Major food companies Nestlé and Mars are partnering with Fonterra, a New Zealand dairy group, to support projects that encourage farmers to lower greenhouse gas emissions in their dairy operations. This initiative is part of a larger goal by both companies to reach net-zero emissions throughout their activities by 2050.
Dairy farming plays a big role in the emissions for both companies, with Nestlé’s emissions being the highest from dairy, while it’s the second highest for Mars’ snack products. The agreements will provide financial backing so farmers can access better tools and technologies to cut emissions. Farmers who lower their emissions the most will also receive incentive payments.
Jennifer Chappell, CEO of Nestlé New Zealand, noted that the company is dedicated to reducing emissions and will work with Fonterra to create new opportunities for farmers while helping to lower their greenhouse gas output.
Mars has pledged $27 million over five years for its collaboration with Fonterra, which is expected to cut its dairy-related emissions by over 150,000 metric tons by 2030. This effort is part of Mars’ “Moo’ving Dairy Forward” program aimed at addressing the environmental impact of its dairy supply. Amanda Davies, Chief R&D, Procurement, and Sustainability Officer at Mars Snacking, pointed out that this initiative not only helps the environment but also provides substantial support for farming families.
Fonterra launched its Climate Roadmap in 2023, targeting a 30% reduction in emissions from farms by 2030, using 2018 levels as a starting point, and aiming for net-zero emissions by 2050. CEO Miles Hurrell highlighted the importance of building strong relationships with customers concerned about sustainable and high-quality milk production to meet these emission goals and benefit farmers.
These partnerships show a growing movement in the food industry, where companies are putting more resources into sustainable practices and working with suppliers to tackle environmental issues in their supply chains.
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