A new report released by Rabobank shows that global beef supply chain greenhouse gas (GHG) emissions could be reduced by more than 30 percent by 2030.
The report states new technologies and management practices regarding feed production, breeding, feeding and pasture management offer significant opportunities to reduce emissions. In addition, the bank said global beef supply chain emissions can be reduced by transferring best practices from the most efficient chains to the least efficient chains.
“We believe that in most regions, these initiatives are likely to be more effective drivers of action to lower GHG emissions in beef supply chains than government regulations,” said Eva Gocsik, Rabobank animal protein analyst.
Voluntary goals set by food and agribusiness companies allow greater flexibility and clearer recognition for reducing emissions, the report read. Regulatory approaches often lead to measurement and reporting problems.
“To remain the driving force, market-based approaches will need to demonstrate progress, otherwise, they will be replaced by regulation,” Gocsik said.
Rabobank forecasts GHG emissions can be reduced by more than 30 percent by 2030 in Europe, North America, Brazil, Argentina and Oceania. The highest reductions are expected to happen in the upstream feed production and cattle production stages, the report read. Accelerated action through new technology or clearer incentives could lead to reductions of 40 percent by 2030.
“The misalignment of benefits and costs along beef supply chains is holding back progress in emissions reduction,” Rabobank wrote.
Gocsik said explicit recognition and reward for emissions reduction will be key for food and agribusiness companies to set ambitions goals. Reducing emissions will also allow for productivity gains, improved risk management, access to new markets and enhanced brand and reputation, she concluded. — Anna Miller, WLJ managing editor
