What's Happening?
PepsiCo has launched a regenerative agriculture program in Brazil's Cerrado region, collaborating with local partners Griffith Foods and Milhão. The Cerrado region, known for its biodiversity, produces
a significant portion of Brazil's soybeans and corn but faces threats from deforestation and soil degradation. The pilot program, co-funded by PepsiCo and Griffith Foods, with additional investment from Milhão, covers 7,000 acres with plans to scale to 30,000 acres. The initiative introduces a hybrid Payment for Practice and Payment for Outcomes model, compensating farmers for adopting regenerative practices such as composting and reducing chemical fertilizer use.
Why It's Important?
The program addresses critical environmental challenges in one of the world's most biodiverse regions. By incentivizing farmers to adopt sustainable practices, PepsiCo aims to improve soil health, reduce greenhouse gas emissions, and enhance climate resilience. This initiative is part of PepsiCo's broader efforts to promote regenerative agriculture across 10 million acres by 2030. The program not only supports environmental sustainability but also provides economic benefits to local farmers, potentially transforming agricultural practices in the region.
