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India's Protein Sector Faces a Decisive Decade
Supply chain risks across meat, dairy, poultry and seafood supply chains are intensifying globally, and India is no exception. A major new study published in 2025 by Asia Research & Engagement - titled "The Asian Protein Buyers 100: An Assessment of Responsible and Sustainable Sourcing" - has placed India's food sector under scrutiny, assessing how the country's largest listed food companies manage environmental, social, and governance (ESG) considerations embedded in protein supply chains.
The findings present a mixed picture. India's food companies have made measurable progress since the first assessment in 2023, but the sector still faces material exposure to supply chain risks in two critical areas: climate change and animal welfare.
Progress in Protein Sourcing Governance, But Gaps Remain
India's average score across assessed companies doubled from 7% in 2023 to 16% in 2025, according to the study. This improvement is primarily driven by stronger performance in traceability, sourcing policies, and labour governance frameworks - indicators that reflect the increasing adoption of supplier codes and due diligence processes across the sector.
The study covered major Indian companies including Devyani International, Jubilant FoodWorks, Mrs Bector's Food Specialities, Nestle India, Parag Milk Foods, Sapphire Foods, Tata Consumer Products, and Hindustan Unilever. These companies collectively shape domestic and international protein sourcing India practices and play a significant role in determining the trajectory of India's food system.
However, the study also noted that disclosures remain largely process-led, with limited evidence of outcome-based monitoring, remediation mechanisms, or full supply-chain coverage. The foundational governance architecture may be taking shape, but the transition to results-oriented accountability has yet to materialise at scale.
Climate Disclosure Lags, Amplifying Long-Term Supply Chain Risks
The most significant vulnerability identified in the study relates to climate governance. More than half of Indian companies assessed have not yet begun disclosing climate-related indicators - including exposure to Scope 3 emissions, emissions reduction targets, or formal transition plans.
References to recognised international disclosure frameworks remain limited across the sector. Commitments to absolute emissions reduction are rare, according to the study's findings. For a sector facing structural exposure to climate-driven disruption across agricultural supply chains, this gap represents a material escalation of supply chain risks over the medium to long term.
India's protein system is particularly exposed given the country's agricultural dependence on monsoon cycles, land availability constraints, and the growing pressure of antimicrobial resistance in livestock systems. Without adequate climate risk disclosure, companies are likely underestimating the financial and operational implications of future supply disruptions.
Animal Welfare Disclosure: A Systemic Gap Across India and Asia
On the dimension of animal welfare disclosure, the study's findings reveal a near-sector-wide absence of policy. Most Indian companies assessed lack a formal animal welfare policy. Only a small minority reference higher-welfare sourcing practices such as tether-free or cage-free production systems, and fewer still disclose measurable progress against any welfare commitments.
This gap is not limited to India. The study identified animal welfare as a challenge across the broader Asian region, reflecting the limited prioritisation of welfare standards in many of Asia's high-growth protein markets. For ESG food companies operating in the current environment, the absence of animal welfare frameworks creates both reputational exposure and increasing regulatory risk as international standards tighten.
The gap is particularly significant given the scale of protein demand growth projected across India and the Asia-Pacific region. Rising incomes and rapid urbanisation are driving structural growth in consumption of eggs, dairy, fish, and meat. Without responsible sourcing frameworks aligned with sustainable protein supply chain standards, this demand growth risks compounding existing welfare and environmental deficits.
The Asian Protein Buyers 100: Methodology and Scope
The Asia Research & Engagement study covered the 100 largest listed protein-buying companies headquartered or operating across China, Hong Kong and Taiwan, Japan, South Korea, India, Thailand, the Philippines, Malaysia, Indonesia, Vietnam, and Singapore. The assessment examined how each company manages ESG considerations embedded in meat, dairy, poultry, and seafood supply chains.
The study's scope reflects the growing investor and stakeholder interest in protein supply chain sustainability across Asian markets, where rapid demand growth is colliding with resource constraints and increasing regulatory scrutiny.
India's cohort of assessed companies represents a cross-section of the country's food sector - spanning quick service restaurants, processed food manufacturers, dairy processors, and diversified consumer goods companies. Their collective influence over sourcing practices across domestic and international markets means that their governance choices carry systemic weight.
Structural Demand Growth Raises the Stakes for Responsible Sourcing
The imperative for stronger supply chain risk management is amplified by the trajectory of protein demand in India and across Asia. Rising household incomes and accelerating urbanisation are driving sustained increases in consumption of animal proteins, creating both commercial opportunity and systemic governance obligations for major food companies.
At the same time, the operational context is tightening. Climate-related disruptions to agricultural supply chains are increasing in frequency and severity. Land constraints are limiting the expansion of conventional livestock systems. Antimicrobial resistance poses a rising threat to the viability of intensive animal agriculture. Animal health risks, including the potential for zoonotic disease emergence, add further complexity to long-term protein supply chain risk assessments.
The study warns that if responsible and sustainable plant-protein innovation is not harnessed alongside improvements in conventional protein governance, current systems may worsen the protein insecurity that already affects significant portions of India's population. For ESG food companies, this framing elevates supply chain risk from a compliance issue to a strategic imperative.
Conclusion
India's largest food companies are moving in the right direction on protein sourcing governance, with meaningful improvement in traceability and labour standards since the first assessment in 2023. However, the 2025 study by Asia Research & Engagement makes clear that supply chain risks remain elevated, particularly in the domains of climate disclosure and animal welfare policy.
For India to lead rather than merely match Asia's average performance, its food sector will need to transition from process-led disclosure to outcome-based accountability - setting measurable targets, adopting recognised reporting frameworks, and embedding animal welfare standards across procurement practices.
The protein system is, as the study notes, entering a decisive decade. The governance decisions taken by India's largest food companies in the near term will shape the resilience, sustainability, and credibility of the country's protein supply chains for years to come.