ESG Development in Food & Beverage update

Hope you are doing well. Welcome back to our brief thoughts on ESG.

This week, we continued to delve into our ESG Development Heatmaps updates, this time focusing on the Mexican Food & Beverage sector. As we have done previously, we have only focused on (1) companies listed on local stock exchanges, the BMV and BIVA, and (2) the materials publicly disclosed by those companies.

Food & Beverage

Source: Publicly available company materials

 What can we read from this heatmap?

1. Three companies updated their materiality analyses in 2022 (Arca Contal, Bachoco, and Bimbo).
2. With its new sustainability strategy launch, Bimbo became the first company in this sector to have public KPIs and goals assigned to all its material topics.
3. Cuervo formally deployed its ESG strategy. This included its first materiality analysis, a first go at setting KPIs for its material topics, building an oversight working group for ESG practices at the management and board levels, and reporting under GRI standards, among other improvements.
4. Arca Continental and Cuervo got their reports externally verified.
5. Bimbo aligned its ESG strategy with TCFD for the first time, while Cuervo started moving in that direction as well.
6. Bimbo, Coca Cola Femsa, and Cuervo reported under SASB standards for the first time.
7. Two companies haven’t done anything regarding ESG strategies yet.

There was some interesting progress in the Food & Beverage sector during 2022. Cuervo was a great mover as it had important room for improvement before. We hope more companies will follow.

I hope you found this interesting. As usual, if there is anything we can help you with, or if there is an ESG topic you would like to know more about, please let us know.

Best,

Marimar

CEO, Miranda