Study presses Tyson on sustainability

FILE - In this Jan. 29, 2006, file photo, a car passes in front of a Tyson Foods Inc., sign at Tyson headquarters in Springdale.
FILE - In this Jan. 29, 2006, file photo, a car passes in front of a Tyson Foods Inc., sign at Tyson headquarters in Springdale.

The corn and soybeans Tyson Foods needs to feed the more than 2 billion animals it processes each year in the United States requires between 9 million and 10 million acres of farmland -- an area nearly twice the size of New Jersey -- according to new research.

A study by the Union of Concerned Scientists released Wednesday estimated that only about 5% of this land, 408,000 acres, is enrolled in sustainable farming programs announced by Tyson in 2018, falling short of the company's initial acreage goals.

The research is based on calculations of the amount of corn and soybeans required to feed the approximately 6 million head of cattle, 22 million hogs and nearly 2 billion chickens Tyson processed on average in 2020, drawing on data reported by the company.

A spokesman for Tyson said the company was not given an opportunity to review or comment on the organization's report before it was published. Tyson is one of the largest buyers of grain for poultry feed, but does not own or farm the land, said spokesman Derek Burleson in an email.

Karen Stillerman, senior analyst with the organization's food and environment program, said large food companies have strong leverage over the way farmland is used and managed today and that control can have significant consequences for environmental and human health.

Prevailing practices can contribute to soil erosion, water pollution and extreme weather in surrounding areas and farmland as climate change continues, she said.

To mitigate these risks, the nonprofit science advocacy group recommended that Tyson, the nation's largest meat producing company, use its scale and influence to set high standards for the way farmers manage their land and help move U.S. agriculture in a positive direction.

In recent years, Tyson has taken steps to become a more sustainable company, setting emission and water reduction targets, among other efforts to conserve natural resources and protect the environment. In 2018, under the leadership of Tom Hayes, the company committed to getting farmers to adopt more sustainable practices on 2 million acres of corn by 2020.

Stillerman said the company missed its target. According to the report, Tyson enrolled 408,000 acres into the land stewardship program as of 2021 and pushed back its target date to 2025, in part because of the coronavirus. Stillerman said that Tyson has the resources to accelerate its commitment to improving production practices.

The transition for farmers isn't easy. They face significant upfront and equipment costs, she said, but the results are more profitable in the long run. Federal programs are available, but most of them are in high demand and not well funded.

"We believe with great power comes great responsibility," Stillerman said.

Burleson said land stewardship improvements are in the works.

"We're using the learnings from our three-year pilot project with Farmers Business Network to inform and develop a path forward that continues to provide a collaborative, sustainable approach across the supply chain," he said.

A number of shareholder proposals designed to improve sustainability practice have been rejected in the past. One up for consideration would approve a study that identifies the amount of plastic packaging Tyson uses. Stillerman said this one will assuredly be rejected, because of the company's shareholder stock structure that essentially gives veto power to members of the Tyson family.

Because of the recent surge in coronavirus cases linked to the omicron variant, Tyson is scheduled to host its annual shareholder meeting at 10 a.m. online, today. Shareholders are able to attend, submit questions and vote at virtualshareholdermeeting.com/tsn2022.

Shares of Tyson rose 1 cent to close Wednesday at $98.72 on the New York Stock Exchange.

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