China Mengniu Dairy Co Ltd

2319:HK KYG210961051
Key Information
HQ:
China
Market Cap:
$18.29bn
Primary Market:
Asia



Company Information

Company Summary

China Mengniu Dairy and its subsidiaries manufacture and distribute quality dairy products in China. It is one of the leading dairy product manufacturers in China, with MENGNIU as its core brand. Danone Group, which owns a 9.9% stake in Mengniu, is Mengniu's second largest strategic shareholder. Inner Mongolia Mengniu Danone Dairy Co Ltd ('Mengniu Danone') is a joint-equity company held 80% by Mengniu and 20% by Danone.
China Mengnui Dairy Co

Revenue

Total revenue:

$13.7bn

Revenue by Geography

Revenue by Protein

Revenue by Product Type

Note: This financial breakdown is based on Annual reports released in 2022, containing, in most cases, FY2021.


Disclosures

CDP ScoresLast Reviewed: 11/10/2023

CDP ClimateCDP ForestsCDP Water
YesYesYes

Science Based Target InitiativeLast Reviewed: 03/10/2023

Target classificationStatusDate
Has not set SBT--

Coller FAIRR Protein Producer Index

Analysis Overview

Index-Radar-2023
Greenhouse Gas Emissions Deforestation & Biodiversity Water Use & Scarcity Waste & Pollution Antibiotics Animal Welfare Working Conditions Food Safety Sustainability Governance Alternative Proteins

Analysis Breakdown

Risk Score

41/100
Medium Risk



Greenhouse Gas Emissions

34/100

Scope 1, 2 & 3 Target
40/100
Type of Target
0/3
Strength of Target - Non-SBT
2/2
Source(s): China Mengniu Dairy Company Limited Sustainability report 2021 English.pdf; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 6, 54, 61, 70, 126

Innovation on GHG Emission Reduction
20/100
Innovation to Reduce Agriculture Emissions
0/1
Feed Farming Innovation
0/2
Animal Farming Innovation
1/2
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 61, 62

Quality of GHG Inventory
50/100
Quality and scope of GHG inventory Completeness
1.25/1.5
Feed & Animal Farming Emissions
0.5/2
Transparency of GHG Inventory
0.75/1.5
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 62; ESG Report 2022.pdf, page 63

Emissions Performance
25/100
Overall Emission Performance
1.25/5
Source(s): China Mengniu Dairy Company Limited Sustainability report 2021 English.pdf, page 59; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 62, 69, 127

Climate-related Scenario Analysis
35/100
Climate-related Scenarios Analysis Conducted
1/1
Disclosure of Analysis Results on Material Risks
0.75/3
Disclosure of Financial Material Events & Alignment of CAPEX
0/1
Source(s): 2022 Sustainability Report.pdf, page 67, 68, 70; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 18, 28, 67, 68, 91



Deforestation & Biodiversity

53/100

Deforestation/Conversion-free Target - Soy for Animal Feed
51/100
Risk Assessment to Identify High-risk Locations
0.13/0.5
Strength of Deforestation Commitment
0.9/2
Regional & Operational Coverage of Commitment
1.25/1.25
Transparency - Progress Against Commitment
0.25/1.25
Source(s): 2022 Sustainability Report.pdf, page 90; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 87, 90; ESG Report 2022.pdf, page 90; Forest Protection Policy, page 1, 2; Sustainability Report 2022, page 83

Engagement, Monitoring & Traceability - Soy for Animal Feed
55/100
Supplier Engagement
1.25/1.25
Compliance monitoring & Traceability
1.25/3.25
Feed Innovation
0.25/0.5
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 86, 90, 96; ESG Report 2022.pdf, page 19, 61, 85, 95; Mengniu Forest Protection Policy 2023 (1).pdf, page 1, 2, 3



Water Use & Scarcity

21/100

Water Use & Scarcity in Facilities
33/100
Monitoring Water Consumption & Withdrawals
0.25/0.75
Target to Reduce Water Consumption & Withdrawals
0.5/1
Disclosure & Performance of Water Risks in Facilities
0.88/3.25
Source(s): 2022 CDP Water Security English translation.pdf, page 2; China Mengniu Dairy Company Limited Sustainability report 2021 English.pdf, page 38; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 54, 73, 74, 128; ESG Report 2022.pdf, page 73, 127

Water Use & Scarcity in Feed Farming
10/100
Supplier Engagement in Water Use in Feed Farming
0.5/2.5
Disclosure of Water Risks in Feed Farming
0/2.5
Source(s): Code of Conduct for Business Partners, page 16, 17; ESG Report 2022.pdf, page 94; Sustainability Report 2022, page 16

Water Use & Scarcity in Animal Farming
20/100
Supplier Engagement in Water Use in Animal Farming
1/3
Disclosure of Water Risks in Animal Farming
0/2
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 55, 61, 73, 75, 86; Code of Conduct for Business Partners, page 16, 17



Waste & Pollution

27/100

Wastewater at Facilities
32/100
Disclosure & Targets for Wastewater Quality & Volume Discharged
0.2/1.5
Transparency on Water Pollution Risks
1/2
Performance on Wastewater Quality & Volume Discharged
0.4/1.5
Source(s): 2022 Sustainbaility Report, page 76; ESG Report 2022.pdf, page 2, 71, 73, 76, 95, 127

Nutrient Management in Feed Farming
21/100
Supplier Engagement in Nutrient Pollution Risks
0.5/4
Innovation to Improve Nutrient Management in Feed Farming
0.56/1
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 94; Sustainability Report 2022, page 61, 63, 95

Manure Management in Animal Farming
26/100
Disclosure of Pollution Risks from Manure
0.56/1.25
Supplier Engagement in Manure Management
0.75/1.5
Innovation to Improve Nutrient Management in Animal Farming
0/2.25
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 61, 63, 83, 95; Sustainability Report 2022, page 61, 94



Antibiotics

13/100

Policy on Antibiotics Use
25/100
Policy on Antibiotics Use
1.25/5
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 2, 18, 93; ESG Report 2022, page 113, 114, 115, 116; Sustainability Report 2022 English Version

Disclosure of Quantity of Antibiotics Used
0/100
Disclosure of Quantity of Antibiotics Used
0/5
Source(s): 2022 Sustainability Report.pdf, page 93



Animal Welfare

56/100

Animal Welfare Policy
43/100
Welfare Policy
1.25/2
Key Welfare Issues
0.9/3
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 91, 92; ESG Report 2022, page 110, 111; Mengniu Biodiversity Report 2021, page 45; fairr.reportingframework.com_file_2988d4a5-5d3a-498d-b39d-ca947bbbd373_.pdf, page 92

Assurance & Certification
30/100
Auditing & Assurance by an Animal Welfare Organisation
1/4
Public Reporting on Welfare
0.5/1
Source(s): 2022 Susatinability Report, page 92; 2022 Sustainability Report, page 92; 2022 Sustainability Report.pdf, page 92; ESG Report 2022, page 118, 2022

Performance on Key Material Risks
95/100
Performance on Key Material Welfare Risks by Protein
4.75/5
Source(s):



Working Conditions

50/100

Human Rights
30/100
Strength of Policy
1/1
Due Diligence Process
0.5/3
Evidence of Remediation
0/1
Source(s): 2022 Mengniu Sustainability Report -en.pdf, page 87; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 41

Fair Working Conditions
56/100
Policy for Direct Operations
1.4/3
Monitoring & Discosure
1.4/2
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 30, 31, 38, 41, 47, 83, 86; Code of Conduct for Business Partners 2023, page 6, 7, 11, 12, 13, 15

Safety & Turnover Data
63/100
Committee representation of workers
0.4/2
Disclosure of safety and turnover data
2.75/3
Source(s): China Mengniu Dairy Company Limited Sustainability report 2021 English.pdf, page 21; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 2, 11, 33, 40, 42, 43, 47

Freedom of Association
50/100
Strength of Policies
2/3
Disclosure of Collective Bargaining Metrics
0.5/2
Source(s): 2022 Sustainability Report.pdf, page 41; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 40, 41, 46; Code of Conduct for Business Partners



Food Safety

58/100

Food Safety System
45/100
Certifications
2.25/3.5
Performance
0/1.5
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 83, 84, 86, 111, 112, 113

Product Recalls & Market Bans
70/100
Product Recall Systems
3/3
Performance
0.5/2
Source(s): China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 111



Sustainability Governance

58/100

Assessment of a Company's Sustainability Governance
58/100
Board Sustainability
1.75/2
Incentives & Policy Engagement
0.65/2.5
Innovation & Benchmarking
0.5/0.5
Source(s): Board of Directors & Senior Management; China Mengniu Dairy Company Limited Annual Report 2022.pdf, page 3, 66; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 8, 10, 14, 15, 22, 27, 53, 78, 80, 86, 91, 92, 105, 108, 109, 117; Corporate Governance; List of directors China M.pdf; Mengniu Biodiversity Report 2021, page 4; Mengniu Sustainable Financing Framework.pdf



Alternative Proteins

40/100

Diversification of Products to Alternative Protein Sources
40/100
Existing product portfolio
0.5/2.5
Investing for future growth
1.5/2.5
Source(s): 2022 Sustainability Report.pdf, page 65, 69; China Mengniu Dairy Company Limited Annual Report 2022.pdf, page 30; China Mengniu Dairy Company Limited Sustainability report 2022 English.pdf, page 65, 69; Mengniu Biodiversity Report 2021

Members-only supplement

If you would like to view the Analysis Breakdown, sign up to become an investor member or log in to the FAIRR network.