Regenerative agriculture improves soil health and stores carbon, and there is mounting evidence that it produces healthier, more nutrient-dense food. But our agricultural system is complex and interconnected, and farmers need capital to finance the shift to regenerative practices. So, how can one put investment dollars to work to support this transition?



Koen van Seijen is the host of the Investing in Regenerative Agriculture Podcast, where he talks to pioneers in the regenerative food and agriculture space about putting money to work to regenerate the soil. Today, Koen joins Ross and Christophe to discuss the many different flavors of financing for regenerative agriculture and explain the distinction between investing in regenerative agriculture and what is sometimes called "regenerative financing" which innovates in terms of deal structure and beyond.



Koen goes on to explore the role of transition finance in the #regenerativeeconomy and the danger in overselling the potential for soil to address climate change. Listen in for Koen’s insight around the connection between soil health and nutrient density in food and learn how he thinks about the influence of technology in making the transition to #regenerativeagriculture.



Key Takeaways



[1:53] What inspired Koen to create the Investing in Regenerative Agriculture podcast

Active in #impactinvesting space, discovered potential of ag to be part of climate solution
Record conversations to share with investors and entrepreneurial farmers


[5:08] The distinction between investing IN regenerative ag and regenerative finance

Can argue that traditional terms NOT regenerative
Push for experimentation in ownership structures


[6:49] The role of transition finance in the regenerative economy

Support farmer through transition to regenerative practices
Investor and farmer on same side, improve soil health as fast as possible


[9:46] The different flavors of financing for regenerative agriculture

Organic transition finance loans
Green or transition bonds
Blended capital
Corporate (e.g.: buy ecosystem services, provide access to market)
Crowd lending


[15:49] What role ecosystem services might play in financing regenerative ag

Increase as we wake up to benefits of soil for carbon capture and storage
Likely to become normal part of transition for farmers


[17:37] The challenges around gaining the trust of farmers

Promises of markets, financing not delivered
Need all hands on deck to speed up transition


[21:19] The danger in overselling the potential of soil to solve climate change

Underestimates job to be done in transition
Agriculture part of complex, interconnected systems


[25:03] How to get consumers behind the transition to regenerative ag

Research around nutrient density and soil health
More funding available in realm of healthcare (food as medicine)


[27:46] Why large food companies are likely to fight the transition to regenerative ag

Removes need for global supply chain as nutrients lost in shipping
Doubt campaigns similar (i.e.: tobacco, fossil fuels) to delay


[33:08] The role of technology in the transition to regenerative agriculture

Measure carbon storage for ecosystem services
Measure soil health and nutrient density
Assist landscape designers in deciding what to plant where


[36:34] How Koehn thinks about the wizard and the prophet

Use tech to augment, not replace land stewards
Leverage tech to scale regenerative practices faster


[45:23] The role of policy in the transition to regenerative agriculture

Legacy policy didn’t consider soil health
Perverse incentives make change more difficult