PepsiCo and Fertiberia have forged a notable long-term agreement aimed at decarbonizing the cultivation of potatoes and corn across Europe through the increased use of green hydrogen-based fertilizers.
This collaboration is designed to benefit more than 1,500 farmers and encompass around 400,000 acres (approximately 162,000 hectares) dedicated to producing ingredients for well-known brands like Lay’s, Doritos, Cheetos, and Ruffles. The initiative is set to progressively provide up to 150,000 tons of Fertiberia’s advanced Impact Zero crop nutrition solutions each year by 2030. The first phase will roll out in France, Romania, Serbia, Greece, and Turkey, while also expanding its presence in Spain and Portugal.
The concept of ‘Impact Zero’ revolves around reducing the carbon footprint of fertilizer production, which contributes to nearly half of PepsiCo’s average carbon emissions from potato farming in Europe. Fertiberia’s approach replaces natural gas with green hydrogen in the production process, leading to potential reductions in greenhouse gas emissions of up to 63%.
Moreover, the technology utilizes biological inhibitors and slow-release formulations that enhance crop yields while curbing nutrient loss. This partnership, along with existing supplier agreements, aims for 50% of the fertilizers utilized in PepsiCo’s European supply chain to emerge from low-carbon sources by 2030.
This expansion follows a successful pilot program in Spain and Portugal that achieved a 20% decrease in carbon emissions for corn and a 15% reduction for potatoes. “Transitioning to low-carbon fertilizers represents one of the most powerful tools we have to mitigate agricultural emissions, with digital technology playing a crucial role in our journey towards transforming food systems,” stated Archana Jagannathan, chief sustainability officer for PepsiCo Europe, the Middle East, and Africa. “We are thrilled with the pilot’s success in Spain and Portugal, and we look forward to broadening this ambitious partnership throughout Europe.”
David Herrero, Fertiberia’s chief operating officer, underlined that this collaboration extends beyond just the product itself: “This is not solely about fertilizers – it is about showcasing the significance of collaboration and illustrating that shared innovation can promote both climate action and food security throughout Europe.”
At the heart of this initiative is the use of digital tools and precision agriculture techniques to assist farmers in enhancing application methods and monitoring regenerative practices. For those working in the field, the shift has been remarkably straightforward.
Herdade da Malhadinha, a farmer in Portugal who participated in the pilot, mentioned: “The transition has been seamless, as the fertilization technique mirrors our usual practice, ensuring our daily operations remain unchanged. This project with PepsiCo enables us to advance towards sustainable, low-carbon agriculture, reshaping the future of food production.”
This partnership aligns with PepsiCo’s broader global objective to adopt regenerative or protective practices across 10 million acres by 2030. By addressing one of the most emissions-intensive stages in the agricultural process, this alliance directly supports the aim of reducing Scope 3 forest, land, and agriculture (FLAG) emissions by 30% by 2030.