How Iowa Corn is Going Green with PepsiCo & Cargill

With corn at the core of snacks and drinks consumed more than a billion times daily, PepsiCo and Cargill are backing a major shift on the ground.

The two companies are partnering to introduce regenerative agriculture across 240,000 acres of Iowa corn farms by 2030.

At the heart of this effort is a focus on supply chains—making them more resilient, traceable and aligned with sustainability targets.

From field to shelf

The Iowa fields involved in this initiative form part of a shared supply chain where Cargill sources corn from local farms to create ingredients used in PepsiCo products. That chain stretches across more than 200 countries, linking farmers in the Midwest directly to global consumers.

The collaboration aims to create a system that not only delivers food but strengthens the agricultural base it relies on.

For PepsiCo, this is about protecting the future of its business.

The company uses 35 crops and ingredients sourced from more than 60 countries to produce its drinks and snacks. Those products generate more than US$90bn in annual revenue.

The partnership helps secure those supplies by creating what PepsiCo calls a "more resilient agricultural system."

Cargill’s role as a key supplier makes it central to this change. Together, the two companies hope to create a supply chain that delivers on both volume and environmental responsibility.

"This partnership is about delivering practical, measurable results, starting on the farm where the food system begins," says Pilar Cruz, Chief Sustainability Officer at Cargill.

That practical focus begins with what happens in Iowa’s fields.

Practical support for farmers

The non-profit Practical Farmers of Iowa (PFI) is leading the local implementation.

Known for its strong links with the farming community, PFI will help farmers adopt regenerative methods suited to their land and conditions. The support includes technical advice, crop-specific recommendations and financial incentives designed to reduce the risk of changing practices.

The regenerative techniques being promoted are expected to boost soil health, lower emissions and improve both crop yields and farmer livelihoods. These methods also connect growers to a supply chain increasingly focused on sustainability, potentially giving them access to new markets where such practices are in demand.

Jim Andrew, PepsiCo’s Executive Vice President and Chief Sustainability Officer, explains: “By working with farmers to understand what’s best for their farms and partnering across the supply chain we can accelerate the adoption of regenerative agriculture practices that can result in healthier soil, reduced emissions and improved crop yields and livelihoods for farmers.”

PFI will also be responsible for tracking outcomes. This includes measurement, reporting and verification—ensuring that progress is not just claimed but backed by data. These efforts aim to build trust, not only between farmers and buyers but across the entire chain from field to consumer.

Scaling change in the US corn belt

Iowa produces more than 15% of all US corn, making it the country’s top contributor. That volume gives the state real leverage in shaping national agricultural trends.

PepsiCo and Cargill’s decision to concentrate efforts here is strategic. Success in Iowa could lay the groundwork for a broader shift in how US food supply chains function.

The partnership is structured around shared goals. PepsiCo plans to spread regenerative, restorative or protective farming across 10 million acres globally by 2030.

Cargill targets the same scale across North America. Those ambitions go beyond environmental targets. They aim to reinforce economic resilience, reduce dependency on synthetic inputs and future-proof the supply chains both companies rely on.

As Jim puts it: “This collaboration among PepsiCo, Cargill and Practical Farmers of Iowa creates shared value and long-term sustainability that we believe will strengthen our business today and in the future.”

This initiative also shows how large corporations can use their reach to support transformation from within the system, rather than trying to impose it from outside.

With Cargill’s 160-year history and PepsiCo’s scale, their combined influence is substantial. It is the practical support for farmers that may prove the most powerful part of this plan.