Partnership with Lidl International

As part of its partnership with WWF, Lidl, as a company of the Schwarz Group, has committed to reducing its emissions by setting targets aligned with the Science Based Targets Initiative (SBTi), co-founded by WWF. The companies of the Schwarz Group joined the initiative in 2020 and have since aligned their reduction path with a 1.5° target in accordance with the SBTi. Additionally, Lidl has committed, within the framework of the partnership, to setting a net-zero target according to the SBTi. This means that Lidl is not only reducing its operational footprint, but also the climate impact of the products it trades.

As part of the partnership, Lidl and WWF work together to develop and pilot a concept for climate and nature-based financing based on Lidl’s remaining emissions. The financing approach aims to maximize co-benefits such as boosting biodiversity and enhancing water security while respecting social protection measures. The financing plan will be linked to corresponding nature conservation projects.

With the support of WWF, Lidl is reviewing its existing analysis and targets on freshwater risks. Improved targets and indicators are set and a comprehensive strategy for the responsible use of water is developed. In this way, water risks along the company's own value chain can be identified and addressed. This is particularly important for high-risk products, for example to avoid water contamination or water scarcity. Concrete implementation plans in relevant areas, such as freshwater ecosystems, will be developed, which serve to support the long-term resilience of sensitive areas, which are particularly important.

With the support of WWF, Lidl is reviewing its existing analyses and targets on nature-related risks. Improved targets and indicators are subsequently set and a comprehensive strategy for the protection of biodiversity is developed. In this way, biodiversity risks such as deforestation or species extinction can be identified and addressed along Lidl’s own value chains. The focus is set on pinpointing particularly high-risk value chains and regions and finding ways to increase their resilience. For these areas, specific implementation plans will be developed.

As part of the partnership, Lidl has committed to developing an advocacy plan. This plan includes various advocacy measures to be implemented by Lidl International and the Lidl country organizations to protect climate, water and biodiversity.

In addition, Lidl plans to disclose the identified risks along the supply chain and the planned measures to reduce the environmental impact in the supply chain in accordance with the EU Deforestation Regulation (EUDR).

Lidl is committed to only sourcing high-risk raw materials—such as soy, palm oil, cocoa, coffee, beef, wood, cellulose, and paper—from deforestation- and conversion-free supply chains. To ensure this, Lidl will develop a raw material strategy to avoid deforestation and conversion for its own-brand products that is in line with the Accountability Framework Initiative (AFi) and the EU Deforestation Regulation (EUDR). The scope of application is all own-brand products (standard and promotional range) in all Lidl countries.

Lidl ensures that both, them as well as their suppliers adhere to the cut-off dates for deforestation- and conversion-free set by the AFi and the EU Deforestation Regulation. This applies to the high-risk raw materials soy, palm oil, cocoa, coffee, beef, wood, cellulose and paper. The scope of application is all own-brand products (standard and promotional range) in all Lidl countries.

Existing and new suppliers will be required to adhere to policies without deforestation, conversion and exploitation and to ensure traceability at least up to the factory level (and in the case of high risk up to the plantation).

Lidl aims to have 100% of its current and future suppliers committed to maintaining deforestation- and conversion-free supply chains by the end of the 2026 fiscal year. Additionally, traceability of raw materials and products must be guaranteed up to the factory level, and for high-risk cases, traceability should extend all the way back to farm level. The percentage of supplier contracts that contain commitments to deforestation- and conversion-free supply chains and traceability is measured. This concerns the suppliers of Lidl's own brands (standard and promotional range) that supply beef, soy, cocoa, coffee, palm oil, wood, cellulose and paper. Based on these findings, Lidl will revise its sustainable purchasing policy accordingly.

As part of the partnership, Lidl is committed to creating fully traceable soy supply chains that are free from deforestation, conversion and exploitation. To achieve this, Lidl will assess the origin of soy used directly in their supply chains (of alternative proteins and soy products) as well as in the feed of selected animal products such as chicken, eggs and pork. This analysis will help identify areas in need of action.

In addition, Lidl will work with the Collaboration for Forests and Agriculture (CFA) to evaluate and address issues of deforestation, land conversion and exploitation within their own soy supply chains. The goal is to ensure that, in the long term, soy supply chains are completely traceable and free from deforestation, conversion and exploitation. The scope of application is all own-brand products (standard and promotional range) in all Lidl countries.

Starting from the 2025 financial year, Lidl is committed to sourcing only traceable palm and palm kernel oil that is free from deforestation, land conversion, and exploitation. To ensure this, 100% of the palm and palm kernel oil used in both food and non-food products must meet the RSPO Segregated or EU Organic standards. In addition, 100% of the derivatives should at least comply with the RSPO Mass Balance Standard. The share of the total volume is measured in tons. The scope of application is all own-brand products (standard and promotional range) in all Lidl countries.

In order to promote more responsible sourcing of palm oil beyond its own supply chains, Lidl wants to raise awareness in the industry and among the public through targeted public relations, communication and advocacy. To this end, Lidl will be actively involved in the Roundtable for Sustainable Palm Oil and other platforms such as the Palm Oil Transparency Coalition.

Lidl is committed to sourcing only traceable cellulose and paper that is free from deforestation, land conversion, and exploitation.

To achieve this, Lidl will analyse the quality and origin of paper and cellulose products. This analysis will help the development of a comprehensive long-term strategy to ensure that all paper and cellulose products are fully traceable and responsibly sourced.

This includes cellulose and paper in all Lidl own-brand products, their labels and packaging. The FSC, FSC mix, recycling and, in exceptional cases, PEFC standards are accepted.

Lidl is committed to sourcing only traceable cocoa that is free from deforestation, land conversion, and exploitation.

A key component of these efforts involves analysing the origins of cocoa. This analysis will guide the development of a comprehensive sustainable cocoa sourcing strategy in coordination with WWF. This strategy involves: investing in full traceability for cocoa beans and butter; participating in conservation projects in key or high-risk cultivation areas; and engaging in advocacy work with relevant stakeholders through cocoa initiatives committed to sustainable production.

Lidl has committed to continuously increase the proportion of sustainably certified coffee products to 100%. This includes certification for coffee products, including coffee capsules, instant coffee and cappuccino. The aim is that from the financial year 2028 on, only coffee products bearing a sustainability label will be sold. Accepted minimum standards are organic (EU), Rainforest Alliance and Fairtrade. All own-brand products (standard and promotional range) in all Lidl countries worldwide are covered.

Lidl has set itself the goal of continuously increasing the proportion of certified roasted coffee to 100% as part of the WWF partnership. This applies to all own-brand products (standard and promotional range) in all Lidl countries.

Lidl plans to join credible national initiatives for sustainable coffee as part of the WWF partnership. The aim is to promote more sustainable procurement practices and coordinate activities within the industry for greater sustainability.

Another goal Lidl has set itself as part of the partnership with WWF is to ensure fully certified tea products. This includes all black teas, green teas, and rooibos teas. Organic (EU), Rainforest Alliance and Fairtrade certifications are accepted. The scope of application is all own-brand products (standard and promotional range) in all Lidl countries.

Lidl is committed to ensure the traceability and transparency of their entire fish and seafood range. By the end of the 2024 financial year, all products shall be labelled accordingly and indicate, i.e., the country of production, the species, and the fishing or aquaculture method. Lidl is also working towards demonstrating complete fish and seafood supply chain traceability. In the case of aquaculture, this includes the traceability of the species farmed and the feed used.

For wild catches, the aim is to ensure traceability by examining both the fishing vessel and the specific catch event.

The scope is the entire fish and seafood range in all Lidl countries worldwide: own brands and third-party brands, standard and promotional range.

Lidl has set the target to ensure that 100% of the entire range of fish and seafood comes from sources that are classified as recommendable or acceptable according to WWF criteria. This commitment will be measured by tracking the percentage of the total fish and seafood volume that comes from these recommendable sources.
WWF classifies the following sources as recommendable or acceptable:

• WWF score 1-3
• Certifications MSC, ASC, Bio, BAP4 Star, Global G.A.P
• Fishery Improvement Projects (FIPs) and Aquaculture Improvement Projects (AIPs) supported by WWF

The scope is the entire fish and seafood range in all Lidl countries worldwide: own brands and third-party brands, standard and promotional range.

Lidl has set the target of increasing the proportion of WWF-recommended sources in its entire fish and seafood range. The percentage of the total volume of the fish and seafood range is measured. Recommended sources are defined as score 1-2 of the WWF Seafood Guide.

The scope is the entire fish and seafood range in all Lidl countries worldwide: own brands and third-party brands, standard and promotional range.

Lidl has set itself the target of increasing the proportion of WWF-recommended labels in its entire fish and seafood range. The percentage of the total volume of the fish and seafood range is measured. Recommended labels are the MSC, ASC, Bio, BAP4 Star and GlobalGAP certifications. The scope is the entire fish and seafood range in all Lidl countries worldwide: own brands and third-party brands, standard and promotional range.

Lidl is committed to pursuing a dietary strategy that increases the consumption of plant-based products and reduces the consumption of animal-based products. To achieve this, Lidl will measure the ratio of animal and plant-based protein sources. Based on this, Lidl will increasingly include sustainable and healthy plant-based protein products in its range and reduce sales of animal protein sources. The scope of application is the entire product range in all Lidl countries worldwide: own brands and third-party brands, standard and promotional range.

Lidl has set the target to further reduce food waste in its own stores and distribution centres. To achieve this, Lidl is developing a globally applicable strategy with clear targets. The focus lies on minimizing waste and optimizing the use of unsold food, including donating it where possible. Additionally, Lidl has committed itself to regularly report on food waste both nationally and internationally. The scope of application is the entire product range in all Lidl countries worldwide: own brands and third-party brands, standard and promotional range.

Food production often results in losses, for example through the creation of by-products. Some of these could be processed into other products and thus significantly reduce food waste. Lidl has committed to identifying food losses in its own production processes.
In the long term, a strategy will be implemented that addresses food waste in order to avoid by-products or return them to the human diet. The scope of application is the production processes of own-brand products in Lidl countries worldwide.

Lidl has set the target of establishing circular approaches in the areas of packaging and non-food products. Lidl will develop and implement a circularity strategy by 2025 with the support of the WWF. The scope of the strategy includes packaging for own-brand products and non-food own-brand products.