You Know What You Have to Do to Deliver ESG Targets – But Do You Know How to Do It?
“Farmers are at the front line of food system transformation – but the current model is losing them.”
Farmers are innovating fast. From regenerative practices to data-led land management and direct-to-consumer diversification, they are pioneering resilient models of food production. But many feel the food system isn’t keeping up. Below are five strategic insights from our Farmer Advisory Board that food industry leaders should take seriously.
- Farmers Are Innovating. The System Isn’t.
Many farmers are building diverse, regenerative and transparent businesses. But procurement models, compliance demands and commercial incentives haven’t evolved.
Industry risk: You could lose progressive suppliers if they can’t see a future in the system.
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- Trust Is the Missing Ingredient.
Farmers feel excluded from strategic decisions. Retailers and processors are asking for data, yet farmers aren’t involved in shaping what matters or how it’s measured.
Industry risk: Without trust, transformation efforts will stall.
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- Regenerative Must Be Co-Designed.
There is still no clear, practical definition of what regenerative means in context. Farmers want alignment on outcomes – but they need to help shape the journey.
Industry risk: Top-down expectations without co-creation will create pushback and disengagement.
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- Resilience is Replacing Sustainability as the Real Priority.
Climate volatility, soil degradation, rising input costs and policy shifts are all making traditional models less viable. Farmers are adapting. Are you?
Industry risk: Failing to support resilient production systems weakens long-term security of supply.
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- Consumers Want Transparency. Supply Chains Can’t Deliver It.
Many farmers are engaging the public directly, from QR codes on hedgerows to beef vending machines. But these stories vanish in commoditised supply chains.
Industry risk: You’re missing commercial opportunities to build trust and value with consumers.
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Call to Action
If you’re serious about achieving net zero, nutrition and nature goals, start by transforming how you work with farmers. Not as passive suppliers, but as strategic partners.
This is your early warning system. Don’t ignore it.
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Here’s the explainer:
What’s hard about farming?
Farming isn’t just growing food – it’s running a business that depends on unpredictable things like weather, prices, and rules from the government. Farmers work hard to grow crops or raise animals, but they often don’t earn much money from it. They also feel left out of important conversations about how the food system should change.
Why is it getting harder?
Farmers are now being asked to change how they farm:
– Use fewer chemicals
– Protect the soil and nature
– Cut carbon emissions
But at the same time, they’re:
– Not being paid more
– Struggling with unclear government schemes (like SFI)
– Trying to meet confusing demands from supermarkets and food brands
– Unsure which sustainability claims (like “regenerative”) actually matter or get rewarded.
So, they’re stuck: they want to do the right thing, but don’t know who to trust, what to invest in or how to get paid fairly.
What structural tensions are farmers navigating?
Fragmented Food System
Farmers are working in silos. There’s a lack of joined-up support or clear market signals from retailers, processors, or policymakers. They’re often “left out of the room” where decisions get made about climate, health, or price strategy
Misaligned Incentives
– Big businesses want farmers to reduce emissions or improve biodiversity – but aren’t always willing to pay for it.
– Some retailers use farmers in their ESG reporting but don’t feature their stories or values on packaging (like regenerative cheese that’s not labelled as such).
Economic Insecurity
Many farmers report:
– Being dropped by supermarkets without warning
– Selling through alternative markets (e.g. Instagram, vending machines) just to stay afloat
– Needing multiple side businesses (glamping, farm tours, direct sales) to subsidise their core production.
Power Imbalances & Supply Chain Ownership
Corporates or middlemen often control seed, inputs, storage, logistics and even the final market – leaving farmers with slim margins and little say. There’s deep concern about market consolidation and the lack of transparency or fairness
Data Gaps & Carbon Tunnel Vision
Brands ask for proof of sustainability, but there’s confusion about:
– Which data tools matter
– Whether “regenerative” farming has a shared definition
– How biodiversity or soil health is measured alongside carbon
– Meanwhile, disclosure pressures (like climate transition plans) are driving businesses to de-risk, not innovate.
What strategic changes do farmers say are needed?
– Long-term commitment from buyers: Farmers need to know where markets are heading 5–10 years out – not react to sudden shifts in retailer ESG strategy.
– True co-design of solutions: Instead of top-down compliance, farmers want to help shape sustainability strategies that are practical on the ground.
– Diversified and resilient food systems: Including farmer-led brands, shorter supply chains, and collaborative marketing models.
– Recognition of public value: From carbon and water management to education and biodiversity, farmers are delivering more than food – and want to be recognised and rewarded for that wider contribution.