Lidl GB Allocates Massive £1.5bn Investment to British Beef Industry for Sustainable Growth Over Five Years

Retail giant to reward members of newly formed producer group for adopting regenerative farming techniques and cutting greenhouse gas emissions.

Lidl GB has pledged to invest £1.5bn in its beef supply chain over the next five years to curb its products' carbon footprint.

The budget retailer announces launching a new Sustainable Beef Group to support farmers transitioning to more sustainable practices and reward members who cut greenhouse gas emissions and adopt regenerative farming techniques to improve biodiversity and soil and water quality.

In partnership with agricultural and sustainability consultancy Promar, each farm will receive tailored advice to reduce emissions and support the sustainable growth of its businesses over time. In addition to working with members of the new Beef Group to improve herd performance, each farm will also receive tailored advice to improve herd performance.

The launch builds on the success of Lidl's Welsh and Grass Fed beef producer groups, through which the supermarket pays a premium to producers to join the group. It also follows a similar £500m investment in the British pork industry designed to support more sustainable and high-quality production.

Moreover, the update comes just weeks after Lidl and WWF announced a five-year strategic partnership to promote biodiversity and responsible sourcing across 31 countries, contributing to the budget retailer's supply chain.

WWF is to provide the Schwarz Group-owned retailer with greater visibility over deforestation and conversion in its supply chains, help steer efforts to source sustainably certified products such as palm oil, soy, cocoa, tea, coffee, wood, paper, and seafood, and support work to encourage more sustainable diets and food waste reduction practices.

"As one of the largest buyers of British beef, we recognise our responsibility to support farmers adopt sustainable practices," said Richard Bourns, chief commercial officer at Lidl GB. "This market-leading programme underpins our long-term commitment to buying 100 per cent British, whilst investing significantly in sustainable practices that exceed industry standards.

"It ensures our customers can continue to enjoy the best in high-quality, sustainably sourced British beef at the lowest possible prices."

Lidl and beef supplier Dunbia have also set a target to reduce their Scope 3 emissions intensity by 28 percent per tonne of finished product by 2030.

"We are delighted to support Lidl with their new sustainable beef programme," said Gill Higgins, group sustainability director, UK & Ireland, at Dunbia. "This initiative will support British beef farmers in adopting more sustainable farming methods while ensuring a consistent supply of high-quality beef for Lidl and their customers.

"This is a great example of how strategic partnerships and supply chain investment can support progress in the agri-food industry."

Lidl's launch is the latest in a series of retail-led initiatives aimed at reducing the environmental impact of beef production.

For instance, the Co-op recently introduced a Future Farming Fund to aid its beef and lamb farmers in adopting sustainable practices to achieve net zero emissions by 2040. Meanwhile, Morrisons partnered with 2023 Earthshot Prize finalist Sea Forest in June to transition its beef cattle to a seaweed-based, methane-reducing livestock feed.

Moreover, Denmark's coalition government has made a groundbreaking move by agreeing to implement the world's first annual carbon tax on livestock emissions. After extensive negotiations with farming and environmental groups, farmers will now pay €100 per cow, which is a significant step towards curbing agricultural emissions.