China Modern Dairy’s 2025 Environmental, Social and Governance Report details an accelerated transition toward low-carbon, technology-driven operations and expanded social impact across its nationwide platform of 53 dairy farms.
Modern Dairy produced 3.34 million tonnes of raw milk in 2025 from a herd of 457,000 cows, with mature cows accounting for 58.2 % of the total. Carbon-intensity per kilogram of fat-and-protein-corrected milk (FPCM) fell 10 % from the 2021 baseline to 0.82 kg CO₂e/kg, while methane intensity declined 8 % to 0.62 kg CO₂e/kg. Biogas and solar projects generated 190 million kWh of electricity, helping the group hit interim targets to cut Scope 1 and 2 emissions.
In July 2025 the company completed its inaugural five-year USD350 million sustainability bond, recognised by FinanceAsia as the “Best Bond Deal of the Year (China Offshore Market).” Proceeds are allocated to renewable energy, sustainable water management and other green projects.
Ratings agencies and index providers acknowledged the improved ESG profile: MSCI raised the rating to “A”, S&P Global’s CSA score rose to 71 (up 25 %), and Wind upgraded the ESG rating to “AA”.
Operational upgrades included installation of 115,000 smart collars, expansion of photovoltaic capacity to 100 MW, and mandatory ISO 14001 and ISO 45001 certification across all self-built farms. Ten farms achieved Farm Animal Welfare certification; twenty-one secured Student Milk Source Base accreditation; and five obtained China National Organic Product Certification.
Supplier oversight intensified, with 100 % of new suppliers screened against environmental and social criteria, and the group sourced 125,100 tonnes of certified zero-deforestation soy. A “Technologies 100” programme delivered 3,812 training sessions totalling 262,000 hours, averaging 28.5 hours per employee; 100 % of staff received health-and-safety instruction.
Community initiatives remained a focus: collaborations with more than 200 village committees generated over 10,000 employment opportunities; public-welfare donations reached RMB3.01 million during the year, taking five-year cumulative giving to RMB17.42 million.
Modern Dairy reiterated medium-term climate goals: a 15 % reduction in GHG intensity by 2030 and 20 % by 2035 (both versus 2021), alongside a 13 % cut in methane intensity by 2030. The board-level Sustainability Committee will continue to tie ESG outcomes to executive compensation, maintaining at least a 5 % weighting in annual performance reviews.