Dairy accounts for 21 percent of Nestlé's emissions. File photo. Photo: RNZ / Sally Round
Synlait Milk is partnering with global food giant Nestlé to fund new ways to cut on-farm greenhouse gas emissions.
Chief executive Grant Watson said the partnership would see Nestlé and Synlait cover the bulk of the investment to build on what the companies and farmers were doing already, as well as look for innovation in fighting carbon emissions.
The amount of money each would be putting in was not disclosed.
"The partnership is focused on pragmatic on-farm solutions that improve efficiency, such as effluent management systems, emissions-friendly feed options, advanced soil testing, alternative fertilisers, and tree planting," Watson said.
About 40-50 Synlait suppliers would be involved.
"It's leveraging technologies that are available in market right now and will expand over time to include emerging technologies as they become available."
The seven-year programme would also result in more business between Synlait and Nestlé, which Watson said would be good for Synlait's bottom line.
Nestlé's global chief procurement officer Patricia Stroup said dairy was its single biggest ingredient and the largest source of Scope 3 greenhouse gas emissions, accounting for 21 percent of its emissions.
The partnership was a response to consumer demand.
"None of us can do this alone. Knowing this drives us to find new ways of working together, and means we need to collaborate with our dairy suppliers to adopt new ways to reduce emissions, and with farmers to create plans for climate, methane, and regenerative agriculture."
She said Nestle was following similar initiatives with other New Zealand suppliers.