Plant-Based Protein & ESG Investing: Lessons from Falafel

I know it's a catchy title, and you as a reader are wondering what the heck will unravel in the next 500 odd words. I must say that Falafel has been a savior for me for over a decade. As a vegetarian, this is that one dish/food/meal/delicacy that you find if you look hard enough in the Western world. Falafel has also come to represent the go-to-dish for vegetarians, particularly vegans. I might be doing gross injustice if I don't mention Hummus in the same breath as Falafel; of course, the main ingredient is still the noble chickpeas. Did you know chickpeas are also called Kabuli-Chane, Garbanzo Beans, Egyptian Pea, and Bengal gram, to name a few?

For those slowly getting on to the sustainability bandwagon, ESG stands for Environment, Social, and Governance. ESG is, at this juncture, primarily used for rating the performance of companies beyond the financials, considering the wider gambit of stakeholders. ESG as a topic has gained prominence in the over the past decade. If drawn both for Falafel and ESG, the timeline vs. claim to fame would look quite identical.

Climate-Friendly Food Choices Include Falafel

Is Falafel Healthy? The Protein & Carbon Math

For those wondering about the nutrition angle: a typical falafel serving (about 6 balls, 100g) contains roughly 13g of protein, 330 calories, and significant fiber. That's comparable to many meat options, without the environmental baggage.

Here's the carbon comparison that matters:

• Beef protein: ~27 kg CO2 per kg of protein
• Chickpea protein: <1 kg CO2 per kg of protein

That's a 27x difference. The falafel isn't just healthier for you—it's dramatically healthier for the planet.

Related Reading:

• Consuming Lab-Grown Meat and Insects Benefits Planet - Another look at sustainable protein alternatives
• AI and ESG: A ChatGPT Prompt May Use Half a Litre of Water - The hidden environmental costs of technology

In a recent post by World Economic Forum "foods that can save the planet," legumes (peas/beans/lentils) are second on the list. Falafel is made of chickpeas which is one of the most consumed legumes. Falafel & ESG are seemingly both environmentally friendly; ESG translates into not only looking at the company's financial return that has been the conventional wisdom for centuries but rather holistic performance on a scale that includes environment, social, governance, and financials.

Article: What’s The Difference Between SRI, ESG, And Impact Investing?

If we look at the top producer of chickpeas that is India, it means that increased consumption of chickpeas serves two purposes as sustainable food:

Consumed at the source by more than a billion people, no long-distance and carbon-intensive supply chain

From a health standpoint, it serves the need for lack of protein in vegetarians and vegans.

I must admit that India hardly consumes chickpeas in the form of Falafel or Hummus but other mouth-watering dishes; one such dish is "pindi-chole".

I might be stretching my luck if I try to make a governance-based argument between Falafel and ESG.

How long has sustainable investing been around?

Intentionally, I have stayed away from a historical comparison as the jury is still out about where Falafel originated (Egypt, Israel, Lebanon, Syria). One thing I can say with confidence is sustainable investments, or ESG has been around in the different shape or form: Islamic finance is based on the principle of having a social and an ethical benefit to wider society beyond pure return. Jewish investments based on prohibition bal tashchit or "do not destroy." 'Dharma & Karma' based Hindu principles also lend to investing. Socially responsible investing can find its origins in the United States in the 18th century with Methodism, which loathed the slave trade, smuggling, and conspicuous consumption and resisted investments in companies manufacturing liquor or tobacco products or promoting gambling. Contemporary times: Pax World launched the first sustainable mutual fund (PAXWX) in 1971.

I looked around for stats regarding what final food makes up for the
highest percentage consumption based on the noble chickpeas as the main
ingredient; the evidence was scarce and lacking. The list of such food
includes Falafel, Hummus, Pindi-Chole etc. Reason falafel captures our
imagination and is the main protagonist along with ESG is: firstly,
both stand for the need to transition to more sustainable food and/or
investments; secondly, the pace at which their adoption has increased,
particularly in the western world; and lastly, they both seem to be
entirely fashionable and aspirational these days.

A Quick Reality Check on the Numbers

Since I've been going on about sustainability, here's one stat that genuinely surprised me: producing a kilogram of beef protein generates about 27 kg of CO2. Chickpeas? Less than 1 kg. That's not a typo. It made me feel slightly less guilty about my falafel obsession.

And for those wondering about the investment angle – the plant-based food market is expected to hit $162 billion by 2030 (a projection that's tracking well). Not saying you should bet your retirement on Beyond Meat, but it's interesting to see Wall Street suddenly caring about chickpeas.

How can I conclude without the recipe of a modest Falafel that can be made using limited resources? I can't guarantee this is the original recipe (as none exists) ☺.

Update (January 2026): Three years after writing this, I revisited the falafel-ESG thesis. The results surprised even me. Read: What Falafel Taught Me About the ESG Backlash → 

About the author: Rajul Mittal is a humble sustainability worker, busy exploring the intersection of sustainability,climate and business.