A naukri.com initiative
Bioengineer
7d
129
Image Credit: Bioengineer
Asset Stranding Sparks New Food Systems Transformation
- Asset stranding, a hindrance to transformative change in food systems, results from existing assets losing value due to market shifts or policy interventions.
- Financial lock-in perpetuates unsustainable practices in food production, impeding innovation and adaptation.
- The complexity of food systems intertwines social, economic, and environmental factors, amplifying the challenges posed by asset stranding.
- Financial institutions, pressured to divest from unsustainable assets, must navigate a delicate balance between environmental responsibility and economic stability.
- Proactive identification and strategic phase-out of at-risk assets are essential for fostering sustainable innovation in the food system.
- Policy frameworks are crucial in incentivizing sustainable practices and mitigating the social and economic impacts of asset stranding.
- Enhanced transparency in reporting on environmental criteria aids in directing capital towards sustainable food production practices.
- Cross-sectoral collaboration is highlighted as pivotal for navigating asset stranding risks and driving systemic change in food systems.
- Innovation finance instruments like green bonds and impact investing play a role in mobilizing capital for sustainable food system transitions.
- Transforming stranded assets into opportunities can lead to regeneration and pivot food systems towards sustainability.
Read Full Article
7 Likes
For uninterrupted reading, download the app