Fonterra
OVERALL |
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Owned |
NZL |
Rating |
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Dairy product manufacturer
New Zealand's largest company. Fonterra is owned by almost 11,000 dairy farmers, some 95 per cent of all dairy farmers in New Zealand. It is presently the world's largest exporter of dairy products, exporting 95 percent of production to 140 countries.
Fonterra Co-operative Group Ltd | NZL | website |
Company Assessment
PRAISE | CRITICISM | INFORMATION | ||
Fonterra Co-operative Group Ltd | ||||
The 2021 Food and Agriculture Benchmark assessed 350 keystone companies across the entirety of the food system, from farm to fork. It covers three dimensions where transformation is needed: nutrition, environment and social inclusion. This company ranked #8/350, with a total score of 53.5/100.
Source: World Benchmarking Alliance (2021)
Member of The Packaging Council of New Zealand, a voluntary agreement to encourage waste minimisation.
Source: Packaging Council of New Zealand (2019)
In 2022, 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 (2022)
In 2022, 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 B.
Source: CDP (2022)
The 2021 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 3, "Established but work to be done", with tier 1 being the best, and tier 6 the worst.
Source: BBFAW (2021) |
This company received a score of 6.9/100 (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)
Forest 500 identifies the 350 companies and 150 financial institutions with the greatest exposure to tropical deforestation risk, and annually assesses them on the strength and implementation of their deforestation and human rights commitments. This company received a score of 16%.
Source: Forest 500 (2022)
Greenpeace's Reenergise campaign ranks Australia's biggest electricity using companies on their commitments and actions regarding renewable energy use. This company has: not committed to powering their operations by 100% renewable electricity by 2030; not signed a power purchase agreement (PPA) to buy power from a wind or solar project; not invested in on-site solar.
Source: Greenpeace (2021)
The livestock sector is the single largest contributor to man-made methane emissions. Even though rapid reductions of methane emissions are needed to slow the rate of global warming, the largest meat and dairy corporations are oblivious to the problem. Changing Markets' 2021 report 'Blindspot' investigated the policies and actions of 20 meat and dairy giants to reduce their methane emissions. This company scored 18.8/100 for their methane policy and actions.
Source: Changing Markets (2021)
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) |
A 2011 report by Greenpeace criticised Fonterra for using palm-based animal feed from cleared forests in Indonesia and Malaysia, making a significant contribution to the carbon footprint of its milk products. In 2016, after 7 years of campaigning by Greenpeace, Fonterra committed to using only responsible palm oil products. Greenpeace is calling on Fonterra to implement a full phase-out of palm-based animal feed. [https://bit.ly/2HmYIgS]
Source: Greenpeace NZ (2011)
In July 2012 the New Zealand Advertising Standards Authority forced Fonterra to amend its website after complaints about five "misleading" health claims for its dairy products.
Source: news article (2012)
This company appeared sixth on RepRisk's top ten "Most Controversial Companies of 2013". Companies on the list were severely criticised during 2013 by the world's media, governments and NGOs. Criticisms of Fonterra included contaminated milk products, anti-competitive activities, and pollution in New Zealand. [Listed under Information due to age of report]
Source: RepRisk (2013)
In April 2014 Fonterra was fined $A280,000, in charges over the 2013 whey protein contamination scare, which impacted New Zealand's reputation as a safe food exporter. At the time it was thought that 38 tonnes of whey protein concentrate had been contaminated with a botulism, which triggered a global recall. Testing later confirmed the scare was a false alarm. In June 2014 Fonterra was fined a further NZ$150,000 in related charges. Fonterra was also ordered to pay 105 million euros to French food giant Danone over the contamination scare.
Source: news article (2014)
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)
Fonterra and Nestle started a dairy products joint venture called Dairy Partners Americas in 2003, which operates in Argentina, Brazil, Chile, Venezuela, Ecuador and Colombia. Nestle is the target of a long-standing boycott call.
Source: company website (2019)
Some of the products this company sells are certified organic by AsureQuality
Source: AsureQuality (2018)
This company is a signatory to the New Zealand-based Climate Leaders Coalition. Signatories have each committed to measuring, reporting and reducing their emissions, as well as working with their suppliers to reduce their emissions.
Source: Climate Leaders Coalition (2020)
Some, but not necessarily all, of this company's spreads are palm oil free. For more details, follow the link to see Borneo Orangutan Survival Australia's list of products which manufacturers have told them are palm oil free or contain segregated certified sustainable palm oil.
Source: BOS Australia (2020)
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.
Source: We Mean Business (2021)
This company is a member of the New Zealand-based Sustainable Business Council, signifying a commitment to reduce their greenhouse gas emissions and build sustainability into their purchasing decisions. Members are required to introduce annual reporting practices, which outline their progress on environmental, social, governance and economic issues.
Source: Sustainable Business Council (2020)
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 (2023)
In 2022, 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 C.
Source: CDP (2022)
The Coller FAIRR Protein Producer Index is a comprehensive assessment of how this sector is managing critical sustainability risks factors: GHGs; deforestation and biodiversity; water scarcity; water pollution; antibiotics; animal welfare; working conditions; food safety. This company was rated as medium risk.
Source: FAIRR (2022) |
Company Details
Type | Co-operative |
Revenue | 19 billion AUD (2019) |
Employees | 20,000 (2019) |
Aus Manufacturing | Yes |
Subsidiaries | Fonterra Brands Australia Pty Ltd ![]() Dairy Fonterra's three separate brands businesses - formerly known as Bonland, PB Foods and Murrumbidgee Dairy Products (MDP) - were brought under the same name, Fonterra Brands Australia, in 2005. NZMP ![]() Dairy ingredients NZMP is the world's largest dairy ingredients organisation, marketing products in 100 countries, operating a network of offices covering every continent except Antarctica. Part of Fonterra, it is responsible for the entire cow-to-customer value chain from milk collection, through manufacturing and logistics and ultimately to the marketing of quality ingredients to the international food industry. ViaLactia Biosciences ![]() Biotechnology ViaLactia Biosciences is a biotechnology company operating as a fully owned subsidiary of Fonterra, New Zealand's largest dairy cooperative and the world's largest exporter of dairy products. At ViaLactia, goals are the identification, discovery and commercialisation of methods of selection and genes important to the dairy industry, including those affecting pasture grasses, milk production and composition, and animal health. |
Contact Details
Address | Auckland, New Zealand |
info@fonterra.com | |
Website | www.fonterra.com |
Products / Brands
Fonterra Australia
Allowrie Butter & Margarine Anchor Milk Bodalla Cheese Diploma Milk Powder Ferndale Cheese Girgar Butter & Margarine Mainland Butter & Margarine |
Mainland Cheese Munchables Custard & Desserts Munchables Cheese Perfect Italiano Cheese Supa Shake Flavoured Milk Western Star Butter & Margarine |