Waste Reduction

Sustainability
Management

Material ESG Issues

Environmentally Responsible
MONOZUKURI

Sustainability Areas

Priority Actions

Issue recognition

As the challenges arising from the depletion of natural resources, environmental pollution due to waste, and climate change become increasingly apparent, the transition from a conventional linear economy based on mass production, mass consumption, and mass disposal to a circular economy that utilizes resources in a sustainable manner has become an urgent global issue. Resource consumption and waste generation remain challenges, and companies are increasingly expected to make more effective and higher-value use of resources while reducing waste.
The Fuji Oil Group has incorporated the concept of upcycling into our technological development since our founding, starting with our soy protein business using soybeans as a raw material, and has been working to achieve effective resource use and value creation. We also recognize challenges such as sludge in factory wastewater and spent bleaching earth (SBE) generated in oils and fats refining processes, food loss resulting from the manufacturing stage, and food waste from disposal of products after their expiration dates.
For the Fuji Oil Group, whose mission is to develop the potential of food ingredients and contribute to people’s happiness and well-being by offering delicious and healthy food, using resources efficiently and minimizing waste are the key themes fundamental to its business. We therefore regard waste reduction as an important priority, both for our business and as part of our response to biodiversity loss and climate change.

Metrics and targetsGRI: 306-2,306-3

FY2030 targets*1 FY2025 results*1 Progress on
FY2030 targets
10% reduction in waste intensity*2 (All Group companies*3) 23.4% reduction 234%
Maintain a recycling rate of at least 99.8% (All Group companies in Japan) 99.83% 100%

: At least 90% complete, : At least 60% complete, : Less than 60% complete

FY2025 Goals FY2025 Results Self-assessment
Broadly deploy successful examples of waste reduction efforts
  • Implemented internal awareness-raising through environmental audits at four Group companies outside Japan
  • Rolled out case studies of improvements related to waste reduction among Group companies
Work to continuously reduce waste volume and waste intensity by implementing the Plan-Do-Check-Act (PDCA) cycle through environmental audits and other measures Used environmental audits to review environmental management practices and legal compliance, and shared information on current management standards and improvement needs. As the first step toward helping develop and implement improvement plans, the Group began by providing support for the “Plan” stage of the PDCA cycle.

Analysis

Waste intensity in FY2025 was 23.4% lower than the base year (FY2016), an improvement of 0.5 percentage points from the previous fiscal year’s 22.9% reduction. This represents a 234% achievement rate, compared to our target for FY2030.
At Group companies in Japan, the resource recycling rate in FY2025 was 99.83%, a deterioration of 0.01 percentage point from the previous fiscal year’s 99.84%, but achieved the target recycling rate of 99.8% and more. Going forward, we will promote recycling by sorting waste more thoroughly.
Through the environmental data collection systems we also collected and analyzed waste-related data in a timely manner at each company, in order to further improve waste reduction awareness at the company level.

Figure: Annual waste generation and waste intensity

Image links to a PDF file(382KB)

Figure: Annual waste generation and recycling rate at Fuji Oil Group companies in Japan

Image links to a PDF file(672KB)

Next steps

As a natural consequence of the characteristics of our business, sludge and SBE account for a large share of the waste we generate, and reducing these types of waste is a challenge. In recent years, these wastes are being increasingly viewed as sources of bioenergy, and their use in clean energy creation has grown. As we explore ways to recycle and effectively use waste, we will work on the following goals for FY2026:

  • Greater emphasis on on-site environmental audits
    While making appropriate use of online audit methods, we will prioritize on-site audits wherever possible. Directly reviewing equipment conditions and actual operating practices at each site will enable us to identify and correct issues more accurately, follow the Plan-Do-Check-Act (PDCA) cycle effectively, and continually reduce waste volume and intensity.
  • Monitor waste-reduction progress at Group companies.
  • Share successful initiatives from other sites using internal information-sharing tools.

Specific initiativesGRI: 306-2

Waste reduction initiatives

Our Group’s Environmental Division conducts environmental audits at our manufacturing sites. In relation to waste reduction, the auditors review systems for managing waste by type, including segregation and disposal methods. They also verify compliance with applicable waste-management laws and regulations. They assess whether environmental and legal risks associated with increased waste generation or improper disposal are reduced effectively, and corrective measures are implemented appropriately. During on-site inspections, auditors review waste storage and segregation practices and check for any improper handling in order to reduce environmental impacts or the risk of regulatory noncompliance. In FY2025, we conducted audits at four Group companies outside Japan. Although several minor areas for improvement were identified, we confirmed the sites were generally operating appropriately. Going forward, we will make further improvements systematically.
In FY2025, we carried out the following initiatives to reduce waste.

Table: Examples of FY2025 waste reduction initiatives

Country Site Specific initiatives
Indonesia PT. Freyabadi Indotama
  • Reduced product spillage and disposal
  • Replaced cardboard boxes with reusable containers to promote resource circulation
  • Reused packaging materials after quality checks
China Fuji Oil (Zhang Jia Gang) Co., Ltd. Reduced sludge generation by installing an emulsion separation system in the wastewater treatment process
Malaysia Palmaju Edible Oil Sdn. Bhd. Reduced SBE by optimizing bleaching earth use
Singapore Fuji Oil (Singapore) Pte. Ltd. Shifted SBE from landfill disposal to recycling, reducing waste generation
Japan Kanto Plant, Chiba Plant
  • Reduced sludge generation by revising the wastewater sludge treatment cycle
  • Reduced waste by recovering waste oil as a valuable resource
  • Reduced SBE by optimizing the amount of bleaching earth added
Belgium Fuji Oil Europe As in the previous fiscal year, supplied all SBE to a methane producer as ISCC EU-certified* biofuel for use in biogas power generation
China Blommer Chocolate Manufacturing (Shanghai) Company Ltd. Recycled cocoa bean ash
  • * ISCC EU certification by the International Sustainability and Carbon Certification (ISCC) is a global certification system for certifying businesses and organizations that manufacture products using sustainable raw materials such as biomass and recycled products.

Waste recycling initiatives

Although total waste generation has declined, reducing the amount sent to landfill remains a challenge. We will continue to strengthen waste segregation and shift more waste toward recycling and resource recovery to improve its recycling rate.

Reducing food loss in manufacturing processes

Referencing definitions of food loss and waste from the Food and Agriculture Organization of the United Nations and each country and region, we have created our own definition that suits our business structure, which has been used to monitor food loss and waste since FY2023.

In FY2025, we carried out the following initiatives to reduce food loss.

  • Reduced product disposal losses through rigorous quality control
  • Reduced waste by minimizing product spillage on production lines
  • Reduced waste from product inspections and discarded intermediate product

The Fuji Oil Group definition of food loss and waste

Items that were produced or processed for human consumption but no longer have a purpose as food (including as animal feed).