30/09/2026
The costs shaping our food systems are not always the ones we can see.
On 29 September, International Food Policy Research Institute (IFPRI) and the CGIAR Science Program on Multifunctional Landscapes brought together researchers, practitioners, policymakers and development partners to explore how True Cost Accounting (TCA) can help make hidden environmental and social costs visible and actionable.
Opening the discussion, Rui Benfica introduced True Cost Accounting as a tool for identifying and valuing costs that often sit outside conventional accounting systems. Drawing on evidence from Kenya 🇰🇪, Vietnam 🇻🇳, Colombia 🇨🇴 and Peru 🇵🇪, he showed how issues such as environmental degradation, land occupation, underpayment, child labour and poor labour conditions can create significant costs that remain largely invisible in food systems.
Building on these findings, Kristin Davis explored how this evidence can support better decision-making, helping governments, businesses, investors and development partners design policies, incentives and investments that align food systems with climate, health and equity goals.
Reflecting on the discussion, Carlo Fadda emphasized that measuring hidden costs is only the beginning. Meaningful change requires translating evidence into action through collective efforts, supportive policies, stronger institutions and food systems that work better for both people and nature.
🔍 Several key messages emerged from the webinar:
🔹 Food systems generate environmental and social costs that are rarely reflected in market prices.
🔹 Hidden costs are not the same everywhere. Evidence from Kenya pointed to significant social costs, while environmental costs were more pronounced in Vietnam, Colombia and Peru.
🔹 Underpayment, child labour, labour conditions, land occupation and environmental degradation continue to shape food system outcomes across countries and value chains.
🔹 Making these costs visible is only the first step. The real opportunity lies in translating evidence into better decisions, stronger policies and more effective investments.
🔹 Building sustainable food systems requires balancing productivity, environmental sustainability and social well-being rather than treating them as separate goals.
As food systems face growing pressures from climate change, biodiversity loss and inequality, understanding their full costs and benefits will be increasingly important for shaping sustainable pathways forward.
➡️ Swipe through for key insights from Rui Benfica, Kristin Davis and Carlo Fadda.
👏 Thank you to our speakers, discussant and participants from around the world for sharing their perspectives, experiences and thoughtful questions throughout the discussion.
🎥 Missed the webinar? Watch the full recording here: https://on.cgiar.org/3T9epyI
