OCP Group ranks 4th globally among agricultural chemicals companies in new Sustainalytics rating

Extra-Financial rating Agency Sustainalytics and independent organization CDP have issued their respective annual ratings relating to the monitoring of Cherifien Office of Phosphates (OCP) Group’s performance last year.

According to a release published by the Group, Sustainalytics, which identifies companies’ ESG risk levels for investors, has awarded OCP Group a score of 24.4 (an improvement of 3.1 points compared to 2021) in the year 2022.

The latter thus rises to 4th place out of a total of 65 companies evaluated in the “Agricultural Chemicals” category. This score confirms the solidity of the strategies, practices and group policies in the field of sustainable development, thus renewing the character of “Strong” for its management and management of ESG risks, i.e. the highest level of the scale.

CDP is an independent body that encourages businesses, cities, states and regions to disclose their environmental impacts and reduce their gas emissions Greenhouse effect.

This year, the Sustainalytics agency was particularly attentive to advances in the OCP Group’s decarbonization route.

The group published for the first time scope 3, the widest scope for calculating the carbon footprint including all indirect emissions upstream and downstream of its production cycle (purchase of raw materials, transport and travel, etc.), in addition to scope 1 (linked to its direct activity) and scope 2 (indirect emissions linked to its electricity consumption) that the group had previously published.

Sustainalytics has thus improved the indicator related to the disclosure of its CO2 emissions (from 75 to 100/100), but also the scores assigned to the carbon footprint reduction program (from 50 to 100/100) and risk management related to greenhouse gasses (from 50 to 100/100).

Sustainalytics also recognized OCP Group for the “good management of risks related to the management of water” they described  with a score of 100/100, thus highlighting the decisions taken by the group in 2021 with a view to to accelerate its Water program, to deal with the context of water stress experienced by Morocco, where the group is based.

It should also be noted that Sustainalytics confirmed the group’s good performance on a social level. OCP Group distinguished itself on several indicators and obtained 100/100 on its diversity program, its community initiatives, its HSE management (Health, Safety, Environment) and the development of its Human Capital.

By obtaining an A- score in its second year of submission to the CDP, the report states “OCP stands out among the most committed fertilizer producers in terms of climate leadership and ambitious on its decarbonization trajectory.” The group is one of the 24% of companies in agricultural chemistry to have reached the ‘Leadership Level’, the average of which is around B-.

CDP also recognizes the robustness of OCP’s objectives, obtaining a score of A- for an industry average of C, the solidity of its energy transition program which is rated at A for a sector average of C, and the relevance of its analysis of climate scenarios, its financial plan and business strategy, rated A for an industry average of B.

Moody’s ESG (formerly Vigeo Eiris) ranked the group among the “top performers” for its ESG performance, ranked 25th worldwide out of 4,952 companies across all sectors (and 1st in its industry and region).

OCP notably maintains the “Advanced” level for the 2nd consecutive year. Another significant distinction in 2021: OCP’s ranking in the Food and Agriculture Benchmark of the World Benchmarking Alliance (WBA), which places the group in 4th place worldwide out of 350 companies in the food value chain and at the top of the “Agricultural inputs” companies.

These ratings, along with other world-renowned accolades and certifications, confirm the ambition of the approach adopted by the group and the relevance of its choices to align with the ESG best practices and benchmarks.

OCP Group states it is committed to achieving carbon neutrality by 2040.

In this context, the group is committed to achieving carbon neutrality by 2040 on scopes 1, 2 and 3, renews its ambition for water self-sufficiency in 2024 and also commits to this that 100% of its electricity needs come from renewable sources in 2027. These changes reflect the group’s commitment to sustainable development.

An ambition in line with Morocco’s strategy in terms of energy transition and which is fully in line with the new Green Investment Program of the OCP group launched on December 3. This investment program of an amount of 130 billion DH provides, in the period 2023-2027, the increase in the group’s mining and fertilizer production capacities, by leveraging renewable energies and the carbon-free economy.