Sustainable Industry

In order to tackle the climate challenge, JBS was the first global company in the protein sector to set a Net Zero goal

In a pioneering announcement in its industry, JBS undertook a commitment to become Net Zero by 2040

The global climate crisis is relentlessly driving major changes in the Brazilian industry and there is no shortage of examples of efforts to mitigate them. As the second largest food company in the world and the largest in the protein business, JBS is working to push sustainable initiatives.

JBS has undertaken to slash its greenhouse gas emissions to net zero by reducing its direct and indirect emissions and by offsetting all residual emissions by 2040.

These initiatives are in line with a far-reaching strategy of the National Confederation of Industry (CNI) towards a low-carbon economy. The CNI’s low-carbon strategy is based on four pillars: energy transition, carbon market, circular economy, and forest conservation.

An example is the 2040 Net Zero Commitment, announced by JBS in March 2021, which is consistent with the energy transition pillar. JBS has undertaken to slash its greenhouse gas emissions to net zero by reducing its direct and indirect emissions (scopes 1, 2 and 3) and by offsetting all residual emissions by 2040.

JBS has also joined the United Nations Race to Zero and is developing a science-based goal plan to become Net Zero. In addition, it will report on its climate change data in line with the Task Force on Climate-related Financial Disclosure (TCFD). JBS’s efforts are also consistent with the Paris Agreement goal of limiting global temperature rise to 2 °C, with the aim of containing it to 1.5 °C in relation to pre-industrial levels.

“Climate change is undoubtedly the greatest challenge facing our generation. If nothing is done, we will be compromising the next generations,” says JBS Global CEO Gilberto Tomazoni. “As leaders in the Brazilian industrial sector and because we have a significant global scale, we at JBS have the opportunity to become major agents of change to a low carbon economy, with a more effective and sustainable system,” says Tomazoni.

Sound actions to keep the commitment

To achieve its ambition, JBS is developing greenhouse gas emission reduction targets across its global operations and value chains in South America, North America, Europe, the UK, Australia, and New Zealand. As a next step, JBS will be launching a science-based plan to reach Net Zero in compliance with the criteria established under the Science-Based Targets initiative (SBTi). JBS will also provide annual updates on its progress to ensure its processes are transparent.

It has admitted that it does not have all the answers to the challenge, but that it trusts science to provide solutions. Early in the process, however, it established a clear list of actions to reach Net Zero by 2040:

·      30% reduction in Scope 1 and 2 emissions by 2030 in relation to 2019.

·      Investment of US$1 billion over the next 10 years in emission reduction projects that will be reviewed by a committee consisting of JBS officers, scholars and experts.

·      Investment of $100 million in Research and Development by 2030 in order to implement emission mitigation solutions, such as improving regenerative agricultural practices, intensifying soil carbon sequestration, and technologies aimed at suppliers’ farms.

·      Full conversion of the electricity consumed in its entire operation to renewable sources by 2040.

·      Linking the variable remuneration of senior executives to climate goals.

·      Target for a bovine supply chain free from illegal deforestation in the Amazon and other Brazilian biomes by 2025, including the suppliers of suppliers.

JBS’s 2040 Net Zero initiative highlights the company’s commitment to the ESG (Environmental, Social and Governance) agenda. This initiative was launched over a decade ago, with significant investments in tangible actions throughout its value chain.

“JBS’s challenge is a long global marathon, which has started already, and the clock is ticking fast against all of us. Although the route to 2040 has not yet been completely outlined, the most important thing is to understand that there can only be winners if we all run in the same direction,” says Gilberto Tomazoni.

More about JBS – With a diversified suite of products (poultry, pork, beef, fish, and lamb, in addition to plant-based), the company has production sites and offices on all continents, in countries like Brazil, United States, Canada, United Kingdom, Australia, China, and others. JBS offers a broad portfolio of brands recognized for excellence and innovation all over the world: Seara, Swift, Pilgrim’s Pride, Moy Park, Primo, Just Bare, and many others, which are served daily on tables in 190 countries. JBS’s operations have a focus on food high quality and safety, and adopts the best sustainability and animal welfare practices throughout its value chain with the purpose of feeding people around the world in an increasingly sustainable manner.