Feeding the future: investing in food and agriculture systems

Food security, climate resilience, and human health – all sit on our plates.

Each year, the world produces more than enough food to feed the global population – yet roughly one-third of it is lost or wasted, amounting to 1.3 billion tonnes annually. 1

In developed economies, food waste is largely a consumer and retail issue. In emerging markets, it’s typically a matter of infrastructure and logistics. At both ends of the spectrum, inefficiencies in the food system provide opportunities for investors to help close the gaps.

From how we grow food to how we consume it, the food system sits at the nexus of some of our most pressing global challenges. Beyond food waste, food is a key driver of greenhouse gas emissions, biodiversity loss, and water stress. It also shapes human health outcomes and economic equity. The far-reaching and diverse impact of food means investing in the sector can act as a powerful lever to catalyse impactful, systemic change.

You mights also like: Opening doors with Quality Education: Investing in SDG 4

Why food needs fixing

Food and agriculture are intrinsically tied to both our human and planet’s well-being.

Looking at the planetary lens, according to the Stockholm Resilience Centre, five of the nine boundaries critical to maintaining Earth’s stability are directly impacted by food and agriculture. 2 The current global food system, including how we produce, transport and consume food, is exceeding these planetary boundaries, meaning it’s putting too much pressure on our planet’s natural limits.

Ecological breakdowns like deforestation, soil degradation, freshwater depletion, and chemical run-off are not anomalies, they’re direct consequences of how we grow and distribute food at scale. Between 1960 and 2017, food production alone pushed us into zones of ecological crisis, particularly in biodiversity and biogeochemical flows. 3

At the same time, from the lens of human well-being, nutrition-related diseases are rising in developed economies. The World Health Organization reports that one in eight people globally was living with obesity in 2022. 4 In the UK, 64% of adults are overweight or obese. 5 Meanwhile, 319 million people across 67 countries face acute hunger – with conflict, climate volatility, and inequality driving food scarcity. 6

Investment characteristics of the food sector

As a fundamental human need, the food and agriculture sector can act as a defensive allocation within portfolios. In other words, demand for food is constant, which offers stability through economic cycles and inflationary periods. 

At the same time, the sector spans a vast and interconnected value chain, from production to distribution, enabling exposure to both mature consumer staples and higher-growth areas such as agriculture technology (“ag-tech”) and alternative proteins. This breadth allows investors to balance its defensive characteristics with structural growth potential, while also diversifying across geographies and risk profiles. 

In short, food offers a balance: dependable demand with the opportunity to support future-focused solutions. And because the food system is truly global, it also helps spread risk across regions and industries.

Impact characteristics of the food sector

Food intersects with nearly every Sustainable Development Goal. It is a multiplier, touching on health, climate, gender equality, land rights, water access, and biosphere integrity.

This intersectionality means food can act as a catalyst for broader systemic impact. Investing in sustainable food systems enables us to:

• Address social and regional inequalities by improving access to nutrition
• De-risk other investments by improving the stability of food-related supply chains
• Enhance ecosystem health through biodiversity gains and soil regeneration

Food is also a geopolitical variable. Armed conflict disrupts food production and access. Scarcity and price shocks can trigger unrest. In that sense, food acts as a stabiliser. One that contributes to peace, resilience, and long-term portfolio stability.

You might also like: Revisiting the case for investing in renewable energy

Key investment opportunities in the food and agriculture system

The food and agriculture system offers a rich landscape for impact-driven capital. The opportunities span the entire value chain, from how food is produced to how it is distributed, consumed, and financed.

1. Regenerative production

The foundation of a future food system that’s able to be sustained requires regeneration — replenishing natural resources rather than depleting them. Investment opportunities here focus on building resilience within agricultural production while restoring ecological balance.
Key opportunity areas include:

• Regenerative agriculture: practices that rebuild soil health, enhance biodiversity, and improve carbon sequestration.
• Precision agriculture: data-driven tools, sensors, and automation that optimise resource use and yields.
• Water and land management: technologies that improve irrigation efficiency, reduce runoff, and protect arable land.
• Hydroponics and vertical farming: controlled-environment systems that enable local, resource-efficient food production.
• Natural inputs and biological alternatives: organic fertilizers, natural pest control, and soil-enhancing solutions that reduce chemical dependency.

2. Circular food systems and sustainable distribution

Globally, it’s estimated that one-third of food produced is lost or wasted each year. 7 However, only 12% of the global population lives in countries tracking food waste within their borders, making it difficult to gauge the true magnitude of the issue – a study by Tesco and the World Wildlife Fund suggests as much as 40% of the world’s food supply goes to waste. 8 Circular models within food systems aim to close these loops, cutting waste while conserving energy, water, and materials.
Key areas of investment include:

• Cold-chain and storage infrastructure that prevents spoilage and improves access in emerging markets.
• Sustainable packaging solutions that reduce single-use plastics and improve recyclability or composability.
• Food recovery and redistribution technologies that capture surplus food and redirect it to where it’s needed most.
• Supply-chain transparency and traceability tools that ensure ethical sourcing and minimise environmental impact.

3. Low-carbon and alternative Foods

The food system accounts for nearly a third of global greenhouse gas emissions. 9 Reducing its carbon footprint is central to achieving global net zero commitments. Investment opportunities are emerging in:

• Alternative proteins such as plant-based, fermentation-derived, or insect-based foods that reduce land and water use.
• Low-carbon farming and processing technologies that lower emissions through innovation in energy, logistics, and fertilizer use.
• Carbon reduction commitments across food supply chains, supported by transparent measurement and reporting frameworks.

These innovations not only address climate change but also create more secure, localised, and efficient food systems.

You might also like: Investing in decarbonisation: why it matters and where opportunities lie

4. Health, nutrition, and human well-being

Food is at the heart of public health. Poor nutrition, obesity, and hunger sit at opposite ends of the same systemic problem. The intersection of food and health presents vast opportunities for investors to improve outcomes and generate measurable social value:

• Personalised nutrition and preventive health: technologies and services that help individuals make informed, balanced dietary choices.
• Access to affordable, nutritious food: investment in distribution and retail models that improve food equity, especially in underserved regions.
• Education and behavioural change: initiatives that promote healthy diets, mental health, and sustainable consumption patterns.
• Food safety and standards: monitoring, testing, and certification systems that build consumer trust and ensure quality.

Investing in nutrition and health reinforces the broader systems-change potential of food, improving wellbeing while strengthening communities and economies.

5. Financing the transition: nature-linked and outcome-based instruments

The shift toward a sustainable food economy requires instruments that reward measurable environmental and social outcomes.
Key areas of focus include:

• Green and sustainability-linked bonds tied to agricultural efficiency, reforestation, or clean water projects.
• Blue bonds and ocean-focused finance supporting sustainable aquaculture and marine ecosystem protection.
• Debt-for-nature swaps and biodiversity credits that align capital markets with natural capital restoration.
• Outcome-based investment frameworks that link returns directly to environmental or social performance.

You might also like: Change-makers’ portfolio: Sustainable fixed income investing

Food for thought

At Tribe, we view food not as a niche theme but as a meta play – a way to shift capital towards the systems that support life, prosperity, and planetary stability.

Food sits at the intersection of some of our biggest opportunities for impact. For impact investors, food and agriculture systems offer exposure to diverse, high-growth and innovative companies, from digital health to precision agriculture.

From an impact perspective, the food and agriculture system has both environmental and social implications. It can have a catalytic impact, across health, equality, nature, and peace.