Regenerative agriculture is gaining momentum as food companies, investors, and policymakers recognise its potential to address climate, nature, and health challenges. This approach, which focuses on improving soil health, biodiversity, and farmer livelihoods, also offers a pathway to reduce agriculture’s contribution to climate change and build resilience against extreme weather.
However, the sector faces a critical challenge the lack of universally accepted definitions and measurable standards. Without clear metrics, capital investment is hindered, and claims risk being dismissed as greenwashing. Unlike organic farming, regenerative agriculture does not ban pesticide use outright, though many practitioners reduce reliance on chemical inputs. This has led to calls for standardised outcome-based measurements that assess environmental and economic benefits.
Some companies are taking the lead by developing their own frameworks. These measure indicators such as crop diversity, soil disturbance, and ecosystem health, allowing farmers to be classified by their level of regenerative practice adoption. Such models provide transparency and help businesses manage long-term supply chain risks.
Support for farmers transitioning to regenerative methods is also increasing, with funding initiatives aimed at encouraging adoption. These include grants, technical support, and commitments to source products exclusively from farms using regenerative practices by set target dates. In addition, on-the-ground research is being carried out to measure impacts on soil health, carbon storage, water quality, and biodiversity across large areas of farmland.
Better measurement is seen as the key to attracting more private capital. When outcomes can be quantified, they can be valued, opening opportunities for farmers to be rewarded for ecological services such as preventing water pollution or enhancing carbon sequestration. This shift from paying for products to paying for outcomes could transform the agricultural economic model.
Governments also have a vital role to play in ensuring regenerative farmers can compete with conventional systems, which often receive substantial subsidies. Commitments have been made to fund nature-friendly farming and environmental restoration, but clarity on how these funds will be accessed remains essential.
Accurate carbon data is especially important, both for offsetting and for the growing practice of insetting, where companies offset emissions within their own supply chains. Regenerative practices are expected to contribute significantly to corporate net zero goals, making reliable monitoring and reporting a priority for the sector’s credibility and growth.
