The new pilot program directly compensates farmers for adopting regenerative agriculture practices such as composting, biological inputs and reducing chemical fertilizer use.
PepsiCo also announced all core Lay’s products in the U.S. will be made without artificial flavors or colors from artificial sources by the end of the 2025. Lay’s white dips will follow in early 2026.
STEP Up for Agriculture seeks to strengthen local organizations by equipping them with tools, training and resources needed to support farmers on the ground.
Together, the companies aim to deepen supply chain resilience, support positive outcomes for farming communities by helping them implement regenerative practices, and unlock new opportunities for advancing sustainable agriculture at scale.
The company is evolving its sustainability targets with the latest science and being pragmatic about where efforts have been limited by external factors and systemic barriers, such as lagging infrastructure and the growth of the business.
PepsiCo says the acquisition will complement its portfolio with the addition of an authentic, Mexican-American brand, while also growing its better-for-you food offerings.