“This loan demonstrates an investment approach that has the potential to be scaled to millions of acres and replicated by the wider agricultural finance sector,” said Maggie Monast, senior director for Climate-Smart Agriculture at EDF. “The first-year results show the value of linking environmental performance, financial rewards and robust scientific measurement. It’s a win for farmers, investors and the planet.”
“With a technology-enabled pathway for credit approval, loan services and conservation practice verification, the Regenerative Agriculture Financing program was the fastest-selling financial product ever launched by Farmers Business Network. It also provides a new way for farmers to achieve sustainability and profitability goals simultaneously," said Devin Lammers, president of Farmers Business Network Financial. "Innovations like the Regenerative Agriculture Financing program paint a picture of how the future of production agriculture could look for farmers and their financial service providers."
By aligning farm financing with regenerative farming practices, RAF is paving the way for a sustainable future for farmers and the environment. Additional highlights from the pilot year include:
- Data was collected from 42,000 acres, and RAF farmers achieved average crop yields equal to or greater than national averages for corn, soybeans and wheat.
- Both farmers who are early adopters and new adopters of regenerative practices were eligible to participate.
- Farmers who secured the rebate demonstrated that they applied nitrogen at levels that minimize risk of loss to the air and water. Over the next three years, EDF and FBN will use aggregated farm-level nitrogen data to calculate changes in nitrous oxide emissions, a potent greenhouse gas, and nitrate, a prevalent water contaminant, across the RAF portfolio.
The report also includes farmer experiences with the program.
Click here to see more...