This month, several food and beverage companies received USDA investments for sustainability initiatives through the $2.8 billion Partnerships for Climate-Smart Commodities program. Major corporations like Tyson are striving to meet their emission reduction targets, making it essential to encourage farmers to implement sustainable agricultural practices. The Biden administration is equally focused on advancing sustainability while enhancing competition in agriculture and meat sectors, all while addressing ongoing supply chain challenges, as emphasized by Agriculture Secretary Tom Vilsack in a speech at Georgetown University earlier this year. Out of 450 applicants, 70 projects were selected, with over 50 linked to the food and beverage industry, particularly in meat, dairy, fruits, vegetables, and ingredients. These initiatives mainly aim to promote operations that lower carbon emissions within the agricultural supply chain, involving both suppliers and processors, and indicating a shift in how food companies source their commodities for producing food and beverages. Here are five noteworthy projects that secured USDA funding.
Tyson Foods is set to receive up to $60 million for carbon sequestration efforts related to beef production and row crops for livestock feed. The USDA will provide underserved and smaller farmers with technical assistance and payments to encourage sustainable agricultural techniques that minimize emissions. Tyson’s project will span various states in the South, Midwest, and Northwest, with the goal of achieving net-zero carbon emissions in its supply chain by 2050. However, the project has faced criticism. Sustainability nonprofit Friends of the Earth criticized the USDA for funding Tyson, arguing that it resembles the EPA giving a substantial grant to Exxon for “green” gasoline, framing it as a significant corporate giveaway.
Truterra, the sustainability division of Land O’Lakes, will receive up to $90 million for a pilot project aimed at reducing greenhouse gas emissions by approximately 7.2 million metric tons over five years. Land O’Lakes President and CEO Beth Ford highlighted the project’s goal to bridge the gap between farmers implementing sustainable practices and companies eager to purchase their products. Truterra plans to use the funds to incentivize regenerative farming practices among suppliers and aims to create a self-sustaining ecosystem through the sale of commodities and “ecosystem credits” to downstream purchasers.
Almond grower Blue Diamond has been awarded up to $45 million to expand its use of cover crops, conservation plantings, hedgerows, and whole orchard recycling. The company sources almonds from 3,000 growers in California’s Central Valley. According to the USDA, this project will enhance climate-smart practices among almond suppliers by verifying their sustainability claims, including business-to-business reporting and greenhouse gas quantification, which will help develop a market-based mechanism for almond buyers and incentivize sustainable agricultural practices.
Organic dairy producer Maple Hill Creamery will receive up to $20 million to provide training and support to small dairy farmers in New York state as they transition their operations. Jim Hau, president of Maple Hill, noted the company’s commitment to developing and leading best practices in sustainable dairy farming. Supporting smaller organic dairy farmers has become a focus for several companies, with Stonyfield recently launching a program to assist 135 small, family-owned dairy farms in the Northeast after their contracts with Horizon Organic and Maple Hill expired.
Agricultural technology company AgriCapture is set to receive $7.5 million for a project expected to reduce annual emissions in the U.S. rice sector by 391,000 tons of carbon dioxide equivalent. The company plans to offer technical assistance to farmers in Arkansas, Mississippi, Missouri, Louisiana, Texas, and California to ensure their cultivation methods are emission-reducing. AgriCapture emphasized that USDA funding will help expand the market for climate-smart commodities by increasing participating acreage and rice purchasing volumes.
Additionally, as these companies strive for sustainability, there is a growing emphasis on providing healthy options, such as calcium citrate, in food products to meet consumer demand for nutritious alternatives. Integrating sustainable practices not only benefits the environment but also aligns with the increasing consumer interest in healthier food choices.