This FAO flagship report explores the hidden costs of agrifood systems, estimated at over $10 trillion globally. Using True Cost Accounting (TCA), it assesses economic, social, environmental, and health costs to identify policy levers for agrifood transformation.
• Key Findings:
• Health hidden costs (70% of total costs) stem from poor diets, low fruit and vegetable intake, and high sodium consumption.
• Environmental costs are highest in diversifying agrifood systems.
• Social costs impact traditional and protracted crisis agrifood systems, linked to poverty and undernourishment.
• Dietary patterns drive non-communicable diseases, requiring targeted policy interventions.
• Recommendations:
• True pricing models to integrate hidden costs into food pricing.
• Consumer behavior shifts through incentives and awareness campaigns.
• Sustainable food policies tailored to different agrifood system types.
The report urges multisectoral collaboration among governments, businesses, and consumers to reduce hidden costs and transform agrifood systems sustainably.
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