FAO says natural capital costs of agriculture=2.3 trillion/year

June 22, 2016

The natural capital costs associated with crop production in this study represent nearly USD 1.15 trillion, over 170 percent of its production value, whereas livestock production in this study produces natural capital costs of over USD 1.18 trillion, 134 percent of its production value. 1. Farming practices have been analyzed in over 40 countries, which contribute to about 80% of global production for each commodity, and the highest combined operational and supply chain costs of natural capital impacts in this study have been attributed to beef production in Brazil (USD 596 million) and the USA (USD 280 million), as well as pork production in China (USD 327 million). 2. On average, 64 percent of the impacts of livestock production can be attributed to operational activities taking place on the farm. For example, the conversion of natural ecosystems to pastureland for beef production in Brazil, which results in a natural capital cost of over USD 473 million, is the largest single impact in the study.

 

Source:Food and Agriculture Organization of the United Nations, “Natural Capital Impacts in Agriculture,” June 2015, http://www.fao.org/fileadmin/templates/nr/sustainability_pathways/docs/N...

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