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  5. Promotion of CSR Procurement

Promotion of CSR Procurement

To provide safe, secure products and services, the Asahi Group promotes CSR procurement in accordance with laws, the Asahi Group Sustainable Procurement Principles and internal guidelines.

Supplier Water Risk Survey

Outline of Survey

A water risk survey identified the need to survey risks on site. Since 2017, the Asahi Group has interviewed suppliers about water risks when conducting quality audits.

Topic Questions
Risk of water shortage
  • In terms of percentage, how have your water bills changed in the last five years?
  • Does the water shortage pose an issue for the procurement of raw materials?
    If so, what action have you taken?
  • Does the water shortage pose an issue for the operation of your plant?
    If so, what action have you taken?

Survey Results

Quality audits were conducted at a total of 114 plants from 2017 to 2020, and the following responses were obtained.

  • Changes in water bills: Increased at 25 plants, have not changed at 25 plants, and decreased at 11 plants. Fifty-three plants did not respond.
    (Some of the plants which did not respond left explanatory comments saying, “No water is used in production processes” or “Well water is used”)
  • Issues with the procurement of raw materials, resultant from water shortage: 113 plants experienced no issues, one plant experienced issues.
    (The plant that experienced issues had in the past suffered crop failure involving its agricultural products as a result of a severe drought. Since then, it has prepared for such occurrences by securing multiple water sources on the producer side. Our procurement division scattered its supplier production locations as a way of responding to this risk.)
  • Issues in plant operation, resultant from water shortage: None of the 114 plants experienced issues.

Response Going Forward

If any water risk is clearly shown to exist, we will take appropriate measures in accordance with specifics of the risk and social circumstances.

Related Information

Supplier CSR Questionnaire

The Asahi Group conducts its Supplier CSR Questionnaire to learn about the CSR initiatives taken by our suppliers and acts to address any issues that are identified.

Third-Party Certification of Raw Materials

Commitment to Sustainable Palm Oil

Asahi Group Holdings joined the Roundtable on Sustainable Palm Oil (RSPO) in December 2016 and became a full member of this group in July 2019 with the aim of being able to take environmental, human rights and other issues into account when procuring palm oil.
In addition, from 2019, we have been purchasing certified credits under the Book and Claim certification method for some of the palm oil procured by the Group, and Asahi Group Foods plans to purchase certified credits for 25% of its total palm oil procurement in 2021. We will continue our efforts to procure sustainable palm oil in accordance with the Asahi Group Sustainable Procurement Principles.

Sustainable Procurement of Paper

In January 2021, Asahi Group Holdings, Ltd. acquired a forest certification (FSC® CoC) for its use of cardboard. This is a certification of sustainable forest management. There are two categories of forest certification: FM (forest management) and CoC (chain of custody). The former certifies forest management while the latter certifies the processing and distribution of forest products produced by a certified forest. Asahi Group Holdings, Ltd., Asahi Breweries, Ltd., Asahi Soft Drinks Co., Ltd. and Asahi Group Foods, Ltd. have partnered with each other to acquire a group certification. In the future, more paper-based products will be certified.


Preventing Abuse of Superior Bargaining Position

In order not to take advantage of our superior position in business over others, the Asahi Group takes meticulous care not to unfairly act in a manner that corresponds to the items listed below in the context of normal business habits.

Article 2 Paragraph 9 Item v of the Antimonopoly Act

Causing the counterparty in continuous transactions (including a party with whom one newly intends to engage in continuous transactions; the same applies in (b) below) to purchase goods or services other than those to which the relevant transactions pertain;
Causing the counterparty in continuous transactions to provide money, services or other economic benefits;
Refusing to receive goods in transactions with the counterparty, causing the counterparty to take back such goods after receiving them from the counterparty, delaying payment to the counterparty or reducing the amount of payment, or otherwise establishing or changing trade terms or executing transactions in a way disadvantageous to the counterparty;

The Asahi Group is committed to full compliance with the Guidelines Concerning Abuse of Superior Bargaining Position under the Antimonopoly Act from the Japan Fair Trade Commission (updated June 16 2017).

Related Information

Procurement Clean Line System

The Asahi Group has a Procurement Clean Line System for its suppliers and parties who wish to transact with the Group. The Procurement Clean Line System enables our suppliers and their employees, or parties who may wish to become our suppliers to report incidents where employees of the Asahi Group act in a manner contrary to the Asahi Group Sustainable Procurement Principles, or when they are involved in activities that appear not to comply with the law or social ethics. The system helps the Asahi Group build solid relationships with suppliers based on trust and long-term cooperation. In 2020, no incidents were reported under this system.

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