Archroma Releases FY2025 Sustainability Report, Reports Progress on Emissions, Circularity and Packaging Innovation

Pratteln, Switzerland – Archroma, a global specialty chemicals company supplying the paper, packaging, textiles, coatings, adhesives and sealants industries, has released its FY2025 Sustainability Report, detailing environmental, social and governance (ESG) performance across its global operations and value chain.

The report covers the fiscal year from October 1, 2024 to September 30, 2025 and has been prepared in reference to the Global Reporting Initiative (GRI) Standards, with limited third-party assurance provided on selected environmental and social indicators. Archroma stated that the report reflects its continued efforts to align sustainability strategy with evolving regulatory frameworks, including the EU Corporate Sustainability Reporting Directive (CSRD).

Climate Strategy and Greenhouse Gas Emissions

Climate change mitigation remains a central pillar of Archroma’s sustainability strategy. In FY2025, the company reported that its Scope 2 greenhouse gas emissions declined by 22% compared with FY2024, primarily driven by increased procurement of renewable electricity and energy efficiency initiatives across multiple sites.

Scope 1 emissions, linked to direct fuel use and process emissions, remained relatively flat year-on-year. Archroma also expanded the scope and quality of its Scope 3 emissions accounting, reflecting growing attention to upstream raw materials, logistics and downstream product use.

The company has set 2030 targets for reducing Scope 1 and Scope 2 emissions, while acknowledging that regulatory developments such as carbon pricing mechanisms, emissions trading schemes and energy taxation could increase operating costs and capital expenditure requirements in the coming years.

Energy Efficiency and Operational Footprint

Energy consumption is identified as a material issue due to the energy-intensive nature of chemical manufacturing. Archroma continues to track energy performance through its Environmental Management System (EMS) and has set a target to reduce energy intensity by 15% by 2030.

Key measures include:

• Investments in energy-saving technologies at production sites

• Increased sourcing of renewable electricity where available

• Ongoing energy efficiency projects across global manufacturing locations

The company noted that access to renewable electricity remains uneven across regions, potentially slowing progress toward Scope 2 emissions targets in certain markets.

Water Stewardship and Waste Management

Water use and water quality management remain critical sustainability topics for Archroma, particularly in water-stressed regions. The company has committed to reducing incoming water intensity by 40% per ton of finished product by FY2030, supported by investments in water efficiency technologies, process optimization and zero-liquid-discharge (ZLD) systems at selected facilities.

Archroma also outlined its approach to managing water discharges and mitigating pollution risks, including emergency response systems, regular site-level risk assessments and engagement with suppliers on responsible water practices.

In waste management, the company has set a 10% waste intensity reduction target by 2030 and a longer-term ambition to achieve zero hazardous waste. Initiatives include:

• Increased reuse and recycling of materials

• Industrial symbiosis projects

• Product take-back schemes and reverse logistics in selected applications

Circular Economy and Product Sustainability

Circularity is a recurring theme throughout the FY2025 report. Archroma highlighted efforts to reduce dependence on virgin raw materials, increase the use of recycled or secondary inputs, and design products with improved durability, recyclability and biodegradability.

The company applies principles of green chemistry and “safety and sustainability by design” to reduce hazardous substances and improve the environmental profile of its portfolio. Predictive toxicology tools are used during product development to identify potential risks early in the R&D process.

Packaging Technologies: Focus on Paper and Fiber-Based Applications

Archroma’s Packaging Technologies business received increased attention in the FY2025 report, reflecting growing demand for sustainable solutions in the paper and packaging sector.

The company emphasized its focus on:

• Water-based chemistries as alternatives to solvent-based systems

• Solutions that enhance recyclability and repulpability of fiber-based packaging

• Development of partially and fully bio-based materials

During the reporting period, Archroma launched several products aimed at paper and packaging applications, including:

• Leucophor® AFCD slurry, a urea-free optical brightener for food-contact paper

• Cartaseal® SCW, a water-based barrier coating designed to replace polyethylene coatings in paper cups and improve recyclability

• Cartacol® APS 7567, a pressure-sensitive adhesive developed to improve production efficiency and reduce waste in label applications

The company also continued to expand its Centers of Innovation, with facilities in Mumbai (India) and Prat (Spain) already operational and a third center focused on fiber, board and bio-based materials scheduled to open in the United States in early 2026.

Governance, ESG Oversight and Materiality

In FY2025, Archroma completed its first double materiality assessment aligned with CSRD requirements. The assessment evaluated:

• The financial risks and opportunities posed by sustainability topics

• The company’s impacts on the environment and society across its value chain

Material topics identified include climate change, pollution, water use, circular economy, workforce health and safety, business conduct and supply chain responsibility.

Sustainability oversight is provided through a dedicated ESG Council, chaired by the CEO, working in coordination with the Risk Management and Compliance Councils. This governance framework is intended to integrate ESG considerations into strategic decision-making across business units.

Social Performance and Workplace Safety

The report also highlights progress in occupational health and safety, workforce diversity and community engagement. Selected social indicators, including workplace safety metrics and diversity data, are subject to limited third-party assurance.

Archroma reported continued investment in employee development, safety programs and community initiatives in regions where it operates, including education, infrastructure and environmental stewardship projects.

Ratings, Certifications and Industry Engagement

For the second consecutive year, Archroma received an EcoVadis Gold rating, placing it among the top five percent of companies globally assessed for sustainability performance. In previous years, the company achieved EcoVadis Platinum ratings.

Archroma remains active in multiple industry initiatives relevant to the pulp, paper and packaging value chain, including 4evergreen, Two Sides, the Sustainable Packaging Coalition, and Together for Sustainability (TfS), supporting collaboration on fiber-based packaging, recycling and responsible sourcing.

Outlook

Looking ahead, Archroma stated that it plans to accelerate the development of bio-based materials, expand circular product offerings for paper and packaging applications, and further strengthen emissions and resource-efficiency performance as regulatory requirements and customer expectations continue to evolve.

Disclosure
This article is based on information published in Archroma’s FY2025 Sustainability Report. Data has not been independently verified by Pulp & Paper Chronicle unless otherwise stated.