Facilitating circular transition in agriculture: EU financial mechanisms for sustainable development

Abstract

The integration of circular economy (CE) principles into the agricultural sector and related industries is strengthening, yet financial aspects that could enable broader adoption remain insufficiently explored. This study synthesizes the main outcomes of a systematic analysis, revealing both opportunities and barriers, particularly the limited access to funds for farmers and small enterprises. To address this constraint, we propose a concise overview of the main European funding opportunities. Adopting CE strategies in agriculture can improve farmer wellbeing and enhance local community welfare by diversifying markets and creating value-added products, while also contributing to natural resource conservation. Striking a balance between farm revenues and environmental protection aligns with key EU policy objectives, including the Green Deal, the Circular Economy Action Plan, and the Zero Pollution Action Plan. Accordingly, this paper emphasises suitable European funding opportunities to support the transition from conventional agricultural models towards circular, sustainable systems.