Global Sustainability Certification System for Supply Chain

ISCC (International Sustainability and Carbon Certification) is one of the leading international certification systems for sustainability and traceability in the supply chain of biomaterials, renewable energy and agricultural products. Designed to meet the stringent requirements of the global market, the ISCC standard is increasingly becoming an integral part of businesses working towards sustainable development and meeting environmental regulations in many countries.

1. History of ISCC

ISCC has been developed and implemented since 2010 in Germany, in collaboration with many leading European organizations, associations, businesses and scientists. Initially, this system was born to meet the requirements for sustainable development under the Renewable Energy Directive (RED) of the European Union. However, to date, ISCC has expanded its global scope of application and is recognized in many regions such as the Americas, Asia, Africa and Australia.

2. ISCC’s Purpose and Core Values

ISCC’s main goal is to ensure that raw materials, products, and supply chains meet strict criteria for environmental protection, sustainable development, greenhouse gas emission reduction, and respect for social rights. This system not only helps businesses improve brand value but also creates trust for partners, investors and consumers.

• Transparency of origin and supply chain.
• Minimize negative impacts on the environment and climate.
• Promote sustainable agricultural and industrial development.
• Protect the rights of workers and local communities.

3. Types of ISCC certification

ISCC currently has two main certification systems:

• ISCC EU: Accredited under the EU Renewable Energy Directive, applicable to products and biomaterials exported to the European market, focusing on reducing greenhouse gas emissions and protecting biodiversity.
• ISCC PLUS: Applicable to the global market, not limited by EU regulations. ISCC PLUS is often used for non-fuel products such as food, animal feed, chemicals, packaging materials, bioplastics, etc.

In addition, ISCC also has ancillary standards related to the fields of energy, by-products, recycling, biomass from waste and by-products, promoting the circular economy.

4. ISCC Fundamentals

ISCC is based on 6 foundational principles:

• Conservation of high-value soils for biodiversity or carbon stocks (e.g., primary forests, peatlands, wetlands, etc.) raw materials must not be exploited).
• Sustainable production practices (reducing the use of toxic chemicals, optimizing irrigation water, ensuring labor safety, conserving land and water resources).
• Protect the natural environment (do not destroy forests, do not encroach on sensitive lands).
• Protection of social rights (prevention of forced labor, ensuring fair working rights and conditions for employees).
• Comply with international laws and regulations.
• Supply chain control and transparency (traceability of raw materials from origin to final finished product).

5. ISCC Certification Process

To achieve ISCC certification, an organization/business needs to take the following steps:

• Register for certification with the ISCC Organization or its representative in the host country.
• Prepare relevant documents and documents on policies, production processes, quality management, personnel records, environment, etc.
• Conduct internal audits and improve the remaining limitations (if any).
• Independent third-party testing and evaluation organizations that have been accredited by ISCC.
• Report on the results of assessment and remediation of inappropriate scores (if any).
• Receive a valid ISCC certificate if you meet all the requirements.
• Maintain certification through periodic inspections, continuous monitoring, and innovation and improvement of production processes.

6. Benefits to businesses and society

Businesses that achieve ISCC certification will receive many great benefits:

• Increase opportunities to access international markets, especially the EU.
• Trusted and chosen by partners and customers in sustainable supply chains.
• Optimize production costs thanks to an efficient management process, reducing resource waste.
• Limit legal risks related to the environment and labor.
• Contributing to environmental protection, community development and raising the national brand.

7. Practical application of ISCC in Vietnam and the world

In Vietnam, ISCC has been applied by many enterprises in the fields of agricultural production, food processing, energy (especially the production of biofuels from sugarcane, bagasse, palm oil, corn, cassava, etc.), chemicals, plastics and packaging to increase global competitiveness. ISCC certified products often have a high export value and are prioritized in international transactions.

Around the world, ISCC is present in more than 100 countries, tens of thousands of certified businesses and organizations, contributing to the formation of sustainable supply chains throughout the globe, from raw materials to final products.

8. Challenges and opportunities in the application of ISCC

Achieving ISCC certification requires businesses to invest heavily in upgrading processes, technology, training human resources and changing the perception of sustainable development. However, this is also a great opportunity for Vietnamese businesses to improve their position in the international market, access green capital and cooperate with major partners.

The ISCC standard is not only a “passport” for businesses in the global supply chain but also a long-term commitment to sustainable development, environmental protection and community. The application of ISCC is an inevitable trend to realize green goals, improve the position of Vietnamese brands in the international arena and towards a sustainable future for both the economy and society.