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Removing EU meat VAT cuts could cut food emissions by 3.5%–5.7% with small net cost.
A new study by the Potsdam Institute for Climate Impact Research finds that removing reduced VAT on meat in the EU could cut food-related greenhouse gas emissions by 3.5% to 5.7%, equivalent to 29.9 million tons of CO2 annually, by discouraging meat consumption and promoting plant-based diets.
While this change would raise household food costs by €109 yearly, returning tax revenue to citizens would reduce the net cost to €26.
A broader carbon pricing policy could achieve similar reductions with a lower net cost of €12 annually if social compensation is implemented.
The research highlights that current EU food pricing fails to reflect environmental damages, and eliminating tax breaks on meat is a feasible first step toward eco-friendly food policy.
La eliminación de los recortes del IVA sobre la carne en la UE podría reducir las emisiones de alimentos en un 3,5%5,7% con un coste neto pequeño.