Pizza Hut Announces Partnership With Dairy Partners of America, Aiming to Source 50% Of Its Cheese From Sustainable Farms by 2025

Pizza Hut has announced a partnership with Dairy Farmers of America (DFA) to implement farm-level sustainability practices in an effort to reduce greenhouse gas emissions.

DFA, a farmer-owned cooperative with more than 11,500 farm families, will work with dairy suppliers to provide participating farmers with a new technology to reduce greenhouse gas emissions. According to the release, Pizza Hut aims to source 50% of the dairy used to make its cheese from farms enrolled in the FARM ES program by 2025.

The FARM ES — Farmers Assuring Responsible Management and Environmental Stewardship — program will be driven by Pizza Hut, DFA and dairy suppliers as they enroll interested farm families in annual farm-level greenhouse gas and energy footprinting.

Sustainability practices

Farm families who choose to enroll will receive a SCiO cup, a lab-grade dry matter analyzer that will allow farmers access to detailed information about their cows’ feed. In turn, farmers will have a better understanding and ability to provide precise nutrition to their dairy cows, producing milk more efficiently and creating less waste.

“The farms will also be eligible to apply for funds to implement sustainability projects while continuing to actively recruit DFA members throughout the partnership,” the release explained.

“Pizza Hut has a long history of implementing industry innovation,” Penny Shaheen, head of food innovation and technology at Pizza Hut, said in the release. “With this sustainability initiative, we’re able to utilize technology along with our dairy partners in a way that helps the environment while still delivering the iconic taste that pizza lovers have come to expect from our offerings.”

This is an extension of existing efforts made by Pizza Hut’s umbrella company, Yum! Brands. The parent company has been a member of the Innovation Center’s Dairy Sustainability Alliance® since 2019, joining a group of companies and organizations who are all committed to “dairy’s social responsibility journey.”

Consumer demand shift

In late 2021, a study found that over three-fourths of people had shifted their consumption patterns to be more sustainable.

“Millennials and Gen Z are becoming a force to be reckoned with as they continue to represent a larger share of the consumer demographic. Companies that don’t have sustainability as part of their core value proposition need to act now to protect against future reputational impacts and loss of market share,” said Shikha Jain, author of the study and Partner at Simon-Kucher & Partners.

As sustainability becomes increasingly important in the minds of the public, some consumers simply cannot afford the traditionally costly sustainable and eco-friendly options. Internationally, foods deemed sustainable cost about 15% more than their average counterparts.

Though Pizza Hut is not overhauling its entire supply chain, this push to prioritize sustainability among its dairy sources is a great first step, especially for a business that sits firmly in the relatively affordable fast-food category.

“Fast food companies have the ability to improve sustainable agriculture. Through small initiatives and changes to business practices, many companies are already moving forward,” Jane Marsh wrote in a piece for Environment. “By demanding ethical production and helping small farmers compete, fast food companies may help create a better future for food production.”