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|Coca-Cola and eight other companies have set up an alliance to drive the local circular economy|
As one of the early investors in Vietnam, Coca-Cola Company has so far injected nearly $1 billion into the market and become the leading American company in Vietnam’s beverage sector. Coca-Cola has not only been active in investment activities, but also makes substantial contributions to sustainable development in Vietnam. Most recently, Coca-Cola joined forces with eight leading companies in the consumer goods and packaging sector including FrieslandCampina, La Vie, Nestlé Vietnam, NutiFood, Suntory PepsiCo Vietnam, Tetra Pak Vietnam, TH Group, and URC Vietnam to launch the Packaging Recycling Organization Vietnam (PRO Vietnam).
The alliance of nine members aims to contribute to a clean, green, and beautiful Vietnam by driving the circular economy and making the recycling of packaging more accessible and sustainable. It is an important pillar in the 3R rule of reduce, reuse, and recycle.
According to Pham Phu Ngoc Trai, chairman of PRO Vietnam, the founding members unite towards the shared ambition that by 2030, all packaging material put into the market by its members shall be collected for recycling.
The active participation within PRO Vietnam is part of Coca-Cola’s board strategy for sustainable development in Vietnam. According to Le Tu Cam Ly, legal and public affairs director of Coca-Cola Indochina, Vietnam is not only a potential market for the group, but also a key and trusted partner for Coca-Cola’s development in the regional and global markets.
Thus, the company’s business decisions are made based on the benefits of consumers and requirements of the market. Coca-Cola embraces sustainable development based on the core value of “global brand, local stand”.
Besides, Coca-Cola focuses on product innovations to provide quality drinks fully meeting consumers’ demands and lifestyle. In 2018, it launched its very first ready-to-drink coffee product Georgia Coffee Max using 100 per cent robusta coffee sourced from Vietnam’s Central Highlands region. The new product is a testament to Coca-Cola’s deep understanding of consumers’ taste and habit that brings to life a product of international brand made-to-order for Vietnamese people. In April, Coca-Cola Vietnam also unveiled new smart nutrition solutions with three brand new Nutriboost UHT milk products featuring Fonterra’s New Zealand dairy.
Moving forward, Coca-Cola will continue to provide a diversity of quality beverage products, including less-sugar and zero-sugar product lines, while diversifying packaging and expanding business coverage. With regards to manufacturing, Coca-Cola has been supporting enterprises in developing local capabilities to engage more deeply into the global value chain. Up to 80 per cent of the company’s suppliers are now Vietnamese firms, accounting for 70 per cent of cost of goods sold from local supply.
Coca-Cola is also developing a smart factory model and continues to be the pioneer in integrating IT into operations management, green energy usage, manufacturing automation, development of local talent, world-class quality, and environment responsibility.
Coca-Cola is also in partnership with non-governmental organisations and local governments is deploying community programmes providing access to clean water, support female empowerment, and promote plastic waste management to bring about positive changes for Vietnamese people. The flagship programme EKOCENTERs has been developed nationwide with 11 units by the end of 2018, integrating Coca-Cola’s sustainability priorities of water, women, wellbeing, and plastic waste management.
As of present, Coca-Cola has created up to 4,000 direct jobs and 6-10 times that number in indirect jobs through the company’s value chain. Coca-Cola always makes the most of all available materials and human resources in Vietnam.
Coca-Cola’s enduring efforts and contributions in Vietnam have been fully recognised in the sustainable business ranking over the past few years. This once again demonstrates the company’s long-term and consistent commitment in creating shared values for the country through successful business operation as well as sustainability projects that benefit the local community.