The prices producers receive for food should be fair and secure their livelihoods. This applies to both the German dairy farmer and the Latin American coffee picker. But what does that actually mean? And how can social and ecological demands be incorporated into pricing? What possibilities does the state have to influence pricing?
„I am glad that we have passed a supply chain law in Germany that at least advances the minimum standards, the respect of human rights, in international supply chains.“
Regina Birner, Professor University of Hohenheim
The gap between so-called private and social costs is becoming more and more obvious: costs incurred through food production, here especially through the use of environmental system services and land, are not reflected in the prices at the shop counter. On the other hand, less and less of the proceeds from sales remain with the producers.
In the podcast, our guests Regina Birner and Martin Banse argue for the development of instruments and measures that reveal the differences between private and social costs, thereby enabling the development of fair prices on the market. They explain the possibility of how the state could steer prices via VAT and why state-set minimum prices for the litre of milk, for example, are an outdated idea. Looking to the future, they discuss the role of interesting alternatives to the market and the state based on citizen engagement, such as community food councils and solidarity farming.
Sources and further readings
- „Was für die Bauern übrig bleibt“, Wissenschaft erleben 2/2022, S. 10 (in German)
- Contribution of trade to sustainable development
- Dossier „Develop local markets, understand global trade“
- Studie des BUND „Faire Preise für Erzeuger*innen“ (in German)
- Birkenberg, A., & Birner, R. (2018). The world’s first carbon neutral coffee: Lessons on certification and innovation from a pioneer case in Costa Rica. Journal of Cleaner Production, 189, 485–501.
- Politik für eine nachhaltigere Ernährung: Eine integrierte Ernährungspolitik entwickeln und faire Ernährungsumgebungen gestalten (in German)
Prof. Dr. Regina Birner holds the Chair for Social and Institutional Change in Agricultural Development at the University of Hohenheim. The agricultural economist is a member of the BMEL's Advisory Council for Agricultural and Food Policy and advises international organisations such as the World Bank and the FAO.
![[Translate to English:] Logo des Bundesministerium für Ernährung und Landwirtschaft](/media/allgemein/logos/BMEL_Logo.svg){kind=logo}
Comments (0)
No comments found!