Arla Foods Consolidated Annual Report 2021 slide image

Arla Foods Consolidated Annual Report 2021

19 Arla Foods Consolidated Annual Report 2021 / Strategy / lead sustainable dairy LEAD SUSTAINABLE DAIRY Climate change and malnutrition are amongst the most difficult challenges of our time. Providing a healthy, affordable, and environmentally friendly diet for a growing population requires a radical transformation of the global food system. To lead this transformation towards a more sustainable future we must accelerate our actions to meet our targets, and we must secure a strong commercial value to make the journey financially sustainable for our owners. 1.5 DEGREE COMMITMENT Contents III How will we do that? • Arla farmers will lead the way and accelerate carbon reductions through more efficient practices and new technologies. • We will inspire healthier and stronger lives by offering more healthy, natural and affordable products • We will create a sustainable supply chain by investing in energy optimization and green electricity and converting our vehicles to fossil free fuel • We will create circular packaging by using less and better plastic and ensuring our packaging is recyclable. • We will secure a strong commercial value to make the journey financially sustainable for our owners. FARMS 1. Supporting implementation and monetize on-farm progress 2. Numerous levers identified to jointly secure reduction, eg. Breeding, feeding, peat soil management 3. Developing and scaling of new technologies OPERATIONS PBB 1. Reducing energy consumption through on-site investments and efficiencies 2. Using 100 per cent green electricity in Europe by the end of 2025 3. Creating pilots for new technologies and fuels, e.g. high temperature heath pumps LOGISTICS 1. Reducing mileage through optimization 2. Fossil free fleet through conversion of our internal fleet to biodiesel, biogas and electric trucks 3. Engaging suppliers to secure that they also reduce fossil fuels in their fleet PACKAGING 1. Ensuring that our branded packaging is actually recyclable where our consumers live 2. Securing recycled and bioplastic availability and developing solutions to use these materials 3. Replacing plastic by developing fiber solutions 7 Read more about Our sustainability journey on page 23
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