A new report suggests that environmental performance is the biggest threat to the dairy industry, not veganism.
Exploring the growth in plant-based diets in recent years, the report suggests that whilst this pressure on the dairy industry is increasing, true veganism remains a 'very small part of the population'.
As such, it suggests that meat and dairy-free diets may not be the biggest threat to the industry, but that environmental performance is a more significant issue.
This is because government legislation combined with societal climate conscience may 'change sector behaviour more rapidly'.
Kite Consulting has published the report, entitled 'Dairy 3.0 – a new paradigm for the UK dairy industry?', exploring how dairy must respond to survive.
It said the industry must provide 'well resourced evidence' to government and policy makers, particularly on environmental issues.
Meanwhile, the vegan movement is using the environmental argument to promote their agenda, the report says.
It adds that dairy needs a 'new approach', one with a 'consistent consumer-facing mentality'.
Whilst acknowledging the challenge of slim margins throughout the dairy chain, the report goes on to call for more proactive and higher profile promotional activity, faster innovation and convincing brand marketing to re-engage consumers.
John Allen, managing partner at Kite, said livestock sectors face an 'unprecedented change' that requires a 'new approach'.
He said: “Everyone – from farm to fork - needs to think differently, be more outward-looking, positive and transparent.
“Rather than reacting to change, we need to be agents of change, driving the environmental and welfare agenda further and faster than ever before and shouting about the positive health benefits of a balanced diet that includes dairy consumption at every opportunity.
“What’s more, we need to be engaging government positively and proactively to drive a positive agricultural, environmental and food agenda into future UK legislation.”
He added: “Just as the operating system on the latest smartphone needs to be regularly updated to remain relevant and secure, the operating system for the UK dairy industry also needs updating.
“Dairy 3.0 – a new model - needs fresh thinking. It needs to lead not follow, positively challenge perceptions and misinformation, not defend and justify.”
