MASHINIi

Oatly Group AB.

OTLY.US | Manufacture of dairy products

Oatly Group AB is a Swedish food company that produces oat milk and other oat-based dairy alternatives. Their product range includes oat milk in various flavors, oat-based yogurt alternatives, oat-based ice cream, oat-based cream cheese alternatives, and oat-based spreads. Oatly focuses on developin...Show More

Ethical Profile

Mixed.

Oatly's ethical profile is mixed. In 2024, the company agreed to a $9.3 million "greenwashing" settlement and faces a proposed $9.25 million settlement over allegedly inflated sustainability metrics. Oatly maintains a whistleblower policy. Environmentally, Oatly's factories use 100% renewable electricity, water use reduced 35% since 2019, and production waste-to-landfill was 0.1% in 2024. Products reportedly have 44-80% lower climate impact than dairy. Packaging is 89% renewable/recycled, a slight decrease from 2023. Ethical sourcing includes 85% contracts with ethical clauses; no modern slavery reports were made in 2021/2023, though specific data is limited. Oatly's plant-based nature inherently supports animal welfare.

Value Scores

Better Health for All0
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect0
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business-40
-100100
Kind to Animals0
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-10
-100100
Respect for Cultures & Communities0
-100100
Safe & Smart Tech-30
-100100
Zero Waste & Sustainable Products-20
-100100

Better Health for All

0

No evidence available to assess Oatly Group AB on Better Health for All.

Fair Money & Economic Opportunity

0

No evidence available to assess Oatly Group AB on Fair Money & Economic Opportunity.

Fair Pay & Worker Respect

0

No evidence available to assess Oatly Group AB on Fair Pay & Worker Respect.

Fair Trade & Ethical Sourcing

0

No specific, quantifiable evidence is provided across the articles to score any of the KPIs for Fair Trade & Ethical Sourcing. Information regarding fair-trade certification share, audit frequency, traceability coverage, remediation speed, ethical clause coverage percentage, materials risk index (as a share of spend), or supplier diversity spend is not available.

1
While the company states it includes compliance clauses in contracts and that palm oil derivatives are RSPO certified, no percentages or specific spend figures are given to align with the rubric's quantitative thresholds.
2
Similarly, statements about 'no reports' of modern slavery or human trafficking are not equivalent to 'zero substantiated incidents' for scoring purposes.
3

Honest & Fair Business

-40

Oatly has a formal whistleblower policy, effective September 27, 2024, which includes a 24/7 anonymous hotline (web form and telephone) and a zero-tolerance non-retaliation policy.

1
Reports are acknowledged within 24 hours, and follow-up on investigation decisions occurs within two weeks.
2
The policy covers financial and non-financial concerns, including fraud, bribery, corruption, environmental issues, and human rights.
3
However, the company has faced significant controversies, including a $9.25 million settlement in a class action lawsuit alleging inflated sustainability and financial metrics.
4
Spruce Point Capital Management accused Oatly of 'greenwashing' and misleading investors, citing a June 2021 investor presentation that used outdated sustainability data from 2013, updated in 2016, which did not account for its expansion into Asia or the United States.
5
The New Jersey plant was found to use 55% more water per liter of oat base than its European facilities in 2019 and has been out of compliance with the EPA for several quarters, though no specific fines are mentioned.
6
Oatly has allegedly used three auditors in six years, with Ernst & Young as its current auditor.
7
The company's CFO and Audit Committee chair have past associations with companies that restated financial results.
8
The Audit Committee oversees related party transactions, and the Nomination Committee monitors director independence and potential conflicts of interest, with specific investor nomination rights for board members.
9
Oatly has an Anti-Bribery & Corruption Policy, which prohibits commercial bribery and sets limits on gifts, requiring prior approval for gifts to government officials.
10
In 2024, Oatly partnered with an expert consultancy for its first Human Rights Impact Assessment and expanded its use of the SEDEX platform, but the extent of independent verification of ethical claims is not specified.
11

Kind to Animals

0

No evidence available to assess Oatly Group AB on Kind to Animals.

No War, No Weapons

0

The provided article contains no specific, concrete data points, quantitative information, or verifiable facts relevant to any of the 'No War, No Weapons' KPIs.

1
Therefore, no KPIs can be scored based on the evidence provided.

Planet-Friendly Business

-10

Oatly sources 38% of its total operational energy from renewables, with 100% renewable electricity for its factories and production partners, but non-renewable heat comprises 62% of total energy use.

1
The company achieved a 99.9% waste diversion rate from landfill in 2024.
2
Life cycle assessments have been conducted for 225 SKUs, representing 78% of its sales volume, with climate footprint declarations verified by CarbonCloud.
3
Oatly has not reported any environmental compliance violations, fines, or regulatory actions.
4
The company's operations and supply chain are not connected to forest risk commodities, making the deforestation policy KPI not applicable.

Respect for Cultures & Communities

0

Oatly has 20 formal partnerships, including with the City of Fort Worth,

1
Kids of Immigrants,
2
the Yunnan Specialty Coffee Community (YSCC),
3
and various industry associations. In 2023, Oatly collaborated with YSCC in China to support coffee farms in their regenerative agriculture journey by planting shade trees.
4
In North America, training was offered on unconscious bias and building culturally humble teams, and events were held for National Disability Employment Month, Hispanic Heritage Month, and Black History Month.
5
The Silent Barista Project in China has trained over 300 hearing-impaired baristas, with 82 securing full-time positions.
6
Competency-based recruitment training is implemented for hiring managers and recruitment teams to counteract biases,
7
and a "Culture Map" workshop supports multicultural teams.
8
The Small Healthy Book, initially published in the EU and UK, has been adapted for the US and Greater China.
9

Safe & Smart Tech

-30

Oatly's privacy policy states that users can access, rectify, erase, and restrict data processing, and opt-out of direct marketing, which aligns with industry-standard user privacy controls.

1
The company's privacy policy also indicates that data is stored only as necessary for each purpose, with specific retention periods, including 5 years for certain data, 2 years for others, 1 year, and 7 days.
2
The mention of a 5-year retention period places it within the 5-7 year retention tier.

Zero Waste & Sustainable Products

-20

Oatly achieved a 0.1% production waste-to-landfill rate in 2024, indicating a 99.9% waste diversion.

1
In 2023, 89% of packaging was made from renewable or recycled materials.
2
The company repurposed 76,500 tonnes of oat fiber residue in 2024 and 78,500 tonnes in 2023, primarily for animal feed and energy generation.
3
Oatly reported no waste disposal violations in the past three years. Material efficiency, measured as energy intensity, increased by 16% from a 2019 baseline to 0.67 kWh per produced liter in 2023.
4
Packaging weight per liter decreased by approximately 13% compared to 2022.
5
The company has set waste reduction targets, including an 89% GHG reduction by 2050, 40% by 2030, and 70% by 2040.
6
Supplier sustainability requirements are outlined in commercial agreements, and the Supplier Code of Conduct was updated in 2024.
7

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.