FOODCoST - Redefining the value of food

Current food systems generate substantial environmental, social, and health costs while failing to provide affordable food for a healthy diet to all people. Because these externalities are not accounted for in decision-making, unsustainable production and consumption patterns persist, while sustainably produced and healthy food often remains less competitive.

The FOODCoST project aims to support the transition to more sustainable food systems by developing a harmonised methodology for assessing the true costs of food. The project focuses on identifying, measuring, and monetising externalities along the entire food value chain and developing solutions for their internalisation. Prof. Joachim von Braun serves as the scientific coordinator and chairs the Advisory Board of the project.

By making the true costs of food visible, the project aims to support policymakers, businesses, and other actors in designing policies and business models that promote sustainable production and healthier consumption.

Key Objectives

• Develop a harmonised methodology to assess externalities in food systems.
• Create an EU-global database of externality data.
• Design policy and business frameworks to internalise externalities.
• Assess the impacts of internalising externalities and develop a roadmap for more sustainable food systems.

Within the project, ZEF, under the leadership of Prof. Joachim von Braun, advances research on alternative pricing within value chains for coffee and green beans based on the true costs of cultivation. The objective of the research is to identify the social, environmental, and health externalities arising in export-oriented value chains in East Africa and to provide guidance for efforts to internalise these externalities. In close collaboration with Makerere University in Uganda, particular attention is given to social externalities, especially child labour, in the Ugandan coffee value chain.

Methodology

The FOODCoST methodology combines stakeholder engagement, analytical tools, and policy analysis to assess and internalise the true costs of food across the food value chain.

Stakeholder Platform

The project follows a multi-actor approach, working closely with stakeholders from farming, policy, research, business, and civil society. A Community of Practice of selected experts and a broader stakeholder network support the co-creation of a harmonized methodology through dialogue, workshops, and mutual learning activities.

Valuing Externalities

FOODCoST develops a harmonised approach for valuing externalities by building on existing life-cycle assessment (LCA) and pricing databases. These data are integrated into a consistent EU–global database of externality costs, allowing environmental, social, and health impacts along food value chains to be consistently measured and compared.

Internalisation Strategies

The project evaluates policy measures and business strategies for internalising externalities, including regulatory instruments, economic incentives, and value-chain initiatives such as contracts, certification, and labelling schemes.

Impact Assessment and Roadmap

The project additionally economically assesses the impacts of different policy and business scenarios on sustainability and welfare outcomes. The results will feed into an integrated toolbox and the FOODCoST Roadmap, which provides guidance for policymakers and businesses on how to internalise externalities and support the transition to sustainable food systems.