If food production is to reach net zero targets, policy makers need to secure fair returns for farmers by incentivising climate neutral food production.
This is according to Anke Kwast, vice president of Yara’s climate neutrality roadmap, speaking during the CropTec Crop Nutrition seminar.
She said: “We have to face the reality that decarbonising food adds cost, and food chain collaboration will key [to meeting targets]. For example, to move to carbon-free fertiliser, it will increase fertiliser costs by two-five times, even though it will result in only a small increase in the price of bread by a few cents. Somebody has to pay for it.”
She said policy makers have the capacity to bring down the cost of green ammonia production over time, by driving investments and enabling the industry to scale-up and further mature.
“Implementing a carbon leakage protection system by EU and UK policy makers will also reduce the CO2 burden,” she said.
“However, the food chain industry has to contribute to create more value from climate neutral food production and share it with all parties who are contributing.
“The consumer has to make the right choices and be prepared to pay the true cost of food.”