KGH’s sustainability report for 2018 is out. Take part of future goals, ongoing initiatives, and what happened 2018 to learn how KGH strive to contribute to sustainable trade.
Because of KGH’s function in international trade, corporate sustainability is an exciting opportunity and responsibility. Economic growth based on increased international trade is a prerequisite for many of the UN´s 17 Sustainable Development Goals. While at the same time, it is necessary to consider social and environmental development.
“To succeed long-term, and to give our sustainability program the attention it requires, it must build on our core business. That allow us to focus our efforts and resources in one direction, and the outcome becomes a part of the total value creation,” says Lars Börjesson, CEO of KGH.
KGH pursues the sustainability work through six focus areas to reach set goals. They are divided into external and internal efforts. Some of the efforts are highlighted below.
External sustainability efforts
Creating efficient, sustainable and scalable customs processes to ensure international trade is a facilitator for business growth. Looking forward, KGH’s target is to automate customs processes 5% annually. During 2018, there was a 4% automation increase. Another important mission is to digitalize our customers’ customs processes. The coming CTDS suite will play an important part providing digital customs processes that handle the flexibility and complexity of the real world, while eliminating waste paper and cutting lead times.
An important target for KGH is to support governments in implementing trade-facilitating systems and programmes, while helping the private sector use them for better trade. KGH is world leading in implementing AEO programmes and AEO Mutual Recognition Agreement (MRA) models on a government level, with successful project implementations in Australia, Brazil, CEFTA, EU, Iceland, Saudi Arabia, UAE and many others. KGH also supports the private sector in achieving, maintaining and utilizing AEO status. Standardization is one of the main tools to reduce trade barriers and facilitate trade.
In addition to that, our expert teams in border management are helping governments across the world to optimize their processes and technology for more efficient border crossings. Better control, reduced lead-times, and reduced CO2 emissions are some of the gains achieved.
Internal sustainability efforts
By forming a Sustainability Foundation, KGH wants to support and encourage internal sustainability initiatives and centralize and formalize them within the KGH Group. The foundation consists of many voluntary members from different countries who manage and coordinate initiatives like donations and free access to customs consultancy and declarations for our charity partners. The management team is also committed to share information related to sustainability work regularly for increased transparency and continued employee inclusion.