The road to net zero is rarely straightforward and is definitely a team effort across the food industry value chain.
After our recent webinar on turning net zero commitments into action, we received a series of thoughtful follow-up questions from attendees, ranging from Scope 3 reporting and supplier engagement to consumer behavior and geopolitical uncertainty.
In this extended Q&A, sustainability leaders Grant Sprick, VP Climate & Environment, Ahold Delhaize, and Pádraig Mallon, Sustainability Director, Kerry Group, share candid reflections on the real-world challenges of decarbonizing the food industry.
Below are their insights on building science-aligned strategies that are grounded in supplier collaboration, transparency, and continuous improvement.
Net Zero Strategy + Value Chains
Q: How are you attributing value chain emissions reductions into Scope 3 reporting?
Grant at Ahold:
If referring to purchased goods and services, we use spend or volume data combined with global emissions factors. You can find our methodology in our annual report. We’re now exploring more localized emissions factors at the ingredient level to build a more detailed Scope 3 (Category 1) calculation. This approach can reveal more actionable reduction levers.
Pádraig at Kerry:
It depends on the type of reduction and where it happens in the value chain. In some cases, it involves updating calculation methodologies based on primary data or adjusting emissions factors to reflect the impact of specific interventions.
Q: How are you approaching Scope 3 interventions and implementation across value chains?
Grant at Ahold:
First, we ask suppliers to set targets, measure, and report emissions. That builds accountability internally and helps identify reduction opportunities. Beyond that, we’re asking our suppliers for the key projects that they are working on so that we can develop our scope 3 decarbonization roadmap. In some cases, we are also talking about co-funding depending on the level of vertical integration and length of relationship. Finally, we are exploring the potential for landscape and multi-company opportunities as well.
Pádraig at Kerry:
We start by identifying the value chains that contribute most to our footprint, and then explore region-specific or production-system-specific interventions. From there, it’s about supplier engagement, understanding where they are on the maturity curve, what programs they may already have, and where partnership can drive the most impact.
Q: What strategies do you use to nudge customers toward lower-carbon choices (outside of delisting)? Are there signs this is working?
Grant at Ahold:
I am not going to claim that we are perfect here and that we have exhausted all opportunities here. There is work to be done. Our main strategy here is to utilize topics that customers find more valuable like health and protein. Generally, these foods are also low carbon. As we evolve our measurement methodology and understanding of funding principles, we will evolve as well.
Q: How do consumers respond to your net zero claims or targets?
Grant at Ahold:
Generally speaking, consumers aren’t deeply engaged with net zero targets. There are exceptions, of course, but most are focused on health and affordability.
Pádraig at Kerry:
As a B2B company, our role is to help our customers reduce their emissions and provide evidence that supports the consumer-facing claims they may want to make.
Net Zero Commitments + Suppliers
Q: What recommendations do you have for supplier engagement campaigns, specifically regarding incentives or training resources?
Grant at Ahold:
There are several external platforms, like S-LOCT, that offer good training content. Also, I have heard good things about the Chancery Lane Project which helps to build out sustainability requirements in contract terms.
Pádraig at Kerry:
For deployment of interventions we are looking at how incentivization can help remove initial barriers to adoption and increase engagement in targeted supply chains, particularly for new approaches like Regen Ag. The Evolve programme provides a specific example of a campaign developed with farmers in an Irish context.
Q: How do you motivate suppliers to share data and take action?
Grant at Ahold:
At this point, globally, we’re only asking. We don’t have a universal carrot-and-stick approach yet. One of our brands is requiring data reporting and decarbonization from key (mostly vertically integrated) suppliers, but otherwise, we’re still evolving this strategy.
Q: What would you recommend for companies working with small suppliers that lack capacity to reduce emissions?
Grant at Ahold:
I think you have to pick your battles. You can’t do everything everywhere. This is why mapping your supply chain and understanding where your emissions are coming from at the ingredient level is so important. Smaller suppliers might need to come later in the process.
Pádraig at Kerry:
I agree that prioritization is crucial. Potentially there are local networks that can help with capacity building / collaboration / knowledge-sharing with these smaller suppliers. In some cases, there may be no/low cost opportunities available to them through these networks to help get started.
Q: Isn’t shifting sourcing locations potentially counterproductive, as it could increase demand in other regions and drive up land use?
Grant at Ahold:
Potentially, yes. This is why it is never a blanket rule around this. Sometimes shifting location is a viable option; other times, improving practices in the current location makes more sense. What’s important is to consider the full system: nature, climate, cost, relationships, geopolitics—everything. And watch out for carbon blinders!
Q: Is it possible to develop a strategy without an SBTi target?
Grant at Ahold:
Certainly. It just won’t be aligned with science. If that still fits your company’s strategy, go for it. Industry-wide decarbonization is needed in any form, but ideally, that happens with science as the foundation.
Pádraig at Kerry:
Yes, but it’s important to set ambitious interim targets along the way. The SBTi tools are freely available and offer a strong foundation for companies considering net zero, even if they don’t go through the validation process.
The questions asked here reflect the complexities sustainability teams face, including the need for accurate data, support for supplier readiness, adjusting to evolving frameworks, and the pressure to show results before clear playbooks are in place. The HowGood team has resources available to help you move toward your net zero commitments with clarity.
Additional Resources
Impact at Scale: Leverage supplier engagement to achieve food industry climate goals
- Explore new approaches to sustainability data collection
- Discover proven strategies for impact reduction
- Learn how to identify your highest impact suppliers
- Gain real-world insights on supply chain collaboration
Proving Sustainability ROI: Learn how food companies are leveraging the commercial case for sustainability
- Improved internal alignment between teams
- Lower costs of capital
- Enhanced brand value and market share
- Reduced operational costs
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