Organic farmers have difficulty making a profit because they do not get their sustainability costs out of it. The costs for organic products have risen stronger than the revenues. This is reported by the ACM regulator, who makes recommendations to make the food chain more sustainable.
“We see that with organically produced products such as cheese, milk, pork and potatoes the additional prices do not cover the costs,” says a spokesperson for the Netherlands Authority for Consumers & Markets (ACM). “That is a trend break. They did get those costs out of it.”
For example, organic farmers come products with the Dutch EKO quality mark and the European Organic Quality Mark. For example, no artificial fertilizer or chemical pesticides may be used for this type of products.
For farmers who produce under non-biological sustainability characteristics, such as better life, the situation is not ideal. Some farmers will pick up the costs, but six in ten indicate that it is not enough.
The regulator makes a series of recommendations to further sustain the food chain. “Support the food chain to seek cooperation,” the ACM writes to the Ministry of Agriculture, Fisheries, Food Security and Nature.
In addition, the regulator advises, among other things, to reduce the price difference between current and more sustainable products. This could, for example, due to VAT reduction for more sustainable products or with subsidies for producers.
“The recommendations must also ensure that farmers get a fair price for their products,” says the spokesperson. The ACM is conducting further research to get a better picture of the situation.
Organic Farmers are struggling to make a profit because they are not recouping Their Sustainability Costs. The Costs for Organic Products Have Risen More Sharply Than The Revenues. This is Reported by Regulator ACM, which Makes Recommendations to Make the Food Chain More Sustainable.
“We see that for organically produced Products Such as cheese, Milk, Pork, And Potatoes, The Premium Prices do not cover the Costs,” Says a Spokesperson for the Netherlands Authority for Consumers & Markets (ACM). “That’s a break from the trend. Previously, They Did Recoup Those Costs.”
Organic Farmers, For Example, Produce Products with the Dutch Eko Label and the European Organic Label. For these types of Products, For Example, No Artificial Fertilizers or Chemical Pesticides May Be Used.
For Farmers who Produce Under Non-Organic Sustainability Labels, Such As Better Life (Better Life), The Situation is not iDeal. Some Farmers do Recoup The Costs, But Six Out of Ten Indicate to the Acm that It is not Sufficient.
The Regulator Makes A Series of Recommendations To Make The Food Chain More Sustainable. “Support the food chain in Seeking Cooperation,” The Acm Writes to the Ministry of Agriculture, Fisheries, Food Security, And Nature.
In Addition, The Regulator Advises, Among Other Things, to Reduce the Price Difference Between Conventional and More Sustainable Products. This Could Be Done, For Example, Through Vat Reduction for More Sustainable Products Or With Subsidies for Producers.
“The Recommendations Should also Ensure That Farmers Receive A Fair Price for Their Products,” Says the Spokesperson. The ACM is Conducting Further Research to Get a Better Picture of the Situation.