A Collaborative Blueprint: How PepsiCo and Walmart are Supporting Regenerative Agriculture in the US

A Collaborative Blueprint:
How PepsiCo and Walmart are Supporting Regenerative Agriculture in the US

A first-of-its-kind $120 million partnership between PepsiCo and Walmart is accelerating the adoption of regenerative agriculture across 2 million acres, supported by crucial insights and tools from Field to Market.

The strategic partnership is now in its second year and is achieving promising results in the food and agriculture value chain.

A Bold Commitment to Regenerative Agriculture

In 2023, PepsiCo and Walmart announced a seven-year partnership, pledging $120 million to boost regenerative agriculture on 2 million acres in the U.S. Midwest.

This partnership highlights a common goal: building a more resilient food system. A stable and sustainable agricultural supply chain is crucial for both businesses and our planet.

As previously stated by Jim Andrew, Chief Sustainability Officer at PepsiCo, "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." He continues, "they need economic support, social and cultural support, and agronomic support."

Farmer-Centric Approach: Understanding the Acreage and the Challenges

Valuing farmer input and understanding the various methods and specific needs of agricultural operations, this program is voluntary and adaptable.

Growers today face big challenges. Unpredictable weather and changing agronomic needs threaten their ability to produce important crops consistently. Financial incentives are important, enabling farm operations to explore and adopt new conservation practices with less financial risk.

Central Illinois farmer and project participant Zach Wells attests to this, saying, "any financial risk I can reduce in one area lets me use those dollars elsewhere in my operation. I seldom put those dollars directly back into my pocket. I would much rather invest them back into the land."

"We know that for farmers to make conservation changes, it's a business decision. We've got to ensure farmers improve their bottom line or find cost-share opportunities."

Clay Bess
Operations Manager
PCM

Early Impact: Tangible Results from Year One

The partnership quickly gained momentum and, in its first year, an impressive 1,349 farmers enrolled in the program, encompassing 552,636 acres. Early reports indicate significant environmental gains, with a reported drop of 46,080 tons of GHG emissions and the removal of an additional 202,518 tons of GHGs from corn, soybean, wheat, and sugar beet farms involved in the initiative.

PepsiCo and Walmart teamed up with key integrators like Practical Farmers of Iowa (PFI), Precision Conservation Management (PCM), and Soil Water Outcomes Fund (SWOF) to reach these goals. These partners offer vital advice, data analysis, and support. They help growers use conservation agricultural practices effectively.

"PCM had the one-on-one connections on-farm, and that's how we got involved in this project with PepsiCo and Walmart," notes Clay Bess, Operations Manager at PCM. "The companies value the relationships we've built with growers in their supply shed."

Field to Market: The Foundation for Measurement and Collaboration

Field to Market has played a vital role as a foundational partner in this expansive initiative. Through its collaborative framework and resources, including critical grant funding, Field to Market helps streamline the work. The Fieldprint Platform^® empowers partners to benchmark data and track sustainability metrics, offering essential insights into the impact of these regenerative practices.

"Pairing economic data with farmers' actual agronomic data is a win," Bess emphasizes. "We know that for farmers to make conservation changes, it's a business decision. We've got to ensure farmers improve their bottom line or find cost-share opportunities."

Participating farmers echo the value of this data-driven approach. Elliott Uphoff from Shelby County, IL, a PCM farmer, shared, "there are many bright minds working on different conservation practices. At the end of the year, I get a report with my yield data. They compile it and provide a helpful tool that shows how no-till compares to conventional till, cover crops, and strip till by soil type. It's a phenomenal tool with dedicated people."

Momentum and Future Vision

PepsiCo and Walmart see this partnership as a chance to drive change. They aim to encourage other companies and suppliers to form similar collaborations.