The average global age of a farmer is around 58 years old, while just 11% of farm managers in Europe are under 40 and 9% of US producers are under 35. These and other numbers have led to some well-documented concerns about who takes over the farm once the current generation retires, and how the world can best maintain food supply and security as this generational shift takes place.
For PepsiCo, bringing more of the younger generation into farming involves a strategy that’s simultaneously global and local.
“There is no single solution to agriculture’s generational transition,” explains Monica Baur, Senior vice president, social impact at PepsiCo. “The barriers facing a beginning farmer in North America may be very different from those facing a smallholder farmer in a Latin America or an emerging agricultural enterprise in South Africa.”
It follows, then, that assistance for the next generation of farmers—mentorship, financing, market access, to name a few—varies widely from one region to the next, something Baur highlighted in a recent chat with AgFunderNews.
The F&B giant currently runs multiple programs around the world aimed at educating and supporting the younger generation of farmers. Below, Baur discusses these initiatives, some common problems most of these farmers face, and why a local-meets-global approach is critical for closing the generation gap.
AgFunderNews (AFN): What are the most common challenges for young farmers around the world today?
Monica Bauer (MB): The challenges facing young farmers vary by region, however we consistently see three connected issues.
First is the economic barrier to entering and staying in farming. That can include access to land, capital, equipment and infrastructure, as well as the ability to build and stay in a business that can withstand rising costs, climate pressures, and market volatility.
Second is access to skills and pathways. The industry is rapidly evolving, and the next generation needs a combination of technical, business and leadership skills, along with exposure to the full range of careers across the food and agriculture system.
Third is the strength of the surrounding ecosystem. Farmers need reliable connections to mentors, peers, buyers and markets, but they also need communities where families can access nutritious food, education and economic opportunity. If the broader community is not able to thrive, it becomes much harder to attract and retain the next generation.
That’s why many of the programs we support look beyond a single intervention and focus not only on training, but also mentorship, peer learning, leadership development, market connections, and the long-term vitality of farming communities. These pieces need to work together if farming is going to remain a viable and attractive livelihood.
AFN: Does PepsiCo offer any financial support to young farmers participating in its programs?
MB: It’s not a one-size-fits-all model [for each program]. Education, mentorship and leadership development are important, but in some markets [farmers] need funding support, access to finance, practical experience or commercial access. The mix depends on the local barriers each program is designed to address.
For example, Future Harvest in Europe provides learning opportunities, mentoring, peer exchange and practical farm experiences for next-generation farmers. Field to Future in the US includes scholarships, mentorship, professional development opportunities and potential paid internships within PepsiCo’s agriculture supply chain. In South Africa, the Kgodiso Development Fund aims to combine business support with inclusive funding and improved access to markets for emerging agricultural enterprises.
Across these efforts, the goal is not simply to complete a training program. It’s to help participants gain the skills, experiences, relationships and opportunities that can strengthen and support long-term resilience and viability.
AFN: How does PepsiCo select farmers or individuals for participation?
MB: Selection is managed at the program level and reflects local needs and conditions. We work alongside organizations that have deep expertise in farmer development, education and community engagement, and they help identify participants based on the program requirements objectives and community needs of each initiative.
The common thread is a focus on next-generation or emerging farmers and future agriculture leaders who can benefit from skills development, mentoring, peer learning and stronger connections to agriculture networks.
We believe local expertise is critical. The barriers facing a beginning farmer in North America may be very different from those facing a smallholder farmer in a Latin America or an emerging agricultural enterprise in South Africa. The model should respond to those differences rather than impose the same solution everywhere.
AFN: What about ensuring supply of goods for PepsiCo in the future? Without an adequate number of new farmers coming in, is it plausible that the company’s supply chain could be impacted?
MB: Supporting the next generation of farmers is fundamentally about the future of food. The future of the food system is at risk long term if people do not see a viable future in farming and agriculture, or if the communities around them lack the access and opportunities families need to stay and thrive.
At PepsiCo, that issue also has clear business relevance. As a food and drinks company rooted in agriculture, [we source] more than 50 crops and ingredients from more than 60 countries. Healthy soils, resilient harvests and thriving farming communities are important to the strength of agricultural value chains and the broader food system.
Agriculture is experiencing a generational transition in many parts of the world, with older farmers approaching retirement and too few young people entering the sector. Creating stronger pathways into agriculture, improving farmer livelihoods and investing in the communities where food is grown can help strengthen the resilience of farming communities and supply chains over the long term.
At the same time, no single organization can address this challenge alone. Progress depends on collaboration among farmers, businesses, non-governmental organizations, educators, researchers and local communities.
AFN: What the biggest success story in this initiative so far?
MB: Some of the strongest signs of progress are the ways these programs are opening real pathways to economic opportunity, market access and long-term mobility. In the US, participants in the Field to Future program have gained exposure to agriculture careers through mentorship, networking, leadership development and industry experiences, and several participants have gone on to employment opportunities with PepsiCo after completing the program.
We’ve also seen promising examples internationally. In Mexico, the Agrovita program helped support the formation of “Los PAPIs,” the first rural cooperative created through the initiative. The cooperative connected smallholder plantain farmers to formal markets and eventually supplying plantains used in NatuChips. It shows what is possible when farmer development efforts are paired with market access and long-term support.
AFN: What about the biggest challenge?
MB: There is no single solution to agriculture’s generational transition. The barriers are interconnected. Skills training alone cannot solve limited access to land, finance, markets or infrastructure, and those barriers are often compounded by challenges facing the broader community and differ by geography.
Meaningful progress requires long-term collaboration and locally relevant solutions. The opportunity is to connect those pieces more intentionally so that they create lasting value for farmers, contributing to stronger farming communities and a more resilient food system.
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