The EU faces a pivotal moment. To improve climate resilience and safeguard vulnerable biodiversity, the agricultural sector should move towards regenerative farming practices that restore soil health, protect nature, and reduce emissions while improving farmers’ income. Public-private collaboration is vital to drive this transition, allowing the industry to foster competitiveness, ensure a just transition, and mobilise private investments that contribute to climate and nature objectives. 

Global food and beverage leaders are urging the EU to take swift action to accelerate the shift to regenerative agriculture. However, farmers willing to make the switch face economic uncertainty and a lack of clear guidelines. Food and beverage companies eager to source regeneratively grown crops are constrained by limited supply and inconsistent definitions of what "regenerative agriculture" entails.

Today, Boston Consulting Group (BCG), OP2B, and Carlsberg Group unveil six actionable recommendations to transform European agriculture. These six recommendations will be featured in the forthcoming report, Sowing Change: EU Policy and Opportunities to Scale Regenerative Agriculture. The Sowing Change report provides a clear roadmap to overcome the barriers and accelerate the agricultural transformation necessary for a more sustainable future. By working together, businesses, policymakers, and farmers can create a resilient food system that benefits people, the planet, and the economy.

Six recommendations to scale regenerative agriculture practices across the EU
Based on comprehensive studies and various stakeholder interviews in the agri-food value chain, the report presents six key recommendations to enable the transition to regenerative agriculture in collaboration with value chain experts.

1. Create an EU-wide, outcome-based definition of regenerative agriculture. This definition can serve as the foundation of an EU-wide benchmarking system, aligning with the Strategic Dialogue's recommendations. It would align clear metrics on outcomes such as minimize GHG emissions, increased cultivated biodiversity, and improved soil health (increased soil organic carbon), while setting progressive adoption targets for 2030, 2040, and 2050 to align with EU climate goals. More information on aligned KPIs here.
2. Develop an EU-wide measurement, monitoring, reporting, and verification (MMRV) program to standardize outcome measurement methodologies. This EU-wide program would standardize data collection and reporting, focusing on key metrics like carbon sequestration and soil health. It would build on the work done by DG AGRI through the Carbon Removal Certification Framework (CRCF) to ensure robust and credible monitoring, reporting, and verification systems. Investments in cost-effective technologies and the use of existing data, such as satellite imagery, can ensure scalability and accuracy.
   
   
3. Incorporate outcome-based criteria into CAP Pillar I payments. Farmers would receive practice-based payments during the transition and outcome-based rewards tied to measurable environmental improvements, leveraging the existing eco-schemes framework.
   
   
4. Create an Agri-Transition Fund through the European Investment Bank (EIB) to finance the transition. This fund, managed through the European Investment Bank (EIB), would facilitate three important components in a farmer’s financing stack: a land bank conditioned on regenerative practices, insurance products to mitigate risks such as extreme weather or reduced yields during transition, and capital loans to help farmers cover the initial investments of transition.
   
   
5. Improve knowledge-sharing programs to accelerate adoption of Regen Ag. Peer-to-peer farmer networks, digital resource hubs, and in-person training sessions would facilitate the exchange of best practices. Integrating Regen Ag into agricultural education and advisory services would ensure long-term capacity building.
   
   
6. Develop a public-private market to link payments to the provision of ecosystem services. This framework would link private investments to environmental outcomes such as carbon sequestration, water quality improvements, and biodiversity gains. Tax incentives and technical support can encourage private-sector participation while providing financial rewards to farmers.

Central to these proposals is the Agri-Transition Fund, led by the European Investment Bank, which aims to address the financial risks farmers face during the multi-year transition to regenerative agriculture. This fund offers innovative tools such as a regenerative land bank to support sustainable practices and insurance products to protect farmers from challenges like yield reductions and extreme weather. The Agri-Transition Fund can provide a robust framework to ensure farmers have the financial stability and confidence needed to embrace regenerative practices and secure a sustainable future.

Aligning on an outcome-based definition for regenerative agriculture and implementing MMRV systems will lay a solid regulatory foundation. Short-term initiatives, including financing and knowledge-sharing programs, will enable immediate progress, while the integration of CAP and the development of ecosystem services marketplaces will drive systemic change. Together, these steps align with the EU's vision for a more sustainable agricultural future.

Quotes from: 

Stefania Avanzini, Director OP2B:

“Collaboration is key to transforming our agricultural systems. Regenerative agriculture offers a solution to the growing challenges farmers and businesses face, but we need coordinated action across the value chain to make it a reality. At OP2B, we are focused on lifting the barriers to accelerate the transition to regenerative agriculture. Public-private collaboration, backed by an Agricultural Transition Fund, can unlock investments, support farmers and accelerate transformation to a sustainable and equitable food system." 

Simon Boas Hoffmeyer, VP Sustainability Carlsberg Group:

“At Carlsberg Group, we are committed to driving the transition to regenerative agriculture, but we can’t do this alone. By collaborating with Boston Consulting Group (BCG) and One Planet Business for Biodiversity (OP2B), we aim to create a resilient food system that benefits people and the planet. Our Sowing Change report outlines actionable recommendations to help the transformation of the European agriculture, restore soil health, protect nature, and reduce emissions.”