In the ever-evolving landscape of the agrifood industry, sustainability has become more than a buzzword—it’s a critical mission. With the clock ticking towards the 2030 deadline for reducing emissions and cleaning up supply chains, the agrifood sector is facing a reality check. Ten years ago, only a handful of agrifood corporates had made public commitments to decarbonize their supply chains. Since the onset of the pandemic, the number of companies joining this green revolution has grown. However, as Allison Kopf, the newly appointed CEO of TRACT, points out, the time for action is now.
Kopf, a seasoned agrifoodtech entrepreneur behind the indoor ag startup Artemis, acquired by IUNU, is no stranger to the complexities of agricultural technology and sustainability. Her recent move to TRACT comes with an ambition to create “a common language” for the ag and food system in measuring sustainability efforts. This is a pivotal moment for an industry that, despite growing interest in sustainability, often lacks the necessary data and insights to make informed decisions.
TRACT’s mission is ambitious. The platform seeks to act as a central repository for all of a company’s sustainability data, providing a measurement framework designed with input from industry experts and stakeholders. Collaborations with organizations like Global Forest Watch and Google have already begun to shape metrics around critical issues such as carbon emissions, deforestation, biodiversity, labor, and human rights. With the TRACT system, companies can map a product’s journey through the supply chain and gain a clear picture of their performance in each of these areas.
This initiative comes at a time when agrifood corporates are under immense pressure to address their environmental impact. Companies like General Mills and Cargill are not just focused on a single commodity or sustainability aspect; they are grappling with complex portfolios that can span dozens of commodities. The challenge of overhauling such vast and intricate supply chains is monumental, and TRACT’s comprehensive approach could be a game-changer.
However, the task at hand is not without its obstacles. The agrifood sector is notorious for its fragmented global supply chains, which can range from smallholder farms in remote areas to massive industrial operations. The digital divide, connectivity issues, and educational gaps make the collection and digitization of data a formidable hurdle. Kopf’s experience at Artemis has shown that even in technology-rich environments like the US, data collection can be challenging. This difficulty is magnified on a global scale, where the intricacies of international supply chains pose even greater challenges.
Amidst concerns about corporate greenwashing, where companies may overstate their environmental efforts to appeal to eco-conscious consumers, TRACT’s platform offers a tangible solution. By providing a means to track and prove sustainability performance, companies can move beyond mere claims and demonstrate real progress.
Government mandates are also propelling the industry forward. The upcoming EU Anti-Deforestation Regulation (EUDR) is a case in point, requiring companies to verify that their supply chains do not contribute to forest degradation or destruction. TRACT is gearing up to support companies in meeting these new requirements by tracking EUDR-specific due diligence tasks.
Kopf believes that aligning business incentives with sustainability goals is key to driving change. Whether it’s through financing programs for transitional farming, public commitments, or pricing premiums, what’s essential is the ability to track and verify sustainability performance. Without a reliable mechanism to prove that supply chains are sustainable, companies cannot capitalize on the financial incentives or consumer behavior changes that come with verifiable green credentials.
The journey towards a more sustainable agrifood industry is complex and fraught with challenges. But with leaders like Allison Kopf at the helm of innovative platforms like TRACT, the sector is taking crucial steps towards a greener, more accountable future. As the 2030 deadline looms, these efforts are not just commendable; they are essential for the long-term health of our planet and its people.