How Sourcing is Supporting Sustainability for PepsiCo

PepsiCo is marking strong progress against its 2030 Positive Agriculture goals, with notable advancements across its sourcing and agricultural practices.

As companies increasingly acknowledge the need for accountability throughout their value chains, many are beginning to implement change.

PepsiCo launched its programme to enhance livelihoods and promote restorative practices across its supplier network, and early results are already emerging.

The Positive Agriculture plan

PepsiCo depends on more than 50 crops and ingredients sourced from 61 countries, making soil health critical to its long-term success. However, the global food system is under pressure from rising demand, soil degradation, water scarcity, intensifying climate risks and extreme weather.

To sustain production, companies like PepsiCo must build resilience, often through collaboration and innovation. Its Positive Agriculture 2030 strategy is a targeted effort to advance regenerative farming practices, restore and protect nature, strengthen sustainable sourcing and improve farmer livelihoods.

In doing so, the company aims to support both human well-being and environmental protection.

PepsiCo has expanded its regenerative, restorative and protective practices to 4.7 million acres globally, moving closer to its 10 million acre target by 2030.

“As we continue work to help advance toward a more resilient and sustainable food system, I’m proud of the notable progress we’re making – particularly in scaling regenerative agriculture, restorative or protective practices and expanding opportunities that help strengthen livelihoods,” says Jim Andrew, Chief Sustainability Officer and Executive Vice President at PepsiCo.

“Our Positive Agriculture agenda is delivering impact for both people and the planet. While there is more work ahead, this momentum underscores what’s possible through strong collaboration and continuous innovation.”

Supporting the people

During 2025, farmer engagement grew alongside landscape-level innovation, supported by stronger collaboration with farmer-focused partners. By combining insights and expertise, PepsiCo and its partners developed locally relevant programmes, enabling farmers to adopt practices best suited to their crops, environments and priorities.

The programme also includes aligned incentives that deliver both economic and environmental value, supported through peer networks, data-driven insights and technical assistance.

By 2025, 70% of PepsiCo’s key ingredients were sourced sustainably, with a target of 90% by 2030. Through its ‘Engaged’ pathway, around 2% of volumes are transitioning toward sustainable practices, highlighting the impact of PepsiCo’s programmes and support.

Since 2021, the company has supported approximately 224,000 people across its agricultural supply chains and communities, using dedicated initiatives to strengthen economic security for farmers and workers. Its goal is to improve more than 250,000 livelihoods by 2030.

"The future of agriculture isn’t a distant ambition, it’s something we’re helping build right now, acre by acre. We’ve now scaled regenerative, restorative and protective practices to 4.7 million acres globally, a meaningful step toward our goal of reaching 10 million acres by 2030," Jim says.

"Behind that number are real people and real collaborations. From working with farmers to co-design locally relevant programs, to launching initiatives like STEP Up for Agriculture with industry collaborators, we’re helping strengthen the systems that support farmers so sustainability is not only achievable, but economically viable.

"We’re also seeing steady progress in how we source what goes into our products with 70% of our key ingredients being sustainably sourced in accordance with our guidelines."

PepsiCo continues to invest in innovation, from precision agriculture tools to climate resilience platforms, helping farmers enhance productivity and respond to the growing impacts of climate change. Through its Positive Agriculture Outcome (PAO) Accelerator, more than 15 global innovation projects were supported in 2025.

The company also engaged more than 1,100 farmers through training programmes, trials and demonstration farms. By investing in its supply chains and driving positive impact, PepsiCo is strengthening resilience, advancing sustainable sourcing and empowering its farmers.

"Behind that number are real people and real collaborations. From working with farmers to co-design locally relevant programs, to launching initiatives like STEP Up for Agriculture with industry collaborators, we’re helping strengthen the systems that support farmers so sustainability is not only achievable, but economically viable.

"We’re also seeing steady progress in how we source what goes into our products with 70% of our key ingredients being sustainably sourced in accordance with our guidelines."

PepsiCo continues to invest in innovation, from precision agriculture tools to climate resilience platforms, helping farmers enhance productivity and respond to the growing impacts of climate change. Through its Positive Agriculture Outcome (PAO) Accelerator, more than 15 global innovation projects were supported in 2025.

The company also engaged more than 1,100 farmers through training programmes, trials and demonstration farms. By investing in its supply chains and driving positive impact, PepsiCo is strengthening resilience, advancing sustainable sourcing and empowering its farmers.