Fico-YTL: Pioneer cement manufacturer from Vietnam practicing ESG!

Sustainable development is considered a new movement that is a focal point of many countries' development policies. In this regard, the use of ESG (environmental, social, and governance) standards to assess issues connected to sustainable development and the impact of business on the community has increasingly become a critical business activity toward the circular economy.

Vietnamese enterprises study and implement the same as other countries ' strategies and practice ESG, especially those carrying out international trade activities and participating in global supply chains in recent years.

In fact, the cement business has the most significant environmental impact on the construction materials sector. Furthermore, the obstacle that makes it challenging to adopt ESG is the requirement for more sustainable thinking from the ground up, which is represented in the cement industry's supply. Vietnam has yet to have a particular strategy for ESG reporting in order to progress toward sustainable development.

Fico-YTL products are always focused on sustainable value.

Tay Ninh, Vietnam Cement Company (Fico-YTL), has achieved many positive results as the ESG market leader. Mr. Nguyen Cong Bao, Managing Director of Fico-YTL, said that the products of the company reached the highest grades of the Singapore Green Building Council's "Green Label."
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ESG practice is an essential path for all, especially for the Vietnam Cement industry. These are investments in the future of business, in saving ourselves to adapt to the global "green" rules. As a result, Fico-YTL, Vietnam, has launched a series of operational improvement projects aimed at increasing energy efficiency and increasing the use of CO2 alternative fuel. At the same time, invest in initiatives to remove knots, upgrade equipment, and process improvements to reduce heat consumption in clinker production.

Thus, the clinker ratio in Fico-YTL cement produced in the fiscal year 2023 is 55.6% lower than the target of 65% in Prime Minister's Decision 1266/QD-TTg approving the Vietnam Construction Materials Development Strategy for the period 2021-2030, oriented towards 2050. Remarkably, in 2023, 246,000 tons of industrial waste (fly ash and slag) have been used as substitutes for cement production. In addition, Fico-YTL's average CO2 emissions per ton of cement products are also reduced to 490 kilograms of CO2/ton of cement material.

Mr. Nguyen Cong Bao shared that the implementation of the ESG standard set helps the enterprise to remain stable. When the ESG is implemented well, the enterprise will hold on and attract talent. In multiplication, enterprises are assessed by the government when they have a sustainable development strategy.

Tay Ninh, Vietnam Fico Cement Company, has also released the first sustainability report of the enterprise. This is the first year that Fico-YTL has applied the ESG model to report to provide up-to-date information on Fico-YTL's sustainability operations and a detailed view of the performance of the business under the four-pillar structure of the sustainability strategy. With its target of carbon neutrality by 2050, Fico-YTL will continue to strengthen its sustainable business.

Source: Ximang.vn