Mars has unveiled a significant commitment to reducing greenhouse gas (GHG) emissions within its dairy supply chain. The company plans to invest $27 million over the next five years through its newly established Farmer Forward Program, in partnership with Fonterra, a global leader in dairy production. This initiative aims to equip approximately 2,000 dairy farmers with advanced tools and technology for implementing climate-smart agricultural practices. Half of the investment will provide sustainability-focused resources, while the other half will serve as cash incentives for farmers who achieve specific environmental goals. Covering 26,000 hectares of farmland, this program underscores Mars' dedication to addressing its carbon footprint, particularly from dairy production, which significantly contributes to its overall GHG emissions.
The Farmer Forward Program represents a strategic effort by Mars to support dairy farmers in adopting sustainable practices. Over the next five years, the company will channel substantial resources into empowering these farmers. Sustainability-focused tools and technologies will be made available to help them implement environmentally friendly farming methods. Additionally, financial incentives will be provided to around 165 farmers annually who meet predefined sustainability criteria, offering an average of $15,000 per farmer each year. This dual approach not only promotes emission reductions but also strengthens the resilience of farming businesses. Amanda Davies, chief R&D, procurement, and sustainability officer at Mars Snacking, emphasized the importance of placing dairy farmers at the forefront of climate-smart agriculture. Through this program, Mars aims to deliver critical financial support and drive meaningful progress in reducing emissions.
Charlotte Rutherford, director of sustainability at Fonterra, highlighted the alignment between Mars and Fonterra's sustainability ambitions. Both organizations recognize the pivotal role that partnerships play in achieving their environmental targets. By collaborating on this initiative, they can provide essential support to farmer owners, enabling them to adopt more sustainable practices. The program is part of Mars' broader sustainability efforts under the Moo'ving Dairy Forward platform, launched last year to foster investments in new technologies and partnerships aimed at cutting emissions across its global dairy supply chain. Dairy production is the fourth-largest contributor to Mars' carbon footprint, making collaboration with farmers crucial for meeting ambitious sustainability goals, such as a 50% reduction in GHG emissions by 2030 and net-zero emissions by 2050.
Mars' commitment to sustainability extends beyond this program. Since 2015, the company has managed to decrease its GHG emissions by 16% globally while increasing annual sales by 60%. This balanced focus on sustainability and business growth demonstrates Mars' belief that profitability and environmental responsibility can coexist. Through initiatives like the Farmer Forward Program, Mars continues to lead the way in promoting sustainable practices within its supply chain, ensuring a greener future for all stakeholders involved.