ABSTRACT
This chapter examines the challenges and possible solutions to analyzing and aggregating the relevant environmental, social, and economic infdicators in True Cost Accounting (TCA) for the food and agriculture sector and developing these into policy-friendly metrics. The chapter recognizes the limitations of current approaches and recommends a focus on integration and standardization not only of indicators, but of the various parts of the process by which indicators are established. Standardization is required in five areas: conceptual frameworks, metrics, data, valuation, and reporting. While different stakeholders are working on standardization efforts across these different areas, the participation of governments will be important to ensure ownership, accountability, and enforcement. The chapter describes how a TCA composite index could be constructed to ease policymakers’ understanding of complex social, environmental, and economic interactions of development projects and businesses. Standardized TCA assessments offer a pathway to sustainability in the agri-food sector, as well as supporting Sustainable Development Goal monitoring, evaluation, and reporting.
