A Mega Snack Deal Could Reshape How U.S. Farms Get Sourced

Mars’ $36B Kellanova acquisition expands buyer scale in US agriculture, potentially shaping how corporate sourcing supports regenerative practices and farmer partnerships

6 Jan 2026

The biggest shifts in agriculture do not always start on the farm. Sometimes, they begin in a boardroom.

When Mars completed its acquisition of Kellanova in December 2025, the deal made headlines for its size and brand power. What drew less notice was what it might mean for the fields growing corn, wheat, and other staples behind the snacks. Together, the two companies now rank among the largest buyers in U.S. agriculture, and that scale is already changing how sourcing talks play out.

Both Mars and Kellanova came to the merger with deep ties to farming regions across the Midwest and beyond. Combined, their purchasing reach touches thousands of growers. For supporters of regenerative agriculture, that matters. Big buyers can shape markets through long term contracts, sourcing rules, and partnerships that reward healthier soil, smarter water use, and resilience to weather stress. The promise is real, though results hinge on follow through.

Mars has spent years tying its sustainability goals to its supply chains. Folding Kellanova into that system widens the circle of farms affected. Company leaders say scale brings steadier demand and more consistent engagement with growers. In theory, that stability makes it easier to invest in practices that take years to pay off.

The deal also deepens Mars’ ties with intermediaries like ADM and Cargill. These firms sit between farmers and food companies, turning corporate pledges into programs on the ground. With more volume flowing through fewer buyers, expectations around transparency and responsible sourcing could spread faster.

But the risks are hard to ignore. New practices often come with upfront costs and uncertain returns, especially in early seasons. Consolidation also means fewer buyers, which raises familiar worries about choice and bargaining power for farmers.

Analysts see the Mars Kellanova deal as part of a broader shift. As food companies grow through mergers, sustainability is moving from side project to core strategy. For growers, that could mean better tools and incentives, or stricter rules.

The lesson is simple. Decisions made far from the farm increasingly shape what happens on it. Whether this snack deal helps drive real change will depend on how seriously scale is matched with collaboration.