The Consumer Goods Forum (CGF)’s Towards Net Zero Coalition has released the Key Takeaways Report from its 2024 Commodity Masterclass series, which summarises the progress made by leading food firms in decarbonising their food supply chains.
Food supply chains are responsible for 25% of global greenhouse gas emissions, the CGF noted.
The 2024 series focused on commodities including dairy, potatoes, cocoa and coffee, with sessions led by Ahold Delhaize, Bel Group, Danone, Mondelēz International and PepsiCo.
Common challenges
The report found that a number of challenges were common across all participating companies, including a fragmented supplier landscape, with production spread across millions of smallholder farmers in different countries; regional differences in climate, soil, and farming models making standardised solutions difficult; a lack of accessible, organised data in several markets; a need for diverse financing mechanisms to share costs and de-risk investments; and infrastructure gaps and technical barriers to low-carbon technology adoption.
Key initiatives highlighted during the sessions include Bel Group and Danone’s implementation of regenerative agriculture and methane reduction strategies for dairy; PepsiCo turning to renewable energy pilots for potato farming; Mondelēz International’s efforts to mitigate deforestation through its Cocoa Life project, and Ahold Delhaize’s investment in Rainforest Alliance-certified coffee.
“The current coffee production model, which focuses on cost reduction and profit maximisation, contradicts sustainability commitments,” Sven Drillenburg, green coffee buyer and sustainability lead, Ahold Delhaize Coffee Company, noted in the report. “We need to find a way to get financial incentives to the farmers where they can actually make a difference in how they produce the coffee.”
‘A vital platform’
“The Commodity Masterclasses provide a vital platform for collaboration and knowledge sharing within the consumer goods industry,” commented Sharon Bligh, director of health and sustainability at The Consumer Goods Forum (pictured).
“The insights and solutions shared in the 2024 report are crucial for accelerating decarbonisation efforts and creating scalable solutions for sustainable food supply chains.”
The CGF added that the Commodity Masterclasses will continue into 2025, ‘expanding their impact and fostering collaboration to achieve net-zero goals’. More information is available here.
