Landcorp said public pressure was not the key factor behind it's decision to stop using palm kernel.

The state-owned enterprise will stop using palm kernel and transition to alternative feed supplements from June 2017.

Environmental groups have opposed the use of palm kernel due to its connection with de-forestation in South East Asia.

Landcorp CEO Steven Cardell said the company's decision didn't come as a direct result of public pressure, but they are very mindful of where consumers' expectations are.

"We've got an independent environmental reference group which is advising us on environmental policies, and they've been working with us over the last twelve months to see what we can do to get palm kernel out of our farms."

Mr Cardell said palm kernel should be out of farm systems by the middle of next year.

The shift is expected to be cost neutral.