PepsiCo-Fertiberia partnership decarbonises supply chain
PepsiCo and Fertiberia have entered a significant long-term agreement to decarbonise European potato and corn farming by scaling the use of green hydrogen-based fertilisers.
The partnership aims to support over 1,500 farmers and cover approximately 400,000 acres (~162,000 hectares) of farmland used to grow ingredients for iconic brands such as Lay’s, Doritos, Cheetos, and Ruffles.
The initiative will progressively supply up to 150,000 tons of Fertiberia’s high-tech Impact Zero crop nutrition solutions annually by 2030. Initially launching in France, Romania, Serbia, Greece, and Turkey, the programme will also expand its existing footprint in Spain and Portugal.
The science of ‘impact zero’
Fertiliser production and use currently account for roughly half of PepsiCo’s average potato carbon footprint in Europe. Fertiberia’s solution addresses this by replacing natural gas with green hydrogen during production, which reduces greenhouse gas emissions by up to 63%.
The technology also incorporates biological inhibitors and slow-release formulas designed to boost crop yields while minimising nutrient loss. This collaboration, alongside existing supplier agreements, is projected to result in 50% of the fertiliser used in PepsiCo’s European supply chain coming from low-carbon sources by 2030.
Proven results and leadership perspectives
The expansion follows a successful pilot in Spain and Portugal that demonstrated a 20% reduction in carbon emissions for corn and a 15% reduction for potatoes.
“Switching to low-carbon fertiliser is one of the strongest levers we have to reduce agricultural emissions, and use of digital technology can complement this journey towards food system transformation,” said Archana Jagannathan, chief sustainability officer, PepsiCo Europe, the Middle East, and Africa. “We’re excited by the success of our pilot in Spain and Portugal and look forward to scaling this ambitious partnership across Europe.”
David Herrero, chief operating officer at Fertiberia, emphasised that the collaboration is about more than just the product: “This is not just about fertilisers – it’s about demonstrating the importance of collaboration and showing that innovation, when shared, can drive both climate action and food security across Europe.”
Empowering the farmer
Central to the programme is the integration of digital tools and precision agriculture to help farmers optimise application and track regenerative practices. For those on the ground, the transition has proven seamless.
Herdade da Malhadinha, a farmer in Portugal who utilised the solution during the pilot phase, noted: “It has been a smooth process, as the fertilisation method is technically identical to our usual practice and so doesn’t alter our daily operations. This project with PepsiCo allows us to move towards more sustainable, low-carbon agriculture, redefining how we produce the food of the future.”
The partnership aligns with PepsiCo’s broader global ambition to implement regenerative or protective practices across 10 million acres by 2030. By targeting one of the most carbon-intensive stages of the agricultural cycle, the collaboration directly supports the goal of reducing Scope 3 forest, land, and agriculture (FLAG) emissions by 30% by 2030.
