ANNUAL NEWSLETTER 2ND EDITION | @ esgam

13

MEMBERS ' ESG JOURNEY

Breeding corner is at the hospital

tracking of waste input and emissions data. The company also actively promotes sustainable animal feed by replacing soy and fishmeal with insect protein, thus reducing deforestation and overfishing associated with conventional feed sources.

In East Malaysia, Entomal Borneo is working on converting palm oil and sago waste into valuable products like poultry and aquafeed through a joint venture with the Sarawak Economic Development Corporation( SEDC), further addressing agricultural waste and feed dependency at the state level.

2. Measuring and Tracking Environmental Impact

Entomal takes a data-driven approach to sustainability. It tracks key environmental metrics such as the volume of waste treated, CO 2-equivalent emissions prevented, larval protein harvested, and frass produced. As of now, the company has treated 38.2 tonnes of waste, harvested 6.2 tonnes of larvae, produced 7.2 tonnes of organic frass, and prevented 95 tonnes of CO 2 emissions. These impact figures are reported to partners and clients via carbon reports, supporting ESG compliance and awareness.

Entomal is also working on Verra carbon verification and aims to onboard its waste treatment operations into future carbon credit projects.

3. Challenges in Transitioning to Sustainable Business Practices

Despite the clear benefits, transitioning to sustainable models poses challenges. One major barrier is the lack of policy incentives or subsidies for circular waste management compared to conventional systems like landfilling.

There’ s also limited awareness and trust in insect-based products, requiring continuous stakeholder engagement and education. Additionally, scaling infrastructure such as bioconversion plants requires substantial upfront investment and regulatory approvals.

Nonetheless, Entomal remains committed to driving impactful change by leveraging innovation, partnerships, and data to make sustainability not only viable but essential for a resilient future.