Arla Foods Annual Report 2020
Management Review Our Strategy
Our Brands and Commercial Segments Our Responsibility Our Governance
Our Performance Review
Our Consolidated Financial Statements
Our Consolidated Environmental, Social and Governance Data
CLIMATE CHECKS
ON FARMS
In Arla, we acknowledge our responsibility to reduce our environmental
footprint as much as possible, and together with our farmer owners we have
set ambitious reduction targets accepted by Science Based Targets for 2030
and a carbon net zero ambition for 2050. In 2020, we implemented our global
Climate Check tool on 93 per cent of our owners' farms, enabling us to build
one of the world's largest sets of externally verified dairy farming climate data.
CLIMATE CHECKS
Areas measured in the Climate Checks:
1)
Our farmer owners produce milk with a climate
impact per kilo milk of about half the world
average 1. However, we continuously work
together with our owners to reduce farm level
emissions even further to reach our 2030 and
2050 climate targets.
In 2019, we introduced our new global Climate
Check tool, which we continued to roll out in 2020.
It has now been implemented by 93 per cent of our
active farmer owners covering 96 per cent of our
owner milk volume. The tool helps farmers to
identify emissions on the farm, providing a clear
picture of the actions they can take to reduce
emissions further. To reach our 2030 target, farmer
owners must reduce emissions by an average of
3 per cent annually.
All our farmer owners provide information covering
aspects like herd size, housing, milk volumes, feed
usage and feed production, energy and fuel usage
and renewable energy production. The data is
audited by an external advisor who visits the farm
to also point out areas where the farmer is doing
well, and to give detailed advice on action plans to
improve efficiency and reduce emissions and the
environmental impact.
With this externally verified dairy farming climate
data set, Arla is also building a solid foundation for
benchmarking and knowledge sharing across the
dairy industry. During 2020, we were in close
dialogue with our farmer owners and key stake-
holders, such as farm advisory experts, to collect
feedback and advice on how to improve and
strengthen the assessments even further.
Farmer owners who signed up for the Climate
Check programme in 2020 were paid a financial
incentive of EUR-cent 1.0 per kilo of milk. Covid-19
caused a delay in conducting the Climate Checks,
but by the end of March 2021, all Arla farmers who
signed up for the Climate Check programme are
estimated to have completed a Climate Check.
Go to page 124 to read more about our CO₂e
emissions. Visit our Responsibility Report to read
more about Climate Checks.
Number of
animals
Feed
composition
Crop
production
Use of
fertilizer
Manure
handling
Use of
electricity, fuel
and renewable
energy
Arla is involved in developing an
international standard for carbon
sequestration (capturing and storing
carbon in the soil), which will be
piloted on Arla farms in 2021.
34 ARLA FOODS ANNUAL REPORT 2020
1) the Food and Agriculture Organization of the United Nations and Global Dairy Platform, 2019View entire presentation