The prices we pay in supermarkets for our food do not inform us about the true costs of food production. The existing standard accounting and economic evaluation systems do not consider positive nor negative impacts or dependencies on natural, social and human capital. Specifically, the natural capitals biodiversity, climate, soil and, water are critical for the short- and mid-term resilience of food and agricultural systems.


Ignoring these capitals or externalities lead to distorted markets and false accounting. Today when we purchase food, we are in actual fact paying four times from four different wallets. These costs include:

ECONOMIC


ENVIRONMENTAL


HEALTH


SOCIAL


Especially the dependencies of food and farming systems on the natural capitals and related economic risks are becoming increasingly obvious. Therefore, accounting firms, insurance companies and, banks are currently developing approaches to monitor and evaluate these economic risks. Yet, there is no harmonized standard that would justify and legalize financial incentives linked to the implementation of risk preventing better agricultural practices.
The prices we pay in supermarkets for our food do not inform us about the true costs of food production. The existing standard accounting and economic evaluation systems do not consider positive nor negative impacts or dependencies on natural, social and human capital. Specifically, the natural capitals biodiversity, climate, soil and, water are critical for the short- and mid-term resilience of food and agricultural systems.
Ignoring these capitals or externalities lead to distorted markets and false accounting. Today when we purchase food, we are in actual fact paying four times from four different wallets. These costs include:

ECONOMIC

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ENVIRONMENTAL

HEALTH

icon2
SOCIAL
Especially the dependencies of food and farming systems on the natural capitals and related economic risks are becoming increasingly obvious. Therefore, accounting firms, insurance companies and, banks are currently developing approaches to monitor and evaluate these economic risks. Yet, there is no harmonized standard that would justify and legalize financial incentives linked to the implementation of risk preventing better agricultural practices.