Retailers blast dairy’s climate impact while doing nothing themselves. Meanwhile, 99.4% of shoppers still choose real dairy. Talk about hypocrisy!
While supermarket CEOs preach climate action, a damning new global report reveals not a single major retailer has set targets for reducing dairy methane emissions – yet consumer data shows real dairy remains in 99.4% of shopping baskets
If you need more proof that corporate climate virtue signaling is mostly hot air, look no further than your grocery store.
A bombshell global report just exposed that while supermarket executives lecture farmers about sustainability, not one of the world’s top 20 retailers has bothered to set specific targets for reducing methane from the dairy products filling their profitable refrigerated cases.
Meanwhile, the verdict from actual shoppers couldn’t be more precise – real dairy remains in 99.4% of shopping baskets, while plant-based alternatives struggle with declining sales across multiple categories.
It’s time to expose this retail climate theater for what it is and arm dairy producers with the facts they need to counter the hypocrisy.
RETAIL METHANE REPORT CARD: AMERICAN CHAINS FLUNK CLIMATE TEST
The Changing Markets Foundation and Mighty Earth have released a scathing report praising major food retailers for their efforts to address methane emissions from meat and dairy products. The findings? They’re all failing spectacularly.
None of the 20 largest global retailers examined has committed to a specific methane reduction target or shares product-specific emissions data from dairy products. These companies control massive global supply chains but aren’t measuring one of their most significant climate impacts.
Only British giant Tesco managed to score above 50 points out of a possible 100, while US retailers like Kroger (9.5/100), Walmart (9.5/100), Costco (6/100), and Albertsons (a big fat zero) landed near the bottom of the heap.
European retailers generally performed better, with the top spots dominated by British and German chains. This glaring geographic divide exposes how American retailers are particularly adept at talking about sustainability without walking the walk.
Retailer | Score (out of 100) | Country/Region |
Tesco | 51 | UK |
Schwarz Group (Lidl/Kaufland) | 35 | Germany |
Migros | 34.5 | Switzerland |
Carrefour | 34 | France |
Ahold Delhaize | 33 | Netherlands |
J Sainsbury’s | 31 | UK |
Aldi Sud | 28 | Germany |
Asda | 25 | UK |
Rewe | 22 | Germany |
Edeka | 19 | Germany |
Kroger | 9.5 | US |
Walmart | 9.5 | US |
Costco | 6 | US |
Publix | 2.5 | US |
Albertsons | 0 | US |
Mercadona | 0 | Spain |
“Methane emissions are a major blindspot of supermarkets. Our scorecard reveals a complete lack of action, with the most powerful players in the food supply chains ignoring their government’s commitments to cut methane emissions by 30% by 2030. This must change urgently.” — Maddy Haughton-Boakes, Senior Campaigner at the Changing Markets Foundation
The report’s authors demand that “retailer climate plans must adhere to science and set methane reduction targets of at least 30% by 2030, backed by a comprehensive plan for the entire value chain.”
Translation: Retailers want to look green while pushing all the hard work and costs onto producers.
WHY METHANE MATTERS: THE HOT POTATO RETAILERS WON’T TOUCH
Here’s why this matters so much: methane is a climate heavy-hitter, roughly 80 times more potent than CO2 as a greenhouse gas. For retailers, methane forms about one-third of their scope 3 (indirect) emissions, with dairy products being one of the most significant contributors.
According to UN data, animal agriculture accounts for almost two-thirds (60%) of human-caused methane emissions, putting dairy farming squarely in the crosshairs of climate action plans.
The report notes that addressing methane isn’t just about reducing climate risks – it’s also “an opportunity for supermarkets to position themselves as leaders in the transition to a sustainable food system.”
Let’s translate that PR-speak: retailers see a chance to score sustainability points with flashy commitments while forcing farmers to make the actual expensive changes. It’s classic corporate behavior – taking credit for improvements while pushing costs down the supply chain.
THE DAIRY INDUSTRY’S METHANE REALITY CHECK
While retailers pontificate without action, the dairy industry has actively worked on methane solutions. The National Milk Producers Federation (NMPF) has supported developing and approving practical methane reduction strategies, recognizing their environmental necessity and competitive advantage.
On May 28, 2024, the FDA approved Bovaer (3-NOP), a methane-reducing feed additive for lactating dairy cattle. This groundbreaking product, developed by Elanco, can reduce a dairy cow’s methane emissions by approximately 30% with just one tablespoon daily per cow. That’s equivalent to removing 285,000 cars from the road for every million cows using the product.
“Bovaer and other new technologies that reduce enteric emissions will help U.S. farmers be rewarded for participating in voluntary, producer-led sustainability initiatives, which is critical for the success of such efforts,” said Gregg Doud, president and CEO of the National Milk Producers Federation, highlighting how such innovations support the industry’s pathway to net-zero emissions.
Alan Bjerga with NMPF emphasized the competitive importance of these tools: “It’s tougher for U.S. dairy farmers to compete with folks in the European Union and other places that have this tool when their hand is tied behind their back, so this will help level the playing field in terms of competition.”
Unlike the hollow promises from retailers, dairy’s efforts are backed by science, investment, and measurable results. The U.S. dairy community launched the Net Zero Initiative in 2020 to achieve industry-wide neutral or better GHG emissions, optimize water usage, and significantly improve water quality by 2050.
THE 60/40 THREAT: RETAILERS’ SECRET PLAN TO SLASH DAIRY DEMAND
One of the most concerning aspects of this report is its endorsement of retailers shifting their protein offerings to a mix of 60% plant-based versus 40% animal-based proteins.
This aligns with the controversial EAT-Lancet report and represents a potentially seismic shift in retail strategy that would directly impact dairy sales volumes.
Changing Markets and Mighty Earth are explicitly “urging retailers to immediately set a target to reduce methane emissions by at least 30% by 2030” and “committing to grow plant-based sales with a 60/40 protein split (plant-based versus meat protein).”
This is a direct threat to dairy demand that farmers should be taking very seriously.
“For retailer climate plans to be credible, they must adhere to science and set methane reduction targets of at least 30% by 2030, backed by a comprehensive plan for the entire value chain.” — Changing Markets Foundation Report.
European chains are already moving in this direction. According to the analysis, only a few retailers have set measurable targets for boosting alternative-protein sales. U.S. supermarket chains lag considerably behind European retailers in plant-based offerings and commitments.
Two retailers operating in the United States have made group commitments to grow this market segment: Ahold Delhaize USA and The Schwarz Group, the parent company of Lidl US.
AMERICAN RETAILERS: CLIMATE LAGGARDS GIVING DAIRY FARMERS BREATHING ROOM
If you supply major US supermarket chains, you might have more breathing room than your European counterparts—at least for now.
American retailers are particularly failing to acknowledge the connection between livestock farming and climate change, which is the only good news in this entire report.
No US retailer scored full points on establishing this link, with Publix, Walmart, and Albertsons performing the worst. Costco made some vague gestures toward protein diversification but stopped short of directly addressing livestock farming’s impact.
Meanwhile, all German-based retailers, Swiss chain Migros, and UK’s Tesco explicitly acknowledge this connection.
US retailers also fell short of emissions reporting transparency:
- Costco scored partial points for reporting on scopes 1, 2, and 3
- Kroger completely skipped reporting scope three emissions
- Walmart only estimated about 90% of its scope three emissions
- Albertsons only reports to a non-profit environmental disclosure system rather than making its data publicly available.
The report’s authors didn’t pull punches in their assessment: “The lack of full transparency among US retailers reflects the systemic gap in corporate climate regulation and the urgent need for a stronger framework in the US at a time when climate regulation is being rolled back further.”
We’d translate this as: “We’re angry that American retailers aren’t jumping on our bandwagon yet.”
CONSUMER REALITY CHECK: THE MARKET DATA CRUSHING PLANT-BASED HYPE
Here’s where the rubber meets the road – and where the report’s anti-dairy agenda ultimately falls apart.
Despite all the sustainability posturing and plant-based propaganda, there’s excellent news for dairy farmers in the actual sales data. Real dairy remains an absolute staple in consumer diets, regardless of what corporate sustainability reports might suggest.
According to market data, cow’s dairy is purchased by 99.4% of UK shoppers, while plant-based dairy accounts for just 5.1% of total dairy volumes sold. That’s not a typo – almost everyone buys real dairy, while plant-based alternatives remain a niche product despite years of marketing hype.
Metric | Traditional Dairy | Plant-Based Alternatives |
UK Household Penetration | 99.4% | 69.7% |
Share of Total Dairy Volume | 94.9% | 5.1% |
UK Volume Growth (Jan 2025) | +6.1% | +1.0% |
UK Price Inflation (12w to July 2024) | +1.7% | +3.8% |
US Sales Growth (to July 2024) | -2.1% | -5.2% |
More encouraging, recent data shows cow’s dairy volumes in the UK increased by 6.1% in January 2025, with growth across almost all product categories. Meanwhile, plant-based dairy sales increased by just 1%, with volume declines in nearly all plant-based dairy categories, including cheese, spreads, and butter.
In the US market, the story is similar – sales of milk alternatives fell 5.2% in the year to July 14, 2024, while dairy milk sales declined by a smaller 2.1%.
These numbers tell a powerful story: despite years of environmental campaigns and retailer virtue signaling, consumers are still overwhelmingly choosing traditional dairy products.
Price remains a crucial factor in this equation. During a recent 12-week period, traditional dairy prices grew just 1.7% in the UK, compared to 3.8% for plant-based alternatives. As inflation pressures household budgets, dairy’s value proposition remains compelling for most shoppers.
The market is speaking loud and clear, whatever the climate activists might wish.
DAIRY FARMER ACTION PLAN: FIVE STEPS TO PROTECT YOUR BUSINESS
“Food retailers ignore the methane problem hidden in the meat and dairy aisles and risk losing consumer trust. Methane is a superheater greenhouse gas responsible for about a quarter of the heating the planet has already experienced… Retailers are uniquely positioned to urgently drive down agricultural methane emissions in their supply chains.” — Gemma Hoskins, Global Methane Lead at Mighty Earth.
This report signals intensifying pressure on retailers to address methane emissions from their supply chains, which will inevitably trickle down to dairy producers. Here’s your actionable game plan for turning potential challenges into opportunities:
1. Investigate Methane-Reducing Feed Additives
FDA-approved options like Elanco’s Bovaer can reduce methane emissions by approximately 30% with just one tablespoon daily per cow. According to Elanco, this could generate “an annual return of $20 per head or more by engaging in voluntary carbon markets and securing USDA and state conservation programming.” Using these additives now positions you ahead of possible retailer demands.
2. Document Your Current Practices & Emissions
Use the National Dairy FARM Environmental Stewardship program tools to establish baseline emissions. This industry-recognized framework comprehensively estimates greenhouse gas emissions and energy use on dairy farms. Having this data ready before retailers demand puts you in a stronger negotiation position.
3. Explore Conservation Program Funding
USDA has provided $90 million in conservation grant funding to help dairies implement methane-reducing strategies. For example, Dairy Farmers of America received $22.8 million through the Regional Conservation Partnership Program (RCPP) to implement feed additives across 50 operations with 140,000 head of cattle. Contact your local USDA office to identify available programs in your area.
4. Track Carbon Market Developments
USDA is developing a new “Greenhouse Gas Technical Assistance Provider and Third-Party Verifier Program” through the Growing Climate Solutions Act. This program will establish standards for carbon credit verification, potentially creating new revenue streams for dairy producers implementing methane-reduction strategies. Monitor this development through NMPF updates.
5. Use Consumer Preference Data as Leverage
When retailers start making demands, remind them that 99.4% of shoppers choose real dairy, with traditional dairy volumes growing faster than plant-based alternatives. Retailers risk losing customer trust by prioritizing climate posturing over stocking the products consumers overwhelmingly prefer.
THE BOTTOM LINE: DAIRY WINS WHERE IT MATTERS – IN SHOPPING CARTS
The good news for dairy farmers is that this report primarily targets retailers to drive change, not directly on producers. Even better, it exposes the glaring hypocrisy of retail chains that want to look green while doing almost nothing substantive to address their climate impacts.
Unlike retailers, the dairy industry is already taking concrete steps toward reducing emissions. The U.S. dairy community’s Net Zero Initiative aims to achieve industry-wide neutral or better GHG emissions by 2050, and innovations like Bovaer demonstrate that methane reduction doesn’t have to come at the expense of productivity or profitability.
The consumer data tells the most important story: shoppers still overwhelmingly choose dairy over alternatives. No amount of corporate sustainability reports or protein shift targets can change that fundamental market reality.
Innovative dairy producers should stay informed about these developments while focusing on what they do best – providing high-quality, nutritious dairy products that consumers prefer.
When retailers come knocking with methane reduction demands, be ready to engage from a position of strength, armed with the facts about what consumers are actually buying and the industry-led solutions already being implemented.
The battle for the future of dairy isn’t just happening in the barn – it’s increasingly being fought in corporate boardrooms and retail strategy meetings worldwide.
But with 99.4% of shoppers in our corner and practical methane reduction tools in our arsenal, we’re starting from a position of remarkable strength. Let the retailers worry about their failing sustainability grades – dairy farmers can focus on meeting the demand that consumers continue to show with their wallets.
Key Takeaways
- Retailer Hypocrisy Exposed: Not one of the 20 largest global retailers has methane reduction targets for dairy products, despite pushing sustainability narratives that could impact producers.
- Consumer Reality Trumps Climate Posturing: Real dairy remains in 99.4% of UK shopping baskets, with volumes growing 6.1% in January 2025, while plant-based alternatives struggle with declining sales and higher price inflation.
- US Retailers Lag Behind: American supermarket chains scored dramatically lower than European counterparts (Albertsons: 0/100, Kroger: 9.5/100), giving US dairy producers temporary breathing room.
- Practical Solutions Already Exist: FDA-approved feed additives like Bovaer can reduce methane emissions by approximately 30% per cow while potentially generating returns through carbon markets.
- Action Plan for Farmers: Document your baseline emissions using industry tools, investigate methane-reducing technologies, explore USDA conservation funding, and leverage consumer preference data when negotiating with retailers.
Executive Summary
A damning new global report exposes that while supermarket chains publicly pressure farmers about sustainability, not a single one of the world’s top 20 retailers has set specific targets for reducing methane emissions from dairy products. American retailers performed particularly poorly, with scores as low as zero out of 100, while European chains showed marginally better results. Despite this corporate climate theater, market data reveals consumers overwhelmingly prefer real dairy, with traditional dairy products in 99.4% of shopping baskets showing more substantial growth than declining plant-based alternatives. The dairy industry is already implementing practical methane reduction strategies like FDA-approved feed additives that can cut emissions by 30%, unlike the retailers making empty demands. This situation presents challenges and opportunities for dairy farmers, with consumer preference data providing powerful leverage against retailer hypocrisy.
Learn more:
- FDA Approves Game-Changing Methane-Reducing Feed Additive for Dairy Cattle
- Heat Stress in Dairy Cattle: Managing Your Herd Through Increasingly Hot Summers
- Dairy Industry Leaders Push Back Against “Big Meat and Dairy” Climate Report Claims
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