmer incomes, BAT Vietnam has implemented the Ripe Top project, focusing on producing properly ripe, high-quality leaves via applying technical practice, and care and fertilization. Farmers participating in this project will be able to sell their products at a 10% higher price per kilogram, thereby helping farmers increase their incomes. The project has been tested since 2022, contributing to increasing incomes for more than 120 people in Dak Lak and Gia Lai provinces.

Nature-based Solutions in leaf growing areas to help enhance farmer livelihoods

BAT Vietnam strictly adheres to zero child labor and zero forced labor in farming activities within its supply chain, ensuring the health and safety of farmers through providing labor protection equipment and requiring farmers to put on the equipment during pesticide spraying and leaf harvesting.

BAT Vietnam believes its environmental and social commitments and action will be the driving force for BAT Vietnam’s sustainable business and contribute to sustainable development of Vietnam in general.

There are many factors that lead to the success in building a sustainable material supply of a business. Those include specific goals, willingness to research and invest in building strategies, policies, long-term implementation, and effective governance.

In addition, we always believe that the success of sustainability activities, specifically building a sustainable material supply, requires the enterprise to have strong determination commitment which ensure all investments and efforts to be implemented in a long run and create a long-term positive and impactful value,” said Ms. Do Hoang Anh, Head of Corporate and Regulatory Affairs at BAT Vietnam Cluster.

 

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