FLAG Emissions Measurement
SBTi Target Validation Support
Food & Beverage
Tokyo, Japan
7,916 employees (consolidated)
As of April 30, 2025
Granular FLAG measurement across thousands of elements
Terrascope applied its emission factor (EF) decomposition method and data science to Ito En's existing GHG emissions data, breaking emission factors down into thousands of elements. FLAG emissions were measured and visualised at a granular level with minimal additional data collection.
A complete submission built for stricter SBTi review
Drawing on global experience and an expert network, Terrascope designed a submission covering well-to-wheel (WTW) emissions (Scope 3 Categories 4, 6, 7 and 9), downstream supply chain emissions (Scope 3 Categories 9 and 12), and emissions from affiliated and non-consolidated companies, keeping pace with the latest SBTi review practices.
First response in 6 business days, SBTi validation in about 2 months
Ito En returned its first response and supporting evidence within 6 business days of receiving the SBTi's initial questions, then handled follow-up questions quickly. Validation was completed in about two months, and Ito En's SBTi near-term targets, including FLAG, were validated.
Ito En worked with Terrascope to measure its FLAG emissions at a granular level by decomposing the emission factors in its existing GHG data. With Terrascope supporting the submission and every round of SBTi questions, Ito En completed validation in about two months and secured validated SBTi near-term targets, including FLAG.
Ito En is a leading manufacturer of tea leaf products and soft drinks. Guided by its management philosophy of "Always Putting the Customer First," Ito En aims to be a "health-creating company" and the "World's Tea Company," contributing to the health of customers worldwide and supporting fulfilling lives.
The company practises sustainability management that creates social and economic value through its core business activities, pairing sustainable growth with solutions to environmental and social challenges to build corporate value over the medium to long term. Its business is founded on "product creation from the tea field," led by its flagship brand Oi Ocha, and it works with suppliers to build a sustainable global supply chain.
As a company whose products come mainly from nature, with tea at the centre, Ito En treats value chain decarbonisation and resource circularity as priority themes. In line with this, it has been working to align with the SBTi FLAG guidance so it can accurately understand and manage its agricultural emissions.
Since 2023, the SBTi has required companies in FLAG sectors to set FLAG targets as part of SBT validation, which made FLAG measurement essential for Ito En. The company needed a clearer view of the scope, the measurement steps and the data required, and had yet to build an internal FLAG measurement workflow.
Ito En had yet to design a process for preparing the SBTi submission, organising supporting evidence, responding to questions, and documenting everything with full traceability. A drawn-out review could have pushed back its disclosure schedule. A smooth validation called for preparation built around what SBTi reviewers look for.
The SBTi published version 2.0 of its Corporate Net-Zero Standard in June 2026, updating requirements on target setting and Scope 3. For the key changes and what they mean for large companies, read SBTi Corporate Net-Zero Standard V2.0: What's Changed for Large Companies.
Starting from Ito En's existing GHG emissions data, Terrascope refined the emission factors in three steps (decompose, allocate, integrate), capturing every FLAG-specific element at a granular level.
Related reading: What Percentage of Emissions Come From Agriculture?
Drawing on experience from Japanese and global projects and its network of experts, Terrascope supported Ito En for about a year, from preparing the submission documents through every round of questions, and kept pace with the latest SBTi review practices. For Ito En, Terrascope proposed and implemented calculation approaches for the following newer requirements, so the submission left nothing out:
Ito En built a working understanding of FLAG fundamentals under the GHG Protocol and SBTi guidance, including scope and the measurement process (EF decomposition, allocation and integration, and the treatment of WTW and downstream emissions), to the point where it can apply them to its own data.
Terrascope applied its proprietary EF decomposition method, aligned with the SBTi FLAG guidance, to the data Ito En already held. FLAG measurement needed no additional data collection or recalculation, which significantly cut the effort and lead time involved.
With Terrascope alongside, Ito En took its SBTi near-term targets, including FLAG, from design through submission and Q&A. It returned its first response and supporting evidence within 6 business days of receiving the initial questions, and answered follow-up questions by clarifying the key issues and strengthening the evidence. Terrascope interpreted what reviewers were asking and advised on how to respond. Ito En completed validation in about two months without delays, and can now present prioritised reduction plans aligned with international standards to internal and external stakeholders.