GENEVA: The hidden costs of the agrifood system in Kuwait went down remarkably from $12.322 million in 2023 to $8.282 million in 2024, according to a study by the UN Food and Agriculture Organization (FAO). The figures stand in sharp contrast to the global figures. Speaking to KUNA in Geneva, FAO expert Andrea Cattaneo attributed the decline in hidden costs of agrifood in Kuwait to the use of updated official figures and in-depth analysis of health, social and environmental costs related to the food system.
Rating the agricultural system in Kuwait as a civilized one open to bigger markets is helpful in providing a variety of food options for the population, he pointed out. This helped reduce the social cost of foods to nil, which means that there is no one below the poverty line or suffers from malnutrition in Kuwait. He was commenting on the State of Food and Agriculture 2024 (SOFA), an annual flagship report by FAO. The report notes that unhealthy dietary patterns drove to eight trillion dollars in annual hidden costs of global agrifood systems.
The study, involving 156 countries, confirms that hidden costs within global agrifood systems amount to approximately 12 trillion dollars annually. Of this figure, around 70 percent ($8.1 trillion) arise from unhealthy dietary patterns and are linked to alarming non-communicable diseases (NCDs) such as heart disease, stroke, and diabetes — far exceeding the costs related to environmental degradation and social inequalities.
About 70 percent of global hidden costs stem from health impacts linked to non-communicable diseases, particularly in most industrialized agrifood systems, according to the report. The study details how global hidden costs are largely driven by health hidden costs, followed by environmental hidden costs, in more industrialized agrifood systems in upper-middle- and high-income countries. In examining health impacts, the report identifies 13 dietary risk factors.
These include insufficient intake of whole grains, fruits, and vegetables; excessive sodium consumption; and high intake of red and processed meats, with notable differences across various agrifood systems. Historically, agricultural systems have transitioned from traditional to industrial, each with varied outcomes and hidden costs. For this reason, the report explores how hidden costs manifest themselves in different agrifood system types worldwide.
To facilitate analysis, the research introduces a typology that categorizes agrifood systems into six distinct groups: protracted crisis, traditional, expanding, diversifying, formalizing, and industrial. This framework allows for a targeted understanding of the unique challenges and opportunities inherent to each system, enabling the development of tailored policies and interventions. — KUNA