Alternative Milks – The Good, The Bad, and The Ugly

Comparing the environmental and social impacts of our favorite non-dairy alternatives

Addison Holmes

and

Melanie Vujovich

Jul 01, 2022

Picture Source: Insider

Trends in Buying Behavior

A poll conducted this year by consulting firm, Kearney, found a major shift in the awareness of the environmental impact of food-buying choices. It found that more than 80% were aware of this impact. Also of note, is a study conducted by researchers at the University of Oxford which showed that producing a glass of dairy milk results in almost three times more greenhouse gas emissions than any plant-based milk and it consumes nine times more land than any of the milk alternatives[1]. Hypothetically, this means that shifting consumer preferences and the growth of the non-dairy milk market should have positive impacts for the environment. The market for non-dairy milks is currently roughly $21 billion and is on track to hit $31 billion by 2025[2]. The appetite for environmentally friendly food products clearly exists, but are consumers able to identify the products that are most aligned with their values?

Between the two of us (Melanie and Addy), we hit up Starbucks (or our local coffee shop) at least three times a week each opting for different non-dairy options. Admittedly, until conducting this research, we wouldn’t have been able to tell you which option was the best for the environment. However, we’ve now done the hours of research and have come back with our findings!

Comparative Analysis of Alternative Milks

Soy Milk

According our research, and validated by a study conducted by the University of Oxford, soy milk is universal winner when you take into account environmental sustainability, potential social impact, health benefits, and cost.[3]

In terms of environmental impact, soy milk has some of the lowest water usage of all of the alternative milks – requiring 28 liters of water to grow compared to cow’s milk’s annual usage of 628 liters of water, the most efficient among mainstream milk alternatives[4]. Additionally, studies show the greenhouse gas (GHG) emissions associated with its production are much lower than dairy and are about equal to almond and pea milk[5]. One of the primary drawbacks is actually how prevalent soy is. Soybeans are grown in massive quantities globally, not only for soy milk but also for a variety of food products and as a staple in the diet of different types of livestock. To supply the vast demand for soy, large swaths of rainforest in the Amazon have been burned to make room for farms. Domestically, soybeans are grown in monocropped systems that use phosphorous fertilizers. When it rains, the phosphorous flows into rivers and streams and eventually out to the lakes and oceans where it leads to large algae blooms. This overgrowth of algae consumes oxygen and blocks sunlight, which results bodies of water where aquatic life cannot survive - called a “dead zone”. However, this isn’t the case for all soy farming. For the conscious consumer, the solution is to read the carton to find soy milk that is made from organic soybeans grown in the US or Canada.

In terms of social impact, a large benefit of soy milk is its price. Soy is the cheapest alternative milk, and as such is the most accessible to lower income communities. The main negative social impact associated with soy milk (that is also a challenge with the majority of other alternative milks), is that a majority of production is done internationally. The United States, Brazil, and Argentina together produce about 80% of the world’s soy. China imports the most soy and is expected to significantly increase its import of the commodity.[6] Without proper infrastructure around labor and human rights, the soybean industry causes the displacement of small farmers and indigenous peoples around the globe.

Finally, when it comes to nutritional content, soy milk outperforms many of its peers. Soy milk naturally contains about as much protein as a cup of cow’s milk per cup at 6-8 grams per 8 oz. cup[7].

Oat Milk

Coming in second place – we have oat milk. According to Bloomberg Business, “retail sales of oat milk in the US have soared from $4.4m in 2017 to $29m in 2019, surpassing almond milk as the fastest-growing dairy alternative”[8].

In terms of its environmental impact, on average oat milk utilizes more land than both other plant-based alternatives and moderately more water than soy milk at 48 liters annually[9]. Oat milk results in between 70-80% lower greenhouse gas emissions and 60% less energy use compares to cow’s milk[10] [11]. However, environmental impact can vary pretty dramatically with method of production. For instance, Oatly makes oat milk using a different process than Pacific Foods. Elmhurst Milked utilizes a new technology called “HydroRelease”, that separates the components of the grain using water pressure rather than cutting it and then allows the components to recombine into a milk. [12]

On the social side, a majority of oats are produced in the European Union, Canada, and Russia. Because of the current international conflict, there could be shortages and supply chain issues that could drive up the (already fairly high) price of oat milk.

From a health perspective, oat milk is a fairly high performer. Oat milk contains fiber, iron, and a moderate amount of protein.

Rice Milk

In third place, we have rice milk. Although rice milk is widely available, it offers little in the way of nutrition and has fairly significant environmental and social impacts. On the environmental side, rice is water-intensive and produces more greenhouse gas emissions than any other plant milk, according to the Oxford study referenced earlier. Additionally, the bacteria that breeds in rice paddies releases methane into the atmosphere (like the methane produced by dairy farms) and the large amount of fertilizer used pollute water systems (similar to the impacts of soy discussed above).

Also like soy, rice is largely produced internationally, in countries like India and China[13]. Without proper governance infrastructure, there is the potential for labor and human rights violations. It is also often a more expensive option, which makes it less accessible to lower income communities.

In our assessment of the nutritional value of rice milk, we noted that rice milk contains very little protein or fiber, but is high in sugar and sodium. The calorie content is high, however it’s limited nutrients make rice milk a worse option than its soy milk and oat milk peers.

Almond Milk

Like rice milk, almond milk is widely available. Though almond milk has lower emissions than the three peers previously mentioned, and lower land use than soy or oat milk, it requires more water than any other dairy alternative. In fact, almond milk uses over 13 times as much water as soy milk and 7 times as much as oat milk, according to the Oxford study. Almonds are the largest specialty crop in the United States, with most of production concentrated in California – a notoriously drought-ridden state. In addition to guzzling water in a state where water is scarce, meeting the demand for almonds is placing unsustainable pressures on bees. Nearly 70% of commercial bees in the US are used to pollinate almonds. Last year, a record number –one-third– died by the end of spring as a result of these pressures and other environmental threats. [14]

On the health side, almond milk performs worse than all of its non-dairy peers. Almond milk is high in sodium and low in protein. However, it is a top choice for calorie-conscious consumers due to its very low caloric content.

Coconut Milk

Even though it wasn’t included in the Oxford study, we would be remiss to exclude coconut milk. Because coconut trees only grow in tropical climates, the pressure to meet global demand has resulted in the deforestation, exploitation of laborers, and animal cruelty. In the poor regions of the Philippines, Indonesia and India, where coconut trees are grown – laborers are often paid less than a dollar a day.[15] Additionally, coconut milk made the headlines as a result of a PETA report showing monkeys being used to scale trees and shake loose coconuts. Walmart has become the latest retailer to pull a brand of coconut milk linked to the PETA investigation, joining Kroger, Target, Costco, and Walgreens in discontinuing sales of Chaokoh.[16]

Other Alternatives

Other dairy alternatives include hemp, flax, and cashew milk. Hemp milk is high in essential fatty acids and fiber. Hemp is fairly water-intense, and where it is grown internationally, its production runs the risk of human rights violations. Of all non-dairy options, it is the most expensive. Flax milk, like hemp milk, is high in essential fatty acids and comes at a high price point. However, it is low in protein and fiber. A majority of production occurs in Canada, the United States in North Dakota and Montana, and India[17] – areas where indigenous rights are of significant concern. Finally, cashew milk is known for being creamy in taste and texture, despite having low fat and overall caloric content. Cashews are grown primarily in Eat Africa, Southeast Asia, and India[18]. This means that, like the production of many other non-dairy alternatives, farming of cashews has the potential for labor and human rights violations.

Hot Tea

Our hot tea this week can be served with a splash of your favorite dairy or non-dairy milk –

· Walmart becomes the latest major retailer to pull Chaokoh coconut milk from its shelves after PETA made allegations of forced monkey labor in the industry

· Canada Launches Emissions Offset Program to Spur Investment in GHG Reduction Projects - ESG Today

· Who Benefits From The Fight Against ESG?

· 80% of socially responsible ESG investors also own cryptocurrency: Here's how they reconcile conflicting values

· ESG Funds Resist Worst of Downturn But Investors Are Spooked

· U.S. Business Leaders Oppose SEC’s Proposed Climate Disclosure Rules

· UK Pensions Required to Disclose 1.5°C Climate Alignment of Portfolios

Sustainability Mover & Shakers

Our movers and shakers this week are the startups that are developing synthetic palm oil to save the world’s tropical forests[19].

Palm oil is the world’s cheapest and most widely used vegetable oil. Today, the world consumes nearly 70 million metric tons of palm oil each year, used in everything from toothpaste and oat milk to biodiesel and laundry detergent. Demand is expected to more than double by 2050[20]. However, its production is a primary driver of deforestation and biodiversity loss in tropical areas. In addition to environmental impact, the exploitative labor practices are driving interest in more sustainable options.

Last year, a startup called C16 Biosciences opened lab in Manhattan to develop a microbial palm oil alternative, backed by $20 million from Bill Gates’ climate solutions investment fund Breakthrough Energy Ventures [21]. Xylome, another biochem/biotech company, recently sent the first batches of its palm oil alternative to a number of large palm oil suppliers and the FDA for testing[22].

[1] https://science.sciencemag.org/content/360/6392/987

[2] https://www.prnewswire.com/news-releases/global-21-44-billion-milk-substitutes-non-dairy-milk-market-analysis--forecasts-2015-2020--2020-2025-and-2030--301429104.html#:~:text=The%20market%20is%20expected%20to,S.L%20and%20Blue%20Diamond%20Growers.

[3] https://www.theguardian.com/environment/2020/jan/28/what-plant-milk-should-i-drink-almond-killing-bees-aoe

[4] http://science.sciencemag.org/content/360/6392/987

[5] https://www.ripplefoods.com/pdf/LIfe%20Cycle%20Assessment%20of%20Non-Dairy%20Milk.pdf

[6] https://www.worldwildlife.org/industries/soy

[7] https://med.virginia.edu/ginutrition/wp-content/uploads/sites/199/2014/06/January-18-Milk-Alternatives.pdf

[8] https://www.bloomberg.com/features/2019-oatly-oat-milk-global-domination/

[9] http://blog.datawrapper.de/cow-milk-and-vegan-milk-alternatives/

[10] https://www.oatly.com/uploads/attachments/cjp9gpbd709c3mnqr8idyecwy-sustainability-report-2017-eng.pdf

[11] https://science.sciencemag.org/content/360/6392/987/

[12] https://ediblebrooklyn.com/2020/plant-milks-sustainability/