The business and economics research arm of McKinsey & Co. reported that agriculture-based economies such as the Philippines, Ghana, Kenya, Morocco, Senegal and Sri Lanka will require significant capital if they are to shift to low greenhouse gas (GHG) farming practices to meet net zero goals.
The report said these economies need to adopt low-emission farming practices which would entail investing massive capital and mobilizing millions of stakeholders.
Countries with significant agriculture sectors will require a broad shift to low-GHG farming practices for a net zero transition. These countries source a large share of employment and income from agriculture, accounting for up to about 55 percent of jobs and up to about 30 percent of gross domestic product.
Moreover, a majority of these countries have increased exposure to climate risks, subjecting their agricultural workforce to increased heat and humidity under warming scenarios and agricultural output leading to variable crop yields, the research firm said.
I added that implementing interventions that reduce emissions and increase carbon sequestration have the additional benefit of lower operating costs, and improving resilience to physical climate changes, in turn leading to other benefits.
“For example, interventions such as agroforestry and improving the quality of inputs like seeds and fertilizers can help increase productivity and lead to a sharp decline in deforestation and increase incomes,” McKinsey said.
However, such interventions would require significant capital spending and a concerted effort to reach millions of smallholder farms. Capital spending will also be needed to improve access to high quality inputs, improved farm technologies, and training in order to sustainably increase yields while reducing emissions.
The world is changing, and while adapting won’t be cheap, we also cannot afford to stay still. Even agriculture-based economies have to meet net zero goals, especially if the effort also leads to lower costs, improved resilience, and increased productivity. Let us not assume that we are exempted from doing our share just because our country doesn’t produce the same level of emissions as industrialized countries.*
