Knowledge Agora



Regenerative Economy Challenge

Challenge:    Economic and Market Challenges



     Economic and market challenges in regenerative agriculture often deter farmers from adopting these sustainable practices. Transitioning from conventional to regenerative methods requires significant upfront investment in equipment, soil amendments, and training, which can be financially burdensome, especially for small-scale farmers. Furthermore, the financial benefits of regenerative agriculture, such as improved soil health and yield stability, are often long-term, while farmers face short-term costs. Access to loans or grants tailored specifically for regenerative projects is limited, leaving farmers to rely on traditional financing that may not consider the unique timeline of regenerative returns. Developing markets for regeneratively produced goods remains another hurdle, as consumers are still becoming aware of the benefits of regenerative products. Certification and labeling are also complicated and can be costly, adding another financial burden that smaller farms may struggle to bear. Farmers may face challenges finding buyers willing to pay a premium for regenerative products, as the market lacks standardization and consumer recognition. Additionally, fluctuations in the market prices of crops and livestock can make the financial stability of regenerative farms unpredictable. The need for subsidies and incentives aligned with regenerative practices is critical to reduce risk and make this approach more economically viable. Overcoming these challenges requires support from both policy and consumer demand to build a stronger, more profitable market for regenerative agriculture.

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Aricles describing Economic and Market Challenges

ID Score Article
23102 0.518 Aboulamer, A; Soufani, K; Esposito, M Financing the circular economic model Thunderbird International Business Review, 62, 6
69089 0.516 Weiss, C; Bonvillian, WB Legacy sectors: barriers to global innovation in agriculture and energy Technology Analysis & Strategic Management, 25, 10
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