FFAR: The “Good Soil Discount” — A Game Changer for U.S. Agriculture

 

Agriculture Risk Pricing Models Could Calculate Discounts Similar to Those Offered to Good Drivers & Non-Smokers

Originally published by Foundation for Food & Agriculture Research

Harley Cross, Land Core, July 20, 2023

Ever since the federal government created the Soil Conservation Service following the Dust Bowl, the correlation between soil health and agricultural resilience has been generally well understood. However, almost a century later, we’re still struggling to accurately quantify how specific soil health practices reduce production risks. As a result, these practices remain largely unaccounted for in risk pricing models across finance, investment and insurance, and farmers are not compensated through financial discounts for adopting them.

Land Core’s goal is to address this knowledge gap by offering a tool analogous to those used to calculate discounts for other low-risk behaviors, much like “good driver” or “non-smoker” discounts.

The Foundation for Food & Agriculture Research (FFAR) builds public-private partnerships to fund bold research addressing big food and agriculture challenges. FFAR was established in the 2014 Farm Bill to increase public agriculture research investments, fill knowledge gaps and complement USDA’s research agenda. FFAR’s model matches federal funding from Congress with private funding, delivering a powerful return on taxpayer investment. Through collaboration and partnerships, FFAR advances actionable science benefiting farmers, consumers and the environment.
Connect: @FoundationFAR

Land Core is a 501(c)3 non-profit organization advancing soil health programs and policies that create value for farmers, businesses, and communities. The organization was formed in response to the clear and urgent need to address the lack of infrastructure and direct economic incentives that would make the rapid adoption and scalability of regenerative soil health possible.

Over the last five years, Land Core has worked with the U.S. Department of Agriculture, legislators, soil scientists, NGOs and farmers across the country to develop federal legislation to address these issues. It is identifying market-based strategies to monetize a producer’s investment in soil health, as well as focusing the national conversation around the necessity of soil health outcomes.
Connect: @landcoreUSA

Contact:

Rebecca Champagne, rebecca@landcore.org
Michelle Olgers, molgers@foundationfar.org, 804-304-4200

 
Risk and Resilience, EducationLand Core Staff