Across the pond, Europe is still trying to figure out how—and how much—to tax farmers.
Climate targets will be missed if the ag sector doesn’t pay for its greenhouse gas emissions, the EU’s chief climate scientist has warned.
By the numbers: Farming makes up almost 12% of the EU’s total emissions, with the majority coming from meat and dairy production.
While France, Germany, and Poland are the heaviest hitters for greenhouse gas emissions in the EU, Denmark isn’t too far behind. Denmark plans to introduce a carbon tax on livestock farming beginning in 2030—something that hasn’t been done anywhere else.
Another day, another dollar krone… or 120: Danish farmers would be charged 120 Danish krone for each tonne of “carbon equivalent” emitted on farms beginning in 2030.
Soundbite: “If Denmark is the only country with a carbon tax, I won’t be competitive to the other countries, and I’ll have to stop producing pigs.” — Peter Kiaer, Danish Association for Sustainable Agriculture chairman
Meanwhile in the U.K., British farmers are protesting the Labour government’s proposal to extend the inheritance tax to agricultural land. A 20% levy on farms valued over $1.27M would apply beginning in 2026.
Tax the rich farmers: “I’m absolutely livid. … It’s being taken out of my hands by someone that’s been in Parliament for literally days.” — Emma Robinson, British farmer whose family has farmed the same land for 500 years
Fellow farmer Andrew Ward said a farm valued at $1.27M is only a very small one: “It would cost us thousands of pounds per acre to hand down,” he said. “Farmers don’t have that sort of cash.”
Where this goes: The National Farmers’ Union has threatened disruptions to the food supply if the policy isn’t reversed. The prime minister said the policy won’t affect “the vast majority of farms.” Overall across Europe, the taxation situation will be one worth watching heading into 2025.