Can businesses within this industry actually implement ESG principles? Is sustainable meat production possible and profitable for the long run?
Please read this article to respond
Animal Agriculture: Negatively Impacting the World Around Us
I have tasted a few of these "grown" meat and alternative meats, and they are already there with regard to taste and texture. Yes, the price is prohibitive now. But I am confident with technology and with scaling and competition that this can become the norm in the not too distant future.
I found this article interesting: https://www.worldbank.org/en/topic/agriculture/brief/moving-towards-sustainability-the-livestock-sector-and-the-world-bank
JAPFA, Indonesia's leading agri-food company issued issued a Senior Fixed Rate Sustainability-Linked Bond (SLB) of 350 million US dollars with a coupon of 5,375 % per annum, has a term of 5 years and will mature in 2026.
The International Finance Corporation (IFC) issued GOOD PRACTICE NOTE Improving Animal Welfare in
Livestock Operations (https://www.ifc.org/wps/wcm/connect/c39e4771-d5ae-441a-9942-dfa4add8b679/IFC+Good+Practice+Note+Animal+Welfare+2014.pdf?MOD=AJPERES&CVID=kGxNx5m)
REASONS:
- Factory farming contributes to climate change: 14.5% of anthropogenic greenhouse gas emissions come from livestock supply chains.
- It threatens human health through increased drug resistance, contributing to the spread of zoonotic disease. Roughly 80% of all antibiotics in the US are used on farm animals and FAIRR research shows 70% of animal protein producers are at ‘high risk’ of fostering a future pandemic.
- Animal production endangers food security. Over 3 billion people could be fed with the crops we currently devote to feeding livestock, and meat presents an inefficient solution to solving growing global protein demand.
- And finally, it consumes our planet's natural resources at an unsustainable rate. Beef and soy are the biggest drivers of deforestation in the Amazon and it takes the equivalent of 50 bathtubs of water to produce a single steak.
I believe businesses within this industry need to develop ESG practices that are climate and environment-friendly and socially equitable while developing their ability to feed billions of people. To successfully transform the agricultural sector to meet long-term human and environmental needs, diverse stakeholders must commit to adopting sustainable practices at different stages of their operations.
Just a while ago, I watched a clip in social media wherein an activist reveals how disgusting is the animal welfare practice in a certain farm where the chickens of a big fast food company are being sourced from. It hurts to see how easy it is for some companies to do greenwashing for the sake of growing the business - saying they are very proud of the practices they implement in front of the camera; while the reality behind is actually opposite of what they are sharing. So, yeah, I believe adapting ESG principles can really be powerful. For some, maybe, it can be challenging but I believe that if they will try and really learn to incorporate these ESG principles, it will definitely be worth it.
This is why the B Corp certification is the Gold standard. If certified companies do this, the public will report it and B Lab will take action under B Corp controversies.