Sustainability at Swedish Match
Our overarching goal in our sustainability efforts is to have positive contributions toward the environment and society at large while also ensuring Swedish Match’s long-term business success. Our vision of A world without cigarettes is central to our sustainability strategy and how we contribute to making the world a better place.
- 5 years in a row MSCI rated Swedish Match as a sustainability leader within the sector.
- Swedish Match nicotine pouches are available in more than 20 countries.
- 100% of all significant suppliers1) of direct material have committed to the principles of Swedish Match Supplier Code of Conduct.
- 95% of our raw tobacco volumes included in STP or in Swedish Match’s due diligence program.
- 99% of our suppliers’ farmers have been monitored for child labor under STP.
- –7% C02e emissions per MSEK sales.
- –9% Scope 3 emissions reduction for our smokefree products through active engagement with our suppliers.
- 94% share of green electricity in Europe Division versus 83% in 2020.
1) A significant supplier of direct material is defined as a supplier with which Swedish Match has a significant level of spending. All suppliers of raw tobacco are included and each is viewed as an individual supplier per country. The suppliers have either signed our Supplier Code of Conduct or have their own Codes of Conduct and mechanisms which are broadly similar to our Supplier Code of Conduct.
Our goals and progress
Swedish Match Group focus areas
|Our goal is to eliminate cigarette use and tobacco related morbidity and mortality by offering smokers attractive and safer sources of nicotine for recreational use (such as Swedish snus and other nicotine containing products like ZYN).|
More information on focus area Improve public health
|Development and commercialization of nicotine harm reduction products that are attractive to cigarette users and dramatically safer sources of nicotine compared to cigarettes.||ZYN available in more than 120,000 stores in the US.|
US shipment volumes for ZYN increased by more than 50 percent.
Swedish Match nicotine pouches available in more than 20 countries.
Increased consumer uptake of smokefree tobacco or nicotine products correlates with reduced cigarette consumption.
Initiatives taken to implement nicotine pouch specific legislation in a number of EU countries, including Sweden.
|Increased consumer awareness and consumer reach of snus and nicotine pouches.|
|Factual and correct media and authority reporting on the difference in relative risks between cigarettes and smokefree tobacco and nicotine products, as well as increased consumer awareness.|
|Regulation that promotes consumer shifting from cigarettes to less harmful nicotine and tobacco products while also protecting vulnerable consumer groups.|
|At Swedish Match, we will take the necessary steps to ensure that ethical business practices are maintained within our own company and in our relationships with all outside parties.|
More information on focus area Ensure ethical business practices
|Ethical business practices fully embraced and integrated into our corporate culture.||100 percent of significant suppliers of direct materials have committed to the principles of Swedish Match Supplier Code of Conduct.|
All divisions have evaluated and updated their respective marketing policies to secure that these policies reflect marketing of all products within each division’s product portfolio and cover all manners and channels of marketing including social media and internet advertising.
|Zero level of incidents rooted in non-ethical business behavior.|
|Responsible marketing with 100 percent compliance with our policy to exclusively market to adult consumers.|
|Our goal is to limit our environment footprint while growing our business. We are committed to reducing our greenhouse gas (GHG) emissions and waste along our value chain from sourcing to our own operations and continuing through consumer use.|
More information on focus area Reduce environmental impact
|To reduce GHG emissions by 41 percent by 2030 and by 75 percent by 2050, with 2017 as the base year, in our whole value chain (Scopes 1, 2 and 3).||European operation is 94 percent fossil free.|
Important tobacco suppliers for our smokefree products have successfully implemented GHG reduction initiatives and consequently, following a third party verification, we have confirmed a lower emission factor.
Europe Division has completely eliminated non-recyclable black cans from production in Sweden and has begun the same process for our production of chew bags in Silkeborg (Denmark).
51 percent of paper used in packaging was made from recycled material.
Recycling of waste has increased by more than 30 percent.
US Division has reduced waste to landfill by more than 80 percent by shifting to incineration of waste for power.
|To reach our goal by 2030 and 2050, we are committed to reducing GHG emissions by 5 percent per year.|
|To reduce total waste per unit of sales and to keep hazardous waste at the absolute minimum.|
|To drive effective efforts to prevent post-consumer waste.|
|Our goal is the elimination of child labor and other human rights violations in the Company’s supply chain.|
More information on focus area Human rights in our supply chain
|Robust systems to identify, prevent and mitigate child labor and any other human rights related issues in our entire supply chain.||95 percent of our raw tobacco volumes included in STP or in Swedish Match’s due diligence program.|
Suppliers’ self-assessments for 2021 were completed and verified in the STP platform by the STP Secretariat.
99 percent of our suppliers’ farmers under STP have been monitored for child labor.
|100 percent child labor free tobacco.|
|100 percent of our raw tobacco suppliers covered by STP or Swedish Match’s due diligence program.|
|Our continuing objective is to be a truly open and inclusive employer. In this environment, with zero tolerance for discrimination, all employees have equal opportunity to achieve their full potential – resulting in a more diverse workplace.|
More information on focus area Equal opportunity
|No employees should feel that they are, or could be, the subject of discrimination at the workplace.||Continued strong Group-wide focus on ensuring diversity among applicants and final candidates in order to find the best candidates.|
A Women’s Resource Network established within Field Sales, US Division – a mentoring initiative for female personnel led by top female Field Sales employees.
The Diversity and Inclusion team in Richmond, US Division, completed training and certification and will roll out the division’s diversity vision statement and business case complemented with internal communication channels dedicated to diversity and inclusion.
|To have at least 40 percent of each gender in senior management1).|
|To increase diversity in cultural backgrounds.|
|1) Defined as participants in the Company’s Long-Term Incentive (LTI) plan.|