McDonald’s plans $200 million investment to promote regenerative agriculture on U.S. cattle ranches

McDonald's said Monday it plans to invest $200 million over the next seven years to promote regenerative agriculture practices on cattle ranches.

The Chicago burger giant said the investment was its largest to date in support of regenerative agriculture in the U.S. The company also has funded regenerative projects on potato farms in Canada and Europe.

"As a brand that serves more than 90% of Americans every year, we recognize the responsibility we have to help safeguard our food systems for long-term vitality," Cesar Piña, McDonald's chief supply chain officer for North America, said in a statement.

Regenerative techniques aim to conserve water, enhance soil health and reduce the need for synthetic chemicals and fertilizers. Other big companies, including General Mills, Nestle, Walmart and PepsiCo, have also been investing in regenerative farming projects in recent years.

On cattle ranches, ranchers practicing regenerative agriculture move cattle frequently and let the land recover for weeks or months. That helps produce more grass with deeper roots, which take more carbon from the air to help improve soil.

McDonald's said its investment will help accelerate regenerative grazing and water and wildlife conservation on ranches spanning 4 million acres in up to 38 states.

McDonald's is working with the National Fish and Wildlife Foundation, which will independently award competitive grants to organizations that will assist participating ranchers. The company said some of its suppliers, including Cargill, Golden State Foods and Coca-Cola, also are providing funding to the foundation.

Jeff Trandahl, the executive director and CEO of the National Fish and Wildlife Foundation, said regenerative practices can ultimately improve the productivity of grasslands and increase ranches' profitability. The foundation expects the first round of awards will be announced in January.