We consider the preservation of the global environment and the harmonious conduct of our business activities to be an important topic in the way we manage the company, and to that end we strive to observe the applicable environmental laws, ordinances, and regulations as we proactively take part in natural conservation activities and work to conserve resources and energy. We are working to reduce the environmental burden generated by all of our processes, ranging from R&D and the procurement of raw materials to production, distribution, sales, and consumption.

The main facilities at Takara Bio headquarters account for a large percentage of Takara Bio Group’s CO2 emissions and water usage. At these buildings, we are implementing environmental preservation strategies such as use of construction design that incorporates new building techniques with high environmental performance.

Takara Bio Group strives to proactively disclose information to its stakeholders by accurately assessing the risks and opportunities related to climate change, clarifying the impact on its business operations, and clarifying measures to be taken as we work towards the realization of a sustainable society and the sustainable growth of our Group. All assessments are based on scenario analysis in accordance with the Task Force on Climate-related Financial Disclosure (TCFD). Scenario analysis was carried out using a “2ºC or lower scenario,” in which the average global temperature increase is restricted to 2ºC or lower than pre-industrial levels, and a “4ºC scenario,” in which average global temperature is increased by 4ºC. This analysis evaluated the degree of impact on our business operations and the likelihood of those scenarios occurring, examined countermeasures. 
We will continue to review risks and opportunities and implement specific measures and reflect them in our medium- to long-term management strategy to enhance our management strategy against climate change. 
 

Takara Bio Group generated 16,000 t of CO_{2} in fiscal 2023.
The emissions increased due to the full-scale operation of the Center for Gene and Cell Processing building 2. As Takara Bio Group expands its business, our CO_{2} emissions are continuing to increase. However, we aim to consider environmental impact in our business activities, and have set targets for reducing emissions. Our target for fiscal 2026 is to reduce emissions per unit of revenue (emissions intensity) to 50% of that of fiscal 2019. 

In fiscal 2023, our group's CO_{2} emissions (per unit) will be 55% of the fiscal 2019 level.

Water consumption

In FY2023, the water consumption of the Takara Bio Group decreased by 1 thousand m~{3} from the previous fiscal year to 105 thousand m~{3}. 
Takara Bio, Takara Biotechnology (Dalian) , and Takara Bio USA, which are manufacturing sites, obtain water resources from the water supply system and do not have direct water intake from rivers or the sea.

Preventing water pollution

Water risk assessment

Three major manufacturing sites (Japan, China, and the United States) were assessed using Aqueduct Water Risk Atlas* provided by the World Resources Institute (World Resource Institutions) to identify drought and flood risks (river flooding and sea level rise) required for business continuity at present (2022) and in the future (2030).
 

*https://www.wri.org/aqueduct

Water stress risk (drought)

Takara Bio, which accounts for the majority of water use, is estimated to be low risk as a whole due to "low to medium evaluation."

River flooding risk

* Facilities in Takara Bio USA are expected to be less vulnerable to damage due to measures to raise their capacity more than 50 cm.

Risks of sea level rise

Estimated low risk of damage caused by rising sea levels at three major manufacturing sites

The Takara Bio Group considers the harmonization of global environmental conservation and business activities to be one of the important management issues, and contributes to the creation of a sustainable society by establishing an environmental management system and making continuous improvements.
In FY2023, waste emissions increased due to the demolition of the former research and manufacturing building of Takara Bio and the disposal of products.
In order to reduce waste emissions, we are working on 3R of containers and packaging (reduce, reuse, and recycle).

Takara Bio Group use paper boxes or PET * film-based pouches containing aluminum for packaging of our main product research reagents. To reduce environmental impact, we are switching to FSC certified material ** and materials using plant-derived oil inks for paper boxes (Fig. 1). In addition, for pouches that contain only one side of aluminum, we are switching to aluminum-less pouches that do not contain aluminum (Fig. 2). For some products, we use double-sided aluminum pouches to maintain product quality.

*Polyethylene terephthalate
** An international system to certify "appropriate forest management" born for the purpose of sustainable forest use and conservation

In transporting research reagents, to avoid the effects of heat, shocks, and vibrations, we package them in polystyrene foam refrigerators along with refrigerants, refrigerants, and cushioning materials to meet product specifications and maintain quality and performance.
From the viewpoint of environmental considerations, we use a refrigerated box for transportation made of recycled polystyrene foam, which is 100% recycled from polystyrene used in foam and used home appliances.
*Transportation through this packaging is adapted to transportation between ①Takara Bio and our distributor in Japan ②Takara Bio and our overseas subsidiaries.

【Example of packing during transportation of refrigerated and frozen reagents】
 

①Refrigeration boxes (switching to recycled polystyrene foam) ②Product ③Cushioning materials ④Refrigerants

Theme: Addressing Climate Change Issues

Theme: Environmentally Conscious Product Packages and Packaging

Takara Bio Group strives to proactively disclose information to its stakeholders by accurately assessing the risks and opportunities related to climate change, clarifying the impact on its business operations, and clarifying measures to be taken as we work towards the realization of a sustainable society and the sustainable growth of our Group. All assessments are based on scenario analysis in accordance with the Task Force on Climate-related Financial Disclosures (TCFD).

① Governance

As a global company with operations around the world, Takara Bio Group regards climate change as an important management issue. Under the supervision of the Board of Directors, Takara Bio Group Sustainability Promotion Committee, the decision-making body for environmental issues, examines scenarios related to climate change, identifies risks and opportunities, and discusses countermeasures, which are reflected in the business operations of each group company. This Committee reports to the Board of Directors at least once a year and discloses information to stakeholders based on TCFD (Figure 1).
 

② Strategy

Takara Bio Group recognizes that the global average temperature increase due to climate change will have an enormous impact on society, and believes that it is important to contribute to activities to curb temperature increases. Our Group is identifying the business impacts of climate-related risks and opportunities, and is formulating strategies to enhance its ability to respond to a 2°C or lower scenario. Scenario analysis was carried out using a “2°C or lower scenario,” in which the average global temperature increase is restricted to 2°C or lower than pre-industrial levels, and a “4°C scenario,” in which the average global temperature is increased by 4°C. This analysis evaluated the degree of impact on our business operations and the likelihood of these scenarios occurring, examined countermeasures, and summarized the risks and opportunities that would have a large impact on our Group in Table 1. In the scenario analysis, we referred to the Intergovernmental Panel on Climate Change (IPCC), RCP2.6 (2°C or lower scenario), RCP8.5 (4°C scenario), and WRI Aqueduct (global water risk mapping tool developed by the World Resources Institute).

† Time axis
Short-Term: Up to 2025; Medium-Term: up to 2030; 
Long-term: Up to and after 2030

‡ Impact
Qualitative assessment of the likelihood of a risk materializing, the resulting risks, status of current measures, etc., and classification of the impact as large, medium or small.

③ Risk Management

Takara Bio Group has established the framework to minimize adverse effects and losses caused by the materialization of risks, including scenario analysis and the assessment of risks associated with climate change in line with TCFD recommendations. We are assessing the degree of impact and the risk level depending on the frequency of occurrence at major manufacturing sites where business continuity and financial impact are significant. Identified risks, opportunities and countermeasures are discussed by the Sustainability Promotion Committee, which is chaired by the President and is comprised of executive officers responsible for each of our business segments, and reports to the Board of Directors.

④ Indicators and Targets

In its Sustainability Management Promotion Policy formulated in June 2021 (Updated June 2023), Takara Bio Group focused on the environment as one of its key initiatives, and set a target of reducing CO2 emissions per unit of sales in fiscal 2026 to 50% of fiscal 2019 levels. As of fiscal 2023, our Group's CO2 emissions (basic unit) were 55% of the fiscal 2019 level (Figure 2).
We will continue to review risks and opportunities and implement specific measures and reflect them in our medium- to long-term management strategy to enhance our management strategy against climate change.