Clif Bar Creates Innovative Agricultural Investment Fund to Help Organic Farmers Weather Economic Challenges
Fund Initially Investing in $10 Million Program to Stabilize Farmers’
Energy Bills with On-Farm Wind Power
Clif Bar & Company today launched the Clif Ag Fund, a new investment
fund to help increase the economic resilience of organic farmers in its
supply chain. The fund’s initial investment will help finance a $10
million program that could provide up to 80 organic farms with long-term
energy cost savings from hosting on-farm wind turbines.
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Clif Bar & Company’s new Clif Ag Fund will help increase the economic resilience of organic farmers in its supply chain through a variety of creative investments. The fund’s initial investment will help finance a $10 million program that could provide up to 80 organic farms with on-farm wind turbines, providing long-term energy cost savings to farmers who often operate on thin margins. (Photo: Business Wire)
The Clif Ag Fund’s wind energy program is a partnership of Clif Bar, two
of its major ingredient suppliers and United Wind. Clif Bar and its
suppliers, Grain Millers and PURIS™, bring the project a large network
of organic oat and pea farmers, many facing high and steadily rising
energy costs from their use of non-renewable energy sources such as coal
and natural gas. United Wind brings its expertise as a leading one-stop
shop for leasing small wind turbines.
In addition to the value of its supplier and farmer networks, Clif Bar
is providing initial seed funding of $500,000 to the wind energy
program, with other large investors slated to invest the remaining $9.5
million.
“Farming has thin margins, so it’s important to take advantage of
opportunities to reduce costs or improve efficiency,” said Matthew
Dillon, senior director of agricultural policy and programs for Clif
Bar. “The goal of the Clif Ag Fund is to invest in projects that will
help our farmers be more economically resilient in producing organic
crops. That benefits farmers, their communities and Clif Bar.”
Farmers in the wind energy program will lease a small wind turbine from
United Wind that will provide them with their electricity needs at a
fixed monthly rate for 20 to 30 years. They won’t have to pay upfront
fees or maintenance costs for the turbines.
“Farmers will experience lower energy costs from day one,” Dillon said,
“and all of them will avoid rising energy prices that have eaten into
their margins and placed their profitability at risk. What’s more, the
installation and maintenance of the wind turbines on their farms will
create skilled jobs.”
The new program will focus on farms in windy Midwestern states such as
Iowa, Minnesota, North Dakota and South Dakota. “We're excited to
pioneer this wind initiative alongside Clif Bar & Company,” said Russell
Tencer, CEO of United Wind. “It enables their farmers to access clean,
low-cost, distributed wind energy and builds on Clif’s leadership in
sustainability."
Over time, the Clif Ag Fund will pursue a variety of investments on
behalf of organic farmers in its supply chain, ranging from new
technologies to infrastructure development, Dillon said. “The Clif Ag
Fund is unique in its flexibility,” he explained. “We’re set up to look
at any of the challenges facing organic farmers in our supply chain and
craft innovative investment solutions to meet them.”
Clif Bar’s new Ag Fund builds on the company’s ongoing
commitment to organic farmers and their communities. Since becoming
the first major energy bar maker to use organic ingredients in 2003,
Clif Bar has purchased more than 1 billion pounds of organic crops. In
addition, Clif Bar has become the nation’s largest private funder of
organic research, funding 17 graduate fellowships in organic plant
breeding and committing to raise $10 million to fund endowed chairs in
organic plant breeding at leading U.S. public universities. Two endowed
chairs already have been funded.
The Ag Fund’s use of wind energy in its initial investment extends Clif
Bar’s longtime leadership in addressing climate
change through innovative business strategies.
About Clif Bar & Company:
Clif Bar & Company crafts nutritious and organic food to feed and
inspire adventure, including the CLIF® BAR® energy
bar; CLIF Kid®, Nourishing Kids in Motion® and LUNA®;
The Whole Nutrition Bar. Family and employee-owned, the company is
committed to sustaining its people, brands, business, community and the
planet. For more information on Clif Bar & Company, please visit www.clifbar.com,
check out our Facebook page at www.facebook.com/clifbar
and follow us at www.twitter.com/clifbar
and www.instagram.com/clifbar.
About United Wind:
United Wind is the leading national developer of distributed wind energy
projects through its industry pioneering WindLease program. Founded on
the belief that the wind energy must be affordable to compete with
conventional energy sources, United Wind provides customers with wind
energy options that make sense today and into the future. For more
information, visit www.unitedwind.com.
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