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The certified Valio Carbo® environmental calculator, developed for the Finnish climate and conditions, is used in monitoring the carbon balance of Valio dairy farms. In 2021, already more than thousand dairy farms, i.e. about a quarter of all Valio dairy farms, calculated the carbon footprint of the milk they produce. The calculated average carbon footprint of the milk produced at Valio dairy farms, i.e. raw milk, is 1.06 kilograms CO2e per litre. What makes the calculations significant is the fact that it covers 35 percent of the milk received by Valio and thus already about 28 percent of Finland’s total milk production. The global average carbon footprint of milk is about 2.5 CO2e per litre (FAO). 

The goal of Valio’s climate programme is to reset the carbon footprint of milk’s value chain to zero by 2035. The biggest emissions reductions can be achieved at dairy farms because about 85-95 percent of all the climate impacts of milk are generated in primary production. Additionally, Valio’s goal is to significantly reduce emissions also in its own production, i.e. in its factories, transports, and packaging.

Carbon footprint calculation guides emissions reductions but reveals little about actual climate impacts

More than anything, the carbon footprint is a tool and a means for monitoring success in reducing emissions. However, the figure doesn’t necessarily give a good indication of the climate impacts of individual products.

Valio Development Manager Aleksi Astaptsev has been developing Valio’s carbon footprint calculation for four years now and has trained 1,800 Valio dairy farmers in the use of the environmental calculator. According to him, the individual carbon footprint figures for food products are, at worst, misleading and meaningless because they tell you nothing without context and information about how the calculation was made.

“A carbon footprint calculation can be done in many different ways, and the result depends on the method of calculation. Likewise, the production conditions at farms also impact the carbon footprint of milk. The carbon footprint of the milk transported to Valio’s dairies typically varies between 0.7–1.4 CO2e per litre. We make the calculation at the most accurate level possible and with the actual figures of each farm, rather than using figures based on estimates,” Aleksi Astaptsev explains.

In addition to different methods of calculation, soil impacts, i.e. how much the soil binds or releases carbon, are still missing from the life-cycle assessment of agricultural products. There still isn’t enough research data on how much carbon can be sequestered in mineral soil with year-round grass farming, and how much carbon is emitted from peatland cultivation. The carbon footprint calculation also doesn’t take into account nutritional values. Instead of individual products, the entire meal and its nutrients should be considered.

“We don’t eat kilos; we eat nutrients in an effort to get the most balanced nutrition possible. Comparing completely different kinds of products makes no sense because no one eats, say, a kilo of cheese or a kilo of potatoes a day. It’s the totality that matters,” Aleksi Astaptsev says.

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Dairy farmers have good feedback about the calculator

The Valio Carbo® environmental calculator gives dairy farmers an overall picture of the environmental impacts of their own farms: what has a big impact and what doesn’t. The result is comprised of the dairy farm’s activities: the carbon footprint is impacted by the number of arable hectares, the amount of grass farming, the number of cattle, the lifespan and productivity of the cows, the amount of energy and fuel used at the farm, and the forage fed to the cattle. The dairy farmers have provided very good feedback. The calculator is easy to use, and many dairy farmers are pleased when they see that the result is well below expectations.

“Finnish consumers are increasingly environmentally aware – which is purely a good thing. It is important to us that we can be part of the solution to the environmental impacts of food production and to produce milk for the products Finns can continue to buy with a good conscience also in the future. We believe that an increasing number of consumers value our work in sustainable food production,” says Rami Rauhala, a dairy farmer from Sievi.

“The target for 2021 was to have 500 dairy farms use the calculator. We are pleased that the interest in carbon footprint calculations has been so big that we doubled the target last year. Based on our target, all 4,000 Valio farms will have calculated their milk carbon footprint in 2024,” Aleksi Astaptsev adds.

No offset credits, just genuine actions to reduce own emissions

Aleksi Astaptsev feels that businesses should take ambitious actions to measure, report, and reduce their own emissions.

“Many products carry a label indicating that the product’s carbon emissions have been offset. Offset credits are typically allocated outside the production chain, e.g. to afforestation projects in developing countries. This does not change the actual carbon footprint of the product, and therefore, according to the Intergovernmental Panel on Climate Change (IPCC) guidelines, the offset credits should not be included in the carbon footprint, but should be referred to as carbon offsets. Producers should aim first to avoiding the generation of carbon emissions, then to reducing them, and only then to offsetting them,” he sums up.

Valio - The world’s most innovative dairy and food company

Valio’s mission is to create wellbeing and taste sensations in a responsible way. We make tasty products from milk and many other ingredients; we bring delightful tastes, variety and joy to the food table. We also carry out important roles in society: ensuring food security, enhancing public health and improving animal welfare are some examples of our impacts. In line with our mission, we are making life better. This is also the conclusion of the Finns who have chosen Valio as Finland’s most sustainable brand for seven consecutive years.

4,300 Finnish dairy farmers own Valio through cooperatives. We pay out all the profits to our milk producers through the milk price. We employ a total of 25,000 people at dairy farms. Valio has 4,000 professionals at work from different sectors and we listen to consumers with our more than 100 years of experience.Nobel Laureate A.I. Virtanen’s legacy continues to live on with us. When he headed Valio’s laboratories, the concept of improving the wellbeing of people took root as our guiding principle. We turn science into products that make life better. Consumers in more than 60 countries enjoy Valio products, and we have 350 patents for our innovations around the world. We are Finland’s biggest food exporter and a trailblazer for the whole food industry. Valio’s sales in 2020 were EUR 1,808 million.

Valio – Together we make life better.

Published in Food & Materials
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Finnish dairy and food company Valio and DKSH have signed an agreement on the distribution of special milk powders to Valio’s industrial customers in the Asian market. With the new partnership, Valio is pursuing growth for its dairy-based ingredients, which are ideal for special nutrition such as nutrition for the elderly people or athletes. Valio and DKSH see a lot of collaboration potential in the market for various gut-friendly, value-added, and wellness products.

The global health and wellness trend is driving the growing demand for milk-based products in Asia. Consumers are interested in healthy and natural products that support wellbeing and have high nutritional value. Milk protein is scientifically proven to be the most nutritious of natural protein sources. Valio has conducted scientific research on the properties of milk for more than 100 years.

The majority of the population in South-East Asia is not able to enjoy dairy products because of the lactose in milk. Valio has always been interested in people’s health and wellbeing and has strived to develop science- and research-based products that promote wellness.

“Industry-tailored, lactose-free Valio Eila® products are an example of our pioneering and research-based product development. Thanks to our unique technology, they are gut-friendly and can be enjoyed also by people who typically can’t consume milk products. We help local food industry companies to develop products for their own customers, products like protein-rich yoghurts and low-sugar chocolate, that meet local nutritional needs and are gut friendly,” says Timo Pajari, Senior Vice President heading Valio’s international sales of special milk powders.

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Lifelong wellbeing from dairy-based products

Proper nutrition is the foundation of wellbeing at all stages of life. In the first stages, we need food that is wholesome and safe for babies and children. As adults, we might need protein-rich food to support an active lifestyle or food that is low in calories to help with weigh management; and as we age, we need food that is tasty and nutritious.

“Valio’s special milk powders can be used to add protein to snacks for athletes, for example, or to lower the sugar content in chocolate without compromising taste and quality. With our diverse range of products and our leading expertise, we can help food industry companies to introduce completely new products that meet people’s changing needs,” Timo Pajari explains.

Valio, a Finnish dairy and food company owned by 4,300 dairy farmers, has operated in the South-East Asian market for years. Valio is especially known for its high-quality, safe, and pure dairy products. Thanks to the clean Arctic environment, meticulous quality control, extremely high level of hygiene, animal welfare, and responsible milk production, Valio’s milk is among the purest in the world.

“It was natural for us to partner with DKSH because they have a strong foothold in Asia and long-term expertise in the food and beverage segment. With our products, they also have the ability to help their customers to develop new kinds of products for new target groups and thus to grow their market share in new segments. As a result of this collaboration, Valio’s special milk powders are now available in Thailand, Philippines, Malaysia, Vietnam, Taiwan, and Singapore,” Timo Pajari says.

“We are very pleased to enter a distribution agreement with Valio in several key markets across South-East Asia and Taiwan. Valio is a brand leader in Finland and major player in the international dairy ingredients market with over 115 years of experience and Nobel prize-winning innovation. The company’s high-quality milk powders, from fresh Finnish milk that is pure and clean combined with modern technology, are an excellent fit for our product portfolio in several applications such as Confectionery & Bakery, Dairy and Ready meals. The products will be advantageous to our large customer base in Asia due to their protein content, taste and other benefits. We look forward to increasing our market coverage with Valio in the region,” says Cesar Saez, Vice President Global Food & Beverage Ingredients, DKSH.

Valio - The world’s most innovative dairy and food company

Valio’s mission is to create wellbeing and taste sensations in a responsible way. We make tasty products from milk and many other ingredients; we bring delightful tastes, variety and joy to the food table. We also carry out important roles in society: ensuring food security, enhancing public health and improving animal welfare are some examples of our impacts. In line with our mission, we are making life better. This is also the conclusion of the Finns who have chosen Valio as Finland’s most sustainable brand for seven consecutive years.

4,300 Finnish dairy farmers own Valio through cooperatives. We pay out all the profits to our milk producers through the milk price. We employ a total of 25,000 people at dairy farms. Valio has 4,000 professionals at work from different sectors and we listen to consumers with our more than 100 years of experience.Nobel Laureate A.I. Virtanen’s legacy continues to live on with us. When he headed Valio’s laboratories, the concept of improving the wellbeing of people took root as our guiding principle. We turn science into products that make life better. Consumers in more than 60 countries enjoy Valio products, and we have 350 patents for our innovations around the world. We are Finland’s biggest food exporter and a trailblazer for the whole food industry. Valio’s sales in 2020 were EUR 1,808 million.

Valio – Together we make life better.

Published in Food & Materials
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Food company Valio and energy company St1 are establishing a joint venture to produce renewable biogas from dairy farm manure and other agricultural by-products mainly as fuel for heavy-duty transport. The company to be established is targeting up to 1,000 GWh (1 terawatt-hour) of biogas production by 2030; this amount is one third of the biogas needed for Finland’s fossil-free transport roadmap. Significant emissions reductions can be achieved by using biogas for heavy-duty transport. However, the prerequisite for creating a supply and demand that aligns with Finland’s biogas target is that the biogas-powered transport fleet becomes significantly more common in Finland.

The joint venture will produce biogas mainly from cow manure, although other agricultural and food industry by-products can also be used.

There are two different alternatives for producing the biogas: one alternative is that the biogas will be produced at individual farms or at a few farms in a shared biogas plant. The other alternative is that the biogas will be produced in a larger biogas plant to which the manure would be transported from local farms. Both the alternatives are possible in Valio and St1’s joint project. Valio and St1 have estimated that in phase one, around the middle of the decade, the biogas would be produced at 2-3 concentrations.

The partners are aiming for production capacity of up to one terawatt-hour by 2030, assuming there is enough growth in the demand for biogas in transportation. This is a significant investment package, the detailed planning of which will begin now.

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St1 will distribute the joint venture’s biogas mainly through its nationwide network of fuelling stations for heavy-duty vehicles. Valio and St1 intend to transition to the increased use of manure biogas also in their own logistics.

“We have identified strategic focus areas, where we can best achieve our goal in creating a sustainable carbon cycle. By investing in renewable energy and in the transition of the energy sector while ensuring the necessary cash flow, we are solving global energy challenges. Entering the biogas business is a concrete step in the consistent and long-term implementation of our growth strategy.  Domestic manure biogas can reduce the emissions from heavy-duty transport quickly and efficiently while simultaneously improving Finland’s fuel self sufficiency. This is an opening from two Finnish players in bringing domestic manure biogas to the markets,” says St1 Oy’s CEO Mika Wiljanen.

St1 communicated earlier this spring about the start of biogas business also in Sweden and Norway.

Agricultural emissions will also decrease

Making biogas from manure decreases the methane emissions from the biological decomposition of manure. At best, milk’s carbon footprint will decrease by one quarter, when both agricultural and transport emissions reductions are taken into account.

“Valio aims to cut milk’s carbon footprint to zero by 2035. The use of manure as a transport fuel is one of the most important handprint actions in our climate programme. The intention is that dairy farms can take part in the biogas production with a low threshold. It’s clear that production must be a profitable business also from the dairy farms’ perspective,” says Valio’s CEO Annikka Hurme.

Added bonus: recycled fertilisers, bedding for animals, and substrates for vegetables

The material left over from biogas production can be used to make many valuable circular economy products.

“Liquids and dry materials left over from biogas production can be used as recycled fertilisers for fields, reducing the use of chemical fertilisers and nutrient run-off to waterways. The farmer saves money. The left over material can also be used to make bedding for animals or substrates for vegetables. This can replace the peat that is currently used,” says Juha Nousiainen, Senior Vice President, Carbon-neutral Milk Chain.

Background info for media

  • A total of ~15 million tonnes of manure is generated annually in Finland. It could be used to produce as much as 3–5 terawatts of biogas (VTT’s and LUKE’s estimated potential of Finland’s total manure).
  • 4,300 Finnish dairy farms own Valio. These farms generate about 30 percent of the manure and other outputs suitable for biogas production.
  • Traditionally, manure is stored at the farm in a slurry tank and transported to fields as fertiliser. The adverse smell of manure decreases in the biogas process.
  • About one third of the energy contained in the grass feed eaten by cows ends up in manure.
  • Manure also contains important nutrients needed by plants: nitrogen, calium, and phosphorus. The manure material left over from biogas production can be separated to dry and liquid fractions and used as fertiliser.
    • The nutrient-rich liquid is used to fertilise fields. Plants are better able to absorb especially the nitrogen, compared to the traditional spreading of manure.
    • Dry fractions can be used as phosphate fertiliser.
  • The left over dry materials can also be used to make bedding for animals or substrates for vegetables. This can replace the peat that is currently used.

VALIO FROM FINLAND – THE WORLD’S MOST INNOVATIVE DAIRY AND FOOD COMPANY

Valio, offering the taste of Nordic nature since 1905, is a brand leader and the biggest dairy business in Finland and a major player in the international dairy ingredients market. The company is owned by dairy cooperatives comprising some 4,300 dairy farmers.

Wellbeing is at the heart of Valio’s world leading technology innovations, expertise and products that are made from clean Finnish milk and other ingredients. Our product development follows in the footsteps of Nobel Prize winner A. I. Virtanen, and the company holds 350 patents in 50 countries. Our efforts to improve animal welfare are resolute, and we know that only healthy cows can produce premium milk products. Valio’s milk ranks among the cleanest in the world, and we have zero tolerance for antibiotic residue in milk.

Valio has net sales of EUR 1.8 billion and is Finland’s biggest food exporter. Valio products are found in some 60 countries and account for 25 % of Finland’s total food exports. Valio seeks strong growth in international markets and has subsidiaries in Russia, Sweden, the Baltics, USA and China.

Valio – Together we make life better.

www.valio.com

St1 Nordic Oy is a Nordic energy Group whose vision is to be the leading producer and seller of CO2-aware energy. The Group researches and develops economically viable, environmentally sustainable energy solutions. St1 focuses on fuels marketing activities, oil refining and renewable energy solutions such as waste-based advanced ethanol fuels and industrial wind power. The Group has 1.250 St1 and Shell branded retail stations in Finland, Sweden and Norway. Headquartered in Helsinki, St1 employs currently 980 people.

www.st1.com

Published in Green Industry
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Valio and Stora Enso will distribute 10,000 wood fibre-based reusable lids made from a biocomposite, while encouraging consumers to reduce food waste. The reusable lids will be used to test the wood-based biocomposite in food packaging. The lids will be distributed through Valio’s promotional sales demonstrations early this year.

Annually about one third of the world’s food ends up as food waste or is thrown away (source: FAO). Food produced in vain is a waste of resources and generates unnecessary greenhouse gas emissions that contribute to climate change. The packaging – and the lid – plays an important role in preventing food waste: the lid protects the food during storage.

“With this pilot project we are encouraging people to take small, concrete actions to reduce food waste. The lid makes it easy to protect the unused crème fraiche or quark,” says Jussi-Pekka Lumme, Packaging Development Manager at Valio.

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At the same time, Valio and Stora Enso are testing how the biocomposite functions when combined with the food packaging. The lids are durable, washable and made from hygienic DuraSense® by Stora Enso, a biocomposite material that combines wood fibres and polymers. The biocomposite make it possible to cut the share of plastic in various products by as much as half and thus reduce the carbon footprint.

“In 2018 we switched to fully plant-based packaging in all 250 million gable-top milk, yoghurt, cream, and sour milk packages. The packages are a part of our larger concept of aiming to reset milk’s carbon footprint to zero by 2035. We are constantly exploring new packaging innovations to test and take into use,” says Jussi-Pekka Lumme.

“We at Stora Enso see a strong demand for climate-friendly food packaging. The change is being driven by recognised product brands that are seeking eco-friendly solutions. We are actively developing innovative solutions that help food chains respond to consumer demands for sustainable selections,” says Stora Enso’s Hannu Kasurinen, Executive Vice President, Packaging Materials.

VALIO FROM FINLAND – THE WORLD’S MOST INNOVATIVE DAIRY AND FOOD COMPANY

Valio, offering the taste of Nordic nature since 1905, is a brand leader and the biggest dairy business in Finland and a major player in the international dairy ingredients market. The company is owned by dairy cooperatives comprising some 5,100 dairy farmers.

Wellbeing is at the heart of Valio’s world leading technology innovations, expertise and products that are made from clean Finnish milk and other ingredients. Our product development follows in the footsteps of Nobel Prize winner A. I. Virtanen, and the company holds 350 patents in 50 countries. Our efforts to improve animal wellbeing are resolute, and we know that only healthy cows can produce premium milk products. Valio’s milk ranks among the cleanest in the world, and we have zero tolerance for antibiotic residue in milk.

Valio has net sales of EUR 1.7 billion and is Finland’s biggest food exporter. Valio products are found in some 60 countries and account for 30% of Finland’s total food exports. Valio seeks strong growth in international markets and has subsidiaries in Russia, Sweden, the Baltics, USA and China.

Valio – Together we make life better

Published in Uncategorised