True cost accounting in Nederland: Een Quick Scan

The partners in the PPS “True Price – From Insight to Action” expressed a need for an overview of what is happening, especially in the Netherlands, in the field of true cost accounting. This need has been met by performing a quick scan.The aim of this report is to produce an overview of the current initiatives in the Netherlands in relation to true cost accounting in the agricultural sector for its main applications: food, animal feed and non-food. It outlines the various initiatives that there are, which parties are involved and where their focus lies.This assessment combined desk research with a number of interviews with people in the field who are abreast of the initiatives.The initiatives have been characterised by their content. What is happening? The initiatives have also been classified according to the involvement of participants.More than thirty initiatives are presented. It turns out that insight into sustainability effects is the main driver for true cost accounting projects. In terms of products, the emphasis is on large tropical commodities such as coffee, cocoa and bananas.Many of the initiatives include a calculation of a true price. Various methods are used for this, e.g. aneconomic approach (with marginal costs) and a more legal approach based on rights.Most of these studies are initiated and managed on behalf of companies. We counted 19 initiatives that target the business-to-business (B2B) market, 15 business-to-consumer (B2C) ones and 11 that focus on in house use. The companies also see true cost accounting as a way to inform consumers. One or two also conduct experiments to pass the additional cost on to consumers.Research is often financed with state aid, and the execution of the studies is frequently in the hands of university or research institutes and consultants.