Water Neutrality

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Basic Policy

Since its establishment, the Otsuka group’s operations have had a deep connection to water, a resource essential to life. Through products that use water as a raw material, we have actively contributed not only to the treatment and prevention of diseases, but also the maintenance and promotion of health. We therefore recognize the importance of water to us as a resource, and consider its conservation to be a critical global issue. Moreover, water resources are unevenly distributed across different countries and regions, each of which faces different risks. We cooperate with all stakeholders, and conduct ongoing water conservation initiatives from intake to discharge (including cultivation of water resources, conscientious use and clean return), in the aim of sustainable water use.

Goals

The Otsuka group has established a 2050 Environmental Vision, “Net Zero,” which aims to reduce total environmental impact of our business activities to zero. Under the vision, we have revised our targets to include developing and implementing a water use strategy for business sites in waterstressed areas, and expanding the plant water management program to all locations globally, both by 2028. We are working on the realization of sustainable water use by improving water use efficiency and working to preserve water resources from intake to discharge (including cultivation of water resources, conscientious use of water, and return of clean water to the environment).

(Calculated based on the performance of all manufacturing sites in the consolidated Otsuka group)

Initiatives to Reduce Water Usage

The Otsuka group collects water usage data for each plant and works to reduce water usage and improve water use efficiency in accordance with local conditions based on the productivity improvement.
We are also working to reduce the environmental impact of wastewater.

Evaluating Water Risk at Manufacturing Sites

Considering environmental risks in each region is also important for sustainable growth in the diverse business models of the Otsuka group operating around the world. Aqueduct, a water risk assessment tool developed by the World Resources Institute (WRI), was used to evaluate the Otsuka group’s production sites. The assessment found that seven factories in the United States, India, and Spain were classified as “Extremely High” in terms of Baseline Water Stress*.
Otsuka group’s water consumption in 2022 was 18,500,000 m3, of which 5% is from water-stressed areas, and at this point we have confirmed that there is no risk to our business activities. We will continue to examine the details of the risks at these factories together with the local subsidiaries and proceed with further investigations (Phase 2).

  • *This means a shortage of water demand by humans and ecosystems relative to the amount of available water resources. It includes not only water scarcity, but also water quality and access to water.

Initiatives that Protect Water Sources through Forestry

One of our initiatives to preserve water resources uses water conscientiously and returns clean water using water source protection through forestry. Group employees and family members voluntarily participate in conservation drives, such as planting trees, in turn developing a sense of closeness with forests.

Projects

In Japan

The Otsuka group has signed a partnership agreement with Tokushima Prefecture’s Tokushima Cooperative Forestry Project, taking part in intensive forest management that is focused on largescale forests covering 100 ha or more.

■ Tokushima Forests – Forestry in Collaboration with Tokushima Prefecture
In 2010, Otsuka Pharmaceutical Factory and Taiho Pharmaceutical signed partnership agreements with the Tokushima Cooperative Forestry Project, based on Tokushima Prefecture’s Ordinance on Promotion of Global Warming Countermeasures. In fiscal 2021, eight group companies2 planted broad-leaved trees and others in an area of 21.29 hectares, equivalent to 139.81 metric tons of CO2 absorbed by forests.

Outside Japan

■ PT Widatra Bhakti Watershed Conservation in Pasuruan Regency
In the Pasuruan Regency region in Indonesia, employees of PT Widatra Bhakti helped protect water sources by planting 6,080 saplings in Andonosari Village in the Tutur subdistrict.

  • 1:Water source protection means nurturing and maintaining water resources, as well as using the natural capacity of forests to mitigate flooding and droughts. Forests soak up falling rain and snow, then allow that water to slowly flow into rivers as groundwater.
  • 2:Otsuka Pharmaceutical Factory, Otsuka Pharmaceutical, Taiho Pharmaceutical, Otsuka Warehouse, Otsuka Chemical, Otsuka Foods, Otsuka Packaging Industries, and Otsuka Techno Corporation
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