ESG pressure on dairy farmers. Major food corporations like Nestlé and Danone are using supply chain leverage to force compliance with net-zero initiatives. Dairy processors require farmers to report emissions data, herd metrics, and energy usage. Noncompliance means losing market access. The "voluntary" Pathways to Dairy Net Zero program effectively functions as mandatory governance, shifting climate compliance costs downward to mid-sized and small farms. Farmers face restricted credit access and operational constraints while corporations maintain control over production standards. Critics argue the economic burden on American agricultural producers far exceeds measurable environmental benefits, raising questions about the true purpose of ESG implementation across supply chains.
