Terra Regenerative Capital (TRC) invests in businesses that strengthen North American agricultural supply chains. From food, to fiber, flora and biofertilizers, TRC seeks to catalyze the adoption of regenerative practices by connecting farmers and ranchers to value-add and diversified markets. Through equity investment and professional support, they aim to make the agricultural sector a sink, rather than a source, of atmospheric carbon.

According to the Intergovernmental Panel on Climate Change, agriculture accounts for an estimated 10 to 12 percent of human-caused greenhouse gas emissions globally. Terra Regenerative Capital Founders Tara Smith Swibel and Calla Rose Ostrander believe this can change. “We’re not interested in more of the same system,” Swibel tells Food Tank. “We want the whole system to convert to regenerative, and for that to be the baseline for how we do agriculture.”

Terra Regenerative Capital identifies business leaders and entrepreneurs in the agricultural field who have demonstrated their ability to support on ground agricultural transition by connecting to new and valued-add markets that bring agricultural producers better value. “Securing financing for the transition to regenerative practices is often difficult, and this financial strain can deter farmers from adopting sustainable methods,” writes Laimonas Noreika, CEO and founder of European climate technology firm HeavyFinance. Terra Regenerative Capital believes that by be rewarding farmers for practices they are already doing, they will have the incentive to change.  And according to a report by Boston Consulting Group, regenerative farming can increase profitability for farmers after a transitional period.

“When we look at investing in a business, we look at how they interact with and support farmers in learning new practices. The farmers they source from don’t have to start out as regenerative, we want to start with where [farmers] are and help them move into the future of farming,” Ostrander tells Food Tank. Examples of conventional practices to move away from include using glyphosate to destroy crops after harvest, or leaving soil without vegetation for part of the year.

Read the full article about investing in sustainable farming by Vincent Leggett at Food Tank.