With more than C$800 million under management, Area One Farms will use the investment to support additional farming families and sustainable agricultural growth.
Mondelez Canada Inc. has announced an investment in Area One Farms Fund V, a Canadian farmland investment strategy that works with family farms looking to expand.
The investment is intended to provide farmers with access to capital, strengthen Canada’s agricultural supply chains and support regenerative agriculture practices suited to local conditions.
The investment was made through the global Mondelēz Sustainable Futures Impact Investment platform, with impact investment firm Sagana supporting the process, including opportunity sourcing and integrated due diligence.
"As a company, we know that investing in Canadian agriculture helps strengthen the foundation of a resilient Canadian food system and the agricultural supply chains that are essential to food manufacturing in Canada. Our commitment to Canada extends beyond the products we make; it includes supporting the farmers, families and communities that are helping build a stronger, more sustainable food system," said Naniss Gadel-Raab, President, Mondelez Canada.
"We're excited to support Area One Farms and its innovative approach to partnering with Canadian family farms, alongside Joelle Faulkner and her team. As we celebrate the International Day of Women Farmers, this investment is a meaningful way for us to recognize and support the important role women are playing in shaping the future of Canadian agriculture," Gadel-Raab added.
Area One Farms provides growth capital to farmers who may have the skills and opportunities to expand but face financial barriers. Under its partnership model, farmers and Area One Farms invest together and share the farm’s financial performance.
Funding can be used to purchase land, improve farmland, and invest in infrastructure, machinery, irrigation, drainage and precision agriculture technologies.
"Most farmers who want to grow are not short of skill or opportunity. They are short of growth equity. We invest as a co-owner, supporting them with capital and mentorship to scale and innovate," said Joelle Faulkner, CEO at Area One Farms.
"Mondelez understands that a resilient supply chain starts on farms that are financially strong enough to invest in their soil and in the next generation, and this investment lets us do that work with more farming families across Canada," Faulkner added.
The model also allows farmers to retain ownership interests while creating opportunities to increase their stake over time. Area One Farms can provide working capital, equipment funding and agronomic support for regenerative practices such as reduced tillage and cover cropping.
"We have a playbook and enough demonstration that regenerative agriculture works, but financing the transition remains a big barrier," said François Ritchot, Investment Director and Food & Agriculture Lead at Sagana.
"Area One Farms offers a distinctive approach to address this. We were particularly attracted by the combination of disciplined real-asset investing, practical regenerative agriculture capabilities, and tangible benefits for farming families, rural communities, and the resilience of our food system."
Area One Farms now manages more than C$800 million across over 50 farm partnerships and 200,000 acres. The new investment will help expand its model, support additional Canadian farm families and advance locally appropriate regenerative agriculture focused on soil health, input efficiency, water management and climate resilience.
Photo Credit: mondelez