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EUROPE 
Purpose fuelled Performance 
Mark Pettigrew, Agricultural Sustainability Manager Europe 
York 2014 
CONFIDENTIAL
PepsiCo – a business based on agriculture 
PepsiCo depends on sustainable agriculture 
Over 1 million tonnes of potatoes 
32,500 HA 
Over 120,000 tonnes of oats 
20,000 HA 
Over 70,000 tonnes of corn 
9,000 HA 
Over 7,000 tonnes of peanuts 
1,800 HA 
Over 30,000 tonnes of apples 
1,000 HA 
• High quality crops are essential for our business 
• Severe weather conditions due to climate change are impacting the security of our supplies 
• The sourcing of ingredients is dependent on the availability of natural resources such as water 
PepsiCo Confidential 1
2 
9% 
reduction 
in carbon 
14.1% less 
energy 
(manufacturing) 
10.4% 
reduction 
water 
usage 
0% waste to 
landfill 
Lightening our impact
Sustainable agriculture 
3
Our engagement is based on four key platforms 
PepsiCo Confidential 4 
New varieties 
• Better yields 
• Better quality 
Precision Agronomy Modified Agronomy Low Carbon Farming 
• More efficient use 
of resources 
• Accurate prediction 
of crop availability 
• Use of organic 
fertilizers 
• Use of innovative 
irrigation systems 
• Collaborative ICT 
projects to measure, 
monitor and reduce 
GHG emissions
Low Carbon Farming - UK 
• 2010 Baseline – *123 kg CO2e / tonne 
• 2013 Crop – *81 kg CO2e / tonne 
130 
120 
110 
100 
90 
80 
70 
60 
50 
40 
30 
20 
10 
0 
2010 2013 
Emissions (kg CO2e/t) 
Source Verified 
reduction 
from 2010 
Total CFT return 34% 
Fertiliser manufacture 19% 
Storage energy 8% 
Fertiliser application 5% 
Other 2% 
Green energy tariff 7% 
“50 in 5” / icrop
Transport 
1% 
Grading, cooling, 
and storage 
17% 
Residue 
management 
3% 
Low Carbon Farming 
Seed production 
Background soil 
N2O 
5% 
8% 
Fertiliser induced 
field emissions 
22% 
Irrigation energy 
1% 
Field Energy Use 
(excluding 
irrigation) 
15% 
Crop protection 
products 
10% 
Fertiliser 
manufacture 
18% 
Optimise 
•Soil Testing 
•Variety Specific 
Agronomy 
•Response Curves 
Abated 
•Big Impact 
•Available 
•Practical 
Organic 
•Holland 
•Big Impact 
•Naturalis 
•Needs Validation 
Advantaged 
•Greater accuracy 
•Conventional & 
Organic 
•Precision 
Agriculture 
•Sensors / satellite 
Fertiliser – Strategy 
Best way to lower carbon footprint 
•Reduce Co2 footprint 
•Help reduce global warming 
•Resource depletion 
•Reduce Supply Risk 
•Lower costs
We cannot achieve sustainable agriculture alone 
Partnership is key to delivering sustainable agriculture 
Farmers 
Industry 
Civil 
Society 
Consumers 
Policymakers 
PepsiCo Confidential 7 
Drip Irrigation trials Others 
NGOs 
Scientific 
community 
Using online data 
Satellite images 
Fertiliser trials
Policy-making can encourage sustainable agriculture 
PepsiCo’s policy considerations 
• Food sustainability needs to start at farm level to achieve an overall 
sustainability of the entire food chain 
• To achieve a sustainable food chain, all actors need to be engaged 
• Innovation is key to achieving sustainable food production 
• Limiting food waste is an important part to achieving food security 
• Discuss what producing more with less can mean for the entire food 
supply chain 
• PepsiCo supports EU policies that encourage sustainable farming 
PepsiCo Confidential 8
PepsiCo Confidential 9 
Thank you!

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Mark Pettigrew Pepsico Profiting from Sustainability Conference York Dec 2014

  • 1. EUROPE Purpose fuelled Performance Mark Pettigrew, Agricultural Sustainability Manager Europe York 2014 CONFIDENTIAL
  • 2. PepsiCo – a business based on agriculture PepsiCo depends on sustainable agriculture Over 1 million tonnes of potatoes 32,500 HA Over 120,000 tonnes of oats 20,000 HA Over 70,000 tonnes of corn 9,000 HA Over 7,000 tonnes of peanuts 1,800 HA Over 30,000 tonnes of apples 1,000 HA • High quality crops are essential for our business • Severe weather conditions due to climate change are impacting the security of our supplies • The sourcing of ingredients is dependent on the availability of natural resources such as water PepsiCo Confidential 1
  • 3. 2 9% reduction in carbon 14.1% less energy (manufacturing) 10.4% reduction water usage 0% waste to landfill Lightening our impact
  • 5. Our engagement is based on four key platforms PepsiCo Confidential 4 New varieties • Better yields • Better quality Precision Agronomy Modified Agronomy Low Carbon Farming • More efficient use of resources • Accurate prediction of crop availability • Use of organic fertilizers • Use of innovative irrigation systems • Collaborative ICT projects to measure, monitor and reduce GHG emissions
  • 6. Low Carbon Farming - UK • 2010 Baseline – *123 kg CO2e / tonne • 2013 Crop – *81 kg CO2e / tonne 130 120 110 100 90 80 70 60 50 40 30 20 10 0 2010 2013 Emissions (kg CO2e/t) Source Verified reduction from 2010 Total CFT return 34% Fertiliser manufacture 19% Storage energy 8% Fertiliser application 5% Other 2% Green energy tariff 7% “50 in 5” / icrop
  • 7. Transport 1% Grading, cooling, and storage 17% Residue management 3% Low Carbon Farming Seed production Background soil N2O 5% 8% Fertiliser induced field emissions 22% Irrigation energy 1% Field Energy Use (excluding irrigation) 15% Crop protection products 10% Fertiliser manufacture 18% Optimise •Soil Testing •Variety Specific Agronomy •Response Curves Abated •Big Impact •Available •Practical Organic •Holland •Big Impact •Naturalis •Needs Validation Advantaged •Greater accuracy •Conventional & Organic •Precision Agriculture •Sensors / satellite Fertiliser – Strategy Best way to lower carbon footprint •Reduce Co2 footprint •Help reduce global warming •Resource depletion •Reduce Supply Risk •Lower costs
  • 8. We cannot achieve sustainable agriculture alone Partnership is key to delivering sustainable agriculture Farmers Industry Civil Society Consumers Policymakers PepsiCo Confidential 7 Drip Irrigation trials Others NGOs Scientific community Using online data Satellite images Fertiliser trials
  • 9. Policy-making can encourage sustainable agriculture PepsiCo’s policy considerations • Food sustainability needs to start at farm level to achieve an overall sustainability of the entire food chain • To achieve a sustainable food chain, all actors need to be engaged • Innovation is key to achieving sustainable food production • Limiting food waste is an important part to achieving food security • Discuss what producing more with less can mean for the entire food supply chain • PepsiCo supports EU policies that encourage sustainable farming PepsiCo Confidential 8