Resource Use and Circular Economy
Management of Circular Economy
HK inno.N identifies sustainability issues based on material flow understanding. Based on this, we operate internal processes to manage the proper use and disposal of resources, such as monitoring recycling rate performance and waste management guidelines.
impacts
Actions related to resource use and circular economy
Leading drug products of HK inno.N are manufactured using high-quality, high-purity level ingredients in accordance with strict quality standards, and as such recycling of ingredients or the use of recycled materials is not possible. In addition, as drug products are taken and removed during the usage step by consumers, used products cannot be collected. Drugs that are not taken are required to be disposed of in full under relevant law, and therefore cannot be recycled, either. Food, beverages and beauty products, too, are either taken by the customer or removed during usage and face limits to designing recyclable products. Yet, HK inno.N is constantly on the lookout for ways to maximize recycling. As part of such efforts, the share of recycled materials in packaging has been increased over the years and water put in during product manufacturing is reused to minimize resource consumption.
1) ton/KRW billion 2) ton/KRW 100 million
3) Amount of waste recycle/ pharmaceutical waste, amount of waste except medical waste x100
4) Amount of water reused/ (water withdrawal + amount of water reused)x100
Measures related to waste recycling
HK inno.N seeks various measures to reduce and recycle waste. Excluding drugs to be disposed of and medical waste that are legally required to be incinerated, most of the items consisting the waste generated at plants are recycled. Recycling bins have been placed at all plants, and used electronics are disposed of through collaboration with the e-Circular Governance for improved recycling.
In 2024, all waste items excluding pharmaceutical and medical waste that need to be incinerated or landfilled and designated waste that is difficult to be recycled (e.g. used reagents and paint) were recycled, achieving a recycling rate of 77.67% of total waste. When waste that is legally required to be incinerated is excluded from the total, the recycling rate jumps to 91.5%, which is way above the 2024 target of 82.5%.
Measures related to hazardous waste
HK inno.N discharges waste containing hazardous substances during the course of its pharmaceutical R&D, as well as used reagents and used organic solvents during the manufacturing process. Such waste are classified as ‘designated waste’ under the Wastes Control Act and as such are required to store in a separate place way from regular waste and have stricter standards applied during their collection, transport and processing. The Safety Environment Planning Team at HK inno.N, along with the Safety Environment Team at each plant, takes the lead in overseeing the whole process of how designated waste and medical waste are discharged.
To ensure employee safety and prevent environmental pollution, waste is stored safely in accordance with the company’s own waste management guidelines, and when discharged a commissioned vendor is used to ensure they are processed in a legally compliant manner. In addition, the All Baro System that has been set up by the Ministry of Environment is used to transparently report the company’s performance in waste discharge. This helps the company ward off the negative impact of antibiotic resistance in the eco-system or disruption in the eco-system caused by genetic materials.
Employee-led campaigns to reduce waste
HK inno.N operates a participatory ESG campaign where all employees take part in eliminating the use of disposable cups and leftover food and promoting the use of multi-use grocery bags to reduce waste in everyday life. Cup-rinsing devices have been installed at each plant to promote the use of reusable cups and the use of reusable cups is also recommended at the on-site café.
A total of 41,409 cases have been certified in 2024 for reusable cup use through the participatory ESG campaign, which translates into a reduction of 1159 kg of carbon emissions. Moreover, waste from electronics is another area where the company offers help in reducing, through recycling stations for used batteries and encouragement of sales and purchases of secondhand mobile phones.
Measures related to water resources
Of the manufacturing plants of HK inno.N, Osong, Daeso and Hanam plants use waterwork while the Icheon plant uses underground water in accordance with a license they acquired under the Underground Water Act. For efficient use of water resources, the quantity of water withdrawal by each site is monitored monthly. Water stress of the region in which each plant is located is also monitored annually to review possible investments in securing a stable water source in areas with high water stress. The company plans to continue to develop measures that can help with water conservation and reuse, and apply such measures across the company.
Establishment of a water reuse system
To minimize the use of water resources and mitigate the risk in disrupted water supply, HK inno.N is in the process of a water reuse system. An RO concentrated water recovery system was installed on the Osong site in 2022 to reuse the concentrated water that is discharged by the primary RO system of the water treatment system. This was followed by a review in 2023 of a possible option for the Daeso plant to redirect the RO concentrated water which had thus far been discharged as waste water into a storage tank for reuse. Quality verification and water analysis tests for the RO concentrated water have been carried out, and related discussions with the administrative jurisdiction have also been wrapped up with the conclusion that doing so would be within the bounds of the law. The RO concentrated water reuse system was installed in 2024 at the Daeso plant, leading to an increase in water reuse by 24,948 tons, and is expected to reach an annual reuse capacity of 34,000 tons.
Sustainable packaging
'To minimize product packaging and make packaging more environment-friendly, HK inno.N established its 3R strategy for sustainable packaging. The three R’s stand for Recycle, Reduce and Reuse. Based on this strategy plans and development are underway to improve the packaging for pharmaceutical products and H&B products (e.g. beverages and beauty products). This initiative aims at meeting customer needs for environmentfriendly products and minimizing the impact caused by waste in the product usage stage.
