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Book (series)Working paperAccounting for the hidden costs of agrifood systems in data-scarce contexts
Background paper for The State of Food and Agriculture 2023
2023Also available in:
No results found.This background paper to The State of Food and Agriculture 2023 reviews the methods used, as well as the data required, to estimate the hidden environmental, social and health costs associated with agrifood systems. The studies analysed are based on the true cost accounting approach, which can facilitate improved decision-making by policymakers, businesses, farmers, investors and consumers. The reviewed studies demonstrate that hidden costs of agrifood systems are considerable, and that action is needed at global, national and local levels. To apply true cost accounting at the country level, the methods developed must be downscaled and the data limitations overcome. This review goes through each cost category – environmental, social and health – and proposes approaches to deal with them, with a focus on country-level estimates and analysis, especially in data-scarce countries. Where data are not available or time is limited, methods combining secondary data are suggested. In some cases, the suggestion is to collaborate with research centres. The paper further argues that, when addressing hidden costs in agrifood systems, trade-offs may arise, which may require the use of more complex tools, such as partial and general equilibrium models, to analyse their impacts on different areas. In general, the extent of the compromise will be minimized if there are at least as many policy instruments as there are objectives. For example, if a country seeks to restore fish stocks and address rural poverty, restricting catch alone could increase poverty in the artisanal fishing community. Adding income support, however, could allow both objectives to be met. -
BookletTechnical reportRevealing the hidden costs of agrifood systems in Small Island Developing States
Insights from The State of Food and Agriculture 2024
2025Also available in:
No results found.Agrifood systems are essential for providing nourishment, sustaining livelihoods and shaping cultural identities. However, they also generate significant environmental, social and health hidden costs that are not reflected in market prices. These costs stem from unsustainable practices that contribute to climate change, natural resource degradation and the unaffordability of healthy diets. The 2023 and 2024 editions of The State of Food and Agriculture apply a true cost accounting (TCA) approach to estimate these costs, revealing that global hidden costs likely exceeded USD 10 trillion (PPP) in 2020. This report presents the 2024 TCA estimates for 12 Small Island Developing States (SIDS) – a diverse group of countries in terms of geography and income levels, facing unique vulnerabilities due to their size, remoteness and exposure to environmental shocks. The national-level estimates presented here offer a foundation for more in-depth and targeted assessments, supporting stakeholders in identifying priorities and guiding action towards more sustainable agrifood systems. -
Policy briefPolicy briefRevealing the hidden costs of agrifood systems to enhance their value 2023
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Agrifood systems are invaluable to society. However, they also contribute to climate change and natural resource degradation while failing to provide healthy diets to all. Many of these impacts are not included in market prices and are thus hidden. True cost accounting (TCA) allows estimating the hidden costs and benefits of agrifood systems, providing decision-makers with the evidence needed for their transformation. A national-level TCA assessment for 154 countries reveals that global quantified hidden costs from agrifood systems are highly likely to exceed 10 trillion dollars, revealing the urgent need to factor these costs into decision-making. These new estimates are a first step in raising awareness and should be followed by more targeted TCA assessments.
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BookletHigh-profileFAO Strategy on Climate Change 2022–2031 2022The FAO Strategy on Climate Change 2022–2031 was endorsed by FAO Council in June 2022. This new strategy replaces the previous strategy from 2017 to better FAO's climate action with the Strategic Framework 2022-2031, and other FAO strategies that have been developed since then. The Strategy was elaborated following an inclusive process of consultation with FAO Members, FAO staff from headquarters and decentralized offices, as well as external partners. It articulates FAO's vision for agrifood systems by 2050, around three main pillars of action: at global and regional level, at country level, and at local level. The Strategy also encourages key guiding principles for action, such as science and innovation, inclusiveness, partnerships, and access to finance.
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Book (stand-alone)High-profileStatus of the World's Soil Resources: Main Report 2015
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No results found.The SWSR is a reference document on the status of global soil resources that provides regional assessments of soil change. The information is based on peer-reviewed scientific literature, complemented with expert knowledge and project outputs. It provides a description and a ranking of ten major soil threats that endanger ecosystem functions, goods and services globally and in each region separately. Additionally, it describes direct and indirect pressures on soils and ways and means to combat s oil degradation. The report contains a Synthesis report for policy makers that summarizes its findings, conclusions and recommendations.The full report has been divided into sections and individual chapters for ease of downloading:
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Book (stand-alone)Technical bookThe future of food and agriculture - Trends and challenges 2017
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No results found.What will be needed to realize the vision of a world free from hunger and malnutrition? After shedding light on the nature of the challenges that agriculture and food systems are facing now and throughout the 21st century, the study provides insights into what is at stake and what needs to be done. “Business as usual” is not an option. Major transformations in agricultural systems, rural economies, and natural resources management are necessary. The present study was undertaken for the quadrennial review of FAO’s strategic framework and for the preparation of the Organization Medium-Term plan 2018-2021.