Sustainable Agribusiness & Food Production

Mexico is renowned for its rich biodiversity, home to over 12% of the world’s species. This natural wealth positions the country as a significant player in global food production. However, climate change presents substantial challenges, disrupting rainfall patterns and crop cycles, necessitating urgent adaptations in the agricultural sector. With agriculture being one of Mexico’s most critical sectors, there is a pressing need to mitigate its environmental impact while ensuring food security for its population.

The food industry, while essential for economic growth and sustenance, significantly impacts the environment. Agricultural practices and livestock production contribute to pollution, harming ecosystems and posing risks to human health. Additionally, the loss of biodiversity due to large-scale farming and livestock operations leads to habitat destruction and soil degradation. The industry’s heavy reliance on natural resources—such as land, water, and energy—exacerbates issues like water scarcity and soil erosion, which are becoming increasingly pressing in the face of climate change.

To combat these issues, there is a growing emphasis on sustainable agricultural practices that protect natural resources and biodiversity. This includes promoting renewable energy, reducing greenhouse gas (GHG) emissions, and addressing food waste, which significantly harms the environment. 

Sofia Diaz Rivera, Head of Sustainability, Danone, highlights the profound impact of water scarcity on food production, threatening food security and the livelihoods of agricultural communities. This scarcity contributes to biodiversity loss and degradation of soil health. 

Embracing Regenerative Agriculture

Regenerative agriculture offers not only environmental benefits but also plays a critical role in restoring degraded lands while supporting economic and social development, particularly for small local farms. According to the UN, regenerative agriculture could help restore a portion of the 2 billion hectares of degraded land through tree integration, which is essential for reducing deforestation and promoting healthy forest ecosystems. 

This approach fosters the development of a wood-based circular bioeconomy, ensuring sustainable resource use and enhancing biodiversity. “Plants are essential in reversing climate change. By adopting regenerative agricultural practices and moving away from conventional methods, we can fight climate change and preserve agriculture. Barilla has initiated programs in regenerative agriculture aimed at enhancing soil biodiversity, reducing irrigation needs, and improving resilience and yield. These practices lead to cost savings, lower water usage, and pesticide reliance,” says Charlotte Oudin, General Director, Barilla Mexico.

This methodology seeks to restore ecosystems while maintaining food production and boosting local economies. By improving soil health and biodiversity, regenerative agriculture aims to lessen the impacts of climate change. Key practices include crop rotation, cover cropping, and minimal tillage, which promote soil health, prevent erosion, and conserve moisture.

“The lack of water significantly affects food production, leading to loss of biodiversity and soil structure . Danone is committed to returning 100% of the water used in its operations and implementing nature-based solutions, such as wetland restoration to preserve aquifers,” Diaz asserts.

Technological Innovation in Agriculture

Technological advancement is rooted in a strong social commitment, particularly towards farmers in marginalized areas. The Ministry of Agriculture and Rural Development emphasizes the necessity for agricultural and forestry practices to be environmentally responsible, safeguarding natural resources and promoting inclusive agriculture.

Innovation plays a pivotal role in product development, especially within the food industry. The utilization of artificial intelligence (AI) has proven instrumental. For Natalia Lujan, General Manage, NotCo Mexico, AI aids in recreating animal-like products and resolving ingredient shortages by identifying suitable alternatives. This technology not only optimizes costs but also maintains balance in formulation and product development. AI can be applied throughout the entire value chain, showcasing the technological potential within the industry.

However,  implementing technology among farmers can present challenges. To overcome this, Patricia Toledo, Sustainability and Corporate Affairs Director, Syngenta, shares that they collaborate closely with farmers to enhance practices through technological innovations. This partnership aims to improve soil health and biodiversity, ensuring a sustainable food supply chain.

Addressing Meat Consumption and Its Environmental Footprint

Reducing meat consumption is increasingly recognized as an effective strategy to mitigate the environmental impact of the food industry. The Food and Agriculture Organization (FAO) reports that livestock accounts for 12-18% of human-induced GHG emissions. To address this issue, the FAO recommends enhancing productivity, modifying animal diets, and improving livestock health. While reducing meat consumption in wealthier nations can contribute to lower emissions, it is crucial to implement significant changes across production systems.

Lujan notes that the environmental challenges associated with the livestock industry have multiple dimensions that require diverse solutions. Addressing the substantial carbon footprint and water usage linked to conventional meat production is essential. One effective strategy is to develop plant-based products, such as vegetables and fruits, that mimic the flavors and textures that consumers enjoy. This approach could reduce carbon dioxide emissions and water consumption by 80-90%, providing consumers with high-quality products that are also environmentally friendly. This shift not only addresses ecological concerns but also aligns with consumer preferences for sustainable practices.

Future Outlook and Collaborative Efforts

The journey toward a sustainable agricultural sector in Mexico is filled with challenges but also offers opportunities for innovation and collaboration. Oudin outlines the primary challenges the industry faces regarding collaboration: “The UN advocates for the necessity of collaboration between the private sector, which has significant capacity for innovation, investment, and development, and the government, which should facilitate regulations and support initiatives aligned toward common goals. Engaging local communities and agricultural experts is essential for building resilience through regenerative agriculture,” she says.

Efforts should include developing financing systems that empower farmers while maintaining comprehensive records and data. This collaborative approach can enable companies to lead and support agricultural innovations.

Udi Lazimy, CEO, Lazimy Regenerative Impact Partners, asserts that “the strongest business case for sustainability in food and agriculture depends on the health of our natural assets.” By investing in practices that enhance soil health and biodiversity, agricultural productivity can increase while also boosting profitability.

As stakeholders across the agricultural sector work together—farmers, businesses, and governments—there is a shared vision for a sustainable future. Oudin stresses the need for a collective effort to reverse climate change through sustainable agricultural practices, stating, “If we continue conventional practices… there will be no agriculture in 50 years.”