October 7, 2023
Spotlight Story
The WSJ writes that Big Food is keeping a close eye on Ozempic and other weight loss drugs. Read the story, here.
Industry Updates
Researchers with the University of Arkansas are exploring the potential of biochar to replace synthetic fertilizers in hay production — especially when combined with poultry litter. A positive outcome could provide the forest industry with a new eco-friendly byproduct for wood mill residues and provide farmers with a cheaper alternative to synthetic fertilizers. The research team is subdividing plots of land and evaluating different rates of biochar and chicken litter, hoping to calculate the relevant amount of forage production on a per-acre basis. Biochar is a potentially attractive solution for carbon sequestration and microorganism proliferation in soils. It may also prove effective at reducing ammonia production when mixed with chicken litter. [link]
Dozens of farmers are taking part in one of Australia’s largest ever studies of sustainability in the red meat industry. Producers across 10 million hectares will investigate how they can improve farming foundations to boost sustainability while maintaining productivity and profitability. The Food for the Future study is looking at how producers can tackle emissions reduction, increase biodiversity and expand their regenerative agriculture techniques within the red meat supply chain. [link]
Rovensa Next is launching an entry into the U.S. market for biological agriculture products, starting with an appearance at the California Association of Pest Control Advisers (CAPCA) conference in Reno, NV on October 15-17. The company hopes to contribute to reshaping the future of U.S. agriculture as the brand brings the collective R&D from 10 acquired biological start-ups into one of the largest agricultural input markets in the world. [link]
Kellogg Co. has completed the separation of its North American cereal business. Going forward, that business will be called the WK Kellogg Co. while the company’s global snack business will be called Kellanova. The WK Kellogg Co. began trading on the New York Stock Exchange (NYSE) under the ticker symbol "KLG," and Kellanova will continue to trade on the NYSE under the ticker symbol "K." [link]
Nestlé has partnered with the Malaysian Cocoa Board (MCB) to promote sustainable and responsible sourcing, as well as the adoption of regenerative agriculture practices by farmers. This is part of the global Nestlé Cocoa Plan Initiative established in 2009, with the aim of shaping a responsible cocoa supply chain. Initially, the cocoa produced through this initiative will be used for the manufacturing of KIT KAT products in Chembong, Negri Sembilan. [link]
Production of cocoa is starting to expand outside of the main growing areas in West Africa as farmers in places like Brazil, Ecuador, and Colombia see potential profit in the crop alongside high prices. The rally in prices to their highest level in nearly 50 years is boosting this trend, which could alleviate the current supply tightness in the global cocoa market. It also poses a threat to the livelihood of small farmers in Africa since recently planted orchards such as the ones in South America are more productive, reducing the overall cost of production. [link]
The Illinois Department of Agriculture (IDOA) signed a memorandum of understanding establishing a state-wide program to standardize soil health practices and set clear levels of achievement for farmers engaging in best practices. The program enables IDOA to implement legislation passed this year to increase use of cover crops, strip till, no till, and erosion and sediment control practices. By leveraging $3.5 million in state dollars to capture $9.8 million in federal funds, IDOA envisions expanding support for voluntary efforts by farmers to reduce nutrient loss, build soil health, manage water resources, increase yields, profits, and climate resilience. [link]
USDA’s Natural Resources Conservation Service (NRCS) is making more than $3 billion in additional funding available for four key conservation programs in the 2024 fiscal year. The funding includes $1.65 billion for the Environmental Quality Incentives Program (EQIP), $754 million for the Regional Conservation Partnership Program (RCPP), $472 million for the Conservation Stewardship Program (CSP), and $189 million for the Agricultural Conservation Easement Program (ACEP). NRCS is also increasing Climate-Smart Agricultural and Forestry Mitigation Activities eligible for funding for FY 2024 through EQIP and CSP. [link]
Fairtrasa has introduced bananas from the world’s first Regenerative Organic Certified® banana farm in Ecuador. This certification requires entities to already be certified as organic in addition to being certified as Fairtrade. To achieve Regenerative Organic Certified status, farms must avoid all industrial inputs, typically creating their own compost and using smart intercropping techniques where plants fix nutrients for each other and protect the soil by creating ground cover. The farms then have to conduct a series of thorough tests periodically, proving that their soil is healthy, rich in organic matter and continuously improving. [link]
In order to support coffee farmers as climate change affects the agricultural sector, Nestlé is to pilot a weather insurance program for coffee farmers in Indonesia. The company has also contributed to a guidebook for regenerative agricultural practices that will help farmers address soil health and biodiversity in the region. The weather insurance program, in collaboration with Blue Marble, will insure more than 800 smallholder coffee farms that supply for Nescafé. The guidebook for transitioning to regenerative agriculture was developed by the Alliance of Biodiversity International and the International Center for Tropical Agriculture, along with contributions from Nestlé. [link]
A Texas-based restaurant, Hopdoddy, is replacing plant-based burgers on their menu with new regenerative meat options. The new burgers include 100% grass-fed regenerative raised beef, together with Vital Farms pasture-raised eggs. The company is also offering a chicken sandwich that includes Cooks Venture regenerative-raised chicken. [link]
Verra has announced a new Afforestation, Reforestation and Revegetation (ARR) methodology in the Verified Carbon Standard (VCS) Program. This methodology is for activities anywhere in the world that increase the density of trees or other types of woody vegetation. Verra authored the methodology and module with support from two independent consultants, TerraCarbon and Silvestrum, with contributions from Kyle S. Hemes and the ABACUS Working Group. Verra will host a webinar on October 12 at 1:00 pm ET to provide an overview of the new methodology. [link]
Fewer of America’s large-scale corn and soybean farmers are planting cover crops this year than last, and nobody says they’re doing it to lock carbon in the soil, according to a Purdue University survey. Some 52% of corn and soybean growers told the monthly Ag Economy Barometer that they currently plant cover crops, a 5-point drop from 2022 and a return to 2021’s levels. When Purdue asked what motivated them to plant cover crops, 65% of farmers checked the response “improve soil health,” 23% chose “improve erosion control,” 3% selected “improve water quality,” and zero said “carbon sequestration.” Among the reasons growers bypass cover crops are lack of compatibility with their cash crop rotations, lack of time to incorporate the crops into their operations, the cost of equipment for planting the crops, and to conserve water for income-earning crops. [link]
The Rockefeller Foundation and The Asian Institute of Technology (AIT) have joined forces to catalyze regenerative agriculture practices, minimize climate change impacts, and promote sustainable food production in Southeast Asia. The collaboration aligns with The Rockefeller Foundation's US$1 billion climate strategy, focusing on scientific action to address climate change and promote human opportunity. The partnership emphasizes nature-positive solutions, characterized by regenerative, non-depleting, and non-destructive production systems, to reduce greenhouse gas emissions and enhance agricultural sustainability. [link]
In Case You Missed It…
In mid-September, Brownfield Ag wrote that some farmers new to cover crops might be having second thoughts after another dry growing season. Check out the article and its audio, here.