Key Takeaways
- Net Zero Ambition: Mondelēz International aims for net zero greenhouse gas emissions across its value chain by 2050.
- SBTi Commitment: The company has submitted a detailed plan in line with the Science Based Targets Initiative and the 1.5°C protocol.
- Sustainable Sourcing: Focus on deforestation-free supply chains and regenerative agriculture in cocoa, wheat, and dairy.
- Operations Transformation: Transition to renewable electricity, manufacturing efficiencies, and cleaner energy.
- Innovative Logistics: Investment in new mobility concepts and efficiency improvements in distribution networks.
Mondelēz International Commitment To Achieving Net-Zero
Mondelēz International, a global leader in snack production, has announced a significant step toward achieving net zero greenhouse gas emissions across its entire value chain by 2050. This ambitious target aligns with the Science Based Targets Initiative (SBTi) and the European Union’s Deforestation Regulation.
Strategic Approach in Key Areas
The company has identified three critical areas for targeted investments:
1. Sustainable Ingredient Sourcing:
- Cocoa: Through the Cocoa Life program, Mondelēz has trained approximately 220,000 farmers in good agricultural practices, distributed over 6.7 million trees, and mapped around 246,000 farms.
- Wheat: In Europe, the company has implemented a charter of farming practices deeply rooted in regenerative agriculture, focusing on crop rotation and optimized fertilizer use.
- Dairy: Collaborating with European dairy suppliers, Mondelēz is working on greenhouse gas reduction programs, achieving significant CO2e reductions.
2. Operations Overhaul:
- Renewable Electricity: Advanced the use of renewable electricity in manufacturing through PPAs, on-site solar panels, and RECs.
- Manufacturing Plant Efficiencies: Expanded state-of-the-art facilities and adopted new technologies like electric ovens to minimize natural gas use.
- Transition to Bioenergy: Substituted cleaner energy sources in certain operations.
3. Logistics and Distribution:
- Intermodal Initiatives: Collaborated with Indian Railways and utilized coastal waterways for CO2e emission reductions.
- Warehouse Emissions: Reduced emissions in major distribution centers with solar rooftop installations.
- Distribution Efficiencies: Improved vehicle fill rate and reduced idle time in U.S. distribution networks.
Global Collaboration and Innovation
Christine Montenegro McGrath, Senior Vice President and Chief Global Impact and Sustainability Officer at Mondelēz International emphasizes the need for global collaboration and innovation. The company is committed to leveraging proven models while driving technical advancement and public-private collaboration.
Ongoing Initiatives and Future Plans
Mondelēz International continues to explore collaborative financing and incubation through platforms like Sustainable Futures. It also focuses on advancing R&D in climate-smart technology to implement across its sourcing, supply chain, and owned operations.
