Major governments worldwide are accelerating deforestation by subsidizing factory farms while leaving small-scale farmers unsupported, according to a new report released November 4, 2025. World Animal Protection launched the research in Nairobi ahead of the upcoming COP30 climate conference.
The report titled ‘Subsidising Factory Farm Harm’ exposes how China, the United States, India, and the European Union (EU) channel substantial public funds into industrial livestock operations. Agriculture currently accounts for up to 34 percent of global greenhouse gas emissions, yet receives subsidies second only to the fossil fuel sector.
Kelly Dent, Director of External Engagement at World Animal Protection, criticized the funding model as fundamentally flawed. She argued that taxpayer money continues flowing into food systems that pollute the climate, destroy biodiversity, and cause immense animal suffering. Dent emphasized that the future lies in fair farms rather than factory operations.
The organization’s findings reveal stark projections if current trends persist. Agriculture is expected to produce 52 percent of global greenhouse gas emissions by 2050 without intervention. Subsidized production of beef, soy for animal feed, and palm oil currently drives approximately 14 percent of worldwide deforestation.
Brazil presents a striking case study as the host nation for COP30. The country grants its beef sector roughly 3.1 billion United States dollars (USD) annually in subsidies while the industry pays only about 3.8 billion USD in taxes. This near parity between subsidies and tax revenue raises questions about the true economic contribution of industrial livestock operations.
European Union data suggests significant environmental benefits could follow subsidy redirection. Shifting half of the 88.5 billion USD given annually to factory farms could save 25 million megalitres of water and preserve 19 million hectares of land each year, according to the report’s analysis.
African governments allocate significant portions of public agricultural budgets to input subsidies that predominantly benefit large-scale or industrial producers. This approach leaves smallholder farmers, who feed most of the continent, without adequate support for sustainable practices.
Kenya demonstrates viable alternatives through farms integrating crops, bees, chickens, goats, and cattle. These agroecological systems deliver both profitability and sustainability while reducing chemical use and improving animal welfare standards.
Sally Kahiu, External Affairs Lead at World Animal Protection, called on African governments to stop funding destruction. She advocated redirecting subsidies towards humane and sustainable farming systems, particularly agroecology, which empowers smallholder farmers while protecting ecosystems and strengthening food security.
World Animal Protection issued four specific recommendations for African leaders attending COP30. The organization wants governments to phase out harmful agricultural subsidies funding industrial livestock expansion and redirect public funds towards smallholder farmers and agroecology.
The group also urged integration of subsidy reform into nationally determined contributions (NDCs) to align with the Kunming-Montreal Biodiversity Framework. Additionally, the organization called for supporting farmers and workers through training, innovation, and social protection during the transition period.
Dent stressed that public finance should drive sustainable and humane food systems rather than locking societies into harmful ones. The report argues that current subsidy structures create perverse incentives that accelerate environmental degradation while concentrating agricultural benefits among large industrial operators.
The timing of the report’s release positions animal welfare and environmental concerns at the forefront of COP30 discussions. World Animal Protection representatives will attend the conference in Belém, Brazil, to advocate for subsidy reform and sustainable farming transitions.
The organization maintains that redirecting harmful subsidies across Africa can make agriculture more inclusive and resilient. A shift towards agroecology and humane farming systems could create employment opportunities, protect biodiversity, and build food security for the continent’s growing population.
World Animal Protection has advocated for animal welfare since 1950, working through evidence-based advocacy, community engagement, and partnerships. The organization envisions a world where animals live free from cruelty and suffering while human communities benefit from sustainable food production systems.
