• Transitioning to sustainable food systems could increase global GDP by US$121 trillion and lower global food prices by 16% by 2070.
• Inaction on climate change may cost the global economy US$190 trillion by 2070 due to agricultural and productivity declines.
• Sustainable practices could support an additional 300 million undernourished people and meet the nutritional needs of 1.6 billion more by 2070.

Released during COP29, Deloitte’s report, Turning Point: Feeding the World Sustainably, details the economic and social benefits of transforming global food production. The analysis highlights that addressing undernourishment, feeding a projected 10 billion people, and decarbonizing the agricultural sector are interconnected global challenges. Presently, 730 million people, nearly 10% of the global population, face undernourishment.

Jennifer Steinmann, Deloitte Global Sustainability Business leader, emphasizes the importance of action:

“COP29 is a pivotal moment for global leaders to come together to weigh the significant costs of inaction on climate change, which could have tremendous impacts for both human well-being and the global economy. Investing in and supporting sustainable food systems has the potential to lift hundreds of millions of people out of malnourishment, conserve resources, and mitigate climate change.”

Economic Gains from Sustainable Transformation

The report underscores that limiting global warming to below 2° C while boosting food production by 40% could yield significant benefits. Deloitte’s modeling predicts that these actions could increase global GDP by US$121 trillion and reduce food prices by 16%, enabling healthier diets. Additionally, it could support an extra 300 million people currently undernourished by redirecting one in five of the extra calories produced to the most hunger-stricken regions.

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Randy Jagt, Deloitte Global Future of Food leader, stated:

“The world is facing a burgeoning ‘polycrisis’ of our global food system, given that the combination of climate change, biodiversity loss, a strain on finite resources, and smaller harvests significantly hinders our ability to feed the world sustainably. Transforming our global food system to focus on sustainability will not only address each of these challenges but will significantly benefit populations already disproportionately impacted by food insecurity and climate change.”

Risks of Inaction

The report warns that without significant intervention, climate change could cost the global economy US$190 trillion between 2025 and 2070. Potential damages from unchecked climate change could diminish the value of primary food industries by US$13 trillion and impact food manufacturing and services by US$12 trillion.

Dr. Pradeep Philip, Deloitte Australia partner and report co-author, reinforced this point:

“The way we have historically increased food production is no longer viable. Sticking to the status quo will continue to exacerbate hunger and drive up food prices, which is not an option. Feeding the world sustainably requires large-scale, fundamental change.”

Solutions for Sustainable Food Systems

Deloitte proposes five strategies for sustainable transformation:

1. Accelerate innovation and productivity improvements in agriculture.
2. Invest in protecting natural capital such as soil and water.
3. Reduce global emissions to limit climate change impacts.
4. Promote sustainable consumer choices.
5. Enhance circularity to address food waste and resource efficiency.

For detailed insights, visit Deloitte’s full report.

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