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Agricultural raw materials are the main used in the production of alcoholic beverages, non-alcoholic beverages and food. ThaiBev places high importance on sustainable sourcing while maintaining both environmental and social responsibility. The company procures its agricultural raw materials in accordance with the ThaiBev Sustainable Agriculture Guideline, as well as nationally and internationally recognized standards.

Key Raw Material Responsibly Sourced

ThaiBev will procure agricultural raw materials which are the main raw materials in the production process from sources that follow high standards and are environmentally and socially responsible.
Sustainable Agriculture Commitments and Programs

ThaiBev has launched numerous farmer development campaigns, collaborating with both private and government sectors, in order to support and educate local farmers in practicing sustainable agriculture and in compliance with applicable renowned standards e.g. BonSucro, RSPO, SAI Platform, Good Agricultural Practice (GAP) etc.

Recognizing the value and importance of natural sources and the environment, we incorporate farmers development programs into community development with emphasis in the area of sustainable agriculture management and conservation of natural resources. In cooperatrion with Utokapat Foundation (Under Royal Patronage of H.M. the King), we established a project called ‘Developing Water, Developing Lives, Developing Quality of Lifes’ with the goal to help conserve water and forest resources, and promote sustainable economic development at local level, through a three-step process.
community members learn about local water sources and waterways, in order to understand their own water system and create a water supply map.
Reach out
community members come up with a local water management initiative make a grant proposal do a public hearing to gauge community understanding and for the Foundation to give recommendations to ensure maximum performance of the community’s initiative.
community members execute the development initiative, with participation from locals and newly trained youth groups so as to ensure long-term results and continuation.
As part of the project, ThaiBev has worked with farmers to help them develop a water distribution system based on ‘New Agriculture Theory’ which requires less amount water, The project also aims to promote efficient water management by dredging canal to maintain a suitable water level for fish conservation during dry season and helped manage and store water in the canal for later consumption and agriculture. The New Theory of Agriculture also helped farmers decreased their agricultural expense while at the same time increased their income.

1. Earth-and-stone dam, Ban Pak Suat
2. Recovery of a fish conservation area, Ban Wang Si Phrai

Developing Water, Developing Lives, Developing Quality of Lifes’ Project

The majority of these local farmers are our non-tier 1 suppliers who cultivate and supply agricultural commodities to our tier 1 suppliers. Understanding the challenges local farmers face in adopting sustainable agriculture practice, we encourage our tier 1 suppliers to implement similar farmer support programs to ensure that the farmers have sufficient knowledge and resources.

Example of Thaibev's Supplier's Water Management
Key ESG Issues Addressed

Soil Fertility

Water Conservation

Organic Farming

Biodiversity Conservation

Income Distribution

Compliance with Applicable Standards

Environmental Pollution and GHG emission
ThaiBev’s Management of Key Agricultural Raw Materials
Proportion of Agricultural Raw Materials Responsibly Sourced
Raw Material 2018 2019 2020 Target 2025 Applicable Standards

Malt and Hops
41% 100% 100% 100%
  • SAI Platform

22% 37% 100% 100%
  • BonSucro

Broken Rice
0% 0% 100% 100%
  • Sustainable Rice Platform (SRP)

Palm Oil
89% 90% 100% 100%
  • Roundtable on Sustainable Palm Oil (RSPO)

Tea Leaves
100% 100% 100% 100%
  • UTZ / Rainforest Alliance
  • OneCert International Organic Standards (EU equivalent)
In 2020, ThaiBev has established purchasing policy and bidding requirement to only procure key agricultural raw materials with the leading third-party certification / standards only, i.e., RSPO, BonSucro, SAI Platform, SEDEX, UTZ / Rainforest Alliance. To ensure the compliance, ThaiBev requests evidence of certification and integrates the requirement into audit criteria. As a result, 100% of key agricultural commodities purchased is certified and responsibly sourced. It also aims to maintain the certified proportion to be 100% in alignment with our 2025 commitment to responsibly source 100% of key agricultural commodities.
Integration of Third-party Certification Requirement into Procurement Processes

Sourcing Policy

Product Specification

Bidding Requirement

Assessment & Audit
Malt and hops are the key agricultural raw materials used in distilling and brewing processes.


of malt and hops are sourced from SAI Platform members or SMETA verified suppliers

Supplier Selection
Establish mandatory sourcing requirement to source from suppliers who are member of Sustainable Agriculture Initiative (SAI) Platform or operate in compliance with such standards
ThaiBev encourages and supports malt and hops suppliers to become active members and follow the Sustainable Agriculture Initiative Platform (SAI), a global standard for agricultural practices. Most of the suppliers are members of SAI Platform and manage their own farms in accordance with such standard. Those who are not SAI Platform member operate under SEDEX /SMETA and have external verification in place. Non-tier 1 suppliers who supply barley to the malt suppliers who do not have their own farm are SEDEX/SMETA certified as well.

ThaiBev’s supplier also implements digital tool to improve supply chain visibility and traceability. The tool allows farmers to take a holistic view of their farm operations based on a broad set of sustainability criteria. Using this tool, farmers can assess not just the carbon footprint or water usage, but also other important parameters, such as yield, soil health, biodiversity and social aspects.

Other approach adopted by our supplier is the cradle to cradle with an investment in an anaerobic digester that utilizes waste product from the factory to make fertilizer and putting back on the land owned by local farmers that grows its agricultural raw material.
Sugar is mainly used in the production of ThaiBev’s non-alcoholic drinks and is locally sourced in Thailand.


of sugar sourced is BonSucro certified or sourced from SEDEX member
Farmer Support
Partner with sugar producer to support sugarcane farmers to operate in compliance with BonSucro requirements
Supplier Collaboration
Collaborate with affiliated sugar producer to obtain BonSucro certificate and create the demand for
ThaiBev adheres to BonSucro standard which covers 3 pillars of sustainability: environmental, social, and economic and incorporates these in its sourcing requirement for sugar. In terms of collaboration with its business partners, ThaiBev collaborates with its strategic sugar supplier to launch farmer development program with the objective to promote sustainable sourcing and reduce ESG impacts in agricultural processes.

ThaiBev’s supplier is one of the largest sugar producers in Thailand. The supplier has implemented farmers’ capability development programs and encourage farmers to practice modern cane farming that promotes effectiveness in quality and products, as well as reducing environmental impacts. One of the successful initiative is buying sugar cane leaves and straws from local to reduce burning sugar cane, the major cause of PM 2.5 smog.
Rice is mainly used in the production of ThaiBev’s product and is locally sourced.


of broken rice is sourced from Sustainable Rice Platform compliant or SMETA verified suppliers
Supplier Collaboration
Encourage major rice millers and distributors to address human rights and environmental issues in the farming processes in compliance with local applicable ESG standards
ThaiBev engages with the local farmers to properly educate them in adopting sustainable agriculture practice and makes them aware of relevant sustainability issues in the agricultural processes, for instance, water efficiency, soil fertility, organic farming, etc.

Additionally, ThaiBev has implemented a strict pesticide control for rice. It is included as the requirement in its product specification. ThaiBev has systematic process to sample and test the product to ensure food safety.
Green tea products contribute majorly to ThaiBev’s non-alcoholic beverages product portfolio. The highest quality tea leaves grown via organic farming are being used to produce our green tea products.


of tea leaves sourced are UTZ certified or are organically produced in accordance with OneCert International Organic Standards (EU Equivalent)
Farmer Support
Continuously engage with key suppliers to support farmers in adopting sustainable agricultural with the primary focus on organic farming
All of the tea leaves used in ThaiBev’s production of non-alcoholic beverages are certified by either the Organic Agriculture Standard issued by Ministry of Agriculture and Cooperatives (Thailand) or UTZ standard (Rainforest Alliance). The requirements in obtaining such certification cover all key essential issues stated in the EU Organic Farming, for instance climate and environment protection, conservation of soil fertility, absence of GMO, etc. ThaiBev also displays the Organic Product label on its green tea products to ensure that its customers can make a well-informed purchasing decision.

One of ThaiBev’s suppliers and Thailand’s major tea leaves producer, works closely with farmers in their supply chain through Farmers Empowerment program. As part of this program, farmers are able to acquire knowledge on organic farming practices, pesticide-free farming and preserving soil fertility. As a result, farmers are able to minimize their operational cost while maintaining lowest environmental impacts.
Palm oil is a key ingredient used in both restaurant business and manufacturing of packaged food.


of palm oil sourced is RSPO certified
Supplier Collaboration
Promote the use of RSPO certified sustainable palm oil focusing on addressing deforestation and GHG emissions through on-going discussions with our key suppliers
ThaiBev supports large-scale palm oil producers and small-scale farmers in the responsible and efficient production of palm oil and to be certified with the Roundtable on Sustainable Palm Oil (RSPO) international standards.

ThaiBev has established a sourcing requirement to procure RSPO certified palm oil. Since 2018, 100% of palm oil use at KFC restaurants is RSPO certified. ThaiBev is extending this requirement to its Oishi restaurant and is committed to ensure that 100% of palm oil used in food business is sourced responsibly.
Sustainable Agriculture Guideline
An Essential Part in Achieving Sustainable Supply Chain
Thai Beverage Group (hereafter “ThaiBev”) seeks to deliver a quality end product which answers our consumers’ demand and originates from a sustainable source. It has always been our concern to build a solid and effective supply chain in collaboration with our suppliers. ThaiBev’s Sustainable Agriculture Guideline (hereafter “the Guideline”) shall be our additional requirements for our suppliers in order to ensure that the material we source meet our standards.

We expect our suppliers to share our vision on sustainable agriculture and adopt the same practice to their own supply chain.
The requirements stated hereinafter shall apply to only agricultural raw material suppliers (hereafter “suppliers”). This includes suppliers’ related business entities, for instance, suppliers’ affiliates. Raw materials shall refer to only unprocessed materials.


Conservation of Biodiversity
Suppliers may protect the natural state of ecosystem, ensuring sustainable use of natural resources and where possible, avoid interfering at all. We expect our suppliers to avoid sourcing agricultural raw materials in high conservation values or legally protected area under any circumstances.
Conservation of Forests
Suppliers may avoid deforestation in ecologically sensitive areas and take into account the prior use of land to ensure that no forests are not cut or burned for conversion to agricultural land.
Local Agriculture
Suppliers may support local farming in order to promote domestic agriculture and minimize pollution from the transportation of raw materials harvested. We encourage our suppliers to provide local farmers, whose raw materials they rely on, with knowledge and support necessary to promote sustainable and secure long-term supply of raw materials.
Organic Farming
Suppliers may adopt organic farming in their own agricultural operation or promote organic farming practice where applicable. We encourage suppliers to obtain organic farming certification from third-party or comply with organic farming standards established in countries where raw materials are being sourced.
Energy and Emissions Management
Suppliers may optimize energy usage within their supply chain, minimize greenhouse gas (GHG) emissions and implement activities to mitigate the negative impacts arising from GHG emissions on surrounding communities.
Soil Management
Suppliers may protect and improve soil fertility, for instance, by conserving soil, rotating crop, and maintaining the balance amount of soil nutrient.  
Water Consumption
Suppliers may optimize water consumption during their agricultural process. Our suppliers are encouraged to measure their water consumption and identify opportunities to reduce their water usage where possible. In addition, we urge suppliers to conduct water risk assessment of their operating sites using internationally recognized tools and implement mitigation plan in area where water stress level is found to be significant.
Pesticide Control
Suppliers may manage and closely monitor the usage of pesticide especially contamination of nearby water sources. At minimum, we expect our suppliers to establish a maximum pesticide residue limit for their raw materials. Where in use pesticides should be applied responsibly in adequate amount required to control the invasion of pests and should be stored properly in a way that they do not produce negative impacts on surrounding communities.
GMO Declaration
Suppliers shall notify ThaiBev if their raw materials are GMO or contain or derive from GMO ingredients. They must also comply with regulations concerning GMO in countries where they operate. Please refer to ThaiBev’s GMO Guideline for more detail on our position on GMO.

Human Rights

Land Use Violation
Suppliers shall not violate the community’s right to access land and natural resource and respect the established rights of indigenous/tribal people to their land as well as their prior and informed consent. Furthermore, we expect our suppliers to maintain a good relationship with the communities in which they operate, conducting impact assessment of their operations on local community on regular basis and establish development programs where necessary.  
Child and Forced Labor
Suppliers shall adhere to the laws and regulations concerning minimum working age in countries where they operate, and avoid any forms of forced labor, including slave labor, indentured labor, bonded labor.  
Wages and Well being
Suppliers shall work to ensure that farmers in their supply chain are entitled to income and wages that meet basic income needs in countries where the raw materials are being grown. Furthermore, we expect our suppliers to maintain good relationships with farmers and implement empowerment programs to develop their skills and capabilities where applicable.