The food and agriculture industries account for one-third of global anthropogenic greenhouse gas (GHG) emissions. These emissions stem from crop and livestock production, land-use changes, and pre- and post-production processes such as food manufacturing, retail, consumption, and waste disposal.
With increasing temperatures threatening traditional agricultural practices and a growing global population placing higher demand, achieving food security has become a critical priority. To cut food and agriculture emissions in half by 2030 and reach Net-Zero by 2050, annual investments need to increase to USD 260 billion. This highlights the need to mobilize capital and drive transformation across the entire value chain.
Encouragingly, the food and agriculture sector has a lot of potential for growth. Climate Tech is driving innovation in areas such as vertical farming, precision agriculture, alternative proteins, and smart packaging to create resilient, low-emission food systems.
Investment trends in the global energy transition
The Net0 platform tracks close to 10,000 active and 1,000 inactive food and agriculture companies, which together have closed more than 17,000 deals with support from more than 9,500 investors.
Solutions Across Food and Agriculture
Achieving a sustainable future for food demands a holistic approach to tackling challenges across the food and agriculture sectors. The Climate Tech Taxonomy provides a structured framework for categorizing solutions across farming, production, processing, distribution, and waste management.
Agriculture
Agriculture plays a dual role in the climate crisis — it is both a significant contributor to GHG emissions and a sector highly vulnerable to climate change. The sector emits carbon dioxide, and other potent GHGs like nitrous oxide and methane, which accelerate global warming. Due to which, agriculture is heavily impacted by rising temperatures, erratic weather patterns, droughts, and water scarcity. These climate upheavals threaten crop yields, livestock health, and food security. This calls for innovative solutions to reduce emissions and build resilience.
To address these challenges, Climate Tech innovations are emerging across key agricultural processes:
Livestock and Rice Cultivation
Livestock accounts for 31% of food-related emissions, primarily from methane produced through enteric fermentation from cattle. Rice cultivation contributes another 1.3% of food emissions, as flooded paddy fields generate methane through anaerobic digestion. To combat these emissions, companies are introducing solutions such as methane inhibitors, methane capture wearables for livestock, and water and fertilizer management techniques for rice farming.
Crop Production
Crop production is responsible for 27% of food emissions. Nitrous oxide released during the application of fertilizers and manure, and carbon dioxide from agricultural machinery. Innovations in this space include electric tractors, alternative fertilizers, and improved fertilizer application practices to minimize emissions and enhance nutrient efficiency.
Water Scarcity and Drought
Frequent droughts and water scarcity exacerbated by erratic rainfall pose significant risks to agricultural production. Solutions such as smart irrigation systems, drought-resistant crops, and recirculating aquaculture systems are helping enhance climate resilience across the sector.
These innovations demonstrate how Climate Tech is transforming the agriculture sector, offering significant opportunities for investors seeking to drive sustainable transformation in food systems.
Notable startups to watch out in Agriculture
Inari employs advanced breeding technologies utilizing AI, genomics, and gene editing to design and develop novel crop varieties. The seed varieties have enhanced resilience to climate change, pests, and diseases while demanding fewer inputs like water and fertilizers. They raised $144M in January 2025 in Series G funding from investors including Hanwha Impact Partners, State Of Michigan, Abu Dhabi Investment Authority (ADIA), and others.
Carbon Robotics offers precision laser weed control in commercial farming using an AI-powered robot. The robot instantly identifies, targets, and eliminates weeds using thermal energy, thus improving yields. They have raised $70M in October 2024 in Series D funding from investors including Anthos Capital, Ignition Partners, NVentures, and others.
Elicit Plant is a French-based biotechnology company developing phytosterols and natural growth regulators to improve plant resilience. They help against drought, reduce water consumption, and minimize water stress up to harvest. The company raised $49M in November 2024 in Series B funding from Carbyne Equity Partners, European Circular Bioeconomy Fund (ECBF), Bpifrance, and Sofinnova Partners.Â
MyLand is a US-based soil health company harnessing the power of native microalgae to boost soil health. Teh microalgae helps improve soil organic matter, water retention, and carbon sequestration, benefiting crop yields and sustainability. MyLand has secured $23M in Series C funding in January 2025 from Climate Innovation Capital, The Borden Family, Proterra Investment Partners, and FarmClub Investments.
Oishii implements indoor vertical farming to foster year-round cultivation of high-quality berries. The technology uses no pesticide and reduces the reliance on land use and emissions. Oishii has raised $16M in Series B funding in November 2024 from Miyako Capital, Yaskawa Electric, Japan Green Investment Corporation for Carbon Neutrality, and others.
Food and Beverage
For the food and beverage industry, tackling climate change is essential for securing its future. To prevent food prices from spiralling and address food insecurity, innovative companies are leveraging Climate Tech solutions to meet the growing global demand for protein through sustainable practices while reducing its environmental impact.
Alternative Proteins
Producing traditional meat and dairy requires significant amounts of land, water, and resources. To date, the rise in demand for protein-rich diets has primarily been met through animal farming. However, the sustainability of this model is increasingly being questioned. In response, cultivated meat has emerged as a revolutionary alternative to conventional meat.
The cultivated meat industry covers a wide range of products, including pork, beef, chicken, and seafood, which relies on cutting-edge Climate Tech innovations. Some of the breakthroughs are precision fermentation, plant-based protein production, and plant molecular farming. Supporting this industry are ancillary technologies like cell culture manufacturing, cell line development, bioreactors, and base ingredient production—all essential for scaling alternative protein production.
Food Waste and Loss
Approximately one-third of all food is lost or wasted at various stages of the supply chain. Food waste begins at the farm, during transportation and storage generating 8-10% of annual GHG emissions.
Climate Tech is driving innovations to overcome these inefficiencies. Cold chain logistics and shelf-life extension technologies are being developed to preserve food for longer, reducing spoilage. Additionally, food waste valorization transforms discarded or surplus food into valuable resources like animal feed, textiles, bioplastics, and compost.
Food and Beverage startups that should be on your radar
Vivici, a Dutch company, specializes in dairy protein production through precision fermentation. Vivici eliminates the need for animal farming using microorganisms to convert nutrients into high-quality proteins. The company raised $33.8M in Series A funding in February 2025 from InnovationQuarter, Invest-NL, DSM-Firmenich, and others.
Swedish company Re:meat is transforming meat production by cultivating meat from muscle cells obtained from healthy, free-range livestock. Their process mimics brewing, growing sustainable and slaughter-free meat with 92% lower COâ‚‚ emissions than conventional beef. Re:meat raised $1.08M in Early VC funding in March 2025 from Erik Rosengren, Jon Persson, Judith Wolst, and others.
Project Eaden, a German startup, develops plant-based meat alternatives using fiber-spinning and multi-material fiber compounding technologies. Its technology replicates the texture, taste, and appearance of animal meat, offering a sustainable protein source. Project Eaden raised $15.5M in Series A funding in January 2025 from Planet A, Agrifoodtech Venture Alliance, Foodlabs, and others.
Orbisk is a Dutch startup tackling food waste with AI-powered image recognition technology. Its system identifies and tracks food waste down to the ingredient level, providing real-time insights to optimize kitchen operations and reduce waste. Orbisk raised $8.39M in Series A funding in December 2024 from Kost Capital, Eit Food, Regeneration.VC, and others.
Atomo, a US-based food-tech startup, produces beanless coffee made from natural and upcycled ingredients, reducing reliance on traditional coffee farming. By repurposing food waste, Atomo helps preserve environmental resources while offering a sustainable coffee alternative. The company raised $7.85M in Series B funding in January 2025.
Climate Tech is Reshaping the Food and Agriculture Landscape
Climate technology is reshaping the future of food and agriculture by driving emissions reduction, enhancing supply chain resilience, and accelerating the Net-Zero transition. Several key innovations as discussed above are mitigating climate risks while ensuring a stable, sustainable food system.
With comprehensive market intelligence on capital flows, emerging trends, and breakthrough innovations, leading investors and businesses can confidently navigate a rapidly evolving investment landscape while reducing food and agriculture’s significant carbon footprint.
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