Transforming food systems: How climate strategy can feed economic growth

The document asserts that transforming food systems could unlock $121 trillion in global economic growth by 2070 and lower food prices by 16%. It highlights a funding gap in the "hidden middle" of the value chain—processing, packaging, storage, and distribution—which accounts for 18% of food-related emissions but receives only 2.5-4% of climate finance. Case studies from companies like Mengniu, Ingka Group, and Tetra Pak are used to demonstrate that sustainability investments can reduce operational costs and decouple business growth from emissions. The text also emphasizes the importance of a just transition for farmers and workers, citing the economic impact of the dairy sector in the United States and Colombia.

• Transforming global food systems is projected to generate $121 trillion in economic growth by 2070 and reduce global food prices by 16%, while increasing access to nutritious food.
• There is a significant investment gap in the "hidden middle" of the food value chain (processing, packaging, storage, and distribution), which contributes up to 40% of economic value and 18% of food-related emissions but only receives 2.5-4% of climate finance.
• Corporate case studies indicate that sustainability can improve business performance: Mengniu's smart dairy factory reduced energy use by 43% and operational costs by 32%, while Ingka Group reduced absolute emissions by 30% despite a nearly 24% increase in revenue.
• The dairy sector provides substantial economic support in specific regions; in the United States, it generates nearly $780 billion in total economic impact and supports over 3.05 million jobs, while in Colombia, it represents 24.3% of agricultural GDP and employs over 700,000 people.
• Collaborative models and technology hubs can directly improve livelihoods for small-scale producers, as seen in Colombia where Tetra Pak's Dairy Hubs increased monthly farmer incomes by 57%, from $242 to $379.

APA

Holmquist, L. (2025). Transforming food systems: How climate strategy can feed economic growth. World Economic Forum. https://www.weforum.org/stories/food-water-air/transforming-food-systems-how-climate-strategy-can-feed-economic-growth/

Chicago

Holmquist, Lars. Transforming food systems: How climate strategy can feed economic growth. World Economic Forum, 2025. https://www.weforum.org/stories/food-water-air/transforming-food-systems-how-climate-strategy-can-feed-economic-growth/.

Wikipedia

{{cite press release |last1=Holmquist |first1=Lars |title=Transforming food systems: How climate strategy can feed economic growth |publisher=World Economic Forum |date=17 September 2025 |url=https://www.weforum.org/stories/food-water-air/transforming-food-systems-how-climate-strategy-can-feed-economic-growth/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{holmquist2025transforming, author = {Holmquist, Lars}, title = {{Transforming food systems: How climate strategy can feed economic growth}}, publisher = {World Economic Forum}, year = {2025}, month = sep, url = {https://www.weforum.org/stories/food-water-air/transforming-food-systems-how-climate-strategy-can-feed-economic-growth/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }