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What are the best circular economy indicators for tracking crop production sustainability?

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Circular economy is a concept that aims to reduce waste, reuse resources, and regenerate natural systems. It is a way of designing and managing production and consumption cycles that minimize environmental impacts and enhance social and economic benefits. In agribusiness, circular economy indicators can help measure and improve the sustainability of crop production systems. But what are the best indicators to use and how can they be applied? In this article, you will learn about some of the most relevant and practical circular economy indicators for tracking crop production sustainability.

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1 Material flow analysis

Material flow analysis (MFA) is a method that quantifies the inputs and outputs of materials in a system, such as a farm, a region, or a sector. It can help identify the sources and destinations of biomass, nutrients, water, energy, and other materials, as well as the potential losses, leaks, and inefficiencies in the system. MFA can help agribusinesses optimize their resource use, reduce their waste generation, and find opportunities for circular solutions, such as recycling, composting, or biogas production.

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Jackson Hart

Nonprofit Project Manager | Program Designer | Proposal Writer Agricultural Development | Agri-Business Development | Technical Assistance Programs
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There is a plethora of essential indicators in assessing circular economies (CE) in crop production. One indicator that I believe to be crucial is the percentage of organic matter from the production that is returned to the production field. This could be in the form of a mulch that is left on the field post-harvest, or a matured compost derived from the unused plant materials that is returned to the source field, or a compost from the waste byproduct of the crop after processing. The brief rationale for this is: 1. Soil health is imperative to ag sustainability 2. Maintaining organic matter levels is crucial to prevent soil degradation 3. Maximizing the reduction of external inputs in ag is critical in develop a CE

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2 Circular economy performance ratio

Circular economy performance ratio (CEPR) is a metric that compares the circularity of a system with its theoretical maximum. It is calculated by dividing the circular flows (such as reused, recycled, or recovered materials) by the total material flows (including virgin and non-renewable materials) in the system. CEPR can range from 0 to 1, where 0 means no circularity and 1 means full circularity. CEPR can help agribusinesses assess their current level of circularity and set targets for improvement.

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nkugwa samuel

Farm officer at sugar corporation of uganda limited
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Circular economics (CE) is a concept that aims to reduce the environmental impact of production by minimizing resource use, maximizing waste recovery, and extending product life cycles. Resource productivity: This category measures how efficiently resources (such as water, energy, land, fertilizers, etc.) are used to produce crops. Examples of indicators in this category are water footprint, energy intensity, land use efficiency, nutrient balance, etc.

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3 Life cycle assessment

Life cycle assessment (LCA) is a tool that evaluates the environmental impacts of a product or service throughout its life cycle, from raw material extraction to end-of-life disposal. It can measure indicators such as carbon footprint, water footprint, land use, biodiversity, and toxicity. LCA can help agribusinesses compare the environmental performance of different crop production systems, identify hotspots and trade-offs, and find ways to reduce their impacts and enhance their benefits.

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4 Circular economy business model

Circular economy business model (CEBM) is a framework that describes how a business creates, delivers, and captures value by applying circular economy principles. It can include elements such as value proposition, customer segments, channels, revenue streams, cost structure, key resources, key activities, key partners, and circularity drivers. CEBM can help agribusinesses innovate and differentiate their products and services, increase their competitiveness and profitability, and create positive social and environmental outcomes.

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5 Stakeholder engagement

Stakeholder engagement is a process that involves identifying, communicating, and collaborating with the relevant actors who have an interest or influence on a system, such as customers, suppliers, regulators, communities, or NGOs. It can help agribusinesses understand the needs and expectations of their stakeholders, align their goals and strategies, build trust and legitimacy, and co-create solutions for circular economy. Stakeholder engagement can also help agribusinesses monitor and report their circular economy indicators and impacts.

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Márcio Silva Oshiro

Gerente de Marketing na ICL Group | Agronegócio | MBA em Customer Experience
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Além de métricas tradicionais, como redu??o de resíduos e eficiência no uso de recursos, o engajamento de stakeholders é um indicador vital. Compreender as necessidades e expectativas singulares de diferentes partes interessadas, como comunidades locais e consumidores, é essencial. Incorporar feedbacks e criar estratégias alinhadas às preocupa??es específicas desses grupos fortalece a sustentabilidade e a responsabilidade social. A harmoniza??o de indicadores técnicos com o engajamento efetivo dos stakeholders resulta em práticas agrícolas mais sustentáveis e resilientes, refletindo um compromisso genuíno com a economia circular no agronegócio.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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What are the best circular economy indicators for tracking crop production sustainability?

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1 Material flow analysis

2 Circular economy performance ratio

3 Life cycle assessment

4 Circular economy business model

5 Stakeholder engagement

6 Here’s what else to consider

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