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Asda launches first ESG report

Asda has published its first Environmental, Social and Governance (ESG) report which sets out its commitments to a sustainable business strategy and outlines how the supermarket will make it easier and affordable for customers to shop sustainably.

In launching its first report, Asda is recognising the growing importance of ESG issues to customers, investors, suppliers and the communities it serves. It brings together existing and new commitments and builds on the group’s current ‘Create Change for Better’ programme.

The report has been produced following extensive research with more than 3000 customers to understand which ESG related issues matter most to them. This showed that affordable greener choices, reducing single use plastic and cutting food waste were the top three priorities for customers.

To help customers shop more sustainably, Asda has reaffirmed its ‘Greener at Asda’ price promise – a commitment that loose and unwrapped products will not cost more than packaged equivalents.

The ESG report sets out a number of Asda’s future facing commitments including:

  • Making it affordable for customers to shop sustainably through the ‘Greener at Asda Price’ promise.

  • Becoming a net zero carbon business by 2040 – a journey that includes reducing greenhouse gas emissions (Scope 1 and 2) by 50% by 2025.

  • Removing 3 billion pieces of plastic from products by 2025.

  • Ensuring the top 20 commodities such as cotton and cocoa are all sustainably sourced by 2025.

  • Cutting food waste by 20% by 2025 as part of the Courtauld commitment.

  • Delivering 120 million meals by the end of this year through its Fight Hunger programme (2018-2021) to communities across the UK.

  • Increasing the proportion of own brand products that are low in fat, sugar and salt, to 60% by 2024.

Roger Burnley, Asda CEO and president, said: ‘Asda has always been a retailer that sits at the heart of the communities it serves and the events of the last 12 months have highlighted the important role we play in helping to tackle societal challenges.

‘Despite the challenges of the pandemic, we have not lost sight of our wider ESG responsibilities and this report provides an update of where Asda is now on the issues that matter most to our colleagues, customers and communities and importantly where we want to be in the future. It builds upon our existing create change for better commitments and the resilience we have shown during the last 12 months means we are well positioned to help customers make greener, healthier and responsible choices when they shop with us.’

As part of its strategy to provide customers with sustainable choices, Asda recently announced the extension of its partnership with Preloved Vintage Kilo to sell pre-worn clothes in 50 stores across the UK. The move will reduce textiles waste by preventing thousands of tonnes of clothing from going to landfill each year.

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