We completed a soy for chicken feed mapping project, alongside McDonald’s chicken suppliers, which helped inform refinements to the McDonald’s soy for chicken feed strategy. We reviewed the origins of soy for feed for chickens sourced for McDonald’s restaurants, potential natural ecosystem conversion risks in these origins, and current solutions available to reduce risk and strengthen ecosystem and soy producer resiliency. We have conducted a preliminary land use change assessment in the U.S., covering sourcing sheds of embedded soy (for chicken feed), corn (for beef feed and chicken feed) and grazing cattle. This assessment enables us to better understand opportunities to enhance ecosystem, producer economic livelihood and business resilience within supply sheds.
Nature, Forests & Water
We take a holistic approach to strengthen the long‑term resilience of our business, which includes helping protect natural resources and the communities that rely on them.
Recent Highlights
In 2025, we expanded McDonald’s Deforestation-Free Beef Procurement Policy to cover all of Brazil and implemented monitoring of Indigenous territories in the Paraguayan Gran Chaco.
We updated our soy sourcing strategy, shifting from purchasing Book and Claim credits for embedded soy in chicken feed outside the U.S. and Canada to supporting initiatives in regions that play an important role in soy production for our chicken feed.
In 2025, we reviewed the results of our 2024 global value chain water risk assessment, which considered select suppliers, franchised restaurants and McDonald’s-owned and operated restaurants, to highlight which basins are considered most relevant for opportunities for engagement throughout our value chain.
We aim to help build resilience with suppliers and farmers in order to preserve natural ecosystems, enhance biodiversity, and safeguard water resources needed for our business.
This work is intricately connected to our efforts across Climate Action, Responsible Sourcing and Human Rights.
On this page, you’ll find information about our approach to this topic and links to related topics. See our latest Purpose & Impact Report on the Goal Performance & Reporting page for more information.
Focus on Forests & Natural Ecosystems
Our Commitment
Back in 2015, following our endorsement of the New York Declaration on Forests (NYDF), we released our first Commitment on Forests. This was developed from our work to help protect forests dating back to the 1980s, with our first related corporate policy in 1989. In 2024, we refreshed our Commitment on Forests and Natural Ecosystems (PDF – 126 KB) to better reflect the evolution of best practices and our progress to safeguard natural ecosystems. In it, we outline our commitment to eliminate deforestation1 and address conversion2 in our global supply chain by 2030, for commodities and regions where we can deliver the greatest impact – building on our 2020 milestones to support deforestation-free supply chains for our primary commodities. See our latest Purpose & Impact Report for updates on our progress toward these goals.
McDonald’s refreshed commitment extends beyond forests to actions that also help protect natural ecosystems and areas of high conservation value alongside helping safeguard the people and communities that steward these natural spaces. Solutions to help address the conversion of natural ecosystems take different forms in each area of the world. Best practices to establish a baseline, track progress and report the impact of actions related to conversion are still being developed, as is the technology to monitor conversion. Examples of the McDonald’s work to help address conversion include our participation in the Land Use Change Initiative in the U.S., which aims to evaluate the drivers and impacts of land use change, work with U.S. suppliers to review sourcing sheds to overlay information to identify potential risk for ecosystem conversion, our support in Brazil of the Voluntary Monitoring Protocol for Cattle Suppliers in the Cerrado and our inclusion of conversion sourcing requirements for beef we purchase from priority origins in the Brazilian Cerrado.
The updated commitment also reflects the link between deforestation and emissions associated with land use change, in line with the Science Based Targets initiative’s (SBTi) Forests, Land and Agriculture (FLAG) framework and our climate goal (read more on our Climate Action page).
Our Global Supply Chain Approach
We are committed to helping drive supply chain transformation, supporting deforestation-free supply chains and addressing conversion at scale. We believe that, in addition to having a commitment, it is important to take steps to understand the root cause of historic and potential future land use change, and to learn about the broader context for the communities in which we operate and buy from. We engage our suppliers to help ensure they understand our Commitment on Forests and Natural Ecosystems, how it applies to them and what our expectations are, as well as the technical details of our related sustainable sourcing policies. We are also engaging them on what they’re doing well and where there is room for improvement in terms of natural ecosystem protection.
Engaging Our Supply Chains
To further our efforts, we identify the areas where we can have the greatest positive impact in our supply chains:
- We maintain detailed sourcing requirements for all priority commodities, engaging suppliers to implement our requirements and achieve goals across their own businesses.
- We analyze suppliers’ progress and adherence to our sustainable sourcing requirements and curate tailored suggestions to encourage deforestation-free supply chains.
- We are collaborating with our suppliers to support future adherence to the European Union Deforestation Regulation (EUDR), as applicable to our priority commodities (read more about Sourcing Our Priority Commodities), as well as cocoa and rubber.
Sourcing Our Priority Commodities
Recognizing that each raw material is different and requires a tailored approach, under the McDonald’s Commitment on Forests and Natural Ecosystems, we identified where McDonald’s can best use our scale for progress. Since 2015, we have prioritized the following commodities, considering their potential role as leading drivers of deforestation globally:
- Soy (for chicken feed)
- Palm oil
- Fiber-based packaging (used for primary guest packaging)
- Coffee
- Beef
Where possible, we rely on reputable, commodity-specific third-party certifications to verify compliance with our sustainable sourcing policies. When suitable certifications are not available, we invest in external verification systems to monitor and address our potential impact, alongside our suppliers.
Using the Accountability Framework to guide our work, we pursue a range of other actions, as part of our sustainable sourcing policies, to bring our commitment to life for each priority commodity.
We require that palm oil sourced for McDonald’s restaurants or as ingredients in McDonald’s products be covered by Roundtable on Sustainable Palm Oil (RSPO) certification or credits. All countries are considered high-priority regions for palm oil, and all volumes must meet this requirement. McDonald’s is committed to increasing traceability by requiring physical certification for the palm oil sourced for McDonald’s restaurants or as ingredients in McDonald’s products in the greatest volumes. Consistent with the McDonald’s Commitment on Forests and Natural Ecosystems, we support the work of the sector to strengthen the delivery of NDPE (No Deforestation, No Peat and No Exploitation) in palm oil production, and we have invested in a supply chain project with one of our key suppliers to cascade this work further upstream. Read more on our Responsible Sourcing page.
McDonald’s requires that fiber for primary guest packaging at McDonald’s restaurants be sourced from Forest Stewardship Council® (FSC®) chain of custody certification or the Programme for the Endorsement of Forest Certification (PEFC) for deforestation.
McDonald’s requires coffee sourced from Indonesia and Vietnam to be Rainforest Alliance Certified™and coffee sourced from Honduras to be Rainforest Alliance Certified™ or from a McCafé® Sustainability Improvement Platform (SIP) program. Globally, we require suppliers to sustainably source their ground and whole bean coffee, including decaffeinated coffee, coffee used in espresso-based drinks, coffee brewed at restaurants and all coffee used in retail products. Sustainably sourced means coffee is either Rainforest Alliance, Fair Trade USA or Fairtrade International certified, or is coming from a McCafé® SIP program.3 Read more about how we support more sustainable coffee sourcing on our Responsible Sourcing page.
Alongside Proforest, we developed the McDonald’s Deforestation-Free Beef Procurement Policy (PDF – 214 KB). We have detailed requirements to help support forest-positive beef sourcing from high-priority origins in Argentina, Australia, Brazil and Paraguay. We work alongside our geo-monitoring service providers to utilize social and environmental criteria and monitor adherence to our policy, focusing on purchasing from producers that conserve forests and respect human rights. To further strengthen our efforts, as of 2025, we have expanded the policy to cover all of Brazil and implemented monitoring of Indigenous territories in the Paraguayan Chaco.
We believe working alongside our suppliers to support adherence to McDonald’s sustainable sourcing policies and requirements is critical to helping realize our Commitment on Forests and Natural Ecosystems. As such, we take steps to help train and otherwise engage suppliers, including on corrective action plans, where appropriate. We also encourage our suppliers to work directly with producers around reintegration opportunities so that, together, we are helping build a more resilient and responsible supply chain that supports natural ecosystems and producer livelihoods.
Read more about our cut-off dates on deforestation by commodity/biome (PDF – 128 KB).
Human Rights & Forests
McDonald’s Commitment on Forests and Natural Ecosystems includes respect for human rights, as set out in the McDonald’s Human Rights Policy (PDF – 120 KB) and informed by the Universal Declaration of Human Rights (UDHR). This is because we see respect for human rights as key to helping protect the well-being of people and the planet.
The Paraguayan Chaco is home to 327 Indigenous communities, and one of our beef suppliers is collaborating with them. All producers in this biome are required by law to have ecological corridors running alongside their property. Our supplier worked with local Indigenous communities to sketch native wildlife living in these corridors and post these pictures, as well as messages, on roads nearby to help the community support the safe movement of wildlife.
In the same biome, we initiated a project to help demarcate Indigenous communities covering over 30,000 hectares, as supported by the Association of Indigenous Cooperation Services, and to support free, prior and informed consent (FPIC) from the Indigenous communities. This work brings together public and private actors and is aligned with community land rights as recognized by the national government.
- Eliminate deforestation refers to actions that McDonald’s, Franchisees and suppliers are taking to live out the McDonald’s Commitment on Forests and Natural Ecosystems (PDF – 126 KB). Deforestation refers to the loss of natural forest as a result of conversion to agriculture or other non-forest land use; conversion to a tree plantation; or severe and sustained degradation.4 We use the term “supporting deforestation-free supply chains” on this page to reflect the actions we are currently taking to implement, measure and report progress toward our commitment.
- Deforestation refers to the loss of natural forest as a result of i) conversion to agriculture or other non-forest land use; ii) conversion to a tree plantation; or iii) severe and sustained degradation.4
- High-priority origins are defined as countries, biomes, municipalities, farms or postcodes that are identified as areas where deforestation and/or attributable conversion has occurred historically as determined through regular assessments, including with third parties, that rely on the latest supply chain data and trends related to forests and natural ecosystems.
- Low-priority origins refers to countries, biomes, municipalities, farms or postcodes that are identified as areas without or with a low risk of deforestation and/or attributable conversion, as determined through regular assessments, including with third parties, that rely on the latest supply chain data and trends related to forests and natural ecosystems.
- Supporting deforestation-free supply chains refers to the work we are doing relative to priority commodities in our supply chains that are either sourced sustainably from high-priority regions and comply with McDonald’s sustainable sourcing requirements as set out or are sourced from low-priority regions.
- Water stress: In this context, baseline water stress (BWS) measures the ratio of total water demand to available renewable surface and groundwater supplies.5
- Conversion: Refers to change or a loss of a natural ecosystem as a result of its replacement with agriculture or other land use, or due to a profound and sustained change in a natural ecosystem’s species composition, structure or function.4
- Natural ecosystems: Refers to an ecosystem that substantially resembles – in terms of species composition, structure and ecological function – one that is or would be found in a given area in the absence of major human impacts. This includes human-managed ecosystems where much of the natural species composition, structure and ecological function are present.4
Related Story
Read more on our Climate Action page.
Read more about how we uphold human rights on our Human Rights page, as well as in our Purpose & Impact Report, which can be found on our Goal Performance & Reporting page.
Focus on Nature & Biodiversity
Natural ecosystems play a vital role in supporting biodiversity, as well as ensuring a thriving and resilient food system, and the United Nations (UN) and other bodies have stressed the importance of forests in combating climate change.
Developing Our Approach
We use policies and supplier engagement to encourage management practices that actively support biodiversity rather than relying on biodiversity offsets.
We also take steps to assess potential nature-related dependencies and risks, identifying opportunities to adapt and innovate for positive future impact.
Advancing Regenerative Agriculture
We promote regenerative agriculture as a key tool for suppliers to help further our nature, forests and water strategies.
Regenerative farming practices have the potential to improve soil health, enhance biodiversity and strengthen the resilience of agricultural systems. By promoting regenerative agriculture, we aim to contribute to more sustainable and resilient agricultural systems for the long term.
See our Responsible Sourcing page for more information about how we promote regenerative agriculture principles, as well as our latest Purpose & Impact Report, which can be found on our Goal Performance & Reporting page, for key examples of our current projects.
Focus on Water
Water is vital to our business. McDonald’s restaurants need safe, readily available water to operate and to serve the drinks our customers love. Additionally, to create our iconic menu items, our suppliers rely on agricultural products that depend on finite freshwater sources.
Shaping Our Water Strategy
We’re working to conserve water, use it responsibly and efficiently, and further build resiliency within the McDonald’s System. We have a history of supporting water stewardship efforts, both at restaurants and within our supply chain.
We are partnering with our Franchisees and suppliers to continue to evolve our global approach to water stewardship. We want to be guided by the latest research available and therefore collaborate with experts such as the World Resources Institute (WRI) and the World Wildlife Fund (WWF). We also leverage the GlobeScan & WWF Shaping the Future Water Agenda program and WRI’s Aqueduct Alliance for strategic and technical guidance.
We completed a water risk assessment of our value chain in 2024 to identify water-stressed6 areas, considering select suppliers, franchised restaurants and McDonald’s-owned and operated restaurants. We collaborated with the World Resources Institute (WRI) to perform the assessment and the World Wildlife Fund (WWF) to inform the assessment. We highlight which basins are considered most relevant for opportunities for engagement throughout our value chain, and the results will be used to inform our water-related resiliency strategies, consistent with our governance approach for Purpose & Impact and our Enterprise Risk Management framework. See McDonald’s Global Water Report (PDF – 170 KB).
Encouraging Supplier Action
We encourage suppliers, through self-managed excellence, to identify and manage their key water-related risks and opportunities. We’re proud to note that many of McDonald’s suppliers have made independent commitments and are recognized for leadership in water efficiency and replenishment, including Coca-Cola and Cargill. Additionally, in locations such as the Paraguayan Chaco, our beef raw material suppliers utilize water innovations such as collecting rainwater to be used as drinking water for cattle and to irrigate agricultural land.
Water Stewardship in Restaurants
We focus on water quality, availability, efficiency and stewardship for McDonald’s restaurants, and – recognizing that availability and quality vary from region to region – take a localized approach to water management. McDonald’s water efficiency standards specify low-flow equipment for all restaurants built since 2020. In some locations, additional measures such as greywater reuse, condensation recovery, drought-tolerant landscaping and permeable pavements have been implemented. We capture learnings from projects and, where relevant, share them with other McDonald’s restaurants.
Moving Forward
McDonald’s will continue to work in partnership with key stakeholders such as Franchisees and suppliers, as well as strategic and technical experts at WRI and WWF, to support our resiliency as related to water stewardship.
Related Topics
Climate Action
We are taking action on climate and supporting food system transformation to help promote the future resilience of our business.
Responsible Sourcing
We aim to leverage our scale and influence to help drive positive impacts for people, animals and the planet throughout our supply chain. We believe we can drive the most valuable outcomes when sourcing our highest-impact commodities – beef, soy for chicken feed, fiber, palm oil, fish and coffee – while continuing to work with our suppliers across all categories to drive positive impact.
Packaging, Toys & Waste
We are working to accelerate solutions that help reduce waste while also transitioning to more sustainable packaging and toy materials.
See our performance highlights and read our latest Purpose & Impact Report
Footnotes
1 “Eliminate deforestation” refers to actions that McDonald’s, Franchisees and suppliers are taking to live out the McDonald’s Commitment on Forests and Natural Ecosystems (PDF – 126 KB). Deforestation refers to: Loss of natural forest as a result of: (i) conversion to agriculture or other non-forest land use; (ii) conversion to a tree plantation; or (iii) severe and sustained degradation.) conversion to agriculture or other non-forest land use; (ii) conversion to a tree plantation; or (iii) severe and sustained degradation. Source: The Accountability Framework.
2 Conversion refers to: Loss of a natural ecosystem as a result of its replacement with agriculture or another land use, or due to a profound change in a natural ecosystem’s species composition, structure or function. Source: The Accountability Framework.
3 Coffee. Scope: Includes all ground and whole bean coffee, including decaffeinated coffee, used in espresso-based drinks and coffee brewed at McDonald’s restaurants, and all ground and whole bean coffee in McDonald’s-branded retail products. Includes all suppliers of coffee to the McDonald’s System. Market scope includes all McDonald’s restaurants owned and operated by McDonald’s and our Franchisees that sell coffee, and retail outlets selling McDonald’s-branded coffee products. Countries with regions currently identified as high-deforestation priority regions for coffee include Honduras, Indonesia and Vietnam. McDonald’s requires all coffee sourced from Indonesia and Vietnam to be Rainforest Alliance Certified™, and all coffee sourced from Honduras to be either Rainforest Alliance Certified™ or from a McCafé® Sustainability Improvement Platform (SIP) program. Exclusions: Coffee extracts and ingredients used in products such as frappés and coffee in baked goods; coffee in cold brew drinks if they are brewed off-site; coffee extract in ready-to-drink retail products; and other locally sourced products containing coffee.
4 Source: The Accountability Framework.
5 Source: World Resources Institute.
6 In this context, baseline water stress (BWS) measures the ratio of total water demand to available renewable surface and groundwater supplies. “Value chain” for this purpose is defined to include suppliers and franchised restaurants. Source: World Resources Institute.