Australia's largest food companies are making only marginal progress on protecting and restoring the nature they depend on.
That's a key finding from the Australian Conservation Foundation's Future of Food benchmark analysis, now in its second year, which ranks 20 of Australia's largest food companies on 37 indicators across four areas - risk assessment and disclosure, nature targets, strategy and action, and governance - and examines each company's commitment to transparent reporting on these criteria.
The average total company score this year was 20% - up from 17% last year, but still a fail for nature.
This year's assessment finds:
- Recognition and assessment of nature risk is rising, with 25% of the cohort demonstrating some level of nature-specific materiality (up from zero in 2024).
- Nature targets lag well behind climate targets, with companies still ignoring the inextricable link between nature and climate risks.
- Corporate sustainability strategies remain narrowly focused on production volumes and efficiency, overlooking efforts to preserve ecological foundations that underpin farm productivity and long-term resilience.
"Every meal we eat is connected to the land, water and climate that sustain us, yet the way food is produced for Australian consumers pushes those systems to breaking point," said Max Hamra, report author and ACF's Policy Analyst - Corporate Responsibility.
"Soils are losing fertility, native species are being pushed towards extinction and farming is being made more vulnerable to droughts, floods and fires.
"Our food system relies on the health of the natural world.
"The largest companies in this system have a responsibility to accelerate action on nature. With their resources, reach and influence, they can decide whether Australia's food future is based on destruction or regeneration.
"By helping farmers transition away from harmful methods and investing in practices that protect biodiversity, soil, water and wildlife, companies can help build a food system that protects, not destroys, the natural systems we all depend on to live."
A new section in this year's report explores whether companies are supporting farmers on the frontlines of the nature and climate crises. It found support for producers to adopt more sustainable practices was mostly for ad-hoc projects and nowhere near the scale required.
The results reveal multiple areas for companies to improve, especially local companies relative to internationally headquartered peers that are leading the way.
Future of Food: A call for Australian food companies to come to the table on nature
