US carbon-neutral company Neutral Foods has raised $4 million in a seed funding round, bringing its total funding to $4.8 million.
The financing round was led by sustainable investment company Breakthrough Energy Ventures and Mark Cuban Companies.
Neutral Foods works with dairy farmers to implement strategies to drive down carbon emissions from the production of its Neutral organic milk. What is unable to be reduced is offset through the purchase of carbon credits from US dairy farmers who turn cow emissions into renewable energy.
The funding will be used to expand the company nationally and distribute the milk across 500 Whole Foods stores in the US.
Ann Radil, head of carbon reduction at Neutral Foods, commented: “Solutions to reduce agricultural greenhouse gas (GHG) emissions and increase sequestration on agricultural lands exist, but they’re expensive. We’re giving farmers the capital they need to adopt low- or non-emitting solutions.”
She continued: “This year we’re investing in family-owned farms in Oregon and Washington, reducing GHG emissions by changing what cows eat and how nutrients are managed. Over their lifetimes, these projects will avoid more than 3,200 metric tons of carbon dioxide equivalent from entering the atmosphere. Next year we’re tripling our investment in family-owned farms across the US, funding tactics that reduce operational emissions or increase long-term carbon storage in vegetation and soils.”
The investment will also be used to drive sustainability awareness, the trialling of the brand and to make direct investments with farmers on projects to reduce carbon emissions.
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