A group of investors has urged some of the world’s largest global fast food chains to take action on their carbon and water usage, according to a BBC report.
The 80-strong investor group which has around $6.5tn under management wants the global fast food chains to set quantitative and timely targets to cut greenhouse gas emissions from their meat and dairy supply chains and to commit to publicly disclosing these targets. An analysis of the meat and dairy fast food producers raised their concerns.
The BBC report states that “agricultural emissions including those from meat and dairy are on track to contribute around 70% of the total allowable greenhouse gas emissions by 2050” and that around 10% of annual global water flows is used by the livestock sector.
The investors say they want these changes to help fast food services minimise future risks and want implementation to take effect in March.
Aviva Investors analyst Eugenie Mathieu said: “When it comes to evaluating market risk, rising global temperatures and intensifying competition for water access are increasingly material factors for investors.
“This is especially the case in the meat and dairy sector. From field to fork, investors want to understand which food companies are monitoring and minimising the long-term environmental risks in their supply chain. This engagement sends a clear message to the fast food sector that investors expect them to deliver sustainable supply chains.”