Malaysian frozen food manufacturer Kawan Food Berhad (KL:KAWAN) has achieved significant environmental milestones through its sustainability initiatives, with a reported reduction of 1,649 tonnes in carbon dioxide emissions through energy efficiency measures and renewable energy utilization.
The company’s environmental performance contributed to its recent silver award at The Edge Malaysia ESG Awards 2024 in the category of most improved ESG performance over three years for companies with market capitalization between Malaysian Ringgit (MYR) 800 million and MYR 5 billion.
Kawan Food: Sustainability targets and framework
According to Kawan Food’s 2023 annual report, the company has successfully decreased both greenhouse gas emissions and intensity. Looking ahead to financial year 2024, the organization plans to establish measurable targets and key performance indicators to enhance emissions management.
The company’s sustainability efforts are guided by its Sustainability Strategy Framework 2021-2030. “Since embarking on our sustainability journey in 2021, the results of our actions are [now] becoming evident, alongside our guiding principles that inspire us to set a long-term direction for our actions,” said Kawan Food marketing director Gan Ka Bien.
In December 2023, Kawan Food was included in both the FTSE4Good Bursa Malaysia Index and FTSE4Good Bursa Malaysia Shariah Index, reflecting its environmental, social, and governance (ESG) progress.
Data-driven environmental monitoring
To strengthen its environmental monitoring capabilities, Kawan Food is investing in a new system to collect and centralize greenhouse gas emissions and sustainability data in real time. This technology will enable more informed decision-making across the organization regarding ESG considerations.
Gan acknowledged that data management has been a significant challenge in monitoring and improving ESG performance. “As big data becomes more prevalent, we will need advanced data and analytics capabilities to capture new data sources needed to respond to the ESG challenge,” she explained.
Future collaboration for sustainability
Looking toward future sustainability improvements, Gan emphasized the importance of collaborative efforts and standardized regulations. “It is crucial for governments operating at the local, regional, national and global levels to cooperate on setting consistent policies and standards that enable organisations to meet their own ESG goals,” she notes.
The company advocates for increased industry collaboration and data sharing to advance sustainability goals. Additionally, Gan highlighted the need for greater consumer awareness about sustainability factors in purchasing decisions, beyond price considerations alone.
