Royal A-ware and its dairy farmers believe it is important to take good care of cows. Animal health and welfare is therefore a material topic for us. Our dairy farmers show maximum commitment to ensuring and improving the welfare and health of their animals.
Why is this important to us?
Most of our products require milk from cows. We consider welfare and health of dairy cows very important. Cows should be treated with respect. Ensuring that cows feel comfortable and well-cared for is a priority for us. We also notice that society and stakeholders, such as customers and NGOs, want more and more information on how dairy cows are kept. They ask us to take responsibility. Together with our dairy farmers and other partners, we take that responsibility to ensure and continuously improve animal health and welfare.
What are the risks and opportunities?
Risks
Failure to ensure animal welfare and health in the value chain can lead to transition risks, such as reputational damage and customers no longer wanting to work with Royal A-ware. Potential physical risks include violation of animal integrity. This is undesirable from an ethical point of view.
Opportunities
Working on animal welfare and health is also an opportunity. Not only is it positive for animal welfare, but it is also a business opportunity. We have developed different milk streams based on customer requirements. Each milk stream has different requirements. An example are above-legal animal welfare and animal health requirements, such as cow brushes, fans and soft bedding. The milk streams Boerderijmelk, Koe Bewust and Beter voor Natuur & Boer already have these kinds of requirements.
In the future, new milk streams may be developed and/or the number of dairy farmers who can participate in a milk stream will increase. So more cows live on a farm that takes extra steps in the areas of health and welfare.
Business continuity
In addition to benefiting the cows, the customer, the dairy farmer, and Royal A-ware all derive advantages from this arrangement, as all milk flows are governed by long-term agreements, which contribute to the business continuity of all parties involved. Customers pay a premium for the additional measures implemented within a milk stream, which positively impacts Royal A-ware's business continuity. Furthermore, dairy farmers participating in a milk stream also benefit, as they receive a guaranteed premium in addition to the standard milk price.
Approach and policy
Royal A-ware considers ensuring the physical and mental health of animals to be a basic requirement for keeping cows. It is important to us that cows are comfortable in their own skin. We also base this on scientific research.
Scientific research
We use the Five Domains Model as a guideline. According to this model, animals' mental states are directly influenced by their health, environment, nutrition and behaviour. International animal welfare organisations, united in the Eurogroup for Animals, also use the Five Domains Model as a basis for defining animal welfare.
Tools to monitor animal welfare
Royal A-ware recognises the importance of ensuring cow welfare and believes it is essential for dairy farmers to continue taking steps to further enhance this welfare.
European welfare specialists have developed the Animal Welfare Quality Management (QM) system, which provides a standardised method for scoring animal welfare on dairy farms. However, as the assessments conducted by trained observers require a full day to complete, the QM system can be challenging to implement practically on dairy farms. As such, Royal A-ware also accepts equivalent tools for measuring cow welfare, including KoeKompas, PBB+, and the Cattle Check-up, which is based on PBB+.
KoeKompas
KoeKompas is a practical tool designed for dairy farmers and veterinarians to assess and improve animal health and welfare. It evaluates key areas such as milking, feeding and water provision, housing, overall animal welfare, work routines, animal diseases, and the rearing of youngstock. The assessment is carried out by a certified veterinarian in collaboration with the dairy farmer. Annually, they review whether the implemented improvements have been effective and identify areas requiring further attention.
Upon completing the KoeKompas evaluation, the dairy farmer receives a report from the Welfare Monitor. Research confirms that this monitor serves as a practical implementation of the QM® standard, which is why Royal A-ware accepts KoeKompas as an equivalent to QM.
Periodiek Bedrijfsbezoek Plus
Another tool accepted by Royal A-ware is the Periodiek Bedrijfsbezoek Plus (PBB+), which involves a veterinarian performing a health check on individual cows four times per year. The veterinarian reports any discrepancies to the dairy farmer. These quarterly visits are also a legal requirement to ensure that milk is sourced from healthy cows. Additionally, dairy farmers are required to participate in an annual e-learning session to maintain their skills in identifying "attention cows" (those with abnormalities in general health).
In the Netherlands, the independent certification body Qlip oversees the KetenKwaliteitMelk (KKM) protocol, which ensures that dairy farmers comply with safety and responsibility standards. Animal welfare and animal health are central components of this protocol. The KKM protocol recognises both KoeKompas and PBB+ as methods for ensuring animal welfare is periodically monitored by a veterinarian according to a prescribed protocol and reporting format. Therefore, Royal A-ware regards PBB+ as an equivalent to KoeKompas, considering it a tool derived from the QM system.
Cattle Check-up
In Belgium, where KoeKompas is limited and PBB+ is not available, Royal A-ware developed the Cattle Check-up as an alternative. This tool, which serves as an equivalent to PBB+, is specifically designed for Belgian dairy farmers.
At least three times a year, a veterinarian checks the health of the cows and provides a report through the 'Cattle Farm Visit Report'. Additionally, dairy farmers are required to participate annually in a Dairy Academy webinar focused on recognising "cows for attention."
Responsibilities
In the Netherlands, the COO is responsible for implementing this policy, in Belgium the Dairy Affairs Manager is responsible.
Scope
The scope covers dairy farmers in the Netherlands and Belgium with whom Royal A-ware has a direct cooperation agreement.
Objectives and achievements
By 2025, 100 percent of the dairy farmers with whom we work directly are working with a tool derived from Animal Welfare Quality Management. This is how we ensure continuous attention and improvement of animal health and welfare.
In the Netherlands, we have been working with tools like PBB+ or KoeKompas for quite some time. All dairy farmers supplying us in the Netherlands already meet this objective. In Belgium, we introduced a similar process in 2024. We will take further steps to achieve the objective together with dairy farmers in Belgium by 2025.
Measures and actions: how we achieve our goals
General measures
In order to safeguard and improve animal welfare and animal health, we work in the Netherlands with KoeKompas and PBB+ (requirement in the quality assurance system KKM) and in Belgium with KoeKompas and the Cattle Check-up. KoeKompas is integrated as a mandatory condition for dairy farmers delivering in the KoeBewust and Beter voor Natuur & Boer milk streams (see Approach and policy) in the Netherlands. Annually, we evaluate the result of these measures to adjust them if necessary or introduce new actions.
Our actions in 2024
In 2024, usage of Cattle Check-up was incentivised in Belgium through A-ware Duurzaam.
In 2024, usage of KoeKompas was assessed in the Netherlands in 2024 through A-ware Duurzaam.
How do we engage our stakeholders?
We use the Plan Do Check Act (PDCA) to monitor and continuously adjust the action plan to ensure the objectives are met. Every year around summer, we evaluate whether we are on track and what, if any, new insights need to be included in the action plan. If adjustments are needed, a team of staff from the ESG team and the teams from Dairy Affairs in Belgium and Livestock Affairs in the Netherlands will make a proposal. This could include adjustments to premiums or delivery terms, for example. The proposals will be discussed with the focus group of dairy farmers.
Royal A-ware has two focus groups, one in Belgium and one in the Netherlands. The feedback from these panels is very valuable. For example, we can check whether the proposed changes are practical and add value. After this evaluation, the managers Livestock Affairs in the Netherlands and Dairy Affairs in Belgium will determine any actions. We will present these to dairy farmers at the autumn meeting in October.
We use the last quarter of a calendar year for other preparations needed to carry out the implementation plan for the coming year. Think of the adaptation of supply conditions or interpretation of the Dairy Academy's workshop programme.
The objective was drawn up by team Livestock Affairs, in collaboration with the Sustainability Steering Group.
The focus group of Belgian dairy farmers was informed about the chosen policy around animal welfare and health in 2023 and agreed to the Cattle Check-up.
The focus group of Dutch dairy farmers was informed about the chosen policy around animal welfare and health in 2023.
The Livestock Affairs Division Netherlands and Team Dairy Affairs Belgium have agreed to a tool derived from Animal Welfare Quality Management for continuous attention and improvement of animal health and welfare in 2023.
All dairy farmers supplying us in the Netherlands and Belgium were informed about the policy on animal welfare and health during the 2023 spring and autumn meetings.