Kellanova & Walmart: Backing Regenerative Rice Farming

Kellanova and Walmart have announced a new partnership to promote regenerative agriculture for rice farming in Arkansas, a crop that more than four billion people depend on, according to Oxford University.

The collaboration, which includes Indigo Ag, aims to support farmers in the region by providing a financial premium for each pound of rice they produce using more sustainable methods.

These funds are intended to help farmers adopt new practices such as improved water management techniques, the optimisation of fertiliser application and effective crop rotation.

This initiative highlights a strategic approach to building more resilient and sustainable supply chains for essential commodities.

“Kellanova is committed to building a more sustainable future for our business and the communities where we operate,” says Janelle Meyers, Chief Sustainability Officer at Kellanova.

“Without farmers, making our iconic foods wouldn’t be possible. Our Kellanova Better Days Promise aims to advance sustainable practices and mitigate the impacts of climate change – but we know we can’t achieve our goals without our partners.

"By joining forces with Indigo Ag and Walmart, we’re creating agricultural resiliency that increases farmer revenues, advances climate-smart practices and drives long-term, systemic impact across the value chain.”

Advancing climate-smart procurement

Regenerative agriculture is a holistic farming approach focused on restoring and enhancing ecosystem health, particularly soil.

This method can increase biodiversity, improve water cycles and bolster the land's resilience to climate change. For corporations, adopting such practices within their supply chains can be a key tool for lowering carbon emissions and providing direct advantages to their farming partners.

By reducing reliance on synthetic fertilisers and pesticides, farmers could see a reduction in operational costs, while improved soil health and biodiversity may lead to greater resilience against extreme weather events, potentially reducing crop loss.

Overcoming barriers to adoption

Despite the benefits, the transition to regenerative agriculture presents challenges that can deter farmers.

These include the potential for reduced yields during the initial transition period, high upfront investment costs for new equipment or methods and the need for additional knowledge or training.

The collaboration between Kellanova, Walmart and Indigo Ag is structured to address these financial hurdles. It provides farmers with resources, data and technical support through the Source by Indigo programme, facilitating the implementation of regenerative practices.

This co-investment expands on a four-year partnership between Walmart and Indigo Ag that supports rice farmers supplying Walmart’s Great Value brand.

To date, that programme has helped reduce emissions for the Great Value brand by more than 37,000 tonnes of CO₂ and conserve more than 11 billion gallons of water, while providing farmers with more than US$900,000 in additional revenue.

Mikel Hancock, Senior Director of Strategic Initiatives and Sustainability at Walmart, says: “We are excited to see our regenerative agriculture goals becoming reality.

Expanding our partnership with Indigo Ag to include Kellanova reflects the scale of impact we can achieve by working together to strengthen supply chains, support farmers and advance environmental stewardship.”

Regenerative rice farming and the supply chain

Conventional rice production is water-intensive, often requiring fields to be continuously flooded for months to manage weeds.

This process can generate methane, a potent greenhouse gas, from microbes in the waterlogged soil. According to the USA Rice Federation, Arkansas planted more than 1.4 million acres of rice in 2023, forming a substantial part of the 2.9 million acres planted across the US in 2024, as reported by the US Department of Agriculture.

Regenerative methods, such as the System of Rice Intensification (SRI) and Alternate Wetting and Drying (AWD), can help to reduce the environmental impact of this cultivation. SRI involves using younger seedlings and lower plant density, while AWD irrigation keeps fields moist but not perpetually flooded.

“We are proud to work with partners like Kellanova and Walmart to create measurable impact for farmers in Arkansas,” says Dean Banks, CEO of Indigo Ag.

“Together, we are building prosperity from the ground up: safeguarding water resources, improving soil health, reducing emissions and supporting farmers.”