USA – Danone North America has partnered with rePlant Capital, a financial services firm dedicated to reversing climate change, to support the food and beverage company’s farmer partners.
Through the partnership, rePlant will invest up to US$20 million to support Danone North America’s farmer partners with expenses related to converting to regenerative or organic farming practices.
These agricultural practices are expected to increase biodiversity, enhance ecosystems and enrich soil, as part of the company and its partners’ broader commitments to addressing climate change.
“As a company that is passionate about climate activism, we are pleased to be partnering with rePlant to support our farmers and bring new, innovative financial solutions to address climate change,” said Mariano Lozano, CEO of Danone North America.
“Providing these loans mitigates the financial stress that transitioning to regenerative and organic farming practices places on our farmers and allows them to focus their energy on driving sustainable agriculture on their farms.”
According to the company, the first of these loans has already been provided to Kansas-based McCarty Family Farms, a partner of Danone North America for almost 10 years and co-owner of MVP dairy.
McCarty family farm owners and fourth generation dairy farmers will use the loan to install moisture probes on cropland surrounding their dairy to reduce the amount of water used on crops that provide forage for the dairy cows.
In addition to reducing water usage on their own farm, McCarty Family Farms is exploring partnerships seeking to expand the program to other farms in the region to improve water consumption and aquifer longevity within the Ogallala aquifer.
“At rePlant, we are dedicated to investing integrated capital into food companies operating from soil to shelf in order to reverse the effects of climate change,” said Robyn O’Brien, Co-founder, Director of Partnerships at rePlant Capital.
“When we look at the work Danone North America and its network of farmers are already doing in the area of regenerative agriculture, it is clear they share our commitment to improving soil health.
“We are very excited to work together to make conversions to regenerative and organic farming practices more accessible for Danone North America’s farmer partners and drive sustainability across American farms.”