Woolworths Group Limited

The company previously conducted TCFD-aligned climate scenario analysis, modelling four scenarios including 1.5C, and examining material physical and transition risks. Whether the company's analysis covers its entire animal protein supply chain is unclear. The company monitors market trends and customer preferences, identifying shifting consumer preferences away from non‑sustainable products towards less carbon-intensive products and diverse protein options as a transition risk. To mitigate this risk, the company provides a product mix and consumer information supporting preferences across sustainability indicators.

The company reports a full breakdown of Scope 3 emissions derived from animal agriculture, including a breakdown by protein type, whereby beef and lamb account for 9.7% of FLAG emissions, dairy contributes 6.0%, poultry and eggs constitute 3.8%, grains (partially for animal feed) account for 3.1%, and pork represents 3.0%. Given that the company approximates 50% of its total 34 million tonnes CO2-e Scope 3 emissions as from FLAG sources (pre-farmgate), the contributions from animal agriculture can be calculated as approximately: beef and lamb = 1,649,000 tonnes CO2-e; dairy = 1,020,000 tonnes CO2-e; poultry and eggs = 646,000 tonnes CO2-e; grains = 527,000 tonnes CO2-e; and pork = 510,000 tonnes CO2-e.

In 2024, the company set a 1.5°C SBTi-approved Scope 3 target, covering animal agriculture supply chains in line with FLAG guidance. This includes reducing absolute Scope 3 FLAG emissions by 40% (39.4% SBTi validated) by FY2033 and 72% by FY2050, using a FY2023 base year.

The company has not yet quantified the emissions mitigation potential and/or financial opportunity of protein diversification in its climate disclosure. However, the company does disclose qualitative information on the Scope 3 emissions reduction potential of 'leading the future of protein'. The company aims to provide affordable and sustainable proteins across traditional, plant and alternative sources, and increasingly source these proteins in ways which minimise impact on the environment.

The company has not yet set a public protein diversification target. However, the company discloses qualitative evidence of strategically integrating protein diversification into its climate transition plan. The company also acknowledges its role in creating a market for alternative proteins, aiming to increase the share of healthier, environmentally friendly protein products in customers’ baskets in 2025.

The company has not yet set a public protein diversification target.

The company has not yet set a public protein diversification target.

The company has not yet set a public protein diversification target.

The company has not yet set a public protein diversification target and so does not disclose progress towards a target. Although, FAIRR analysis of the company's retail website indicates an increase in the number of products categorised as "plant-based," growing 95% from 192 in FY2023 to 375 (sourced 25/02/2025) in FY2024. This reflects an increase in the range and volume of alternative protein products offered in line with the company's strategy to 'lead the future of protein' as part of its climate transition plan, but this is not formally reported, nor tied to a specific target.

The company has not yet set a public protein diversification target and so does not disclose progress towards a target. While the company previously disclosed annual plant protein sales volumes in its 2022 and 2023 Sustainability Reports, this was not disclosed for 2024.

There is no evidence that the company is employing incentivisation mechanisms to ensure its board delivers on its protein diversification or Scope 3 emissions reduction targets. Woolworths' Short-Term Incentive program incentivises executives based on financial objectives. While climate change is recognised as a factor to maintain credibility in the company's reputation long-term incentive measure, it is unclear whether progress related to the company's board-approved climate strategy or Scope 3 emissions reduction targets is integrated in its board incentivisation mechanisms.

Woolworths' board members have varying levels of ESG expertise, with at least one member demonstrating distinct sustainability experience.

There is no evidence of a board member with specific nutrition or health expertise. However, the company does provide evidence of its HealthyLife advisory board, comprised of qualified health professionals.

The company does not disclose a list of its direct lobbying actions or public policy positions related to its food business. Although, there are individual examples of the company engaging directly with the Australian government, such as through the Healthy Food Partnership Executive Committee, its participation in UN Global Compact, and its support for Single Use Plastic Regulation.

The company discloses examples of direct lobbying activities related to its food business that align with positive nutrition outcomes. Examples include the company's engagement with the Australian government to allow other displays of Health Star Ratings for products where it is not shown on pack. Furthermore, the company is a member of Australian Government’s Healthy Food Partnership Executive Committee which works to expand the reformulation program. The company does not disclose examples of direct lobbying activities aligned with positive climate outcomes.

The company does not disclose a list of its indirect lobbying actions. Although, there are individual examples of the company engaging indirectly through coalitions and alliances such as the Australian Sustainable Agriculture Initiative Platform (SAI Platform), Agribusiness Australia’s ESG Working Group, Australian Climate Leaders Coalition and the Australian Beef Sustainability Framework to collaborate on shared challenges and solutions for sustainable production. In 2022, the company joined the Australian Climate Leaders Coalition (CLC) - a group of cross‑sectoral companies supporting the Paris Agreement.

The company discloses examples of indirect lobbying activities related to its food business that align with positive climate outcomes. Examples include the company's participation in the Australian Sustainable Agriculture Initiative Platform (SAI Platform), participation in Agribusiness Australia’s ESG Working Group, Australian Climate Leaders Coalition and the Australian Beef Sustainability Framework. The SAI platform is linked with positive climate advocacy, though its primary role is to guide and support businesses in adopting sustainable agricultural practices. In 2022, the company joined the Australian Climate Leaders Coalition (CLC) - a group of cross‑sectoral companies supporting the Paris Agreement. The company was involved in the development of the CLC scope 3 roadmap to encourage more companies to take action on scope 3 emissions and collaborate to identify solutions. The company does not disclose examples of indirect lobbying activities aligned with positive nutrition outcomes, nor plans to address misalignment with positive climate or nutrition outcomes where applicable.

The company has made a public commitment to Just Transition principles which covers animal agricultural supply chains, stating that the Woolworths Group intends to apply appropriate resources in supporting a "just transition". Furthermore, regarding deforestation, Woolworths is guided by SBTi's principles for a just transition, and is taking care to not exacerbate underlying inequities, particularly for smaller suppliers.

The company has not yet made a commitment to retain, reskill, redeploy, and/or compensate animal agricultural workers affected by its emissions reduction efforts. Although Woolworths invested AUD 34.3 million in the Future of Work Fund since FY2021, with AUD 11.5 million dedicated to skill development, it is unclear whether this includes animal agricultural workers affected by the company's emissions reduction efforts. The focus is on building future skills, such as data and digital expertise, expanding skills for frontline teams, and implementing technology solutions to provide diverse career opportunities.

The company discloses evidence of small-scale projects to support animal protein suppliers to adopt more sustainable and regenerative practices. This includes: surveying 52 fresh animal protein suppliers to assess their use of independent certifications; continuing projects through its Animal Horizon, Dairy Innovation, and Ocean Pool Funds; and conducting on-farm trials in New Zealand to explore regenerative practices in vegetable production.

The company does not yet have a public Just Transition strategy.

The company has not yet developed a Just Transition strategy, nor consulted with key stakeholders affected by its emissions reduction efforts.

Woolworths has not yet disclosed a public Just Transition strategy and therefore has no associated KPIs.

Woolworths has not yet disclosed a public Just Transition strategy and therefore has no associated KPIs.

Woolworths launched external brand plant-based products in its largest Australian market in the past year. These include vEEF's affordable meat analogue range, Plantein plant-based meat options and Imber's Pantry vegan cheeses. Additionally, FAIRR's analysis of the company's retail website indicates an increase in the number of products categorised as "plant-based," growing from 192 in FY2023 to 375 in FY2024.

There is no evidence that Woolworths has allocated resource to improve the performance of alternative protein products in the past year.

Woolworths does not have a minimum health and nutrition requirement for its alternative protein source portfolio aligned with a government-endorsed nutrient profiling system. Although the company discloses that 71.2% of its total own brand sales tonnage qualified as ''healthier'' under the Australian Government's Health Star Rating (HSR) system (≥3.5) in FY2024, it is unclear if the company has set a target for healthy sales.

There is no evidence that Woolworths is reformulating alternative protein products to improve nutrition attributes. Although the company is reformulating its own brand products under its 'Helping make health easier' goal' to address key nutrients of concern, such as reducing salt, sugar, and saturated fat, while increasing whole grains and vegetables, specific examples of alternative protein products reformulated with improved nutritional attributes are not disclosed. Additionally, the company aligns with the Australian Healthy Food Partnership (HFP) and New Zealand HeartSAFE targets, reporting an increase to 87% of eligible products in Australia and 71% in New Zealand meeting these targets in FY2024, however, it is unclear to what extent plant-based (re)formulation contributes to meeting these targets.

There is no evidence that Woolworths is reformulating alternative protein products to improve nutrition attributes.

There is no evidence that Woolworths has committed to marketing and merchandising strategies related to alternative proteins in its largest markets.

Woolworths is marketing and merchandising alternative protein products in its largest Australian market. The company includes tips to optimise health on a plant-based diet, snack ideas, articles and recipes on its website and social media channels, with the option to purchase required ingredients. Additionally, the company encourages consumers to try plant-based foods through its 'Dietary and Lifestyle' tool that highlights the health benefits of products, such as high fibre, high protein and low fat, with specific filters for vegan and vegetarian diets. The company also sponsored The Good Life Show in 2024, with live cooking demonstrations, particularly focusing on its plant-based range, to show spectators how to incorporate healthy food options into their meals.

Woolworths is working to ensure its alternative protein source products are accessible and affordable in its largest Australian market. The company aims to 'lead the future of protein' by providing affordable and sustainable proteins across traditional, plant-based, and alternative sources. The company has specific dietary and lifestyle filters for vegan and vegetarian, making it easier to discover plant-based options on its retail website. Additionally, the company launched an affordable external brand alternative protein range this year that is carbon-neutral and at price parity to meat. The company also focuses on competitive pricing for heathier products, aiming to make them accessible to a broader range of consumers, recognising the affordability and health benefits of beans and legumes in particular.

Woolworths has conducted consumer research relating to demand for alternative protein sources, however, there is no evidence of research relating to consumer trends in the sector. The company's annual ''Food and Health Survey'' provides insights on consumer trends against the Australian dietary guidelines and includes alternative protein sources within the ''meat & alternatives'' and ''alternative dairy'' categories. The latest survey included questions on legumes, finding that 47% of respondents thought legumes were a source of protein, while only 29% thought they contributed to vegetable intake.

Woolworths has used consumer research relating to healthy diets to inform its marketing and merchandising strategy for alternative protein sources. The company conducts an annual ''Food and Health Survey'' and uses the ''Food Tracker'' to identify consumer perceptions and behaviours regarding food and health that can inform actions for consideration by the board. The company finds that the supermarket environment influences consumer purchasing, so Woolworths is increasing healthier options and promotions across its stores. The latest survey included questions on legumes, finding that 47% of consumers consider legumes as a source of protein, and only 29% think they contribute to vegetable intake. The company identifies the health benefits of legumes as potential for growth in this affordable category, currently at 3% of the market for meat and alternatives, using this insight to promote ways of incorporating beans in recipes for child health.