Warrnambool Cheese & Butter
Dairy producer
One of Australia's biggest dairy companies. Established in 1888. Canadian dairy giant Saputo acquired an 88% stake in Jan 2014, and the remaining shares in Mar 2017. Saputo also bought Murray Goulburn in 2018 and has begun to integrate the two companies under the name Saputo Dairy Australia.

Overall

Owned CAN
Rating F
About the Ratings

Company Ownership

Warrnambool Cheese and Butter Factory Company Holdings Ltd
AUS
Saputo Dairy Australia Pty Ltd
owns 100% of Warrnambool Cheese and Butter Factory Company Holdings Ltd
AUS
Dairy product manufacturing
Saputo Dairy Australia was formed in 2018 when Canadian dairy giant Saputo bought Murray Goulburn Co-operative for $1.3 billion. Murray Goulburn Co-operative was previously owned by Australian dairy farmers and formed by farmers in the state of Victoria, Australia in 1950. Saputo also bought Warrnambool Cheese and Butter Factory Company in 2014 and has integrated the two companies under Saputo Dairy Australia.
Saputo Inc
owns 100% of Saputo Dairy Australia Pty Ltd
CAN
Dairy processor
Largest dairy processor in Canada, and among the largest in the world. Majority owned by the founding Saputo family. Founded in Canada in 1954, the company has expanded by mergers and acquisitions, particularly the USA, UK, Germany and Argentina. Acquired Australian dairy companies Warrnambool Cheese & Butter in 2014 and Murray Goulburn in 2018, and integrated the two companies under the name Saputo Dairy Australia.

Company Assessment

(Last updated Nov 2024)
Warrnambool Cheese and Butter Factory Company Holdings Ltd
Information
Fined by the EPA
In Aug 2018 the VIC Environment Protection Authority (EPA) issued a $7,929 penalty notice to this company for expanding its Allansford operations without a works approval.
Source: EPA (2018)
Organic products
Some of this company's products are certified organic by NASAA.
Saputo Dairy Australia Pty Ltd
Praise
4/5 for packaging performance
This company received a packaging performance level of 4 (Leading) in its 2024 APCO Annual Report. Australian Packaging Covenant Organisation (APCO) is a not-for-profit organisation leading the development of a circular economy for packaging in Australia. Each year, APCO Members are required to submit an APCO Annual Report and Action Plan, which includes an overall performance level from 1 (Getting Started) to 5 (Beyond Best Practice).
Source: APCO (2024)
Information
Renewable energy use
Greenpeace's Reenergise campaign ranks Australia's biggest electricity using companies on their commitments and actions regarding renewable energy use. This company has signed a power purchase agreement (PPA) to buy power from a wind or solar project; but they have not committed to powering their operations by 100% renewable electricity by 2030; and they have not invested in on-site solar.
Breaching advertising codes
This company has been criticised for offensive advertising. In 2013/14 Ad Standards upheld complaints about five ads by this company on the grounds that they breached advertising codes. The ads were subsequently discontinued or modified.
Cuts to farm-gate price
In April 2016 Murray Goulburn reduced its farm-gate price for raw milk from an average of $5.60 to $4.75-$5. This was criticised as below the cost of production.
Excessive executive pay
Former Murray Goulburn boss Gary Helou pocketed $10 million as farmers struggle to break even after reduced farm-gate prices for milk. Now Mr Helou, who owns a $3.2 million luxury NSW home, has been named in a shareholder class action lodged in the Supreme Court which claims Murray Goulburn knowingly made misleading statements about forecast profits and production.
Murray Goulburn fined for disclosure breach
In 2017 the Australian Securities and Investments Commission (ASIC) fined Murray Goulburn $650,000 over an alleged breach of its disclosure obligations in the lead-up to a dramatic price cut paid to its farm suppliers in April 2016. Company ownership has since changed.
Organic products
Some of this company's products are certified organic by NASAA.
Corporate citizenship claims
This company has corporate citizenship claims on its website, under the headings responsible sourcing, environment, community, food safety and business ethics.
Saputo Inc
Praise
Palm oil rating - WAZA
The PalmOil Scan app, produced by the World Association of Zoos and Aquariums (WAZA), rates companies on their commitment to sourcing sustainable palm oil. Companies are scored on their use of certified sustainable palm oil (CSPO), commitment to sourcing CSPO, on-the-ground conservation action, and membership to the RSPO. Companies can earn a rating of Excellent, Good, Poor or No Commitment. This company is rated "Excellent" (retrieved 18 Nov 2023).
Source: WAZA (2023)
CDP Climate Change score of B-
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change score of B-.
Source: CDP (2023)
Criticism
2/100 in KnowTheChain Benchmark
In 2023 KnowTheChain benchmarked 60 food and beverage companies on their efforts to identify and tackle forced labour risks in their supply chains. This company received a score of 2/100. The average score was a disappointing 16/100 and the highest score was 56/100.
3/20 in Social Benchmark
The 2024 Social Benchmark assesses the world's 2,000 most influential companies on their responsibility in meeting society's fundamental expectations towards three measurement areas: respecting human rights, providing decent work, and acting ethically. This company was assessed in 2023 and received a score of 3/20. The average score was an alarmingly low 4.6/20 and the highest score was 15.5/20.
Animal Testing
This company appears on PETA's list of food and beverage companies that tests on animals, signifying that: it has not signed PETA's Statement of Assurance document; has definitively conducted, funded, commissioned, or allowed animal testing that is not explicitly required by law or by written requirements by government agencies; and has not adequately resolved this issue in private discussions with PETA.
Source: PETA (2024)
Unsustainable palm oil use
This company scores Ethical Consumer's worst rating for their use of palm oil, signifying they are using no or minimal certified palm products, and with no or minimal positive commitments.
8% in methane scorecard
The livestock sector is the single largest contributor to man-made methane emissions. Even though rapid reductions of methane emissions are needed to slow the rate of global warming, the largest meat and dairy corporations are oblivious to the problem. Changing Markets' 2021 report 'Blindspot' investigated the policies and actions of 20 meat and dairy giants to reduce their methane emissions. This company scored 8/100 for their methane policy and actions.
Tier 5 in farm animal welfare rankings
The Business Benchmark on Farm Animal Welfare (BBFAW) 2023 Report ranks global food companies on their farm animal welfare policies, practices and performance. This company appeared in tier 5, "On the business agenda but limited evidence of implementation", with tier 1 being the best, and tier 6 the worst.
27/100 S&P Global ESG Score
This company received an S&P Global ESG Score of 27/100 in the Food Products category of the S&P Global Corporate Sustainability Assessment, an annual evaluation of companies' sustainability practices (last updated 18 Nov 2022). The rankings are based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
19.5% in Food and Agriculture Benchmark
The 2023 Food and Agriculture Benchmark assessed 350 keystone companies across the entirety of the food system, from farm to fork. It covers three dimensions where transformation is needed: nutrition, environment and social inclusion. This company ranked #144/350, with a total score of 19.5/100.
15.1% in Nature Benchmark
The Nature Benchmark ranks 816 companies across 20 industries on their efforts to protect our environment and its biodiversity. Companies were assessed in three phases between 2022 and 2024 using three measurement areas: governance and strategy; social inclusion and community impact; and ecosystems and biodiversity. This company was assessed in 2023 and is ranked #383/816, with a total score of 15.1/100.
Information
Fined for worker death in Canada
This company was fined C$187,500 after a worker was killed by a cheese cutting machine. The Ontario Court of Justice levied the fine on May 1, 2018 after the company pleaded guilty to failing to ensure a pinch point was guarded resulting in the worker's death in December 2016.
Corporate citizenship claims
This company has corporate citizenship claims on its website, under the headings responsible sourcing, environment, community, food safety and business ethics.
Sustainable Agriculture Initiative member
This company is a member of the Sustainable Agriculture Initiative (SAI) Platform, the main food industry initiative supporting the development of sustainable agriculture worldwide. Created by Nestle, Unilever and Danone in 2002, the SAI Platform is a non-profit organization to facilitate sharing, at precompetitive level, of knowledge and initiatives to support the development and implementation of sustainable agriculture practices involving the different stakeholders of the food chain.
CDP Forests score of C
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts towards removing commodity-driven deforestation and forest degradation from its direct operations and supply chains. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Forests score of C.
Source: CDP (2023)
CDP Water Security score of C
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to manage and govern freshwater resources. Responding companies are scored on six key metrics: transparency; governance & strategy; measuring & monitoring; risk assessment; targets & goals; and value chain engagement. This company received a CDP Water Security score of C.
Source: CDP (2023)
Response to cow abuse video
A 2015 Mercy For Animals Canada investigation revealed animal abuse at Chilliwack Cattle Company - a major Saputo dairy supplier. Saputo responded by releasing a new animal welfare policy and saying it will refuse to buy milk from farmers that don't treat their animals humanely. The policy also commits to eliminating the practice of cutting or docking the cow's tail, administering pain control when dehorning cattle and reducing stress on cows through low-energy animal handling methods.
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Company Details

Type:
Wholly-owned subsidiary
Employees:
330+

Contact Details

Address:
5331 Great Ocean Rd, Allansford, VIC, 3277, Australia
Phone:
03 5565 3200
Website:
www.wcbf.com.au

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