Using Value Chain Interventions to cut Scope 3 emissions in Dairy Farming

Welcome to the last edition in our series of blogs on how value chain interventions can be used to cut Scope 3 emissions in the food and agriculture sector. In this piece, we will focus on dairy farming.  

A report from Dutch bank ING showed that the vast majority of leading dairy companies have made their Scope 1 and 2 targets public, but this number drops to around 66% when it comes to Scope 3. While this does not necessarily mean that these companies do not have Scope 3 targets at all, it highlights the uncertainty around how to tackle this complex emission type. In some previous cases, companies have decided not to make their Scope 3 targets public due to fear of scrutiny or criticism – caused by a lack of clear guidance and regulations when it comes to this particular emission type. 

What value chain interventions are available for dairy farming? 

While Scope 3 emissions are a challenge, there are several types of value chain interventions have proven successful.  

Feed optimization 
It is possible to significantly lower Scope 3 emissions by reducing the amount of methane from cows’ digestion. High-quality, nutrient-dense feeds, often combined with additives like seaweed or fats, can lower methane output while improving feed efficiency. Precision feeding technology tailors feed rations to cows’ needs, reducing waste and supporting optimal health – meaning that the feed is not only better for the environment, but also better for the cows themselves. 

Away from the actual feed itself, local sourcing cuts down on transportation – once again reducing emissions and making the entire supply chain more sustainable. Another possible intervention is to collaborate with feed suppliers on emissions data - strengthening transparency across the value chain and revealing additional opportunities to reduce emissions in areas which are currently ineffective.  

Manure management  
Effective manure management reduces emissions by capturing methane and nitrous oxide that would otherwise escape into the environment. This can be turned into renewable energy using anaerobic digesters. There are several different types of anaerobic digesters, with the United States Environmental Protection Agency stating that Plug Flow is one of the most effective methods for dairy farming. In the Plug Flow method, manure moves steadily through a long, horizontal tank with minimal mixing, promoting efficient biogas production. 

Other possible interventions related to manure management are covered storage and precision manure application. By covering up the storage of manure, less methane is released into the atmosphere. Meanwhile, by ensuring precision application, not only are costs such as fuel and labor reduced, but there are also less emissions from farm machinery and transportation. Finally, composting and nutrient recovery systems provide organic fertilizers, reducing the need for synthetic ones. An additional benefit of this is another reduction in costs, providing financial benefits alongside reducing environmental impacts. 

Pasture management  
The final type of intervention we will discuss is related to pasture and grazing. Enhanced pasture management promotes carbon sequestration, soil health, and productivity, all of which help to reduce Scope 3 emissions. Managed rotational grazing optimizes forage, helping cows convert feed to milk more efficiently and lowering methane production. Diverse pasture plants can capture more soil carbon, while natural grazing aligns with cows' digestive needs, supporting lower emissions per unit of milk. This regenerative approach reduces dependency on imported feed and supports the local ecosystem, delivering environmental benefits as well as benefits for the cows and other animals in the area. 

Credible reporting on value chain interventions in dairy farming 

To effectively report the climate impacts of interventions in your dairy value chain, your organization must demonstrate that all emission reductions are authentic and genuinely contribute to climate objectives – both your own Scope 3 goals and global goals. 

Challenges such as data availability and diverse cultivation methods can complicate the reporting of emissions from agricultural interventions. SustainCERT verifies Scope 3 emission reductions and removals, through our platform, including safeguards against double counting and other possible discrepancies. The independent verification statement generated can be integrated into annual emissions reporting, in line with GHG Protocol Scope 3 guidelines. 

This is part four of our series delving into value chain interventions in food and agriculture. Check the other instalments to learn more about emission reductions in row crops, cacao, and coffee.  

Looking to report and (co-)claim verified Scope 3 emission reductions? 

Find out how SustainCERT’s value chain impact verification can help to verify your dairy farming interventions.