Application of environmental, social and governance practices in agriculture

Abstract

The purpose of the study was to conduct a comparative analysis of the features of applying Environmental, Social, Governance practices to ensure sustainable development of the agricultural sector in Sweden, the Netherlands, Germany, and the Kyrgyz Republic. The comparison was conducted using the metrics of the International Financial Reporting Standards and the Sustainability Accounting Standards Board. It was found that Sweden has the highest standards in the European Union for the use of renewable energy and social equity, the Netherlands leads the sector in the use of circular economy, and Germany is a model of efficient use of renewable energy in various sectors of the economy. These achievements have been made possible by the countries’ engagement in cross-border cooperation aimed at equitable and fair distribution of funds, attracting young professionals and promoting innovation in the agricultural sector. These initiatives contribute to the gradual transition to organic agriculture, the share of which in the member countries of the Union will be increased to 30% by 2030. In contrast to the above countries, the Kyrgyz Republic is at the very beginning of the path to managing the agricultural sector taking into account Environmental, Social, Governance-standards. The country's development on this path is hampered by insufficient economic, human, and information resources necessary for the transition from extensive to intensive agriculture. Development will be facilitated by the country's participation in international projects aimed at introducing Environmental, Social and Governance practices in the agricultural sector, attracting young specialists and supporting innovation processes at the national and regional levels. Wide implementation of Environmental, Social, Governance-principles can be used for the development of the agricultural sector of the Kyrgyz Republic, which is the subject of this study

Keywords

• sustainable development
• economic development
• social development
• environmental development
• transboundary cooperation
• innovations