Greenpeace sues Fonterra over “Grass-Fed” claims for Anchor butter

Greenpeace has filed legal proceedings against dairy giant Fonterra, accusing the company of misleading customers by labeling its Anchor brand butter as “100 percent New Zealand grass-fed.”

The environmental group argues that Fonterra’s own guidelines allow up to 20 percent of dairy cows’ diet to come from non-grass feed, including palm kernel expeller (PKE), which is linked to deforestation in Southeast Asia.

Greenpeace alleges it misleads consumers into believing the product is more environmentally sustainable than it is, with significant implications for rainforest destruction and endangered species like orangutans.

Fonterra responded by acknowledging the lawsuit and explaining that PKE, a by-product of palm oil production, is used during times of slow grass growth, such as droughts.

The company said it was committed to sourcing PKE responsibly and claimed that testing is done to ensure minimal use. However, Greenpeace insists that consumers have the right to know the environmental impact of the products they purchase, particularly with New Zealand being the world’s largest importer of palm kernel. Fonterra has not provided further comments on the lawsuit at this stage.