GlobalData offers a comprehensive analysis of Mercado Libre, providing key insights into its Environmental, Social, and Governance(ESG) factors. By closely monitoring and aggregating mentions of climate change and associated ESG keywords, GlobalData delivers valuable information on Mercado Libre‘s ESG performance. GlobalData’s company profile on Mercado Libre offers a 360-degree view of the company, SWOT analysis, key financials, and business strategy including insights on ESG implementation among other information. Buy the report here.
Mercado Libre, a Latin American e-commerce company, has issued a position statement on climate change highlighting its support of urgent climate action. The company has partnered with climate tech startup Pachama to develop nature-based carbon projects that provide direct funding to local implementing organizations that have forest restoration capacity. Mercado Libre's latest filings mentioned the keywords 'Emissions' and 'Renewable Energy' most number of times in relation to 'Climate Change'.
Mercado Libre has taken several steps to reduce its carbon emissions, including a reverse logistics program that recovers 97% of returned products, including electronics and fashion products. Products that cannot be reused due to a problem are sent to the circular economy network, allowing an average of 300,000 products to be valued and reused per month. The company's packaging materials are 100% recyclable, reusable, or compostable, and 100% of cardboard is certified by the Forest Stewardship Council or produced entirely with recycled materials.
In 2022, the company's total Scope 1 emissions were 469,550 tons of CO2e, Scope 2 emissions were 17,844 tons of CO2e, while its total Scope 3 emissions were 1,207,037 tons of CO2e. The total greenhouse gas emissions (Scope 1, 2, and 3) increased by 25% to 1,694,430 tons of CO2e when compared to the base year of 2021. The company's carbon emissions have increased due to the growth of its business, but the company has decreased its carbon intensity. The company's renewable energy strategy is based on the development of off-site renewable power-purchase agreements, although in some cases, it added on-site generation based on solar panel systems. The company continues to work on its Science-based targets after signing its commitment letter to SBTi in 2022.
In conclusion, Mercado Libre is committed to urgent climate action. The company has partnered with Pachama for nature-based carbon projects, implemented sustainable practices, and reduced carbon intensity. While emissions increased due to business growth, Mercado Libre focuses on renewable energy and science-based targets. Their efforts demonstrate a proactive approach to address climate change and set an example for others.