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Growing Problems: Food Companies’ Environmental Impact
Sep 25, 2024
Helen Ramsbottom and Alistair Purdie, analysts from BNEF's Food, Agriculture and Nature team, dive deep into the environmental impacts of the agri-food system. They tackle the staggering role agriculture plays in global emissions and biodiversity loss. The duo discusses the complexities of quantifying a food company’s environmental footprint and the promising potential of regenerative agriculture. Hear how sustainable practices could reshape the industry amidst rising pressures and the crucial interlink between biodiversity and economic value in this vital sector.
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Quick takeaways
- The agri-food sector accounts for nearly a third of global emissions, highlighting the urgency for companies to manage their environmental impact effectively.
- Regenerative agriculture presents a promising solution for sustainability, yet challenges in standardization and transparency hinder its widespread adoption and verification.
Deep dives
The Importance of the Agri-Food Value Chain
The agri-food value chain significantly impacts global emissions and environmental degradation, contributing to a third of total emissions, a large portion of deforestation, and substantial water consumption. This intricate system encompasses a range of actors from input suppliers to farmers, wholesalers, food manufacturers, and retailers, each playing a role in its sustainability. For instance, farming practices, particularly those involving fertilizers and livestock management, are responsible for the majority of emissions within this chain. Therefore, understanding each tier's contribution to emissions is crucial for developing effective strategies aimed at reducing the sector's overall environmental footprint.
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