Fonterra offers eligible farmers up to $1,500 for solutions to boost on-farm efficiency and reduce emissions intensity in 2025/26.
Fonterra Boosts Farmers $1,500 for Eco-Efficiency
Group director for Fonterra Farm Source, Anne Douglas, says the on-farm solutions put forward have been selected based on farmer feedback.

New Funding Program Rewards Sustainable Practices, Driving Emissions Reduction.

Fonterra, a global leader in the dairy industry, is rolling out a significant on-farm funding initiative aimed at empowering its eligible farmers to enhance efficiency and reduce emissions intensity. This forward-thinking program offers up to $1,500 in reimbursement for selected on-farm solutions, directly supporting sustainable dairy farming practices. The funding is contingent upon farmers achieving the Co-operative Difference in the 2025/26 season, aligning financial incentives with environmental performance, a key trend in modern agribusiness.

The solutions eligible for this new funding are strategically chosen based on direct feedback from Fonterra farmers, ensuring practicality and relevance. The program encompasses a range of tools designed to optimize dairy farm operations, including animal performance technologies from leading providers like LIC and CRV. This focus on animal health and productivity is vital for both economic returns and environmental stewardship in milk production.

Beyond animal performance, the funding also extends to crucial areas of farm management such as pasture and data optimization tools. These technologies are essential for improving resource utilization, reducing waste, and making more informed decisions on the farm. Additionally, on-farm planting initiatives are supported, reflecting a commitment to enhancing biodiversity and carbon sequestration within dairy landscapes, contributing to broader environmental sustainability goals.

Anne Douglas, Group Director for Farm Source, emphasized that the selected solutions are not only results-driven but also widely available and easy for farmers to implement. This accessibility is crucial for widespread adoption and ensuring that the benefits of the program reach a broad base of Fonterra’s suppliers. The overarching goal is to directly help drive emissions efficiency across the cooperative’s extensive network of dairy producers.

For the international dairy community, this Fonterra initiative serves as a compelling model for how large cooperatives can actively support their members in adopting more sustainable and efficient practices. By offering tangible financial incentives for environmental improvements and technological uptake, Fonterra is not only enhancing its own supply chain but also contributing to global efforts in climate change mitigation within dairy economics. This proactive approach positions the cooperative as a leader in responsible dairy development.

Source: Rural News Group: Fonterra on-farm funding 2025

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