Kirin Holdings Enhancing Sri Lanka’s Black Tea Farms with Regenerative Tea Scorecard and Rainforest Alliance
Kirin Holdings Company, Ltd. (Kirin Holdings) (TOKYO: 2503) and Kirin Beverage Company, Ltd. (Kirin Beverage) have been actively working with the Rainforest Alliance since October 2023 to develop an innovative tool aimed at facilitating a transition to regenerative agriculture. This initiative, known as the Regenerative Tea Scorecard, is designed to support tea farmers in implementing environmentally sustainable agricultural practices that contribute to conservation, restoration, and the long-term health of their farmlands.
The tool is scheduled to become operational by December 2024, with a primary focus on selected tea plantations in Sri Lanka, a key producer of tea leaves used in Kirin’s flagship tea brand, Gogo-no-Kocha. By the end of 2025, the tool is expected to be in use at one large estate and 30 small farms across Sri Lanka.
The Concept of Regenerative AgricultureRegenerative agriculture is a holistic approach that goes beyond traditional sustainable farming methods. It focuses on improving soil health, increasing biodiversity, and restoring natural ecosystems while ensuring the economic resilience of farmers. The Regenerative Tea Scorecard, developed in collaboration with the Rainforest Alliance, serves as an accessible and voluntary framework for tea growers to evaluate their current farming practices, identify improvement areas, and transition toward regenerative techniques.
This scorecard aligns with the Rainforest Alliance’s definition of regenerative agriculture, which integrates eco-friendly farming practices with systematic land management strategies. By promoting soil conservation, biodiversity enhancement, and ecosystem restoration, the initiative aims to mitigate the environmental challenges that tea plantations face while securing a stable livelihood for farmers.
The Role of Sri Lanka in Japan’s Tea Supply ChainSri Lanka plays a pivotal role in supplying tea to Japan. According to data from Kirin Beverage, approximately 40% of black tea leaves imported into Japan originate from Sri Lanka. Out of this volume, around 20% is used specifically in the production of Kirin’s Gogo-no-Kocha tea.
Since 2013, the Kirin Group has been supporting tea estates in Sri Lanka in obtaining Rainforest Alliance Certification to foster sustainable partnerships with tea-growing communities.
In a further step toward sustainability, Kirin Beverage has been offering its 250ml LL Slim Kirin Gogo-no-Kocha Straight Tea since 2021, using 100% Sri Lankan tea leaves. Notably, more than 90% of these tea leaves are Rainforest Alliance Certified, reinforcing Kirin’s commitment to responsible sourcing and environmental stewardship.
This certification ensures that farms meet stringent environmental and social responsibility criteria while producing high-quality tea. By the end of 2023, 94 large farms in Sri Lanka—representing about 30% of all large tea plantations in the country—had successfully obtained Rainforest Alliance Certification.
Challenges Faced by Tea Plantations in Sri LankaTea plantations in Sri Lanka encounter multiple challenges that threaten both productivity and sustainability. Some of the key issues include:
Climate Change Impacts:
Rising temperatures, prolonged droughts, and Kirin Holdings erratic rainfall patterns disrupt tea cultivation cycles.
Intense heavy rainfall can lead to soil erosion and degradation, negatively affecting soil fertility and yield.
Land Use Changes:
Urbanization and infrastructure development have reduced the land available for tea cultivation, putting pressure on existing farms.
Economic and Social Challenges:
Small-scale tea farmers often struggle with fluctuating market prices, limited access to resources, and difficulties in adopting sustainable farming practices.
Many farms have not yet achieved Rainforest Alliance Certification due to financial and logistical constraints.
Recognizing these challenges, Kirin Holdings has actively sought solutions that not only improve environmental resilience but also enhance the livelihoods of farmers. The Regenerative Tea Scorecard is a direct response to these pressing concerns, aiming to make sustainable farming more accessible and practical for tea growers.
Kirin’s Commitment to Natural Capital and Sustainable ReportingKirin Holdings has been a frontrunner in integrating natural capital accounting into its environmental initiatives. In July 2022, the company became the first in the world to trial natural Kirin Holdings capital disclosures for Sri Lankan tea plantations, using the LEAP (Locate, Evaluate, Assess, Prepare) approach advocated by the Taskforce on Nature-related Financial Disclosures (TNFD). This initiative was detailed in Kirin’s Environmental Report 2022.
Building on this framework, the Environmental Report 2023, published in July 2023, conducted a detailed analysis of Sri Lankan tea plantations, assessing their Kirin Holdings dependencies and environmental impacts. By June 2024, the Environmental Report 2024 will further evaluate risk factors and outline future directions for regenerative agriculture initiatives.
Through these reports, Kirin has demonstrated that transitioning to Rainforest Alliance Certification and regenerative agriculture is a viable strategy to tackle the challenges faced by tea plantations. However, the reports also highlight that many small-scale farms still lack access to sustainable farming tools and certification. To bridge this gap, Kirin is working closely with the Rainforest Alliance to develop and implement the Regenerative Tea Scorecard, which is expected to improve the long-term sustainability of tea production in Sri Lanka.
The Future of Sustainable Tea Farming
The introduction of the Regenerative Tea Scorecard represents a significant step toward sustainable tea farming in Sri Lanka. This initiative aims to:
As climate change, urbanization, and economic pressures continue to challenge tea production, innovative solutions like the Regenerative Tea Scorecard are essential to ensuring a sustainable future for the industry. Kirin Holdings and Kirin Beverage, in partnership Kirin Holdings with the Rainforest Alliance, are at the forefront of this transformation, advocating for a greener, more resilient tea-growing ecosystem in Sri Lanka.
By the end of 2025, as the Regenerative Tea Scorecard takes root in tea plantations across Sri Lanka, it is expected to bring tangible benefits to both farmers and the environment. This initiative underscores Kirin’s long-term vision of promoting sustainable agriculture, preserving natural resources, and delivering high-quality, responsibly sourced beverages to consumers worldwide.
