'Low carbon' fertilizer: PepsiCo-Yara partnership expands to Latin America

Mexico PepsiCo and Yara have announced a long-term partnership to supply crop nutrition programs in Latin America to help decarbonize the food value chain. This partnership demonstrates Yara’s ability to capitalize on its unique product portfolio by commercializing low-carbon products profitably. 

This follows a similar agreement signed last July between PepsiCo and Yara in Europe, through which Yara will supply PepsiCo farmers with best-in-class crop nutrition products and advice as well as digital tools for precision farming. In its initial phase, Yara will supply PepsiCo with products and services in Latin America, benefitting potato farmers in Mexico, Colombia, Chile, and Argentina. 

Pedro Parenti, SVP Yara Latin America:

"The agreement demonstrates the value of our solutions for decarbonizing agriculture and food production. With PepsiCo as an ally and leader on this path, we can protect the environment for both present and future generations."

The products will be mostly Yara Climate Choice™ fertilizers, which include lower-carbon options produced either from renewable ammonia or through carbon capture and storage (CCS). The mix will also include Yara’s conventional premium nitrate-based mineral fertilizers, manufactured using Yara’s proprietary catalyst technology, which significantly lowers their carbon footprint. Depending on the variant, these fertilizers can reduce the carbon footprint per tonne of potato by 20% to 40%. 

Chrystel Monthean, EVP Yara Americas:

"This partnership with PepsiCo is pivotal in our pursuit of Growing a Nature-Positive Food Future. By improving fertilizer efficiency and encouraging regenerative farming methods, we are not only cutting emissions but also boosting the sustainability of agricultural production."

The collaboration is in line with Yara’s mission to responsibly feed the world and protect the planet, and proves the profitability of value chain collaboration to decarbonize food production While it highlights the shared ambition of both companies to build a more sustainable food system, it will also support farmers with transition costs, facilitating their path towards a more regenerative agricultural model. 

Paula Santilli, CEO of PepsiCo Latin America:

"This collaboration agreement with Yara represents significant progress in our pep+ (PepsiCo Positive) agenda. We believe that Positive Agriculture – our ambition to support regenerative farming practices, sustainable sourcing, and better living conditions – will be key to meeting the growing demand for food as the global population increases, while addressing the need to protect and improve our natural resources and promote human well-being."

Yara team showcases sustainable crop nutrition solutions in Latin America, highlighting their commitment to low-carbon agriculture.