Constellation Brands, which produces beers such as Modelo, Corona and Pacifico Clara, has announced a $100 million investment to support US farmers that produce ingredients for their beers.
The show of support will aid growers in Idaho, Montana, and North Dakota and is the company’s way of recognising the “vital role it plays in sustaining America’s iconic beer industry”.
This investment comes at a time where U.S. farmers, as well as those across the globe, face sustained pressure from declining acreage, shifting demand, rising input costs, and weather-related challenges.
These issues have made it harder for many growers to maintain and expand their businesses.
As part of this investment, Constellation Brands will partner with growers in Idaho, Montana, and North Dakota to identify opportunities that help sustain their farming operations for the long term.
The company is establishing Constellation’s Farmers Future, a grower-led advisory committee that will bring together farmers, trade groups, and community leaders to help inform investments intended to strengthen agricultural resilience and the domestic agricultural supply chain.
“U.S. barley, corn, and hops farmers are an essential part of the American economy and foundational to our business,” said Nicholas Fink, president and chief executive officer of Constellation Brands.
“Their work supports communities, drives economic activity across the supply chain, and makes it possible for our products to reach consumers across the country.
“We have deep respect for the persistence and expertise of these growers, especially after several challenging years for American farming, and we remain committed to continuing to support this foundational part of our supply chain.”
Constellation Brands said it already invests more than $750 million annually with American farmers and suppliers, including purchasing approximately 80% of all U.S. barley exports.
This commitment, they said, is part of the company’s broader economic impact in the U.S., where it invests more than $4.2 billion annually in employee wages, capital expenditures, and U.S. taxes.
As part of this initiative, Constellation Brands said it will partner with growers and agricultural partners to determine how its investment can help support farm resiliency, market access, sustainability, and the continued economic vitality of farming communities in key producing states.
“Constellation Brands current and future support for our agricultural community comes at a critical time. Our sustainable future depends on committed partners, innovative products and new markets for American farmed barley and wheat, inside and outside of the U.S.
“We appreciate the continued steadfast support of Constellation Brands in support of our growers and look forward to working with them and other great companies who support our future,” said the Idaho Barley Commission, Montana Wheat and Barley Committee, and the North Dakota Barley Council in a joint statement.
