dairy sustainability a new zealand...

Dairy Sustainability

A New Zealand Perspective

Jeremy Hill, Chief Science & Technology Officer, Fonterra Group

Professor Sustainable Nutrition, Riddet Institute

Ross Abercrombie, Project Manager, On Farm R&D, Fonterra Group

EDA Convention, Dublin 14 November 2018

Confidential to Fonterra Co-operative Group - November 2015

The Global Food

System is Complex

and not Sustainable


The DELTA model

“We are developing a model to help solve one of the most

pressing issues facing the world - how to sustainably feed

everyone in the future, a future that will see an additional 1.1B

people by 2030 and possibly a global population of 10B by

2050.”


DELTA Model Structure

Confidential to Fonterra Co-operative Group

Increasing global

demand for food

• World facing significant

challenge to feed growing

population

– Increasing population

– Emerging economies /

middle class

– Recognition of protein’s vital

role in healthy diets

• Demand for animal derived

protein expected to double by

2050


…combined with

increasing

environmental

constraints • Current systems can’t support

future demand while reducing

impact on environment

• Will be a gap in how much food

– particularly protein – can be

produced via existing methods

• Climate change working

against existing food

production systems


New Zealand’s

Dairy Production

Carbon Farmprint

• New Zealand has less than 5

million people but produces

enough nutrition to feed 50

million people

• Agriculture represents

approximately 50% of New

Zealand’s GHG national

inventory - dairy 25%

• This is not because agriculture

and dairy in New Zealand is

carbon inefficient quite the

opposite

• Efficiency a result of

predominantly pasture fed farm

systems

25%National GHG emissions

from dairy


New Zealand’s

Dairy Product

Carbon Farmprint • As a result of a climatic

advantage the pasture-based

dairy system in New Zealand is

a very carbon efficient source

of nutrition.

• This is the result of the

combination of breeding,

feeding and other farm

management practices.

<0.9KG CO2 equ.

per litre PFC milk


New Zealand and Fonterra relative to Global GHG

Emissions


Case Study

New Zealand

Farmprint

• Fonterra has conducted life cycle assessment

and reporting carbon footprint since 2007

• Carbon footprint (Cradle-to-Farm-Gate) of

Fonterra 0.87kgCO2/kg FPCM, contributes 85%

of total chain emissions in 2017

• Independent study (Chobtang et al 2017)

assessed high and low intensity dairy in Waikato,

median of 0.80kgCO2/kg FPCM

• World average 1.391

-2.42

kgCO2/kg FPCM with

worst up to 9kgCO2/kg FPCM

1. Clune et al 2017: Systematic review of greenhouse gas emissions for different fresh food categories. Journal of Cleaner

Production 140: 766-783.

2. Opio et al 2013: Greenhouse gas emissions from ruminant supply chains – A global life cycle assessment. UN (FAO),


Comparisons of milks and plant-based

dairy alternatives

0

1

2

3

4

5

6

7

8

9

Sheep(Global)

Goats(Global)

Cows(Global)

Cows(NZ)

Soya(Global)

Almond(Global)

Coconut(Global)

kgC

O2

eq

/ kg

or

L p

rod

uct

Milk sourceSource: Various LCA studies of dairy

related products 2010-2016


• Efficient dairy production system – feed conversion

efficiency from pasture – kgMS/ha focus

• High use of pasture vs concentrates

• Low use of arable cropping/fertilisers

• Animal longevity/lifespan and low replacement rate

Key factors driving

NZ low emission

intensity


Product

Environmental

Footprinting

• Developed by European Commission since 2014

• PEF provides a multi factor LCA across 15 impact

categories

• Positives – international awareness, multiple impact

categories, uses LCA

• Challenges - large cost, complexity, and communication

• Potential – use to qualify brand claims and counter

unsubstantiated claims

• Fonterra engaged to understand pasture based dairy

systems


Product

Environmental

Footprinting

Results


Data and analysis:

• Complexity versus robustness

• On-farm stage critical, sound primary data essential

Communication:

• 15 Indicators versus 3-5 key indicators versus Single

score (normalised & weighted)?

• How will results be presented to the public?

• Risk of inappropriate use?

• Implications for comparisons across different food

products?

Product

Environmental

Footprinting

Challenges


• Pastoral Greenhouse Gas Research Consortia – methane

inhibitors, vaccine, selective breeding, farm system

optimisation

• NZ Agriculture Greenhouse Gas Research Centre – low

nitrous oxide forages, optimising N fertiliser, soil carbon

stock assessments

• Global Research Alliance –international reach for science

collaborations

• Solutions to biological gases are applicable globally

NZ focus on

solutions to

reduce biological

emissions


GRAIN – “Emissions

Impossible”

• Methodology - multiple FAO

GLEAM Oceania average

(1.6kgCO2eq/kgFPCM) x NZ

production equating to double

Fonterra emissions and greater

than full NZ Ag inventory

• Made claims of under reporting

emissions

• Grouped Fonterra and Dairy

Farmers of America together with

3 large beef companies to

compare against BIG oil

• Blogs and popular press picked up

this “fake news” story

• Conclusion – care required with

base data and calculations


Rotz, C. A.

Journal of Dairy

Science 2018

• Based on “representative farms” without

background data or model assumptions

• Emission factors applied not clear – methane

differs in USA vs NZ

• Incorrect assumptions on cropping and levels

of feeding applied in models

• Presented at Conference and since cited by 4

in 2018

C. Alan Rotz USDA

Modelling greenhouse gas emissions from dairy farms

Journal of Dairy Science, 2018

http://doi.org?10.3168/jds.2017-13272


• Dairy remains a staple for emission efficient nutrition to

nourish the world

• New Zealand dairy producers are amongst the most

emission efficient producers of dairy in the world

• Relevant data and must be used to determine GHG

footprints or significant misinterpretation can occur

• Practical Implementation of PEF will be challenging

• NZ remains committed to finding new solutions to

biological emissions alongside international

collaborations

Conclusions


Thank you

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