First Movers Coalition for Food 2026

only 39% in 2024.15 Being a first mover can also help companies attract cheaper financing, as banks and investors expand tools such as sustainability lending and blended finance.16 Addressing regulatory and stakeholder pressure Expectations for environmental accountability are shifting unevenly across markets, creating challenges for global companies. For example, in the European Union, companies are facing increased scrutiny over decarbonization targets, deforestation pledges and sustainability goals, with recent moves signalling the bloc’s continued commitment to the green agenda.17 In contrast, regulatory shifts in the US have set market growth in another direction, with the Securities and Exchange Commission ending their defence of the proposed federal climate disclosure rules.18 China, meanwhile, has refrained from imposing regulatory requirements but has increased international cooperation for deforestation-free commodities.19 Companies able to meet strong regulatory standards not only ensure compliance, but also strengthen their resilience to policy shifts and improve efficiency in adapting to new regulations across regions. Solutions exist but scale remains elusive The encouraging news is that viable solutions are already emerging. Regenerative farming practices, which include cover cropping, reduced tillage or rotational grazing, are proving both environmentally beneficial and commercially viable. There is now evidence that these practices can not only reduce the environmental impact of agricultural production but also sequester carbon, improve soil health and yields, and help farms better withstand extreme weather events. Other commodity-specific innovations such as improved water management in rice and feed additives that cut methane emissions in cattle- based industries are also showing promise. Innovative financial models and support structures can help farmers implement new practices and share costs across stakeholders. Momentum is building across the industry. FMC for Food members have ambitious sustainability goals: 80% of members have near-term absolute or intensity-based scope 3 reduction targets, 75% have committed to deforestation-free supply chains and over 50% have set regenerative agriculture targets.20 Some FMC for Food members are already far ahead. For example: –Nestlé, the world’s largest food and beverage company, sourced 21.3% of ingredients from farmers adopting regenerative agricultural practices in 2024.21 –PepsiCo sourced 66% of its key ingredients22 from sustainable sources in accordance with its sustainable sourcing guidelines across ~60 countries over the same period.23 60 food-system leaders totalling ~$1 trillion in combined revenues80% have near-term absolute or intensity- based scope 3 reduction targets75% have committed to deforestation-free supply chains50%+ have set regenerative agriculture targetsFirst Movers Coalition for Food – fast facts This ambition shared by industry leaders is driving measurable progress. Many FMC for Food members have shown the ability to grow as they pursue progress towards their sustainability goals; for example, achieving a 2% annual decline in scope 3 carbon emissions between 2019 and 2024 while increasing their revenues by an average of 20% over the same period.24 However, there is still room for further progress. Traceability is in its early stages: as of 2023, only 2% of Brazil’s beef was tagged and traced,25 while less than 4% of soy produced across high-risk regions in South America (Brazil, Argentina, Paraguay, Bolivia) in 2024 was certified deforestation- and conversion-free.26,27,28 Adoption of certain proven sustainable practices remains limited: less than 10% of rice cultivation in Viet Nam, for example, is expected to use water-saving techniques in the near term.29,30,31,32 Meanwhile, although regenerative practices have been implemented on roughly 15% of global cropland, the vast majority remains vulnerable to water loss and erosion.33 In 2023, only 2% of Brazil’s beef was tagged and traced; less than 4% of soy produced in high-risk regions of South America in 2024 was certified deforestation- and conversion-free. First Movers Coalition for Food: CEO Lessons for the Future of Food Procurement 7