Tangible action evident at SABECO (SAB)

Tangible action evident at SABECO (SAB)

Reinforcing its leadership in the circular economy, Saigon Beer-Alcohol-Beverage Corporation is turning environmental goals into shared value across its operations and communities.

SABECO has been named one of the most sustainable companies in Vietnam

From solar-powered lights illuminating remote villages to recycled material initiatives delivering tangible benefits to local communities, Saigon Beer-Alcohol-Beverage Corporation, better known as SABECO, is charting a new definition of prosperity – where growth is not just measured in numbers, but in the value it brings to communities and the environment.

This journey has been made concrete through clear commitments and collaboration with Packaging Recycling Organisation Vietnam (PRO Vietnam). Joining PRO Vietnam in July 2024, SABECO has taken an active role in shaping the industry’s roadmap for post-consumer packaging recovery and implementing extended producer responsibility (EPR) policies.

Its participation at the organisation’s 2025 annual meeting alongside over 30 companies further demonstrated that its words are backed by tangible, consistent action.

SABECO is also asserting its leadership in transitioning to a circular economy model through science-based and technology-driven solutions. By embedding innovation into production processes, the company is both improving operational efficiency and laying the groundwork for scalable, industry-wide transformation.

This alignment of strategic thinking, technological application, and community responsibility has made SABECO a leading example among domestic enterprises in the green transition.

According to the company’s first standalone Sustainability Report, published in April, SABECO’s medium- and long-term environmental goals include a 42 per cent reduction in greenhouse gas emissions intensity by 2030, 50 per cent renewable energy use by 2030, and 100 per cent recyclable or reusable beverage packaging by 2040.

These targets form the foundation of SABECO’s broader environmental, social, and governance (ESG) strategy, which also encompasses community engagement and transparent governance.

The company understands that sustainability is a journey fuelled by alliances. As a member of PRO Vietnam, the company has actively helped shape a unified industry roadmap for sustainable packaging and post-consumption recovery. Its efforts support the implementation of EPR policies through awareness programmes, infrastructure development, and data transparency, contributing to national readiness and industry coherence.

In 2024, SABECO achieved 100 per cent reuse or recycling of all primary and secondary packaging, spanning glass bottles, aluminium cans, plastic crates, and cartons. Since 2019, the company’s efforts have reduced packaging weight by 15 per cent, enhancing resource efficiency without compromising quality.

These milestones show that a circular economy is a business imperative, operationalised across the company’s supply chain.

Tangible impacts

In partnership with PRO Vietnam and local authorities, SABECO has also helped strengthen provincial waste collection systems and broaden public awareness. The result is a growing recycling culture that starts at the community level and extends to national policy platforms.

In tandem with packaging recovery, the company’s clean energy transition has also accelerated. In 2024, the company reached 40.54 per cent renewable energy usage across its breweries, mainly from rooftop solar systems and cleaner fuel conversion.

This is guided by a holistic ESG model where every decision, from production and logistics to social programmes, is driven by transparency, responsibility, and long-term national value.

SABECO’s green strategy also extends to supplier partnerships. By working closely with vendors to implement sustainable sourcing criteria, reduce upstream emissions, and promote circular input materials, the company is encouraging an industry-wide shift. It is also exploring packaging innovation through bio-based alternatives and smart design to increase recyclability and consumer participation.

To further embed sustainability across the value chain, SABECO is expanding its ESG data systems and digital monitoring tools. These systems enable real-time tracking of emissions, energy consumption, and waste recovery, providing critical insights for decision-making and ESG-linked reporting. The company sees digitalisation as a lever for improving both accountability and operational performance.

SABECO is also investing in internal capability building. Its sustainability training initiatives are being scaled up to cover all brewery and supply chain teams, aiming to foster a culture of continuous improvement and environmental stewardship. These programmes are complemented by leadership engagement, ensuring that ESG goals are integrated into corporate key performance indicators and incentives.

Beyond the factory floor, the company is raising public awareness through consumer-facing campaigns. Recycling education, green habits, and climate action are increasingly featured in its marketing strategy. Campaigns tied to festivals, sports tournaments, and retail activations now include messaging that encourages responsible consumption and waste separation.

By using its brand reach, the company is helping shift previous behaviours in support of the circular economy.

A green growth story

The company has also launched pilot initiatives to explore deposit-return systems and smart recycling infrastructure in urban areas. These early-stage trials, conducted in collaboration with local governments and PRO Vietnam, are designed to test scalable models for post-consumer packaging collection. The insights gathered will inform future EPR compliance and industry-wide collaboration.

With these initiatives, SABECO is building a blueprint for sustainability that is rooted in action, partnership, and innovation. From upstream design to downstream recovery, its approach exemplifies how environmental goals can become a competitive advantage – and a contribution to national development.

SABECO’s sustainability goals are not only in line with national policy – it is helping to shape it. With strategic alignment to the government’s circular economy roadmap and net-zero commitment, the company is embedding ESG into the country’s development narrative.

The company’s social impact also echoes this ambition. Programmes like the SABECO Sports Hub have engaged more than 40,000 participants across 36 provinces, combining sport with environmental messaging. Meanwhile, the company’s solar street lighting initiative has improved safety and quality of life for 750,000 residents in 63 localities nationwide.

Through these efforts, SABECO is not only producing beer, but is building community resilience, driving green innovation, and fostering national pride. The company continues to collaborate with public agencies and local organisations to support underprivileged groups, enhance infrastructure, and promote inclusive growth.

Recognition has followed: SABECO was honoured among the Top 100 Sustainable Companies in Vietnam and has received awards for its ESG practices, reflecting the strength of its vision and execution.

Koh Poh Tiong, chairman of the company’s Board of Directors, wrote in the report, “Sustainable success is built on cooperation, robust governance, and stakeholder engagement. Our strategy is guided by three pillars: environment, society, and governance. Integrating these into operations ensures we not only grow, but grow responsibly.”

Looking ahead, SABECO plans to scale recycling partnerships to all provinces by 2026, aiming to integrate informal collectors into a more stable recovery network. At the same time, the company will continue investing in data systems to monitor sustainability metrics and inform ESG-linked financing models.

With a 150-year brewing legacy, SABECO is redefining what it means to be a Vietnamese brand in the 21st century, one that thrives by leading the shift from linear to circular, from growth-at-all-costs to inclusive prosperity.

VIR