San Miguel Food and Beverage

No leading practices were identified in the governance and strategy area.

GHG emissions
The company reduces its scope 1 and 2 greenhouse gas emissions.

Key areas and species
The company discloses the locations that are in or adjacent to areas important for biodiversity within its own operations.

Solid and air pollution
The company is reducing the production of hazardous waste. It also reports regularly on air quality parameters of emissions of harmful air pollutants.

Water
The company reports a decrease in water pollution. The company demonstrates reducing water withdrawal in its own operations.

No leading practices were identified in the social inclusion and community impact area.

Act ethically
The company has a policy prohibiting bribery and corruption, and it includes anti-bribery and anti-corruption clauses in its contracts with business relationships. Furthermore, it discloses that it has a website, email and phone number, accessible to everyone to raise bribery and corruption concerns and complaints without fear of reprisals.

Provide and promote decent work
The company has a publicly available policy statement in which it commits to respecting the health and safety of workers and expects its business relationships to commit to respecting the health and safety of their workers. It also discloses the number of employees covered with collective bargaining agreements.

Respect human rights
The company has a publicly available policy statement committing it to respect human rights. Besides, it discloses that it has a website, email and phone number, accessible to everyone to raise complaints or concerns related to the company with an option to identify himself/herself or remain anonymous.

Lobbying
The company does not report on its lobbying and advocacy practices on nature-related issues, nor whether these activities align with its sustainability strategy.

Stakeholder engagement
The company does not disclose how it engages with stakeholders, nor the issues it raises during such activities.

Sustainability strategy and accountability
While the company states that it has a materiality assessment, it has an opportunity to disclose its process for identifying and prioritising its most relevant sustainability topics and impacts, including the outcome of the process. Also, the company discloses some sustainability objectives/targets including water. However, there is an opportunity to establish group-wide targets for the most material parts of its value chain and report consistently against all its targets. Furthermore, the company does not report on sustainability accountability within its governance structure.

Ecosystem conversion and restoration
No evidence was found regarding the company’s efforts to avoid ecosystem conversion, including deforestation, or promote restoration. The company has an opportunity to develop a strategy and publicly report on specific, time-bound targets.

GHG emissions
The company should set time-bound targets to reduce its scope 1, 2 and 3 greenhouse gas emissions as well as report progress against them. Crucially, the company needs to reduce its scope 3 emissions and all its scope 1, 2 and 3 targets need to align with a 1.5-degree trajectory.

Impact and dependencies assessment
The company has an opportunity to disclose assessments of its impacts on nature, including biodiversity, within its own operations and in its supply chain. It also has the opportunity to disclose its dependencies on nature within its own operations and upstream business relationships.

Invasive species
The company has not identified any activities that could lead to the introduction of invasive alien species in its own operations.

Key areas and species
While the company has highlighted the number of species as per the IUCN Red List in its 2022 Sustainability Report, there’s an opportunity to provide specifics on the names of these species in proximity to its operations. Further, transparency can be enhanced by detailing supplier locations near biodiversity significant areas and disclosing species populations adjacent to supplier locations. Providing conservation statuses of species as per both national and international guidelines would also strengthen their disclosures.

Resource exploitation and circularity performance
The company has an opportunity to disclose all its inputs according to an international standard.The company does not report quantitatively on its group-wide circularity performance. The company has an opportunity to disclose activities to improve soil health or agrobiodiversity in its production or sourcing practices. The company has an opportunity to disclose a target to improve soil health in its production or sourcing practices and report progress against it.

Solid and air pollution
The company should commit to avoid developing or marketing new chemicals or products with SVHC (substance of very high concern) properties, as well as work on reducing the production of hazardous substances. It has an opportunity to set and disclose time-bound targets to reduce air pollutants across the most material parts of its value chain. The company could also provide quantitative evidence regarding plastic use reduction and use of sustainable packaging, including the amount of plastic waste generated and proportions directed from or to disposal.

Water
The company has an opportunity to further improve water withdrawal by setting time-bound targets, disclosing withdrawals in water stressed areas, and engaging with suppliers. The company does not disclose water pollutant metrics, nor disclose targets against. The company does not disclose a commitment to respect the right to water. The company does not disclose its processes for implementing preventive and corrective action plans for identified specific risks to the right to water and sanitation in its own operations.

Indigenous Peoples’ and land rights
The company does not show if it is committed to respecting Indigenous Peoples’ rights or land rights of local communities.

Safe, clean, healthy and sustainable environment
The company has an opportunity to commit to respecting local communities’ right to a safe, clean, healthy and sustainable environment, and to zero tolerance for acts of violence, threats, intimidation or judicial harassment committed against land and environmental rights defenders. Moreover, it should track its actual or potential negative impacts on the health of local communities.

Act ethically
The company has the potential to outline its methodology for identifying bribery and corruption risks and their impacts in specific areas or activities, particularly focusing on its own operations. It could also establish a policy that lays out its approach to lobbying and political engagement, enhancing transparency and accountability. To reinforce its commitment, the company could release a publicly available policy statement confirming its non-participation in political contributions.

Furthermore, disclosing its expenditures related to lobbying activities would enhance transparency. Lastly, the company could assert that third-party lobbyists are required to adhere to its established lobbying and political engagement policy, reinforcing ethical standards.

Provide and promote decent work
The company could disclose its approach to monitoring the health and safety performance of its suppliers. While the company currently pays its employees minimum wage, it has the chance to demonstrate a stronger commitment by establishing a time-bound goal to achieve a living wage. Moreover, disclosing the methodology used to determine living wages in different regions would add clarity. To reinforce its stance on fair compensation, the company could consider extending its supplier expectations to include a requirement for them to pay a living wage and outlining how it facilitates such payments.

While the company acknowledges gender equality and women’s empowerment, formalizing these principles within a dedicated public policy document would underscore its commitment. Furthermore, unveiling time-bound targets for gender equality and women’s empowerment would showcase the company’s proactive efforts. Disclosing a minimum of 30% female representation on the highest governing body would signal dedication to gender diversity. Lastly, revealing the gender-based ratio of basic salary and remuneration within its total direct operations workforce.

Respect human rights
The company’s existing policy statement commits to specific workers’ rights, but there’s an opportunity to broaden this commitment by referencing all ILO fundamental rights at work. Additionally, the company could strengthen its supplier relationships by revealing a policy statement that mandates adherence to ILO-declared fundamental rights at work.

The company also has room to describe its methodology for identifying human rights risks and impacts in specific locations or activities, both within its own operations and across its supply chain. Furthermore, sharing its process for assessing and identifying significant human rights concerns would enhance transparency. Disclosing the outcomes of its human rights risk assessment and establishing a global framework to address, prevent, or mitigate these significant human rights issues would underscore the company’s commitment to responsible practices.