Economic Dimensions and Food System Actors

Abstract

Economic factors play a central role in shaping dietary patterns and the transition toward sustainable food systems. The food industry influences consumption through product reformulation, innovation, and market expansion, particularly in the growing sector of plant-based alternatives. While such innovation can support sustainability goals, it often relies on scalable, highly processed products, creating tension between commercial incentives and public health outcomes. Affordability is a key determinant of food choice. In many high-income settings, energy-dense, nutrient-poor foods remain cheaper than healthier options, reflecting price structures shaped by subsidies, supply chains, and economies of scale. This contributes to socioeconomic inequalities in diet quality. In low- and middle-income countries, traditional plant-based diets may be more accessible but often lack diversity, while increasing availability of inexpensive ultra-processed foods accelerates shifts toward less healthy patterns. Food security extends beyond caloric intake to include access to safe, nutritious, and culturally appropriate foods. Although plant-based systems can improve resource efficiency globally, local outcomes depend on infrastructure, distribution, and purchasing power. Transitions in agricultural systems also affect farmers and supply chains, particularly in livestock-dependent regions, where economic risks must be managed. Policy levers are critical to align economic incentives with health and sustainability. Subsidies for nutrient-dense foods, taxation of unhealthy products, public procurement strategies, and trade policies can reshape food environments. Effective implementation requires coordination across sectors and attention to equity to ensure that dietary transitions are both accessible and sustainable.