Biodiversity

SHIONOGI recognizes that initiatives for biodiversity issues are as important as those for climate change issues and promotes measures to address these issues under a common governance structure. We have established an integrated EHS management function that unifies and manages various activities related to the environment, health, and, safety (“EHS”). The progress of specific measures against biodiversity risks is managed by this EHS function.

 

See the section “SHIONOGI’s Climate Change Strategies” for information on the relationship with the integrated EHS management function and the Enterprise Risk Management system.

SHIONOGI has endorsed the Declaration of Biodiversity by Keidanren and Action Policy (Revised Edition) and has announced its environmental policy for the future and specific examples of environmental initiatives through the Keidanren Initiative for Biodiversity Conservation.

 

Keidanren Initiative for Biodiversity Conservation (External website)

As a social movement regarding biodiversity, the Kunming-Montreal Biodiversity Framework*² was adopted at the 15th Conference of the Parties to the Convention on Biological Diversity (COP15) in December 2022, and the Task Force on Nature-Related Financial Disclosures (TNFD)^*3 framework was published in September 2023. In both frameworks, companies are required to identify and assess their dependence and impact on biodiversity and biodiversity risks and opportunities in business, and take the necessary measures for sustainable consumption (based on the LEAP approach).

 

SHIONOGI analyzes and organizes the connection between its business activities and nature, as well as the impact that its business activities have on the natural environment through this connection and its biodiversity initiatives to reduce this impact, focusing on direct operations in its pharmaceutical business and the upstream of the supply chain. Based on the results, we will continue to strengthen our effective efforts to conserve biodiversity.

*2 Kunming-Montreal Biodiversity Framework: A global goal for biodiversity to be achieved by 2030, following the Aichi Biodiversity Targets, a set of global targets by 2020 adopted at COP 10

*3 TNFD: A framework for companies and financial institutions to assess their dependence on natural capital and impact on ecosystems, and provide information to investors and other stakeholders based on their assessment results

The following diagram summarizes the impact that SHIONOGI’s business activities centered on pharmaceutical research, development, and manufacturing have on various natural domains, such as the atmosphere, freshwater, and oceans, as well as our initiatives and indicators for reducing the negative impacts on nature.

SHIONOGI recognizes the impact of its business activities on the global environment, such as the consumption of natural resources, emissions into the atmosphere and water, and generation of waste. Believing that reducing environmental impact is an important issue, we are taking the following measures.

 

 

Genetically modified organisms used in research and manufacturing activities are appropriately managed in accordance with the Act on the Conservation and Sustainable Use of Biological Diversity through Regulations on the Use of Living Modified Organisms (Cartagena Protocol), and the committee in charge has established internal regulations that conform to laws and regulations. We also educate our employees to prevent the spread or leakage of genetically modified organisms into the environment.

Shionogi Healthcare Co, Ltd., our Group company that handles OTC drugs, manufactures and markets health foods that use fucoidan, a component extracted from Gagome kombu (kelp). However, due to a combination of reasons, such as an imbalance of supply and demand in the sea caused by the recent increase in sea urchins and abalones, which feed on seaweed, and overfishing caused by the Gagome kombu boom, natural Gagome kombu, which mainly inhabits the waters near Hakodate, Hokkaido Prefecture, is facing the crisis of possible extinction in the area.

 

As a company that handles products using Gagome kombu, Shionogi Healthcare has started the Reforesting Kombu Project to restore natural Gagome kombu to its former state in which it grew thickly like a forest. The purpose of the project is to switch our use from natural to farmed kombu, and to reduce the use of natural Gagome kombu to zero by the end of FY2024. Under the “Project for Promoting the Launch of Business Based on Local Community-Company Partnership” subsidized by the Ministry of Economy, Trade and Industry, we are collaborating with Hakodate City and local universities and companies to improve the quality of farmed Gagome kombu and promote the spread of farmed kombu by establishing a stable supply system. Thus, we are working to conserve and restore natural Gagome kombu. Starting in FY2019, we have begun using farmed Gagome kombu as a raw material for our products, and the rate of switching to farmed Gagome kombu reached over 50% in FY2023. In FY2024, we completed the switch to farmed Gagome kombu for our flagship product, the Fucoidan PROTECT series.

 

Going forward, we not only expect benefits for biodiversity conservation, but also consider initiatives aimed at contributing to blue carbon^*5 through farmed kelp. By increasing farmed kelp, which serves as a carbon sink, we will contribute to the realization of a carbon-neutral society and advance multifaceted efforts to preserve the global environment.

In recent years, highly pathogenic avian influenza (HPAI) has been rampant, and there have been reports of mass deaths not only of poultry raised for human use such as chickens and ducks, but also of wild birds and mammals. HPAI also poses a major threat to rare bird species that are at risk of extinction.

 

In 2023, SHIONOGI launched a project to protect rare bird species from HPAI through the proper use of influenza drugs. In collaboration with the Hokkaido University One Health Research Center, the Institute for Raptor Biomedicine Japan, and the NPO Animal Hospital Okinawa, we work every day to achieve the goal of “establishing a system for the proper use of therapeutic drugs against infectious diseases that threaten biodiversity.” Based on the concept of “One Health,” which considers the health of the entire planet, including the health of not only humans but also animals and ecosystems and the environmental issues that affect them, we hope to contribute to halting the decline of biodiversity.

There are many pharmaceuticals of plant origin. Even today, plants are important specimens for pharmaceutical research and are used as raw materials for pharmaceuticals. The Aburahi Botanical Gardens was established in 1947 within the Aburahi Research Center located in Koka City, Shiga Prefecture. Initially, plant cultivation was carried out for the purpose of cultivating origin plants for pharmaceuticals and searching for drug discovery seeds from natural plants. However, it has now been refurbished as a facility for promoting environmental initiatives and conducting community and social contribution activities. At the Gardens, more than 1,000 species of plants, including threatened and rare species, are managed and maintained.

At the Aburahi Botanical Gardens, we are involved in conserving threatened species and rare plants. We are also conducting ex-situ conservation of plants that are in danger of extinction in the area, breeding them at the Gardens, and then returning them to their own habitat.

As part of our social contribution activities for the local community through the Aburahi Botanical Gardens, we invite experts from Kyoto Pharmaceutical University to provide educational support to local elementary school students, who will lead the next generation. We also provide opportunities to learn about the environment by holding garden tours, targeting high school and university students, those enrolled in a university for seniors, and new employees of SHIONOGI.

 

Clean-up activities are conducted around our operating sites: Shionogi Pharmaceutical Research Center, Shionogi CMC Research Innovation Center, Shionogi Smile Heart, Shionogi Pharma’s Kanegasaki Plant, Settsu Plant, Tokushima Plant, Itami Plant, and Amagasaki Office, and UMN Pharma’s Akita Plant. At Shionogi Pharma’s Kanegasaki Plant, employees volunteer to help with snow removal during the winter. This activity also serves the role of watching over elderly people living alone to make sure they are staying healthy.

 

We also participate in various programs such as the Adopt Road Program run by Osaka Prefecture and the SpoGomi program run by the Social Sports Initiative, contributing to environmental conservation in the local community.