Biodiversity Credits and Cereal Supply Chains: The New Frontier of Environmental Value

For decades, agricultural biodiversity has been treated as a public good — precious, but economically invisible.
Now, this is changing. With growing international attention to the ecological crisis and species loss, biodiversity conservation is finally entering the language of both policy and markets.

After carbon credits, a new mechanism is emerging: biodiversity credits, which could transform how agriculture, ecology, and finance interact.
And even in wheat fields, this transformation has already begun.

From Environmental Cost to Ecological Value

Biodiversity — the variety of species, habitats, and genes — is what ensures long-term agricultural productivity.
It supports pollination, nutrient cycling, pest control, and soil fertility.

Yet, according to IPBES (2023), over 75% of human-modified land shows clear signs of ecological degradation.
In Europe, intensive agriculture and monocultural systems are among the main drivers of habitat loss.

Biodiversity credits are designed to reverse this trend: they convert conservation into a measurable and tradable value.
Each credit represents a certified improvement in ecological quality, quantified through internationally recognized standards.

How Biodiversity Credits Work

The concept resembles carbon credits, but with a crucial difference: while carbon is measured in tons of CO₂, biodiversity is assessed using ecological indicators.

The main parameters include:

  • Species richness and abundance;
  • Habitat quality and connectivity;
  • Presence of pollinators and bioindicator species;
  • Soil integrity and vegetation cover.

Every verified improvement from a defined baseline generates a biodiversity credit.
These credits can be purchased by companies, governments, or environmental funds to offset ecological impacts or meet ESG (Environmental, Social, Governance) targets.

The EU Nature Restoration Law (2024) envisions voluntary certification schemes run by independent entities, using standardized and transparent methodologies.

Wheat as an Agricultural Habitat

It may sound surprising, but even a wheat field can host significant biodiversity — if managed in an integrated and regenerative way.
Research by CREA (2024) shows that cereal systems with long rotations, hedgerows, and natural groundcover support up to 60% more pollinators than monocultural systems.

Ecological buffer zones, low-impact pesticide use, and flowering plants such as clover, mustard, and phacelia create habitats for insects and birds, improving both ecosystem balance and crop resilience.

In this context, biodiversity becomes not only a sign of soil health and climate stability, but also a potential source of income through verified credits.

From European Policy to Local Markets

The EU Biodiversity Strategy 2030 and the Nature Restoration Law set binding goals to restore at least 20% of degraded ecosystems by 2030.
Among the target areas are agroecosystems — including cereal landscapes — where the objectives are to:

  • Increase natural elements (hedgerows, trees, permanent grasslands) by at least 10%;
  • Promote low-impact practices (rotations, conservation tillage, organic farming);
  • Integrate biodiversity indicators into certified agri-food chains.

At the same time, voluntary biodiversity credit markets are emerging — already active in France, the UK, and Australia, and under development in Italy.
Pilot initiatives such as LIFE BIA-NET and BIOVALUE (Horizon Europe) are testing methodologies to quantify the “biodiversity value” of farms, including cereal-based systems.

Cereal Supply Chains and Certified Biodiversity

In wheat supply chains, biodiversity integration can take various forms:

  • Environmental certifications (e.g., Biodiversity Alliance, Regenerative Organic);
  • Contractual agreements rewarding farmers who maintain natural habitats or field margins;
  • “Nature-positive” labeling, communicating a farm’s contribution to local ecosystems.

In Italy, several cooperatives and pasta producers are now collaborating with scientific institutions to measure and monetize the ecological benefits of their durum wheat fields.
The goal is to build a sustainable, biodiversity-rich grain supply chain, where ecological performance is part of the product’s market value.

Data, Transparency, and Trust

As with carbon credits, the main challenge for biodiversity credits is scientific transparency.
Measuring biodiversity is inherently complex and requires long-term monitoring, robust protocols, and open digital platforms.

The FAO (2024) advocates using functional indicators, focusing on an ecosystem’s ability to deliver real services — rather than simply counting species.
In the near future, biodiversity credits could be tracked via blockchain and integrated into the CAP framework, creating a new rural economy for nature.

Value That Returns to the Land

Biodiversity is not a luxury — it is the ecological infrastructure of agriculture.
Recognizing its economic value does not mean commodifying nature, but giving it a rightful place in decision-making systems.

If governed with rigor and transparency, biodiversity credits can become a powerful tool for agricultural regeneration:
rewarding those who protect habitats, promoting virtuous practices, and making visible what was once invisible.

In wheat farming, every hedgerow, every wildflower, every rotation is an investment in the future of the soil.
Biodiversity, once a silent asset, is becoming the living currency of rural landscapes.

Sources:

  • European Commission (2024). EU Nature Restoration Law and Biodiversity Strategy 2030.
  • FAO (2024). Valuing Agricultural Biodiversity for Ecosystem Services.
  • Joint Research Centre (2024). Metrics and Monitoring for Biodiversity Credits in Agricultural Systems.
  • CREA – Agriculture and Environment (2024). Ecological Management of Italian Cereal Systems.
  • Horizon Europe (2025). BIOVALUE and LIFE BIA-NET Projects – Interim Reports.
  • IPBES (2023). Global Assessment Report on Biodiversity and Ecosystem Services.