FrieslandCampina Ingredients bolsters regenerative dairy farming with tech and farmer incentives

As consumers become more concerned about the impact of their food choices on biodiversity, dairy ingredient formulators are pushing the envelope to adopt practices beyond reducing a product’s carbon footprint. Food Ingredients First sits down with Kyle Brookmeyer, head of sustainability at FrieslandCampina Ingredients, to navigate how dairy farms shape and perform on biodiversity restoration and the company’s efforts at harnessing regenerative agricultural practices to meet the demands of nature-conscious consumers.

The surge in focus on sustainability and environmental transparency aligns with Innova Market Insights’ “Nurturing nature” Top Ten Trends 2024, highlighting that initiatives that strike a bond with nature are achieving cut-through with consumers.

“One of the key trends driving the interest in regenerative farming is consumers being increasingly aware of the ‘health of the planet’ over the recent years — a substantial 48% of them have actively made changes to their diets and lifestyles within the last year to behave more sustainably,” remarks Brookmeyer.

As consumers are willing to take action, he stresses the need for brands to “actively and meaningfully” engage with their customers on sustainability issues.

“Harnessing regenerative agricultural practices can be key to meeting their demands and creating a more environmentally conscious industry. Because biodiversity is incredibly important when it comes to future-proofing our food systems.”

Cow-nature synergy

FrieslandCampina Ingredients collaborates closely with its member dairy farmers to implement multiple regenerative agricultural practices to nurture biodiversity.

A man in white shirt posing for the camera against a white wall.Brookmeyer says the company aims to lead the way in a “measurable approach” to biodiversity (Image credit: FrieslandCampina Ingredients).One example Brookmeyer highlights involves promoting natural landscapes rich with trees, hedges, flowers and ditches that serve as habitats for birds, insects and other animals.

“A second pivotal initiative is the protection of meadow birds. By either mowing fields later in the year or avoiding mowing completely, we provide meadow birds with a safe space they can use for nesting,” he details.

The company also works with farmers to plant herb-rich grassland, creating areas with “richer soil” that provide nutrients to dairy cows.

“It’s the exact opposite of creating a monoculture; in this way, we can ensure our cows receive all the essential nourishment from nature. Thanks to these practices, we can connect the more abstract concepts of biodiversity and regenerative agriculture to the plants and animals that consumers know and interact with every day.”

Evaluating impact with tech

To measure the impact and performance of dairy farms on biodiversity restoration over time, FrieslandCampina Ingredients has collaborated with the Worldwide Fund for Nature’s Netherlands office and Rabobank to develop an advanced Biodiversity Monitor, Brookmeyer reveals.

“The Biodiversity Monitor allows farmers to input all their empirical biodiversity data such as nitrogen and ammonia levels in the soil as well as the population dynamics of insects and pollinators.”

The company then uses the information to “strategically select” the best techniques to preserve biodiversity on the farms.

An old farmer in blue overalls standing in a dairy farm with cows.Foqus planet is the company’s farmer incentive program that helps farmers decide which biodiversity measures work best for their farm.“Moreover, by sharing their knowledge, farmers also help us scale sustainability practices, promoting continuous progress. Our aim is to lead the way for our industry in a measurable approach to biodiversity,” Brookmeyer continues.

According to him, the unique tool enables the company to collect a bank of valuable, actionable data on a wide range of key performance indicators for making effective, informed decisions.

The company also incentivizes farmers to make their farms more sustainable in their own ways through its science-based Foqus planet sustainable development program.

“Their progress is systematically evaluated each year and based on the results attained, they receive a bonus funded in part by a cooperative scheme and in part by the company.”

Targeting consumer loyalty

Biodiversity preservation fosters a healthier ecosystem and enriches soil quality, enhancing its ability to absorb carbon, notes Brookmeyer.

“Biodiverse landscapes also provide vital nutrients to the soil and regulate the dynamics of organic soil matter, keeping grass green and our cows healthy and well fed.”

The benefits of regenerative farming extend to manufacturers, too, as eco-conscious consumers increasingly value these practices.

“Sourcing ingredients from suppliers with a proven track record in preserving biodiversity offers food, beverage and nutrition businesses a tangible example of their commitment to nourishing a better planet.”

A woman and her daughter at the table pouring in a glass.FrieslandCampina Ingredients’ consumer research reveals 76% of parents are worried about deforestation and 74% have concerns regarding animal extinction.He also views the provision of nature-supporting solutions as a way for brands to cultivate brand loyalty and trust.

By leveraging data and using ingredients produced with biodiversity in mind, brands can position themselves as “proactive custodians” of the planet’s well-being to resonate with the growing segment of consumers prioritizing sustainability.

Future outlook
As consumers prioritize planet-first nutrition, Brookmeyer anticipates the subject will also be at the forefront of manufacturers’ minds.

“Our regenerative agriculture practices strongly align with our sustainability objectives, particularly within our Better Nature pillar, which highlights our commitment to improving biodiversity and having a positive impact on our local environments.”

The company is eyeing net climate-neutral dairy by 2050 and will continue to invest in on-farm initiatives, as that is where the most emissions occur.

“To achieve this ambitious goal, we will actively seek more partnerships with our customers, while also working on reducing their scope three emissions. Through collaborative efforts and continued dedication to responsible practices, we are poised to make substantial advancements toward a future where our operations not only mitigate climate impact but also contribute positively to the biodiversity of our planet,” he concludes.

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The global dairy market may experience a slower price recovery than previously anticipated, particularly as China shows a reduced need for dairy imports, Rabobank says in recently-released sector research.

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