Synopsis:
This blog explores the principles and benefits of regenerative agriculture, highlighting the reasons behind its slow adoption. It goes on to show how technology can help overcome these barriers to make farming more sustainable and profitable.
The world produces approximately 50 billion tonnes of CO2 every year, with the agricultural sector contributing about 10-14% of these emissions. Agriculture can broadly be either Degenerative or Regenerative. Resource-intensive green-revolution-based farming practices could successfully feed the growing population. However, these extractive practices are degenerative and not sustainable, leading to land degradation. The need of the hour is to transform agriculture with a suite of practices that are regenerative. As the name suggests, it understands the whole-ism and dependency of humankind on soil and every species native to a specific environment, and literally works on the regeneration of these. That said, the successful adoption of regenerative farming faces challenges. In this blog, we will explore how the adoption of technology can overcome these barriers.
What is regenerative agriculture (Regen ag)?
Regenerative agriculture is a holistic farming approach that improves soil health, encourages biodiversity and water restoration, and in the process delivers high-quality food, reduces greenhouse gas emissions, and aids in sequestering CO2. It helps fight the impact of climate change by restoring soil health, ecosystems, lost biodiversity, and water. An evolution of traditional agriculture, regenerative agriculture minimizes the usage of input resources, including water, prevents land degradation by protecting and improving soil fertility, and curbs deforestation.
What are the benefits of regenerative agriculture
- Protects and improves soil health, reduces soil erosion
- Safeguards biodiversity and enhances natural habitats
- Aids carbon sequestration – captures & stores atmospheric carbon
- Drives Climate Smart Agriculture to mitigate climate change and improve resilience
- Increases water retention & conservation
- Improves productivity, profitability & thereby the livelihood of farmers
What are the 5 principles of regenerative agriculture
Regenerative Agriculture is not a one-size-fits-all solution. Every farm is unique and needs a special set of farming approaches to
- Maximize productivity
- Restore soil health
- Protect biodiversity
Other less adopted practices include wastewater treatment, renewable energy, and carbon farming.
An independent research study conducted by Kynetec, the 2024 Farmer Voice Survey, polled 2,000 farmers across the United States, Ukraine, India, Germany, China, Brazil, and Australia. According to the report, “Many farmers expect regenerative agriculture to have a positive impact on the future, both in terms of sustainability and productivity”.
Challenges in the adoption of regenerative agriculture
Although farmers are positive about regenerative agriculture, a practice largely associated with soil health and sustainability, barriers to adoption remain across the board.
Top challenges in the adoption of regenerative agriculture are
- Managing the transition risk
- Financing gap related to higher initial costs
- Upskilling is required to gain knowledge & tools
Managing the transition risk
For a farmer, the farm is a business, a source of livelihood. A major obstacle to adopting regenerative practices is the initial hit to profit. In the beginning, farmers experience an initial fall in profits because of reduced production (read revenue) and increased costs.
- Yield reduction: When farmers adopt regenerative agriculture, they see an initial drop in crop yields during the first few years. The soil accustomed to synthetic fertilizers takes some time to adjust and rebuild its microbial diversity and nutrient content. This is crucial for long-term health, but regenerative agriculture yields drop in early stages of adoption. Research from Bain and Company shows that it typically takes about four years for profits to recover. After this period, the production is expected to surpass previous levels.
- Higher costs: Like any other change management, the adoption of regenerative agriculture requires strategic upfront investment. There is an increased need for working capital to shift to cover crops, biofertilizers, diversified plantings, etc. Plus, regenerative farming may also require more labor, increasing production costs.
Financial barriers to adoption
Farmers already face significant risks of weather uncertainty and market price volatility. We just saw that a transition to regenerative agriculture has cost implications. This can be a huge deterrent, particularly for small and medium-sized farms that lack the resources to absorb initial expenses. The financial gap in agriculture is real and getting bigger. For example, according to a Forbes article, in 2022, the agricultural sector in 24 EU countries had a funding gap of over €62 billion—a jump of 33% since 2017.
To fix this, we need a team effort. Governments can offer help with transition loans, reduced interest rates, and subsidies for cover crop seeds, biofertilizers, to name a few. They can also create new insurance products and tax breaks to lower the risk for farmers. Businesses and investors also have a role. Businesses can partner with regenerative farmers for responsible sourcing, enhancing their brand image. This market support improves demand, driving much-needed economic incentive to encourage the transition. Investors can back projects focused on carbon sequestration and biodiversity. Assessing the risk of potential leakage is crucial here. By deploying technology, one can validate program impact with measurable outcomes and data-driven proof points.
Bridging the knowledge gap
Many farmers lack access to information and knowledge to practice regenerative agriculture. This is especially pronounced in the Global South, where farmers are accustomed to traditional methods. This knowledge gap is a key barrier to adoption. To bridge this gap, technology can be deployed for outreach initiatives. For instance, the Cropin platform can be leveraged to share knowledge on practices, when, where, and how these must be followed. Such handholding will provide farmers access to relevant, localized information on regenerative practices, market opportunities, and sustainable farming techniques. Ongoing training and support systems will help farmers master new techniques.
How can we accelerate transition to regenerative agriculture?
Technology can very well be the answer to unlocking the full potential of regenerative agriculture. Take Cropin’s AI-powered decision support system (DSS) for example, it integrates
- Crop-specific knowledge
- Near real-time field data from sensors & satellite images
- Data from weather stations
Cropin’s conceptualised AI/ML models derive plot-level intelligence by overlaying multiple datasets. It offers daily plot-specific advisories tailored to the unique soil profile and microclimatic conditions of each farm. With this level of hyper-local insight, farmers can optimize irrigation and input usage, which in turn improves yield and reduces production cost. The support helps farmers to adopt regenerative practices without compromising on revenue. Cropin’s precision and predictive analytics bring in economic viability and scalability to regenerative agriculture, along with its environmental benefits.
Case point: alliance for regenerative agriculture
Cropin, the world’s largest deployed AI platform for food and agriculture, has stepped in to address this very adoption problem with Field Intelligence for Regenerative Agriculture and Sustainability in Potato Farming (FIRST Potato) initiative. This program, backed by a €700,000 contract from EIT Food’s Impact Funding Framework, is designed to accelerate the adoption of regenerative practices across Europe.
FIRST Potato uses Cropin’s AI-powered decision support system (DSS) to provide farmers with the precise data-driven insights they need to succeed. DSS integrates data moat across crop-specific intelligence, real-time field data from sensors, satellite imagery, IoT devices, and weather stations for our very own AI models to derive predictive analytics. The models generate plot-specific hyper-local insights, daily advisories to be shared with farmers to optimize irrigation, manage inputs, and improve residue management. This way, Cropin aims to make regenerative methods both economically attractive and scalable.
For the best quality chips and fries, potato processors need tubers with high solid content. FIRST Potato not only enables regenerative practices to support corporate sustainable sourcing promises but also improves the solid content of potatoes. Cropin’s precision and predictive advisories address the initial drop in yield, optimize inputs, and verify sustainability. This deployment is expected to deliver collective benefits, empowering farmers to improve profitability, enabling brands to meet their sustainability goals, and benefiting the planet.
A resilient future
Regenerative agriculture is more than a farming method; it’s a powerful model for rebuilding our world’s resilience to climate change. As these practices take root, they trigger a cascade of natural cycles that heal the land, improve water retention, minimize erosion, and enrich soil nutrients. This results in healthier crops and farmland that can better withstand climate challenges such as droughts and floods. By nurturing a healthier soil ecosystem, regenerative farming also reduces the need for chemical inputs, preventing harmful runoff into our waterways.
In the long run, regenerative agriculture is not only good for the planet and society but also economically beneficial for farmers. To make this transition successful, farmers need support, and technology is the key. Innovative platforms like Cropin Cloud empower farmers with DSS needed to manage risk, optimize their efforts, and ensure that regenerative farming is a profitable and sustainable path forward.
Frequently asked questions (FAQs)
What is regenerative agriculture (Regen ag)?
Regenerative agriculture is a holistic farming approach that improves soil health, encourages biodiversity and water restoration, and in the process delivers high-quality food, reduces greenhouse gas emissions, and aids in sequestering CO2. It helps fight the impact of climate change by restoring soil health, ecosystems, lost biodiversity, and water.
What are the key benefits of regenerative agriculture?
Regenerative agriculture offers a wide range of benefits for both the environment and farmers, driving long-term sustainability and resilience.
Environmental Benefits
- Improves Soil Health: It protects and enriches the soil, leading to less erosion and a healthier foundation for crops.
- Boosts Biodiversity: By enhancing natural habitats, it safeguards biodiversity, creating a more balanced and resilient ecosystem.
- Aids Carbon Sequestration: It helps capture and store carbon from the atmosphere, actively working to combat climate change.
- Increases Water Conservation: The practices improve the soil's ability to retain water, leading to better conservation and drought resistance.
Benefits for Farmers
- Increases Productivity and Profitability: Healthier soil and more resilient crops ultimately leads to better yields and, in turn, higher profitability for farmers in the long run.
- Drives Climate Smart Agriculture: It helps farmers mitigate the effects of climate change and build resilience against extreme weather events.
Benefits for Businesses
- Increases Brand Image: Businesses can partner with farmers adopting regenerative agriculture for responsible sourcing, enhancing their brand image.
What are the common principles of regenerative agriculture
Common Principles of Regenerative Agriculture are:
- Adopt no till or reduce tillage to MINIMIZE SOIL DISTURBANCE
- Plant cover crops between seasons to PREVENT SOIL EROSION & ACT AS CARBON SINK
- Crop rotation & intercropping to REPLENISH NUTRIENTS & REDUCE PEST AND DISEASE BUILDUP
- Data-driven precision farming to CONTROL POLLUTION & OPTIMISE INPUT USAGE
- Integrate livestock into farming systems for HOLISTIC, SUSTAINABLE, AND PRODUCTIVE FARMING
- Other less adopted practices include wastewater treatment, renewable energy, and carbon farming
What are the challenges in adopting regenerative agriculture?
Top challenges in the adoption of regenerative agriculture are managing the transition risk, financing gap related to higher initial costs and initial drop in yield, need for upskilling to gain knowledge & tools.
How can we accelerate transition to regenerative agriculture?
Technology can unlock the full potential of regenerative agriculture and accelerate adoption. By forming an alliance with agri-tech companies, farmers can be supported with AI-powered decision support system (DSS) that will address the challenge of initial drop in yield.
Author Bio
Prateek Srivastva
Prateek Srivastva is a Vice President at Cropin, a global Agtech leader, bringing over two decades of experience spanning technology, consulting, entrepreneurship, and investment. A seasoned serial entrepreneur, he has successfully established and exited three ventures, including a precision agriculture startup focused on perennial crops across three continents. At Cropin, Prateek is responsible for expanding the company’s presence in the critical EMEA region, managing revenue, investments, and academic partnerships. His extensive expertise in the field has earned him global recognition, with features in esteemed media platforms including Fortune, Forbes, and The Economist.
