Huhtamäki hits climate change mitigation target on sustainability-linked bond

Huhtamäki has met the emissions reduction targets outlined in the terms of its €500 million (US$543 million) sustainability-linked bond maturing in 2027. The company has published the Verification Assurance Report as part of its 2024 Annual Report.

Released on the same day, the Annual Report 2024 consists of three sections: a company overview, financials, including the Sustainability Statement, and governance, which includes the Corporate Governance Statement and Remuneration Report.

The Sustainability Statement complies with the European Sustainability Reporting Standards under the Finnish Accounting Act and aligns with EU Taxonomy Regulation. KPMG, an authorized sustainability auditor, has issued an assurance report based on a limited assurance engagement performed in accordance with ISAE 3000 (Revised).

Salla Ahonen, EVP, sustainability and communications at Huhtamäki, tells Packaging Insights: “The sustainability targets in the bond were linked to Scope 1 and 2 emission reductions, which were reached mainly through virtual power purchase agreements in Europe and the US.”

Salla Ahonen, EVP, sustainability and communications at Huhtamäki.“Looking forward, we are in the process of updating our sustainability targets to better address climate and nature-related challenges.”

Expanding sustainable packaging

In line with its commitment to sustainable packaging solutions, Huhtamäki has introduced ProDairy, a recyclable single-coated paper cup designed for yogurt and dairy products. 

“In February, we launched ‘ProDairy,’ an innovative packaging solution specifically designed for yogurt and dairy products. This innovation reduces plastic content to below 10% while maintaining high performance standards,” says Ahonen.

“Dairy products are an important part of our daily life, and creating recyclable packaging for something as important as your morning yogurt has been a challenge, especially while maintaining the high-performance standards required for dairy products, so we are proud of the product that is fully recyclable in Europe.” 

Last year, Huhtamaki began its smooth molded fiber production at the company’s existing molded fiber facility in Lurgan, Northern Ireland. This investment allowed local delivery of sustainable packaging solutions from nearby.