Category: News

MCS Coca-Cola has been selected as the first-ever recipient of the Mongolian Sustainable Finance Association’s (MSFA) “Best ESG Implementing Organization” award. The MSFA began presenting this award starting this year, and chose MCS Coca-Cola as the inaugural winner in recognition of the company’s work in environmental, social, and governance (ESG) and sustainability management.

Since being founded in 2001, MCS Coca-Cola has operated in line with The Coca-Cola Company’s global policies and procedures at an international standards level, and has integrated 14 of the 17 UN Sustainable Development Goals (SDGs) for 2030 into its operations. To date, the company has invested a total of 39 billion MNT in initiatives such as improving water efficiency, reducing greenhouse gas emissions, and managing waste responsibly.

Climate

• Since 2021, the company has replaced raw coal use by constructing and commissioning an eco-friendly, smoke-free steam boiler within its factory premises. As a result, it reduces greenhouse gas emissions by 4,800 tons per year.
• Since 2013, it has introduced environmentally friendly refrigerators that operate using carbon dioxide (CO₂) rather than freon. As a result, 73% of its refrigerators are now eco-friendly, with a target of reaching 100% by 2030.
• Since 2014, the company has switched to battery-charged forklifts, making its forklift operations 100% electric.
• Its distribution trucks operate on Euro-5 fuel, and employee buses use Euro-5 engines. The company is also studying ways to transition distribution vehicles to Euro-5 engines and electric power going forward.

Water

• In 2010, the company commissioned a wastewater treatment facility and treats all water used in its production process. The reuse rate of treated water could reach 100% starting next year, as the company has signed an MOU to supply all treated water to the Amgalan Thermal Power Plant.
• Through a water-efficiency program, the company continues to reduce the amount of water used to produce 1 liter of beverage year by year.

Packaging – Plastic

• The TML plastic recycling factory was established in 2021 at the initiative of MCS Coca-Cola. In 2023, the company collected back an amount of plastic equivalent to 40% of the beverages it sold, returning it to its recycling facility. It has set targets to reach 100% collection and 50% recycling by 2030.
• The company has implemented a plastic bottle lightweighting program since 2014, saving a total of 387 tons of plastic—and therefore conserving natural resources.

Packaging – Glass

• MCS Coca-Cola’s return and reuse rate for glass bottles is 97%. In 2023 alone, this prevented 1,531 tons of glass waste and reduced greenhouse gas emissions by 4,718 tons.
• In 2022, the company launched a 300 ml glass beverage with a redesigned cap system where the seal and cap are removed together using a rotating cap, helping reduce waste.

The Mongolian Sustainable Finance Association works to encourage Mongolian businesses to adopt environmentally and socially responsible practices and to support sustainable development and green economic growth. This award is intended to recognize member organizations that contribute to the achievement of the SDGs by voluntarily following internationally applied green and inclusive principles, implementing best practices, and helping raise public awareness of successful approaches.

MCS Coca-Cola LLC has been ranked 22nd among Mongolia’s Top 100 Enterprises for 2023, in recognition of its significant contribution to national development, having paid MNT 70.7 billion in taxes to the state budget. In addition to delivering globally recognized brands to Mongolian consumers, the company is distinguished by its commitment to environmentally and socially responsible business practices.

MCS Coca-Cola locally bottles and produces 155 products across 19 brands, distributing them to consumers nationwide through a network of 17,000 business partners. In 2023, the company provided stable employment for 1,090 people.

The company has also commissioned the VIO MILLENIA Natural Mineral Water plant—the first Mongolian-made product to be produced and sold under the official Coca-Cola Company brand Vio. A total of MNT 55.6 billion was invested to enhance product quality, while MNT 194 billion worth of goods and services were procured from domestic businesses, providing substantial support to local suppliers.

MCS Coca-Cola LLC Implements a Comprehensive Environmentally Friendly Business Program

As part of its efforts to promote healthier consumption, MCS Coca-Cola has expanded its portfolio of sugar-free waters and beverages. In 2023, the company launched OOHA sparkling water and reduced sugar content across nine beverage products.

Within the framework of its comprehensive environmentally friendly business program, MCS Coca-Cola achieved the following results in the past year:

• 180,000 liters of water used in production processes were treated and reused for road cleaning and irrigation of green spaces;
• An amount of plastic equivalent to 40 percent of total plastic sales was collected and recycled;
• Through the use of environmentally friendly, smokeless steam boilers, greenhouse gas emissions were reduced by approximately 4,800 tons, contributing meaningfully to environmental protection and climate action.
• Through these initiatives, MCS Coca-Cola continues to demonstrate leadership in sustainable business practices while supporting Mongolia’s economic growth and environmental well-being.

As part of a project implemented by the World Bank’s 2030 Water Resources Group, Amgalan Thermal Plant (state-owned company) and MCS Coca-Cola signed a memorandum of understanding to reuse MCS Coca-Cola’s treated factory wastewater as an additional water supply for the plant’s expansion.

Last year, after Amgalan Thermal Plant increased its installed capacity by 116 MW, its water demand rose and required an additional water source. Meanwhile, under its eco-friendly production policy, MCS Coca-Cola has been treating and reusing 99% of the water used throughout its production process since 2010.

This water is treated to a level where fish can live, and it has been used for non-drinking purposes such as road cleaning and irrigating green spaces. However, only 3–8% of the treated water is currently reused, while the remainder is discharged to the Ulaanbaatar Central Wastewater Treatment Plant.

Amgalan Thermal Plant fully supplies the heat demand of users in Ulaanbaatar’s eastern region. The World Bank’s 2030 Water Resources Group has found that if the plant begins reusing MCS Coca-Cola’s treated wastewater, it would not only help conserve natural water resources, but also significantly reduce the investment and operating costs required for water supply. Based on this, a feasibility study has been developed to build the connecting pipeline and related equipment to link the plant to this water source through a public–private partnership.

MCS Coca-Cola’s Treated Wastewater Will Cover 40% of Amgalan Thermal Plant’s Additional Water Demand

Ts. Uranchimeg, Head of the Natural Resources Policy Implementation Division at the Ministry of Environment and Climate Change:
“If the work to connect a pipeline from MCS Coca-Cola’s factory to Amgalan Thermal Power Plant can be successfully implemented through a public–private partnership, Amgalan would become the first state-owned power plant to implement a green solution.”

M. Munkhuu, CEO of Amgalan Thermal Plant:
“Our plant is located less than 1 km from MCS Coca-Cola’s factory. Because we are so close geographically, implementing this environmentally friendly initiative that saves groundwater resources has many benefits. If the project is implemented through a public–private partnership, it would be possible to recover the costs over a five-year period.”

L. Myagmarjav, CEO of MCS Coca-Cola LLC:
“Our company follows the 3R principles: Reduce, Recycle, Reuse. Under our policy of reducing water use year by year, we built and commissioned our wastewater treatment facility with our own investment in 2010. Using our treated wastewater to support heat supply for the eastern region is, in our view, a major initiative to reduce groundwater usage and build a circular economy—treating used water and then reusing it.”

MCS Coca-Cola’s treated factory wastewater is expected to cover 40% of the additional water demand required for Amgalan Thermal Power Plant’s expansion. By reusing treated wastewater, this solution for supplying heat to the eastern zone of Ulaanbaatar has the potential to deliver multiple positive outcomes for the environment, public health, and sustainable development—supporting green growth through a zero-waste, circular economy approach.

MCS Coca-Cola LLC aims to introduce Mongolia’s first beverages packaged in recycled materials to the market starting next year. In support of this goal, MCS Coca-Cola LLC, TML Plastic Recycling Plant, and Total Distribution LLC have signed a Memorandum of Understanding with the Governor’s Office of Darkhan-Uul Province and the Provincial Education Department.

Darkhan-Uul Province has a relatively high consumption of bottled water and beverages due to its population density and urban lifestyle. Recognizing this, the province’s Development Program through 2030 includes measures to improve waste management systems. Under the cooperation framework, plastic waste will be accepted at the TML Plastic Recycling Plant’s collection point in Khutul , Darkhan-Uul Province. In addition, educational institutions at all levels will implement awareness and behavior-change activities related to waste separation and recycling.

Established in 2021 at the initiative of MCS Coca-Cola, TML Plastic Recycling Plant is a world-class facility dedicated to recycling plastic bottles from water and beverage products in line with international standards. Meanwhile, Total Distribution LLC, a subsidiary of the MCS Group, will handle the transportation of collected plastic waste as part of its corporate social responsibility efforts.

Darkhan-Uul is the first province to sign such a cooperation agreement. Going forward, similar memoranda will be signed with other provinces to expand plastic recycling efforts nationwide, as approximately 40 percent of water and beverage plastic waste originates from rural areas.

Plastic Collection Point in Darkhan:

Darkhan-Uul Province, Orkhon Street, 2nd Khoroo, Enkhtal Khutul, 45th Street

Through this partnership, Darkhan-Uul Province becomes an early regional participant in advancing Mongolia’s circular economy and supporting the “World Without Waste” vision.

MCS Coca-Cola Company and the plastic recycling TML plant announced the “Celebrate Naadam Without Plastic Waste” initiative for the second year and successfully collected 600 kg of plastic around the Central Stadium.

During the National Naadam Festival, tens of thousands of people gather, and an equivalent amount of plastic waste is generated. Therefore, this activity was organized to influence the habits of festivalgoers by encouraging them to reduce the volume of plastic and sort it for disposal in the RECYCLE ME eco bins of MCS Coca-Cola Company.

Additionally, a demonstration was set up to show the public the plastic recycling process, where recycled rPET material was made by hand and presented to visitors. T-shirts, bags, hats, and other items were also displayed to demonstrate that recycled plastic can become raw material for clothing.

MCS Coca-Cola Company’s Public Affairs and Communications Manager, E. Oyun-Erdene:

Our plastic bottle supplier, the plastic recycling “TML” plant, is responsible for collecting plastic. While we previously collected plastic equivalent to 47 percent of the beverages we sold, in the past year since launching the campaign our collection rate has increased to 61 percent. In other words, organizations, residential associations, and entertainment venues that sort plastic are now supplying it to us.

The plastic recycling “TML” plant is personally meeting with all places that generate waste to propose cooperation. Currently, out of 839 organizations that have signed agreements to supply plastic to the “TML” plant, about 390 have begun actual deliveries.

We would like to express our gratitude to the team of the City Maintenance Department for their support.