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Danone Murray Goulburn

OVERALL

Owned
CAN/FRA
Rating
Criticism, some praise

Dairy joint venture

Murray Goulburn Co-operative and Danone announced their Australian yoghurt joint-venture in March 2010. Manufacturing is at Kiewa (VIC).

Company Ownership

Danone Murray Goulburn   CAN     website         
  Saputo Dairy Australia Pty Ltd   
   owns 50% of Danone Murray Goulburn  
AUS     website   email   facebook   twitter

Dairy product manufacturing

Saputo Dairy Australia was formed in 2018 when Canadian dairy giant Saputo bought Murray Goulburn Co-operative for $1.3 billion. Murray Goulburn Co-operative was previously owned by Australian dairy farmers and formed by farmers in the state of Victoria, Australia in 1950. Saputo also bought Warrnambool Cheese and Butter Factory Company in 2014 and has begun to integrate the two companies under Saputo Dairy Australia.

    Saputo Inc   
     owns 100% of Saputo Dairy Australia Pty Ltd  
CAN     website   email      

Dairy processor

Largest dairy processor in Canada, and the twelfth largest in the world. Majority owned by the founding Saputo family. Founded in Canada in 1954, the company has expanded by mergers and acquisitions, particularly the USA, UK, Germany and Argentina. Acquired Australian dairy companies Warrnambool Cheese & Butter in 2014 and Murray Goulburn in 2018, and has begun to integrate the two companies under the name Saputo Dairy Australia.

  Danone SA   
   owns 50% of Danone Murray Goulburn  
FRA     website      facebook   

Food and beverages, especially dairy, water and baby formula

One of the largest food producers in the world: fresh dairy products (#1 worldwide), waters (#2 on the packaged water market), baby nutrition (#2 worldwide) and medical nutrition. Bought baby nutrition company Royal Numico in 2007 for US$16.8bn.

> About the Ratings

Company Assessment

PRAISE CRITICISM INFORMATION
Danone Murray Goulburn
Business Ethics Joint Venture between two companies with criticisms
Danone Murray Goulburn is a joint venture between Saputo Dairy Australia and French food giant, Danone, both of which have criticisms in the Shop Ethical database.
Source: company website (2020)
Saputo Dairy Australia Pty Ltd
Environment Australian Packaging Covenant signatory
Signatory to the Australian Packaging Covenant, a voluntary agreement to encourage waste minimisation.
Source: Australian Packaging Covenant (2020)
Social Breaching advertising codes
This company has been criticised for offensive advertising. In 2013/14 the Advertising Standards Bureau upheld complaints about five ads by this company on the grounds that they breached advertising codes. The ads were subsequently discontinued or modified.
Source: Advertising Standards Bureau (2014)
Business Ethics Cuts to farm-gate price
In April 2016 Murray Goulburn reduced its farm-gate price for raw milk from an average of $5.60 to $4.75-$5. This was criticised as below the cost of production.
Source: news article (2016)
Business Ethics Excessive executive pay
Former Murray Goulburn boss Gary Helou pocketed $10 million as farmers struggle to break even after reduced farm-gate prices for milk. Now Mr Helou, who owns a $3.2 million luxury NSW home, has been named in a shareholder class action lodged in the Supreme Court which claims Murray Goulburn knowingly made misleading statements about forecast profits and production.
Source: news article (2016)
Business Ethics Pending class action
This company and its eleven directors has been named in a shareholder class action lodged in the Supreme Court in May 2016 which claims Murray Goulburn knowingly made misleading statements about forecast profits and production as it embarked on its $500 million pre float raising.
Source: news article (2016)
Business Ethics Murray Goulburn fined for disclosure breach
In 2017 the Australian Securities and Investments Commission (ASIC) fined Murray Goulburn $650,000 over an alleged breach of its disclosure obligations in the lead-up to a dramatic price cut paid to its farm suppliers in April 2016. Company ownership has since changed.
Source: news article (2017)
Environment Packaging Award 2014/5
Murray Goulburn won awards in 2014 and 2015 from the Australian Packaging Covenant, for demonstrating their commitment to environmental sustainability by performing 'above and beyond' in their efforts to minimise waste. This company achieved the highest overall score in their category, most improved.
Source: Australian Packaging Covenant (2015)
Social MAIF signatory
This company is a signatory to the Manufacturers and Importers Agreement 1992 (MAIF), a voluntary self-regulatory code of conduct between the manufacturers and importers of infant formula in Australia. The MAIF Agreement aims to contribute to the provision of safe and adequate nutrition for infants, by the protection and promotion of breastfeeding and by ensuring the proper use of breast milk substitutes, when they are necessary, on the basis of adequate information through appropriate marketing and distribution.
Source: Australian Govt Dept of Health (2019)
Business Ethics Corporate citizenship claims
This company has corporate citizenship claims on its website, under the headings responsible sourcing, environment, community, food safety and business ethics.
Source: company website (2020)
Business Ethics No tax paid in 2016/7
According to data released by the Australian Tax Office in Dec 2018, this company was one of 2,159 local and foreign-based companies that paid no tax in Australia in 2016-17. Please note however that companies pay income tax on profits, not revenue (total income). While some companies use tax havens and loopholes to avoid paying their fair share of tax in Australia, other companies that paid no tax have perfectly legitimate reasons.
Source: ATO (2018)
Saputo Inc
Environment CDP Climate Change Score of B
In 2020, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change Score of B.
Source: CDP (2020)
Business Ethics 17/100 S&P Global ESG Score
This company received an S&P Global ESG Score of 17/100 in the Food Products category of the S&P Global Corporate Sustainability Assessment, an annual evaluation of companies' sustainability practices (last updated 7 Feb 2021). The rankings are based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
Source: S&P Global (2021)
Social Fined for worker death in Canada
This company was fined C$187,500 after a worker was killed by a cheese cutting machine. The Ontario Court of Justice levied the fine on May 1, 2018 after the company pleaded guilty to failing to ensure a pinch point was guarded resulting in the worker's death in December 2016.
Source: Bloomberg (2018)
Business Ethics Possible GE in Canada brands
This company has products rated RED in Greenpeace Canada's "How to Avoid Genetically Engineered Foods" Shoppers Guide. Products on the RED list are likely to contain GE or GE-derived ingredients from the most widely grown GE crops, usually corn, soy, canola or cotton. Companies on this list have confirmed that their products may or are likely to be made with GE ingredients, or have not denied using GE foods when given the opportunity to do so.
Source: Greenpeace Canada (2013)
Business Ethics Corporate citizenship claims
This company has corporate citizenship claims on its website, under the headings responsible sourcing, environment, community, food safety and business ethics.
Source: company website (2020)
Social CDP Water Security Score of C
In 2020, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to manage and govern freshwater resources. Responding companies are scored on six key metrics: transparency; governance & strategy; measuring & monitoring; risk assessment; targets & goals; and value chain engagement. This company received a CDP Water Security Score of C.
Source: CDP (2020)
Animals Tier 4 in farm animal welfare rankings
The 2020 Business Benchmark on Farm Animal Welfare (BBFAW) report ranks global food companies on how they are managing and reporting their farm animal welfare policies and practices. This company appeared in tier 4, "Making progress on implementation", with tier 1 being the best, and tier 6 the worst.
Source: BBFAW (2020)
Animals Response to cow abuse video
A 2015 Mercy For Animals Canada investigation revealed animal abuse at Chilliwack Cattle Company - a major Saputo dairy supplier. Saputo responded by releasing a new animal welfare policy and saying it will refuse to buy milk from farmers that don't treat their animals humanely. The policy also commits to eliminating the practice of cutting or docking the cow's tail, administering pain control when dehorning cattle and reducing stress on cows through low-energy animal handling methods.
Source: news article (2015)
Danone SA
Environment CDP Climate Change Score of A
In 2020, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change Score of A.
Source: CDP (2020)
Environment CDP Forests Score of A
In 2020, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts towards removing commodity-driven deforestation and forest degradation from its direct operations and supply chains. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Forests Score of A.
Source: CDP (2020)
Social Access to Nutrition rating
The Access to Nutrition Index (ATNI) is a global initiative that evaluates the world's largest food and beverage manufacturers on their policies, practices and performance related to undernutrition and obesity. Of the 22 companies ranked this company came 3rd.
Source: Access to Nutrition Foundation (2018)
Social CDP Water Security Score of A
In 2020, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to manage and govern freshwater resources. Responding companies are scored on six key metrics: transparency; governance & strategy; measuring & monitoring; risk assessment; targets & goals; and value chain engagement. This company received a CDP Water Security Score of A.
Source: CDP (2020)
Animals Tier 2 in farm animal welfare rankings
The 2020 Business Benchmark on Farm Animal Welfare (BBFAW) report ranks global food companies on how they are managing and reporting their farm animal welfare policies and practices. This company appeared in tier 2, "Integral to business strategy", with tier 1 being the best, and tier 6 the worst.
Source: BBFAW (2020)
Environment Palm oil scorecard - WWF
The WWF Palm Oil Buyers Scorecard 2019 assesses 173 companies on the commitments they have made, and the actions they have taken, to ensure that there is no destruction of nature including no deforestation along their supply chains; and support a responsible and sustainable palm oil industry beyond their own supply chain. This company is rated 'well on the path' with a score of 16.1 out of a possible total of 22.
Source: WWF Palm Oil Buyers Scorecard 2019 (2019)
Social Human Rights Benchmark
The 2019 Corporate Human Rights Benchmark assessed 200 of the largest publicly traded companies in the world from the Agricultural Products, Apparel, Extractives and ICT Manufacturing sectors on 100 human rights indicators. This company's score was in the 40-50 band range. The overall average score was a disappointing 24%.
Source: CHRB (2019)
Business Ethics B Corp certification
Eight Danone entites, approximately 30% of their global business is now covered by B Corp certification. Certified B Corporations use the power of business to solve social and environmental problems. B Corps meet comprehensive and transparent social and environmental performance standards; meet higher legal accountability standards; and build business constituency for good business.
Source: news article (2018)
Business Ethics 69/100 S&P Global ESG Score
This company received an S&P Global ESG Score of 69/100 in the Food Products category of the S&P Global Corporate Sustainability Assessment, an annual evaluation of companies' sustainability practices (last updated 7 Feb 2021). The rankings are based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
Source: S&P Global (2021)
Environment Plastic pollution
In 2018 volunteers collected and catalogued more than 187,000 pieces of trash from beach cleanups around the world to find out which corporations are contributing the most to the global plastic pollution problem. This company ranked as one of the world's top 10 plastic polluters.
Source: #breakfreefromplastic (2018)
Environment Delaying action on plastic pollution
The Talking Trash 2020 report by Changing Markets investigates the corporate playbook of false solutions to the plastic crisis. It found that the industry is actively delaying and derailing ambitious action on plastic pollution in its fight to maintain business as usual for as long as possible. For example, this company is signed up to 5 nice-sounding voluntary initiatives to address plastic waste, while also participating in 10 industry associations which lobby against legislation that could restrict plastic, or make corporations responsible for managing the waste they create, financially or otherwise.
Source: Changing Markets (2020)
Social Promotion of bottled water
Danone has faced criticism that packaging water from the French Alps and transporting it around the world in plastic bottles causes unnecessary environmental damage.
Source: news article (2017)
Social Irresponsible Marketing
This company is named and shamed in IBFAN's 2017 report, 'Breaking the Rules, Stretching the Rules 2017', evidence of violations of the International Code of Marketing of Breastmilk Substitutes, compiled from June 2014 to June 2017. The report covers 792 Code violations from 79 countries and by 28 companies.
Source: IBFAN (2017)
Animals Animal Testing
In 2015 Cruelty Free International exposed cruel animal tests carried out by Danone, Nestle and Yakult, presumably so that the companies could market health claims about their products.
Source: Cruelty Free International (2015)
Environment Supply chain practices in China
This company received a score of 35.4/100 (retrieved 10-Oct-2020) in the Corporate Information Transparency Index (CITI), a system for evaluating supply chain practices in China, particularly in regards to environmental management and water pollution. Scores are calculated using government compliance data, online monitoring data, and third-party environmental audits, as well as trends in the environmental performance of factories in the company's supply chains.
Source: IPE (2020)
Business Ethics Agricultural sourcing
Oxfam's 2016 Behind the Brands Scorecard assesses the agricultural sourcing policies of the world's 10 largest food and beverage companies. It exclusively focuses on publicly available information that relates to the policies of these companies on their sourcing of agricultural commodities from developing countries. This company ranked equal last with a score of 36%.
Source: Oxfam (2016)
Business Ethics Involvement in gambling
Danone is owner of the Evian Casino in France.
Source: company website (2017)
Business Ethics Price fixing in China
In 2013 China fined six companies, including this one, a total of $110 million following an investigation into price fixing and anti-competitive practices by foreign baby formula makers.
Source: news article (2013)
Environment Carbon footprint tool
In 2008, Danone set a goal of a 30 per cent global carbon footprint reduction by 2012 across the entire supply chain, including plants and factories, packaging and end-of-cycle disposal, transportation and storage. To meet this challenge, Danone and SAP teamed up and devised a system to analyze and measure carbon footprint across 35,000 products.
Source: SAP (2012)
Environment Climate action commitments
As listed on the We Mean Business website, this company has committed to the following climate action initiatives: adopt a science-based emissions reduction target; responsible corporate engagement in climate policy; remove commodity-driven deforestation from all supply chains by 2020, improve water security.
Source: We Mean Business (2017)
Social Gender equality
This company appears on the 2021 Bloomberg Gender-Equality Index, signifying a commitment to supporting gender equality through policy development, representation, and transparency.
Source: Bloomberg (2021)
Business Ethics Plastics Commitment signatory
This company is a signatory to the New Plastics Economy Global Commitment, whose goal is to eliminate plastic pollution at its source.
Source: New Plastics Economy (2019)
Business Ethics Ellen MacArthur Foundation Global Partner
This company is a global partner of the Ellen MacArthur Foundation, whose stated mission is to accelerate the transition to a circular economy. The Ellen MacArthur Foundation works with business, government and academia to build a framework for an economy that is restorative and regenerative by design.
Source: Ellen MacArthur Foundation (2019)
Business Ethics PESE member
This company is one of a group of eight multinationals working together under the Brazilian Business and Ecosystem Services Partnership (PESE) which provides a platform for Brazilian companies to proactively develop strategies to manage business risks and opportunities arising from their companies' dependence and impact on ecosystems. By making the connection between healthy ecosystems and the bottom line, PESE not only fosters more sustainable business practices, but also opens the door to new, profitable business opportunities.
Source: PESE (2017)
Business Ethics Sustainable Agriculture Initiative member
This company is a member of the Sustainable Agriculture Initiative (SAI) Platform, the main food industry initiative supporting the development of sustainable agriculture worldwide. Created by Nestle, Unilever and Danone in 2002, the SAI Platform is a non-profit organization to facilitate sharing, at precompetitive level, of knowledge and initiatives to support the development and implementation of sustainable agriculture practices involving the different stakeholders of the food chain.
Source: SAI Platform (2019)
Business Ethics Sedex member
This company is a member of the Supplier Ethical Data Exchange (Sedex), a not-for-profit, membership organisation that leads work with buyers and suppliers to deliver improvements in responsible and ethical business practices in global supply chains. Tens of thousands of companies use Sedex to manage their performance around labour rights, health & safety, the environment and business ethics.
Source: Sedex (2018)
Business Ethics Sustainable Brands member
This company is a Gold Member of the Sustainable Brands Network, the leading peer to peer, learning and networking group designed to support brands in meeting their sustainability goals and ultimately become those leaders of the next sustainable economy.
Source: Sustainable Brands (2018)
Business Ethics Sustainable Food Laboratory member
The Sustainable Food Lab is a network of business, public sector, and civil society leaders from around the globe who are working together to accelerate sustainability in mainstream food and agriculture.
Source: Sustainable Food Lab (2016)
Business Ethics UN Global Compact participant
The United Nations Global Compact asks companies to embrace, support and enact, within their sphere of influence, a set of 10 values in the areas of human rights, labour standards, the environment, and anti-corruption. However it's non-binding nature has been widely criticised, and many signatory corporations continue to violate the Compact's values.
Source: UN Global Compact (2020)
Environment 55% in Forest 500 Rankings
The Forest 500 identifies, ranks, and tracks the governments, companies and financial institutions worldwide that together could virtually eradicate tropical deforestation. Rankings are based on their public policies and commitments and potential impacts on tropical forests in the context of forest risk commodities (palm oil, soy, beef, leather, timber and paper). This company received a score of 55%.
Source: Forest 500 (2020)
Environment Soy scorecard - WWF
This company received a score of 8 out of a possible total of 24 in the WWF Soy Scorecard 2016, which rates companies on their use of responsible soy, grown without damaging the environment and harming people.
Source: WWF Soy Scorecard 2016 (2016)
Environment Palm oil scorecard - Greenpeace
In 2016 Greenpeace published a report on the progress towards zero deforestation in the palm oil supply chains of several multinational companies. Companies were assessed on three criteria: responsible sourcing, transparency and industry reform. This company was rated as 'getting there'.
Source: Greenpeace (2016)
Social 41/100 in KnowTheChain Benchmark
In 2020/21 KnowTheChain benchmarked over 180 large global companies in the ICT, Food & Beverage, and Apparel & Footwear sectors on their efforts to address forced labour and human trafficking in their supply chains. This company received a score of 41/100.
Source: KnowTheChain (2021)
Business Ethics Investment in nanotechnology
Friends of the Earth's 2014 report "Tiny Ingredients, Big Risks" names this company as one of over 200 transnational food companies engaged in nanotechnology research and development, and on their way to commercializing products. New studies are adding to a growing body of scientific evidence indicating nanomaterials may be toxic to humans and the environment.
Source: FOE (2014)
Business Ethics Political boycott
The Islamic Human Rights Commission supports the political boycott called against this company due to its involvement with Israel. [This assessment has not been used in calculation of ratings].
Source: The Islamic Human Rights Commission (2012)
Business Ethics OpenSecrets.org profile
OpenSecrets.org tracks the influence of money on U.S. politics, and how that money affects policy and citizens' lives. Follow link to see this company's record of political donations, lobbying, outside spending and more.
Source: Open Secrets (2014)
Business Ethics 53.4% in Newsweek Green Ranking 2017
This company received a score of 53.4/100 in the Newsweek Green Ranking 2017, which ranks the world's largest publicly traded companies on eight indicators covering energy, greenhouse gases, water, waste, fines and penalties, linking executive pay to sustainability targets, board-level committee oversight of environmental issues and third-party audits. Ranking methodology by Corporate Knights and HIP Investor.
Source: Newsweek (2017)

> About the Icons

Company Details

Type Joint venture

Contact Details

Address 369 Royal Parade, Parkville, VIC, 3052, CAN/FRA
Freecall 1800 097 117
Website www.activia.com.au

Products / Brands

Danone Murray Goulburn
Activia Yoghurt
Danone Yoghurt
Two Good Yoghurt
YoPRO Yoghurt


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