The Netherlands Authority for Consumers and Markets (ACM) has released a report indicating that the Dutch agricultural sector is unlikely to achieve its sustainability goals for 2030 without additional measures. The report highlights that a significant factor in this challenge is the price difference between conventional agricultural products and those with sustainability labels.

ACM emphasizes that for the agricultural sector to progress towards sustainability, the price gap must be narrowed. Currently, many consumers prefer conventional products due to their lower prices, which discourages them from purchasing sustainably produced goods. The authority calls on the Dutch Ministry of Agriculture, Fisheries, Food Security and Nature (LVVN) to stimulate both domestic and international demand for products with sustainability labels.

Martijn Snoep, Chair of ACM, noted that farmers transitioning to sustainable practices often face higher costs that are not adequately compensated. The report indicates that many farmers, particularly in organic production, do not receive sufficient premiums to cover their transition costs. While some sustainability schemes provide adequate compensation, others fall short, leading to dissatisfaction among farmers.

To address these issues, ACM recommends several actions, including reducing the price gap between conventional and sustainably produced products, improving the recognition of Dutch sustainability labels abroad, and encouraging cooperation among producers to lower costs and enhance economies of scale. The final Agro-Nutri Monitor reiterates the need for a comprehensive policy approach from the Ministry to ensure the sustainability of the Dutch food production chain.