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Company’s aspires to source crops and ingredients in a way that accelerates regenerative agriculture and strengthens farming communities.
April 20, 2021
By: Sean Moloughney
Editor
PepsiCo, Inc. has set new goals as part of its “Positive Agriculture” agenda, aiming to spread regenerative farming practices across 7 million acres, approximately equal to the company’s agricultural footprint. PepsiCo estimated the effort will eliminate at least 3 million tons of greenhouse gas emissions (GHG) by the end of the decade. Additional 2030 goals within the agenda include improving the livelihoods of more than 250,000 people in its agricultural supply chain and sustainably sourcing 100% of its “key ingredients.” “Any plan to tackle the urgent challenges facing the global food system must address agriculture, the source of nourishment for billions of people and a key lever to address climate change and inequality,” said PepsiCo Chairman and CEO Ramon Laguarta. “As one of the world’s leading food and beverage companies, a resilient food system is essential to our business, and with our scale we have an opportunity and responsibility to drive meaningful change.” PepsiCo’s Positive Agriculture agenda aims to source crops and ingredients in a way that accelerates regenerative agriculture and strengthens farming communities, with a focus on: Spreading the adoption of regenerative farming practices across 7 million acres—which is about the amount of land used around the world to grow crops and ingredients for the company’s products. These efforts are estimated to lead to a net-reduction of at least 3 million tons of GHG emissions by 2030. Furthering nearly a decade of progress with its Sustainable Farming Program (SFP), PepsiCo will continue to collaborate with farmers across 60 countries to adopt practices that build resilience and improve and restore ecosystems. Through efforts with industry-leading partners, the company will expand regenerative agriculture programs to more than 500,000 acres of U.S. farmland by the end of 2021. Investments in innovative and sustainable agriculture solutions are being driven by PepsiCo’s brands, many of which have already embedded the company’s Positive Agriculture approach in their lifecycle. Improving the livelihoods of more than 250,000 people in its agricultural supply chain and communities, including economically empowering women. PepsiCo will focus its work on the most vulnerable farming communities linked to its global value chain, including smallholder farmers and farm workers, women and minority farmers. The company will continue to advance this goal through diverse partnerships, including U.S. Agency for International Development, Inter-American Development Bank, CARE, National FFA Organization, and the National Black Growers Council. Sustainably sourcing 100% of key ingredients, expanding to include not only its direct-sourced crops (potatoes, whole corn, oats, and oranges), but also key crops from third parties, such as vegetable oils and grains. PepsiCo sources crops across 60 countries and supports over 100,000 jobs in the agricultural supply chain. “Through our Sustainable Farming Program and ongoing work with tens of thousands of farmers, we’ve seen first-hand the ability to drive solutions within our agricultural communities, resulting in nature-based outcomes,” said Jim Andrew, chief sustainability officer, PepsiCo. “Today, we’re accelerating our Positive Agriculture agenda because we know we have to do even more to create truly systemic change. By focusing on regenerative agriculture practices at the local level to improve soil health, we can build a stronger foundation for our products and help make the entire food system more sustainable.” In the absence of industry-wide regenerative agriculture standards, said it will measure progress towards its goals by tracking acres and people engaged in the initiative and, over time, the impact toward five key outcomes, including: building soil health and fertility; sequestering carbon and reducing emissions; enhancing watershed health; increasing biodiversity; and improving farmer livelihoods. Leveraging innovation, including digital technology, and collaboration is central to PepsiCo’s approach to catalyzing systemic change. Together with the World Economic Forum and others, PepsiCo recently launched the concept of Food Innovation Hubs to develop local food systems that are inclusive, efficient, sustainable, and nutritious. The Positive Agriculture agenda follows PepsiCo’s recent announcement to double its science-based climate goal, targeting a reduction of absolute greenhouse gas emissions across its value chain by more than 40% by 2030, as well as pledging to achieve net-zero emissions by 2040.
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