Plant-Based Food as a Business Strategy to Achieve ESG Goals
Written by Johanna van Langen
Published 28 August 2024
As businesses increasingly prioritise corporate social responsibility, transitioning to plant-based food presents an opportunity to support multiple Environmental, Social, and Governance (ESG) goals. Embracing vegan food can help your organisation reduce carbon emissions, conserve water, protect biodiversity, and promote employee wellbeing, inclusivity, and global equality.
Any company can leverage this strategy by veganising products, offering more plant-based options in the restaurant, or organising employee awareness initiatives. In this article, you’ll learn how transitioning to plant-based foods can contribute to your organisation’s ESG goals and a more sustainable and just food system.
Easily track the impact of plant-based initiatives on your ESG goals
1. Reduce Carbon Emissions to Mitigate Climate Change
Transitioning to plant-based foods can significantly reduce your organisation’s carbon footprint, making it a useful strategy for meeting your ESG goals.
Our food system causes one-third of all human-caused greenhouse gas emissions, with animal agriculture emitting twice as much as plant-based food production. This high carbon footprint is due to the inefficiency of animal-based food production, which requires vast amounts of cropland and grazing pastures. This land is often cleared through deforestation, emitting carbon dioxide.
The supply chain of raising and processing livestock relies on fossil fuels, from the machinery used in agriculture to the transportation of products. Additionally, the use of pesticides and fertiliser for growing animal feed releases nitrous oxide, and the digestive system of livestock produces methane. Both these greenhouse gases have a global warming potential far greater than carbon dioxide.
Reducing meat, fish, dairy, and eggs in your food offerings is an effective way to reduce the carbon footprint of your organisation. Promoting plant-based food to customers and employees shows your commitment to fighting climate change while advancing your ESG strategy.
2. Conserve Water Resources and Oceans
Promoting vegetarian and vegan foods within your company is a powerful way to conserve water and protect marine ecosystems.
Fresh water scarcity is one of the most pressing global challenges today. Of all fresh water we use, agriculture consumes 70%, with animal-based foods having an especially high water footprint. Growing feed crops for livestock demands large quantities of water, much of which is drawn from rivers, lakes, and groundwater, straining these natural resources.
In addition to high water consumption, animal agriculture pollutes water resources through the runoff of manure, fertiliser, and pesticides. Nitrogen and phosphorus from fertiliser and manure contribute to eutrophication and oxygen depletion, creating ‘dead zones’ where aquatic life can’t survive. The chemicals found in pesticides and manure not only threaten plant and animal species but also pose risks to human health.
Oceans are vital to Earth’s ecosystem, but they are suffering due to animal agriculture and destructive fishing practices. Pollutants from agriculture and fish farming find their way into the oceans, while overfishing disrupts delicate food chains, and fishing gear harms unintended wildlife. Furthermore, global warming caused by human activities has led to rising ocean temperatures and decreasing pH levels, both of which have devastating effects on marine ecosystems.
By reducing or eliminating meat and fish in your business operations, you help to protect freshwater resources and preserve the health of our oceans.
3. Protect Nature and Biodiversity
By replacing animal-based foods with plant-based alternatives, your company conserves natural resources and protects wildlife habitats and biodiversity.
Animal-based foods account for only 18% of global calorie intake, but their production is highly inefficient and requires large amounts of feed and land. Humans have already converted half of all fertile land on Earth for agricultural use. Grazing pastures take up 70% of this land and 43% of cropland is used for livestock feed production. This enormous demand for land is a leading cause of global deforestation and soil degradation.
Healthy ecosystems are essential for sustainable food production and protect against climate change. The balance of ecosystems depends on biodiversity of plant and animal species and fertile soils. However, replacing diverse natural vegetation with monoculture crops destroys wildlife habitats, depletes soil nutrients, and accelerates erosion.
Deforestation poses the greatest threat to biodiversity, already driving numerous species to extinction. Tropical rainforests are particularly threatened due to the growing global demand for meat.
Transitioning to plant-based foods and tracking the positive impact on the planet can support your corporate sustainability strategy. By motivating vegan food choices, your organisation can reduce its environmental footprint and contribute to restoring nature and preserving biodiversity.
4. Contribute to Animal Welfare
If your organisation’s ESG goals include animal welfare, increasing vegan food options demonstrates your commitment.
Our food system results in the deaths of 83 billion land animals and about 1,5 trillion fish each year. These animals often endure harsh conditions, even under legal industry standards. Farm animals and fish are sentient beings, capable of feeling pain and experiencing emotions. For many, recognising the suffering involved in producing animal-based foods is a primary reason for eating vegan, whether occasionally or permanently.
Sourcing meat or dairy from suppliers who prioritise humane treatment can be a step in the right direction. But it’s important to remember that these animals still face the inevitable outcome of slaughter. Switching to plant-based ingredients is the most effective way for a company to support animal welfare and minimise the harm caused by food production.
5. Improve Employee Wellbeing and Community Health
Offering and promoting vegan food options in the workplace can enhance employee wellbeing, an important consideration in any ESG strategy. Encouraging eating habits that support physical and mental health can also improve workforce productivity.
Animal-based foods are linked to major public health concerns, including cardiovascular disease, type 2 diabetes, and various types of cancer. In contrast, plant-based diets are associated with a lower risk of these chronic diseases. Research shows that higher consumption of plant-based foods and reduced intake of animal-based products correlate with a lower risk of mortality.
In addition to general health benefits, it’s important to consider dietary restrictions. Up to 10% of people have a food allergy, with milk, eggs, shellfish, and fish among the most common allergens. Even more people experience food intolerances, with 68% of the global population being lactose intolerant. Offering plant-based food options that cater to dietary needs supports inclusivity and overall employee health.
Antimicrobial resistance is another serious public health issue. The animal agriculture industry consumes 73% of all antimicrobials, and livestock living conditions facilitate the development of resistant microbes and novel zoonotic diseases that can lead to pandemics. By reducing or eliminating animal-based foods, your organisation helps mitigate these risks and protects the health of the wider community.
If your organisation has ESG goals related to community or employee health, encouraging plant-based food choices can be a valuable addition to your strategy.
6. Promote a Diverse and Inclusive Corporate Culture
Offering vegan food options can help create a culture of inclusivity and understanding among employees with diverse backgrounds. Food choices are deeply tied to cultural and individual identity, and with increasingly international workforces and evolving diet trends, catering to everyone’s preferences can be challenging.
Globally, the number of people embracing plant-based diets for various reasons is growing. In Europe, 3% of the population identifies as vegan, 5% as vegetarian, and 4% as pescatarian, meaning they eat fish but no meat. Additionally, 27% of the population considers themselves flexitarian, consciously reducing their meat intake.
Vegetarianism and veganism are even more popular in some cultures such as India, where cuisines are heavily influenced by Hinduism. Middle Eastern cuisines have developed with rules such as halal in Islamic culture and kosher in Jewish culture guiding the consumption and preparation of animal-based foods. By offering vegan options in the employee restaurant, you can accommodate the dietary needs of people with diverse cultural and religious backgrounds.
Many people adopt a vegan lifestyle due to ethical concerns about the exploitation of animals. Veganism is recognised as a philosophical belief that warrants the same respect and sensitivity in the workplace as other beliefs and religions. Since 2020, ethical veganism is explicitly protected in the United Kingdom under the 2010 Equality Act, shielding vegan employees from discrimination and unfair treatment.
Providing plant-based food options in the workplace demonstrates your company’s commitment to inclusivity and corporate social responsibility. Beyond contributing to your ESG goals, offering vegan choices can help create a more welcoming and supportive work environment, which is key to attracting and retaining top talent.
7. Fight Global Inequality, Poverty, and Hunger
Choosing to source plant-based instead of animal-based ingredients can also contribute to ESG goals related to addressing global poverty and hunger.
Growing crops to feed animals is an inefficient use of resources, as only a small portion of the calories produced are ultimately consumed by people. This inefficiency in animal agriculture causes substantial food waste in the supply chain. Natural resources such as land and water diverted to livestock could have been used to feed people facing food insecurity and water scarcity.
Low-income countries are disproportionately affected by the environmental destruction and wasted natural resources for meat production. Land and crops used to feed livestock intended for wealthier nations are often sourced from developing countries, where many people struggle to access sufficient food for themselves.
Animal agriculture also imposes an economic burden through subsidies. In Western countries, the animal agriculture industry receives about 20% of government budgets, despite contributing only a fraction to employment and Gross Domestic Product (GDP). These funds could be allocated to causes like education, healthcare, or national welfare. Additionally, the environmental damage and public health costs associated with animal agriculture further strain economic resources.
By embracing plant-based food options in your ESG strategy, your organisation can support global welfare to combat poverty, inequality, and hunger.
Embracing Plant-Based Food Supports Your ESG Goals
Transitioning to plant-based food in your portfolio, cafeteria, or company culture is a valuable strategy to achieve your ESG goals and create a meaningful social impact. Plant-based food helps achieve corporate sustainability targets by reducing your carbon footprint and preserving natural resources. Additionally, promoting vegetarian and vegan food supports employee health, inclusivity, and social equality.
As you define initiatives to meet your ESG objectives, consider the extensive benefits of plant-based food for the environment, society, and your business.
Measure the positive impact of vegan business initiatives on your ESG strategy with the Livvie food impact calculator.
Share this article to inspire your colleagues and ESG stakeholders to embrace plant-based food as part of their commitment to sustainability.
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