Mondelez reports emissions reductions across all scopes, unveils new SBTi targets

Mondelez International has cut greenhouse gas emissions by 3.7% from its 2018 baseline, putting it “on track” to meet its new 35% reduction commitment by 2030 – a target that was validated last week by the SBTi.

Compared to its 2018 baseline, the snack maker achieved a 31% reduction in Scope 1 and 2 emissions last year, and a 2.2% drop in absolute Scope 3 emissions. The operational gains were achieved mainly through energy efficiency measures and the purchase of renewable electricity (reaching 48% of manufacturing power needs).

Almost three quarters (73%) of Mondelez’ carbon footprint comes from raw materials, with cocoa and dairy as the main culprits. To mitigate these impacts, the company has focused on eliminating deforestation linked with key commodities (cocoa, palm, soy, and paper), as well as embracing regenerative agriculture practices, in particular through the Cocoa Life programme. 

Since 2022, Mondelez has been developing customised emission factors to replace generic emission factors on its farms. “We’re using data to translate our interventions in deforestation prevention and agroforestry as well as farming practices into custom emission factors. In our major sourcing countries, this approach is resulting in lower emissions per tonne of product than we would obtain with generic emission factors,” the company notes in its 2023 sustainability report.

Mondelez 2030 science-based targets

Mondelez, which reported US$36 billion in net revenue in 2023, also unveiled new 2030 targets approved last week by the Science-Based Targets Initiative (SBTi). For Scope 1 and 2, the company is targeting a 50.4% reduction, while it aims to cut Scope 3 emissions by 30% within the same timeframe.

Following the recent examples of food manufacturers and retailers across the globe, Mondelez has also set a specific target for food, land and agriculture (FLAG) emissions: a 36.4% decrease by 2030, associated with a no deforestation goal by the end of 2025.

For 2050, Mondelez plans to reduce absolute Scope 1, 2 and 3 emissions by 90%, and FLAG emissions by 72%, all from a 2018 base year.

“Through perseverance and diligence, we have built an end-to-end carbon emissions reduction roadmap, leveraging both tried-and-true programmes as well as new pilots associated with SBTi-validated emissions reductions targets. These efforts are helping us meaningfully reduce our emissions and give us a clear path forward as we progress against our long-term ambition,” said Chief Impact and Sustainability Officer Christine Montenegro McGrath.

The company is also “in the process” of conducting a double materiality assessment in line with upcoming regulatory requirements, with “results anticipated in due course”.