PepsiCo and Walmart Partner on Regenerative Agriculture

The 7-year collaboration goal is to enable and accelerate the adoption of regenerative ag practices on more than 2 million acres of farmland.

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PepsiCo and Walmart partner on regenerative ag
PepsiCo and Walmart are in a 7-year partnership on regenerative agriculture practices. They hope to empower farmers through education, upfront investment in outcomes, peer coaching, and cost-sharing – and hopefully inspiring others to join them.Image courtesy of Llona Pietrolongo / iStock / Getty Images Plus

PepsiCo and Walmart have announced a 7-year collaboration to pursue $120 million worth of investments focused on supporting US and Canadian farmers to improve soil health and water quality.

By establishing and scaling financial, agronomic and social programs, it aims to enable and accelerate the adoption of regenerative agriculture practices on more than 2 million acres of farmland and deliver approximately 4 million metric tons of greenhouse gas (GHG) emission reductions and removals by 2030.

Both businesses are dependent on farmers to grow ingredients that are used to make the delicious products that consumers enjoy every day. With a supply chain for the two companies that stretches across North America and involves a large volume of crops — including potatoes, oats, corn, wheat, soybean and rice — sustainability will look different from commodity to commodity, region to region, and even farm to farm.

The collaboration between PepsiCo and Walmart offers a voluntary, flexible approach to regenerative agriculture that gives farmers a seat at the table, recognizes the diversity of agriculture and that one size does not fit all.

"Successful sustainability starts and ends with trust. At PepsiCo, we work very hard to earn the trust of the farmer so they understand that we are investing in their legacy and they can hand their farm down to the next generation," said Jim Andrew, chief sustainability officer, PepsiCo. "Farmers know their business better than anyone else, and what we hear from them is that for regenerative agriculture to make business sense, three things need to happen. They need economic support, social and cultural support, and agronomic support. This strategic collaboration with Walmart will advance our shared goal to have farmers' backs as they transform farming in a way that benefits the planet and people."

PepsiCo and Walmart have a shared focus on supporting farming communities while improving soil and water health, as well as lowering carbon emissions. As the largest convenient food and beverage company in North America, a resilient food system is essential to PepsiCo's business and its ability to meet its pep+ (PepsiCo Positive) goals, which include driving the adoption of regenerative agriculture practices across 7 million acres by 2030 — an area approximately the size of PepsiCo's agricultural footprint — and reducing absolute GHG emissions by more than 40% across its entire value chain by 2030 (against a 2015 baseline) while striving toward net-zero emissions by 2040.

"At Walmart, our sustainability strategy is built to make the everyday choice the sustainable choice for our customers. This collaboration with PepsiCo is a great example of how we are prioritizing the expansion of regenerative agricultural practices among farmers across North America so that we can continue to make quality products affordable and accessible for customers. This collaboration aims to help elevate farmer livelihoods, engage them on how to more sustainably manage soil health, increase yields and create a model that others can mimic across other product categories, including encouraging additional investments in regenerative agriculture by other brands," said Jane Ewing, senior vice president for sustainability at Walmart.

About the Author(s)

Powder Bulk Solids Staff

Established in 1983, Powder & Bulk Solids (PBS) serves industries that process, handle, and package dry particulate matter, including the food, chemical, and pharmaceutical markets.

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