The ALDI SÜD Group is dedicated to working towards helping eliminate deforestation and the land conversion of natural ecosystems from our critical supply chains. Certification, transparency, and close collaboration with our suppliers are key elements in progressing toward this commitment and supporting the protection of forest areas.
Almost one third of the world’s land is covered by forests. They are diverse and complex ecosystems, containing significant amounts of the planet’s freshwater and providing habitats to many of the world’s plant and animal species. For millions of people, forests are a source of livelihoods, providing important resources like food, firewood, water, or ingredients for medicine. Many Indigenous people and local communities call forests their home and depend on them to generate an income.
At the same time, forests are essential to mitigating climate change: They function as carbon sinks, absorbing large amounts of CO2 from the air and storing them in the soil. By cutting or burning down trees and natural vegetation, this carbon is released – accounting for about 7% of global emissions in 2022 alone.
Our forests are under pressure. Over the past 30 years, around 10% of the world’s forests have been lost through deforestation. Tropical rainforests worldwide are particularly under threat – about 17% of the Amazon has already been destroyed. And deforestation continues at alarming rates, contributing to climate change and biodiversity loss.
Agricultural expansion is a major driver of global forest degradation and deforestation, with commodities such as beef, dairy, palm oil, soy, timber, coffee, and cocoa posing particularly high risks. For these supply chains, we focus on increasing the uptake of sustainable standards and certification. By applying independent third-party certification schemes, following chain-of-custody standards, and prioritising sourcing from low-risk origins (based on the European Commission EUDR Benchmark Country Classification List), we seek to ensure that our suppliers comply with standards that protect forests and natural ecosystems from conversion.
Increasing supply chain transparency is key to verifying whether our requirements are met and to identifying potential risks. This includes mapping raw material supply chains and conducting regular assessments, either performed individually or together with our partners, to monitor performance and drive continuous improvement.
In 2024, the Science Based Targets initiative (SBTi) validated the ALDI SÜD Group’s greenhouse gas (GHG) emissions reduction targets. Alongside these targets, the ALDI SÜD Group also set an ambitious target to eliminate deforestation from its high-risk supply chains by 2025.
While we have made meaningful progress towards this goal, we did not fully achieve our objective of eliminating deforestation from all high-risk supply chains by this target date. This reflects broader industry-wide challenges as well as structural and regulatory barriers, including the complexity of verifying soy used in animal feed across multiple supplier tiers, ongoing traceability limitations in palm oil and cocoa supply chains, and the delays to the implementation of the EU Deforestation Regulation.
The Science Based Targets initiative (SBTi) has acknowledged and proposed that companies unable to meet previous goals review, and where necessary, adjust their timelines for achieving deforestation-free supply chains. As part of our new sustainability strategy, Force for Good, we will assess how to address the remaining obstacles we still encounter in some supply chains, such as increasing our engagement in high-risk sourcing regions. Through this action, we aim to sustain the progress made to date on deforestation and provide a credible pathway for the business to support the reduction of GHG emissions.
Together with the international civil society organisation Solidaridad and ALDI Nord, we supported a four-year project in Côte d'Ivoire to improve the sustainable cultivation of palm oil and prevent deforestation in the region. The smallholder farmers were offered training through Farmer Field Schools programmes and restored around 250 hectares of forest land between 2017 and 2021.
Even though we faced multiple challenges during this project – including COVID-19 restrictions and political tensions – 90% of the farmers and local partners reported positive impacts and increased knowledge on the importance of forest conservation.
To help address deforestation and protect the world’s forests, rapid and impactful action is required. We intend to engage with policymakers and participate in recognised standard-setting processes to support the introduction of voluntary and regulatory frameworks that advance sustainable food production. We continue to advocate for stronger regulation, government support, and financial incentives that enable a transition towards a nature-positive economy.
In the past, ALDI has called on governments, traders, and producers to protect high conservation value areas and prevent deforestation, including through signing open letters and public statements, such as support for the Cerrado Manifesto and Amazon Soy Moratorium.
We recognise that legislative measures, such as the EU Deforestation Regulation, can play a significant role in reducing deforestation by addressing import-driven impacts and strengthening requirements for deforestation-free products. We have publicly backed calls for strong and effective regulatory action, including through signing a joint open letter supporting the timely and robust implementation of the EUDR.