IFFCO allocates AED 77 million for a more sustainable future
IFFCO, one of UAE’s leading FMCG companies, has allocated AED 77 million to sustainability initiatives over two years, with ten programmes comprising 156 projects in the pipeline. The company has identified six crucial areas in which it aims to make tangible efforts to boost its environmental performance – climate change, energy management, water management, forests, circular economy, and biodiversity.
To contribute to the global fight against climate change, IFFCO has set a goal to reduce greenhouse gas (GHG) emissions in its own operations and energy consumption by 17 percent by 2025. The company has analysed its corporate footprint, determining hotspots and key measures to be taken.
Shiraz Allana, Supervisory Board Member at IFFCO, said it’s the company’s vision is to become the preferred provider of sustainable value-added products and services for everyone, everywhere and every day. He added, “We have adopted a holistic approach to sustainability. This means considering the impacts and opportunities at every stage of the value chain – from raw material sourcing to product disposal – and continuously improving our practices to reduce business impact on the environment, optimise the use of natural resources and enhance quality of life.”
IFFCO is pursuing a 4.8 percent reduction in GHG emissions and 3.7 percent due to renewable energy initiatives between 2021 and 2025. Solar panels are in the pipeline for 11 out of 26 business units in scope, with five units already generating electricity from solar power. Three energy efficiency projects in the UAE, are ongoing in partnership with Siemens. In Ghana, the company is piloting an innovative solution to generate energy from responsibly sourced biomass, which will help reduce GHG emissions by a minimum of 70% compared to conventional fuels.
As part of its Zero Deforestation ambition, IFFCO has achieved 100 percent traceability to mill (TTM) and 85 percent traceability to plantation (TTP) for palm oil products. The company has completed a satellite monitoring project to detect deforestation and peat drainage risks for 40 percent of its palm supply base with a GPS point radius of 15 km, spanning 6 million hectares. This forms the basis for the next steps in its supplier engagement roadmap. IFFCO aims to cover the remaining 60% in the near future.
As the first step in limiting the impact of its operations on biodiversity, IFFCO is piloting a programme at its olive oil plantation and will be using the learnings gained from them to inform its future projects in this important area.
The company is also working to reduce waste generation and introduce packaging with a reduced environmental impact.
IFFCO continues its efforts to integrate sustainable practices across its operations and products, leveraging advanced technology and innovation to enhance its environmental performance.