Regenomics: Evaluating the economic and environmental impacts of regenerative agriculture: Modelling the economic and environmental trade-offs of regenerative agriculture using a framework-based approach

This study assesses the economic and environmental implications of transitioning European arable farms towards regenerative agriculture. Regenerative practices such as diversified crop rotations, cover cropping, reduced tillage, and optimised nutrient management are increasingly promoted for their potential to enhance soil health, biodiversity, and climate resilience, yet their quantified economic impacts remain limited. Using data from forty large conventional farms across four European countries, baseline performance was established for soil nutrients, biodiversity indicators, and farm profitability. Context-specific regenerative scenarios were then developed and simulated, focusing on crop choice, soil cover, and fertilisation strategies. The analysis shows that regenerative practices generally reduce biodiversity footprints per ha, particularly through lower synthetic nitrogen use, reduced pesticide impacts, and decreased carbon emissions, although trade-offs emerge where manure use increases or high-value crops are replaced. Economic outcomes varied: fertiliser optimisation improved margins, whereas legume integration tended to reduce profitability. Key transition drivers included manure and water availability, market prices, rotation length, and required machinery investments. Using FarmDyn, FARManalytics, and the Biodiversity Footprint Family Framework, the study demonstrates that regenerative agriculture can deliver environmental benefits, but its economic viability depends strongly on local conditions and strategic farm-level decision-making.