Farmers Can Expect Profitability Increase from Regenerative Agriculture after Transition, Report Says

A report and economic analysis released by Boston Consulting Group and the World Business Council for Sustainable Development’s One Planet Business for Biodiversity (OP2B) coalition shows that farmers could expect a 15 to 25% increase in profitability after transitioning from conventional to regenerative agriculture. Cultivating Farmer Prosperity: Investing in Regenerative Agriculture examines the major financial advantages and systemic barriers for farmers trying to adopt sustainable farming practices and offers public and private-sector solutions to assist farmers in the transition period, which can take three to five years. The report, which surveyed and interviewed more than 100 U.S. farmers, found that early adopters cited tangible benefits from regenerative systems – notably healthier soil, reduced input costs, fewer complications from fertilizer run-off, greater biodiversity, and better resilience to extreme climate. The report also found that there can be a positive business case for regenerative agriculture in the long run, with profits reaching as much as 120% above the earnings of farmers using conventional practices, following an initial profitability loss of nearly $40 per acre during the transition period.