Oatly Launches regenerative agriculture programme

OATLY has announced the launch of a global regenerative agriculture programme that will work with farmers to dramatically reduce its greenhouse gas emissions.

The programme is called FARM (Future Agriculture Renovation Movement) and aims to restore carbon, improve biodiversity, and support farm viability.

The programme will test several different models of regenerative agriculture, and 22 pilots are currently taking place in Canada, Sweden, the US, Finland, and the UK. Corn and soy farmers have participated in the pilot schemes by adding oats as a third crop in their rotation. Oatly says it consults with farmers to find out what works and provides financial incentives to those who take part in the pilots. The company will scale the approach globally if successful.

Ben Dwire, a third-generation farmer in Arco, Minnesota said “The whole idea of planting clover and other cover crops kind of got lost through the generations. These are actually all things my grandpa and great-grandpa did, so it’s cool that the old has become new again.”

Oatly says that by 2029 it hopes the FARM programme will allow it to source 100% of global strategic ingredients (oats, canola, cocoa, coffee, coconut, sugar, and vanilla) from sustainable agriculture production. This will help to reduce the climate footprint of its oat drinks by at least 70% per litre.

Through the programme, the company aims to increase ecosystem health, improve farmer livelihoods, and contribute to climate solutions. Importantly, Oatly says that the project is focussed on regeneration, not just sustainability. The company wants to improve water quality and sequester carbon in soil and perennials.

The programme will also enable farmers to trial and develop new practices, while building generational security in farm families.


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