Existing food systems pose significant challenges, destroying more than they create and driving a substantial portion of global greenhouse gas emissions. But what truly lies ahead in terms of cost for the EU to achieve a sustainable food system that respects nature while integrating the latest technology? This article delves deep into the intricacies and explores the various aspects.

Uncovering the Financial Quandary of a Sustainable Food Future

Destroying and Creating: The Dilemma of Food Systems

1: Existing food systems stand as a double-edged sword. They not only destroy more than they create but also drive a significant portion of global greenhouse gas emissions. This poses a critical challenge for the EU as it strives to build a sustainable food system. The question remains: what will it cost to truly transform and bring about a positive change? 2: According to the UN Secretary-General Antonio Guterres, we are on a precarious path. A recent report by the UN's environment programme emphasizes the urgency of the situation. The "Climate crunch time is here," and global mobilization on an unprecedented scale is needed. Failure to act could lead to disastrous consequences, with the 1.5°C goal hanging in the balance.

The EU's First 100 Days: Shaping a New Vision

1: In its initial 100 days, the EU Commission is leveraging ideas from a multi-stakeholder consultation, the "Strategic Dialogue on the Future of EU Agriculture." This dialogue aims to build upon the key principles of the Farm to Fork Strategy, at the heart of the EU Green Deal. Recommendations include strengthening the role of farmers within the chain, adapting the Common Agriculture Policy (CAP) for better sustainability, and enhancing animal farming. 2: However, a significant challenge lies in shifting away from land-based subsidies and providing more support to small farms and green producers. Can today's farmers truly meet these policy ambitions? It's a question that demands careful consideration and innovative solutions.

Working with GenZ: The Future of Agriculture

1: Marion Picot, Secretary General of CEJA Young Farmers, emphasizes the importance of working with the new generation, Gen Z and millennials. They have a strong desire to make a meaningful impact and are attracted to business creation. Preserving the community is crucial in tackling climate change, but there is a vocational crisis at the heart of the sector. 2: The mental health of farmers is greatly affected, and there is a significant financing gap of 62%. Many young farmers face difficulties in obtaining loans from banks. This highlights the need for comprehensive support and collaboration to ensure the future of agriculture.

Financing Climate Models: Danone's Approach

1: Danone is committed to helping overcome financial and climate-related challenges. Their regenerative farming models form the core of their support to over 58,000 farmers worldwide. By adopting a broad, holistic framework, they partner with farms and understand their specific challenges. 2: Needs and costs vary depending on factors such as pasture or waste management. Their financing assistance is tailored on a case-by-case basis, building long-term relationships with individual farmers. But the key question remains: where will the EU find the necessary funds?

Government Cash and Beyond: The Financial Puzzle

1: Under the multi-annual financial framework (MFF), the EU knows its funding until 2027. However, the CAP has not been adjusted for inflation in 20 years, making €57 billion less effective today. Martin van Driel explains that government budgets alone are insufficient, and investment through banks and consumers is crucial. 2: The primary sector turnover is €500 billion, and farmers already earn from the market. Commissioner-designate Cristophe Hansen has a significant task in addressing the food system and agriculture reform. Ensuring the income of farmers remains a top priority.

Supporting Rural Communities: The EIB's Role

1: In 2019, the EIB offered a one billion euros investment package, which was quickly absorbed. Marion Picot emphasizes the need to approach things realistically and improve existing tools. A Temporary Just Transition Fund (JTF) is proposed to support farmers during the transition. 2: Even with financial ambition, the 27 member states may face budget constraints due to the pandemic and the cost of living crisis. An example is the UK, where inheritance tax relief for small farms is being capped. Europe needs to invest more in agricultural products and sustainable farming.