Denmark is undertaking a groundbreaking initiative to combat agricultural emissions while restoring nature. In a transformative plan, the government will pay farmers to convert some farmland, used for crops like hay for animal feed, into forests. Other areas will revert to peatlands. In total, around 10% of the country’s land will be restored to its natural state.
This is part of Denmark’s strategy to sharply cut emissions from farming, a sector responsible for a significant portion of the global carbon footprint. Alongside this effort, a new tax on cows will reduce meat and dairy production, and farm subsidies will be redirected to encourage the use of less nitrogen fertilizer.
“This seems to be the first serious plan anyone has agreed to with real money and real teeth to reduce agricultural emissions,” says Tim Searchinger, a senior research scholar at Princeton and senior fellow at the World Resources Institute.
Denmark aims to cut its emissions by 70% by 2030 compared to 1990 levels—a goal supported by strong political will. According to Torsten Hasforth, chief economist at Concito, a Copenhagen-based green think tank, Denmark’s political consistency allows for long-term planning across sectors to meet climate targets.
Agriculture, however, presents unique challenges. While renewable energy and transportation have seen rapid progress, farming solutions are less developed. Denmark has already made strides in climate action, including investments in wind power, solar energy, and cutting-edge technologies like the world’s largest heat pump. Yet, agriculture’s share of the country’s carbon footprint has grown, making it a critical focus area.
“Agriculture is going to be 50%, 75% of the emissions in Denmark,” Searchinger explains. “And it’s only about 1% of the GDP. Denmark is like Iowa plus San Francisco, plus a gigantic drug company and a gigantic shipping company. Basically, all this other stuff really generates all the economic output.”
Denmark’s agricultural sector collaborated with environmental groups and the government to develop a plan that balances climate goals with industry realities. A tax on livestock emissions above a certain threshold will push farmers to adopt efficient, low-emission practices.
This shift will likely raise prices for products like milk. However, Hasforth believes Danish consumers, who favor local products, may consume less milk or turn to alternatives like plant-based dairy. Imported milk, if needed, would likely come from nearby countries with similar climate targets, such as Germany, which may soon adopt stricter farming regulations.
Another significant shift will come from returning farmland to nature. Denmark has 2.6 million hectares of farmland, and about 15% will be restored to forests or peatlands. These restored ecosystems, many of which were deforested centuries ago, will act as carbon sinks. Reducing farmland also cuts the use of fertilizers, another major emissions source.
While Denmark’s plan is comprehensive, it carries risks. For example, the country could end up importing more food, such as soybeans from Brazil, potentially causing environmental harm elsewhere. Searchinger suggests additional policies to address this concern.
Nevertheless, Denmark’s approach is considered a strong model. It prioritizes measurable carbon reductions through tangible actions like reforestation and peatland restoration while steering clear of controversial practices with uncertain outcomes, such as regenerative agriculture.
“This is about getting more carbon in the landscape in ways that are real,” says Searchinger.
Denmark’s initiative sets a precedent for addressing the environmental impact of agriculture while reimagining land use for a sustainable future.
By Impact Lab
