Product carbon footprint

Risk Management

Extent of product carbon footprint assessments

We have carbon emissions assesments on the use of sold product and end-of-life treatment of sold products.

Assessment of energy consumption and/or carbon emissions of suppliers

In 2022, we began using CDP Supply Chain as a means to engage suppliers and encourage the disclosure of their emissions, as well as other topics such as climate risks and governance. In 2023, we worked very closely with our suppliers, actively engaging them in this initiative. Consequently, we achieved a highly satisfactory response rate.

In addition, we have developed an internal climate change questionnaire and have encouraged all of our suppliers
to respond in order to enhance our GHG inventory, identify opportunities for joint projects, and take action to reduce emissions.

We also strive to support and engage our Private Label suppliers in the pursuit of a low-carbon economy.

Energy consumption or carbon emissions assessment of transportation and logistics

We evaluate energy consumption and carbon emissions in transport and logistics processes, as described in indicators 302-1, 305-1 and 305-3.

Energy consumption or carbon emissions assessment of distribution and store operations

We evaluate energy consumption and carbon emissions of distribution and store operations, as described in indicators 302-1, 305-1 and 305-3.

Extent of energy consumption or carbon emissions reduction programs in manufacturing operations (including suppliers)

In 2022, we began using CDP Supply Chain as a means to engage suppliers and encourage the disclosure of their emissions, as well as other topics such as climate risks and governance. In 2023, we worked very closely with our suppliers, actively engaging them in this initiative. Consequently, we achieved a highly satisfactory response rate.

In addition, we have developed an internal climate change questionnaire and have encouraged all of our suppliers
to respond in order to enhance our GHG inventory, identify opportunities for joint projects, and take action to reduce emissions.

We also strive to support and engage our Private Label suppliers in the pursuit of a low-carbon economy.

Extent of energy consumption or carbon emissions reduction programs in transportation and logistics

Since 2021, we have been making progress in the use of electric trucks for B2B deliveries, i.e. the route from Distribution Centers to pharmacies. In addition, part of the fleet has switched to using S10 diesel, a less carbonintensive fuel.

In 2023, we focused on strengthening partnerships with last-mile delivery companies to increase the use of electric motorcycles, bicycles, and tuk-tuks. We also implemented a cargo optimization project for trucks that make deliveries between DCs and pharmacies, maximizing vehicle occupancy by 20% and reducing the number of trucks required for deliveries. Additionally, we continued to reap the benefits of the driver training conducted with Fabet in 2022. The goal was to improve the driving skills of our professionals, aiming for better performance and defensive driving, which resulted in a reduction in diesel consumption.

We also have increased our renewable energy usage from 45% to 72% across our operations. This progress is a result of our efforts to connect more pharmacies to distributed generation plants. Our goal is to ensure that 100% of our energy consumption comes from renewable sources by 2030.

Extent of energy consumption or carbon emissions reduction programs in distribution centers or store operations

We reached 72% of the operation supplied with renewable energy. In addtion, we have a target of reaching 100% of the operation by 2030.