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How a Humansdorp dairy is transforming energy, water, and waste management

by Terrence Damster, Harvest SA

I had the privilege of representing Harvest SA at Woodlands Dairy’s media day in June in Humansdorp, Eastern Cape. Touring their advanced facilities, I saw firsthand the impressive effort behind every drop of milk from South Africa’s third-largest dairy company. As consumers, we rarely consider the complexity of truly sustainable dairy production, but my visit to Woodlands showed me what genuine environmental leadership looks like in action.

Founded by Lex Gutsche, a visionary entrepreneur, in 1995, Woodlands Dairy is celebrating its 30th anniversary in 2025. This milestone marks three decades of what they call “Choosing Good”—a philosophy that has grown from a small local processor into a measurable corporate practice. As the force behind the popular First Choice brand and the largest private employer in the Kouga region, Woodlands produces a range of products, including UHT milk, cheeses, creams, custards, desserts, and high-protein options for both national and export markets. Their recent achievements include multiple ISO certifications (50001 for Energy Management, 14001 for Environmental Management, 45001 for Occupational Health and Safety, and 22000 for Food Safety), and 100% FSC certification across all products. These accomplishments highlight their pioneering role in the dairy industry.

What impressed me most was not only their commitment to producing quality First Choice products but also their strong dedication to practical climate action, efficient resource use, and meaningful community involvement that creates lasting change.

Woodlands Dairy takes ESG (Environmental, Social, and Governance) seriously, aligning their sustainability values with the UN’s 17 Sustainable Development Goals through three main areas: Environmental, Social, and Governance. Seeing their operations in person made it clear why they are considered industry leaders; their sustainable practices are not only environmentally responsible but also economically viable and socially beneficial.

Their sustainability efforts began in 2012 with an initial measurement of greenhouse gas emissions. Since then, they have introduced innovative programs: carbon footprint reduction plans, renewable energy installations, comprehensive water recycling systems, and a zero biowaste to landfill policy. Their packaging innovations, from FSC-certified cartons to tethered caps, show a commitment to circular economy principles while supporting community development.

Standing next to their biomass boiler system, I learned how Woodlands has transformed its energy use. The boiler, which runs on plant-based renewable materials, generates an impressive 71.47% of the factory’s total energy needs—a significant change since its introduction in 2019. Combined with solar photovoltaic installations, this creates a strong renewable energy portfolio that uses South Africa’s abundant sunshine. Their ISO 50001:2018 certification for energy management demonstrates a systematic approach to improving energy performance, which is evident throughout their operations. According to their 2024 Sustainability Booklet, Woodlands reduced carbon emissions by 4.7% in 2024, bringing total emissions to 33,968 tons of CO2e. Since 2012, they’ve reduced their greenhouse gas footprint by 63.6%, achieving a product carbon footprint of just 92 grams of CO2e per litre of milk produced—compared to the global dairy industry average of 3.2 kg of CO2e per litre. This is a truly remarkable achievement.

The extent of their water conservation efforts became clear during my tour of their advanced recycling facility. Woodlands operates one of South Africa’s first large-scale water recycling plants in the dairy sector, significantly reducing freshwater use by reusing process water.

During peak season, the plant processes 1,500 m³ of wastewater daily, treating about 12 tonnes of COD using advanced ultrafiltration technology with four skids and 26 Helix membrane modules each. This closed-loop system ensures that treated water meets strict quality standards for reuse in non-product applications.

Their packaging innovations also impressed me. The tethered caps on First Choice ESL cartons prevent litter and improve recyclability, and their bio-based, fully recyclable cartons support circular economy principles. In 2024, Woodlands achieved zero biowaste to landfill status, with 100% of biowaste responsibly managed through systematic waste separation, recycling, composting, or energy conversion.

Woodlands Dairy’s commitment to sustainability extends beyond their factory, influencing their supply chain. Their approach is demonstrated by:

Woodlands Dairy Milk Standard (WDMS) (Introduced 2013): These comprehensive guidelines ensure best practices for animal welfare, milk hygiene, traceability, and employee wellbeing across their supplier network. The WDMS, which is independently audited, sets a high standard for ethical and environmental responsibility.

Partnership with Trace and Save (Launched 2014): Through the Woodlands Dairy Sustainability Project, they provide farmers with resources and support to implement sustainable practices, creating a collaborative environment.

Vetting Sustainable Suppliers: Woodlands carefully chooses suppliers based on shared environmental values, partnering only with FSC-certified packaging suppliers and responsibly sourced renewable energy providers.

This integrated approach ensures that sustainability is part of every partnership, creating a strong supply chain that benefits everyone involved.

Woodlands’ comprehensive approach to social responsibility includes employee training programs, management training, and community projects that support youth development and employment in rural Eastern Cape communities. Their Learnership Programme, which has been running since 2012, provides practical workplace experience, skills training, and mentorship, with many graduates finding permanent jobs. Community investments include educational bursaries, dairy product donations to schools and early childhood development centers, support for soup kitchens, and an annual school shoe drive. As Mandla Charlie, Assistant Brand Manager, stated, “These ongoing efforts show our deep commitment to building stronger, more resilient communities, not only in the Eastern Cape but across South Africa.”

Woodlands’ innovation strategy focuses on practical solutions with measurable environmental benefits. Their “Choose to Recycle” school competitions teach young people about sustainability, while reverse vending machines encourage recycling. They support municipal waste bin projects, participate in street and beach clean-ups, and contribute to community greening projects. One innovative project creates beehives from recycled Tetra Pak cartons, supporting local farmers and biodiversity while demonstrating creative waste repurposing.

The appointment of Helen McDougall as CEO, effective October 1, 2024, is a historic event, as she is the first woman to lead a major South African dairy company. With extensive experience in the food industry, McDougall is well-positioned to guide Woodlands’ growth and sustainability leadership. Her vision aligns with the company’s goal of becoming Africa’s most admired dairy company, with plans for regional expansion into Southern, West, and East African markets, global market reach, and category innovation in health-focused products.

My visit to Woodlands Dairy showed a company whose 30-year journey proves that environmental responsibility and business success go hand in hand. Their comprehensive ESG approach provides measurable benefits while building a strong, profitable business. From their biomass boiler to their 63.6% reduction in greenhouse gas emissions since 2012, Woodlands is changing the dairy industry. As they celebrate their 30th anniversary with multiple ISO certifications and industry awards, their model demonstrates that “Choosing Good” is not just idealism but ia smart business strategy that benefits people, the planet, and profits. Consumers should support companies like Woodlands Dairy, which invest significant effort in sustainable production and a greener future.

Terrence Damster, Harvest SA