Kellogg’s

RATING

SECTOR

Food and Beverages

WEBSITE

CONTACT

Kellogg’s Consumer Affairs
P.O. Box CAMB
Battle Creek, MI 49016

Tel: 1-800-962-1413

STOCK EXCHANGE

LISTING

  • The Dow Jones Sustainability Indices (DJSI)
  • FTSE4Good Index Series
  • MSCI Environmental, Social and Governance (ESG) Index
  • ECPI Group S.r.l
  • ISS ESG

EMPLOYEES

34,000

CHIEF SUSTAINABILITY OFFICER

Amy Senter

AWARDS

  • ECPI Sense in Sustainability
  • EPA United States Environmental Protection Agency – 2030 Food Loss & Waste Champion

CONTENT SOURCE

FURTHER READING

Report created by Natalie Sherman

Kellogg's

SECTIONS :  Sustainability    Evaluation  •  Progress  •  Watch  •  Overview

Company Activity

The Kellogg Company, more commonly known as Kellogg’s, is an American multinational company focused on the manufacturing of food products. Kellogg’s products are made and sold in over 180 countries. It is one of the global giants in food production.

Kellogg’s is primarily focused on the production of plant-based products such as cereals, but has also produced products such as chips, crackers, and cookies. They are headquartered in Battle Creek, Michigan, USA.

Company Sustainability Activity

Kellogg’s aims to greatly improve their sustainability over the next ten years including efforts to reduce their packaging, reduce their emissions, and purchase from sustainable farming operations. Thus far, Kellogg’s had greatly reduced their emissions during the past several years and aims to continue the trend. They have also begun to make the use of water at their facilities more sustainable, including efforts to recycle waste water and extra sensitivity to their water use in areas with scarce water supplies.

Kellogg’s is highly invested in the UN Sustainable Development Goals (SDGs) and went so far as to assert this commitment even during the period in which the United States was not a part of the Paris Climate Agreement. They are also committed to reducing the amount of packaging on their products, as well as lowering their resource consumption.

Highlights

Targets

100% Sustainable Packaging by 2025

Supporting Sustainable Farming

  • 100% Responsibly Sourced Vanilla Program
  • Kellogg’s Origins Program

Climate Action

Reducing Water Use

  • Water efficiency goals at manufacturing plants
  • Mindful of areas with high stress on the water supply
  • Reuse of wastewater at certain facilities
  • Helped local farmers have prevented nearly 3,500 tons of soil runoff from entering the Saginaw Bay in Michigan

Progress

100% Sustainable Packaging by 2025

  • Kellogg’s transitioned to paper and compostable foodservice products in all plants and offices.
  • 17% reduction in thickness of plastic packaging.
  • 76% of Kellogg’s packaging is recyclable.

Supporting Sustainable Farming

  • Kellogg’s 100% Responsibly Sourced Vanilla Program has invested in the Ankavanana region of Madagascar, encouraging sustainable farming practices, biodiversity, and financial resilience.
  • The Kellogg’s Origins Program has helped encourage sustainable farming practices including cover crops and pollinators.
  • Given 9 out of 9 by the World Wildlife Fund for sustainable palm oil production.
  • Creation of the Supporting US Farmers Program

Climate Action

  • 15% reduction in GHG emissions between 2015 and 2019
  • 27.9% of the electricity used in Kellogg’s facilities comes from renewable sources

Reducing Water Use

  • Between 2015 and 2019, Kellogg’s reduced their water use by 15.1 %, above their goal of 15%. They also have a plan to reduce water use in facilities in high-water-stress regions by 30% by the end of 2030

Certificates

Kellog’s does not hold any certificates at the moment.

United Natoons Sustainable Development Goals

United Nations Sustainable Development Goals Compliance

SDG 2

  • Kellogg’s has stated its intention, via the Better Days Commitment, to feed 375 million people in need through both food donations and child feeding programs.

SDG 12

  • Kellogg’s has begun to reduce the packaging of their products as well as incorporate recycled materials into their packaging.

SDG 13

  • Kellogg’s has made a conscious effort to reduce its emissions including remaining conscientious of the emission standards set by the Paris Climate Accord, despite the United States’ refusal to sign for several years. Kellogg’s also joined the “We Are Still In” coalition in response to the Paris Climate Accord and RE100, an initiative focused on renewable energy.
 

Evaluation

Despite the lack of green certifications and labels, Kellogg’s appears to be committed to sustainability in all of its forms. Their establishment of programs to encourage renewable energy and sustainable farming practices around the world demonstrates the value they place on sustainability and improving their practices.

Kellogg’s has also made an effort to promote sustainability and to lead by example. They have addressed a variety of domains of sustainability and continue to improve their sustainable practices.

Despite their numerous listings, Kellogg’s does not hold any industry-related certificates that would support their sustainability endeavors. In addition, they comply with only 3 out of the 17 UN Sustainable Development Goals. For these reasons, Kellogg’s has been rated a C.

Analyst Outlook: Neutral

Kellogg’s is moving towards much more sustainable practices at a fast pace and actions like reducing the packaging of their products and their overall emissions inspire confidence.

Their transparency in comparison to other brands is also noteworthy, as is their commitment to the SDGs and the Paris Climate Agreement. Kellogg’s seems committed to lowering its carbon footprint and becoming a more sustainable company.

That being said, Kellogg’s is a very large company with a very large carbon footprint. Their reductions are promising, but true sustainability will require them to continue to cut their emissions by large margins and reduce their consumption of resources such as water.

Kellogg’s has also called on other companies to increase their sustainability and leads by example by being transparent about their emissions and sustainability goals.

Key Points

  • Kellogg’s Better Days Commitments are Kellogg’s goals as a brand to combat hunger, reduce waste, develop an ethical supply chain, as well as supporting diversity and inclusion. The goal of the Commitments is to assist in ending world hunger by 2030 as well as improving many other aspects that contribute to the quality of life of people around the world.
  • After the United States’ departure from the Paris Climate Agreement, Kellogg’s along with many other American-based companies joined the We Are Still In Coalition, declaring that they would still abide by the goals of the agreement and lower their emissions.
  • The goal of the RE100 agreement is to accelerate change towards zero-carbon grids at scale. It targets major companies, who account for half the world’s consumption of electricity. It aims to reduce emissions by transitioning these companies to renewable electricity.
  • Kellogg’s is interested in improving sustainable farming practices worldwide and helping farmers become financially resilient. Kellogg’s has also shown its commitment to responsibly sourcing resources such as vanilla beans and palm oil.
  • Kellogg’s is also a member of The Recycling Partnership. They are committed to reducing their overall packaging as well as including more recycled material in the packaging.
 
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