Sustainable and regenerative agriculture: code of practice

Section 1: Introduction

The Code of Practice on Sustainable and Regenerative Agriculture (the Code) is a best practice guide available to all farmers and crofters to help inform business decisions. The purpose of the Code is to provide clear guidance on how farming or crofting businesses can undertake different actions or measures which will help contribute to sustainable and regenerative farming. It aims to establish common standards for good practice and to encourage continuous improvement and development.

The key purpose of this is to ensure a balance between producing high quality food and doing so in an economically and environmentally positive way.

In the Code the words sustainable and regenerative agriculture are used. Sustainable agriculture refers to producing food in a way which means the business can be profitable, but the management activities do not have an adverse impact on people or natural resources such as soil, water, air and biodiversity. Regenerative agriculture refers to managing land in a way which allows for the renewal of natural resources. The regenerative principles and further detail can be found under ‘Terminology’ in Section 1.

The Code is intended as a guidance tool of best practice to promote actions or measures which have been endorsed by the industry to create better outcomes for businesses and the environment. The Code provides a selection of Management Actions or Measures, which detail individual sustainable or regenerative practices, how these could be implemented and how they can provide climate, nature and business benefits.

It is important to note that the Code is not a requirement and does not create any legal obligations. It may, however, have legal effect in some circumstances, as set out in “Legal Effect” under Section 6: Background Information below. This Code is not intended to cover the regulations that apply to farming, crofting and land management. It is a helpful guide on best practice that can give you practical ideas on how to approach farming or crofting in a way that benefits you, your community, the environment and your business. This is done by utilising the Code as a toolkit and you can choose how to use it to suit your business needs.

There are links to guidance, further reading and support that is available in Section 5 and background information that may be helpful in Section 6.

Farming and Crofting for Scotland

Many farmers, crofters and businesses have already developed strong practices that work well. The Code does not seek to replace those existing practices rather offer further suggestions of best practice. Undertaking the ones which are suitable for your business could contribute to you becoming more efficient, resilient, profitable, biodiverse and achieving climate or nature targets.

This document encourages everyone to engage with the Actions or Measures outlined in the Code and to integrate those that are relevant into their own practices.

This Code builds on the good work already underway by farmers and crofters and offers the flexibility to choose the management actions or measures that best suit your specific business.

Background and Context

The Agriculture and Rural Communities (Scotland) Act 2024 (The Act) was passed by the Scottish Parliament on 18 June 2024 and the Act substantively came into force on 16 June 2025.

The Act gives Government the powers to deliver the ‘Vision for Scottish Agriculture’. The powers of the Act will be used, amongst other things, to change support for farming and food production in Scotland by introducing the consulted upon Future Support Framework to enable conditional payments to be made under four-tiers: Base, Enhanced, Elective and Complementary. The Act also introduces a Code of Practice for Sustainable and Regenerative Agriculture (the Code).

See Section 6 for more detail on the Act, Vision, Future Support Framework and how this will be delivered via the Agricultural Reform Programme.

This Act also states that the Code must be developed in consultation with those interested or affected by it. The Code will be a living document and is to be reviewed by the Scottish Ministers on a five-year cycle.

The Code must include:

• An explanation of what the Scottish Ministers consider to be sustainable and regenerative agriculture,
• The agricultural activities and methods they believe constitute best practice for sustainable and regenerative agriculture,
• Any other information and guidance considered appropriate.

The Scottish Government have committed to two overarching targets to address the twin climate and nature crisis. The first is to halt biodiversity loss by 2030, and reverse it by 2045, the second is to meet ‘Net Zero’ greenhouse gas emissions by 2045. A key way in which we will be delivering the biodiversity targets is to achieve at least 30% of Scotland’s land, freshwaters and seas which are protected and effectively managed for nature (known as the 30 by 30 target). This will mean working together across our land, freshwater and seas to manage 30% for nature.

Climate change and nature loss present multiple serious threats to the farm business. Working with nature by farming regeneratively can help businesses be more resilient and adapt to reduce the impacts of climate change. Resilience on farm can be increased by improving soil health, reducing monoculture, diversifying crop rotation, and having well-managed, diverse, inter-connected habitats. This will deliver outcomes for climate, nature, and the farm business.

The global 30 by 30 targets, as set out by the Convention on Biological Diversity, aims to ensure that at least 30% of land and sea which are important for nature is protected and effectively managed for biodiversity by 2030. 30 by 30 is about ensuring there is the space and sympathetic management in place which allows nature to thrive, including allowing it to adapt to changing environmental conditions driven by climate change. 30 by 30 sites will sit within a wider network of nature networks, which will link our most biodiversity rich areas in Scotland, giving wildlife the space to meet their daily and seasonal requirements and to adapt to a changing environment driven by climate change.

Scotland’s contribution to this ambition includes the development of Nature30 sites, Scotland’s approach to the globally recognised ‘Other effective area-based Conservation Measures (OECMs) which sit alongside our protected areas (Sites of Special Scientific Interest, Special Areas of Conservation, Special Protection Areas and Ramsar sites) to deliver our 30 by 30 goals. They offer an alternative to protected areas by recognising places where management practices already deliver positive, sustained, and long‑term outcomes for nature, often as part of wider management goals such as food production. They can include a wide range of landscapes and land uses that support ecosystem resilience, connectivity, ecological restoration, and the delivery of ecosystem services. Nature30 sites are voluntary, with landowners and managers nominating their sites for recognition as a Nature30 sites by providing evidence that they meet the criteria for recognition in Scotland.

Development of the Code

The Scottish Government have worked very closely with the agricultural industry, environmental organisations and rural partners to co-develop the Code, through the Agriculture Reform Programme.

A key part of the development of the Code is that it reflects what works in the field for farmers and crofters. Throughout 2024 the Scottish Government engaged with stakeholder groups where a draft version of the Code was presented to numerous key stakeholders within the industry such as, National Farmers Union Scotland, Agriculture Reform Implementation Oversight Board, Agriculture Industries Confederation, Scottish Environment LINK, Scottish Crofting Federation, NatureScot and Food and Agriculture Stakeholder Taskforce.

In addition to this, the SG also conducted user testing with the farmers and crofters.

Both the stakeholder engagement and user testing provided valuable feedback which was then used to further develop the Code. In addition to this, the Scottish Government continue to work with stakeholder groups and users to ensure the information in the Code remains current, accurate and relevant to those using it.

Terminology

The Code intends to set out what Ministers consider to be sustainable and regenerative. No definitions are set in the 2024 Act but there are instead explanations of key terminology for the purposes of the Code below. This enables terminology to be adaptable over time in response to changing practices and as scientific evidence emerges. This section aims to provide a common understanding of terms when reading The Code.

Agriculture for the Purposes of the Code

“Agriculture" includes horticulture, dairy farming, livestock farming including breeding and keeping, the use of land as pasture land for rearing animals either for meat or animal products such as dairy, eggs and wool, arable land for growing crops, meadow land, coppiced pollarded trees, market gardens and tree nursery grounds, the use of land for trees or woodlands where that use is ancillary to the farming of land for other agricultural purposes, agroforestry, silvoarable, silvopasture and, the use of land managed for biodiversity or wider environmental purposes being integrated within an agriculture business. 'Agricultural' should be construed accordingly.

Sustainable Agriculture for the Purposes of the Code

As outlined in the Introduction above, sustainable agriculture refers to producing food in a way which means the business can be profitable, but the management activities do not have an adverse impact on people or natural resources such as soil, water, air and biodiversity.

Sustainable in the context of the Vision does not solely mean environmentally sustainable. The United Nations Environment Programme (UNEP) considers sustainable agriculture to refer to "farming that meets the needs of existing and future generations, while also ensuring profitability, environmental health and social and economic equity.” More details can be found in the UNEP A beginner’s guide to sustainable farming.

Scottish Government goals around fair work and women in agriculture should by default be captured by "sustainable". There are clear practical actions of environmental sustainability but there may also be social or economic aspects such as fair work criteria we expect of a “sustainable business”. Including best practice socially from sustainable businesses would reflect sustainability across the whole business to align with the Vision.

Environmentally sustainable agriculture encompasses a range of possible measures that aim to minimise the effects of agriculture on the environment and to conserve the aspects of the natural environment on which agriculture relies, using resources and energy more efficiently. The measures that will succeed will depend upon the environmental and agricultural context and may require farmers to work together across a landscape.

There are two broad categories of actions which support sustainable agriculture: those which restore natural capital and those which improve efficiency, therefore reducing GHG emissions and increasing carbon sequestration and storing carbon.

Without appropriate management some agricultural practices can reduce water levels, negatively impact water and air quality, degrade soils and cause biodiversity loss. This in turn can disrupt natural processes that support food production.

Regenerative Agriculture for the Purposes of the Code

Regenerative agriculture is defined in the Agriculture Reform Glossary published on 22 June 2023 as follows:

Regenerative agriculture is a collection of farming practices with a focus on renewing and conserving soils, landscapes and ecosystems. The method supports nature and social justice in rural communities alongside agricultural outputs. It draws upon decades of scientific and applied research on agriculture and ecology. Key practices include minimising soil disturbance, and maximising crop diversity. Another approach is to integrate livestock and arable more closely. The goals of regenerative agriculture include improving animal welfare, increasing climate-resilience of production, capturing carbon in soils and vegetation, enhancing water quality and supply in the landscape as well as supporting thriving biodiversity and ecosystem health. Regenerative agriculture recognises that each farm has different soils, climate, managers, and history. For that reason, there is no definitive list of methods or actions. Instead, farmers and crofters decide the best approaches to achieve desired outcomes. Their choices need to be supported by practical training to select and use these methods effectively.

Regenerative agriculture is a flexible approach to farming that is underpinned by farmers knowledge of their land, systems and enterprises. It is broadly any form of farming activity which generates production and protects and improves the environment, whilst also increasing the climate-resilience of production.

The main aim is regeneration and conservation of the farm’s ecological system. This enables high quality food production whilst restoring nature. It also allows adaption to climate change and climate change mitigation and reduces agricultural activities harmful effects.

Regenerative agriculture recognises that each farm is different. For that reason, it does not provide a list of exact methods or actions. Instead, farmers have responsibility for deciding the best way to achieve desired outcomes and restore ecosystem health on their farm.

The regenerative principles concentrate on a range of environmental outcomes underpinning a healthy ecosystem such as restoring soil health, which is key, improving nutrient and water cycling, increasing biodiversity, supporting carbon sequestration, increasing resilience to climate change and improving animal welfare. The five regenerative principles are:

• Minimise Soil Disturbance:

This involves practices like no-till or reduced tillage, which helps preserve soil structure, reduce erosion, and maintain a healthy soil ecosystem.

• Maximise Crop Diversity:

Cultivating a variety of crops, including cover crops, intercropping, and crop rotation, promotes biodiversity, improves nutrient cycles, and enhances resilience to pests and diseases.

• Keep Soil Covered:

Maintaining a cover of plant material, either through cover crops or crop residues, helps protect the soil from erosion, improves soil moisture, and enhances soil health.

• Maintain Living Roots:

Keeping roots in the soil year-round, through practices like cover cropping, improves soil structure, increases organic matter, and enhances nutrient availability.

• Integrate Livestock:

Integrating livestock into the farming system can improve soil health, promote nutrient cycling, and help with weed and pest control.

Natural Capital for the Purposes of the Code

Agriculture relies on a number of natural capital assets such as soil, water and biodiversity which deliver ecosystem services. The benefits derived from these assets include nutrient cycling, pest control, pollination, flood prevention, and water purification. Some measures that maintain and restore natural capital are improving soil health and water quality and conserving biodiversity.

Improving Efficiency for the Purposes of the Code

Agriculture has scope to become more resilient and resource efficient by working with nature, changing practices and using new technologies. Nitrogen fertiliser production is an energy intensive process reliant upon fossil fuels. Changing practices to use nitrogen fixing plants in livestock and arable systems and nutrient budgeting by maximizing the benefit of manures and slurry can reduce the need for manufactured nitrogen fertiliser.

Precision farming technology to improve the application of nitrogen fertiliser use reduces GHG emissions, the build-up of excess nutrients in watercourses and also helps reduce pesticide levels and the protection of watercourses. Please refer to the current statutory requirements for contactors and large farms regarding the use of low emission precision equipment for slurries. The link is in Section 5.

Agroecology for the Purposes of the Code

Agroecology is based on applying ecological concepts and principles to agricultural systems and practices. Agroecology involves sustainable practices, ecological principles, promotes food security, can support food production, builds resilience, helps reduce emissions, restore landscapes, protect biodiversity by minimising the use of synthetic products.

Greenhouse Gas (GHG) Cycle in Agriculture

Greenhouse gases (GHGs) are the name given to a group of gases that absorb heat from the earth and trap it. These include nitrous oxide (N₂O), carbon dioxide (CO₂), methane (CH₄) and water vapour, all of which flow in and out of a typical farming system. While these gases are an important and naturally occurring part of the atmosphere, human activities are causing levels to rise. This means the atmosphere traps more heat than in the past, causing it to warm, and leading to climate change.

Carbon dioxide and the production of methane and nitrous oxide are the main greenhouse gases in a farm setting. While carbon dioxide and methane are both part of the carbon cycle, it is important to separate them when considering climate impact, as they have different capacities to trap heat when in the atmosphere.

Agriculture and food production rely on natural processes, which means that agricultural activity will inevitably alter the balance of GHG emissions flowing through the system. Which parts they change, and by how much, varies widely between different agricultural practices, produce and farm types.

Farmland habitats are important carbon stores. Soil is the foundation of the farming business and stores three times more carbon than above ground. To reduce climate impact, it’s important to consider all parts of the farm system, protecting carbon stores such as soils and peatlands, looking for opportunities to increase the uptake of GHGs, for example through tree planting, and understanding and reducing emissions wherever possible.

Measures that reduce farm GHG emissions and improve the environment can also reduce input costs and increase farm resilience to the effects of climate change, for example through better soil health.

This infographic shows the main greenhouse gas emissions and carbon uptakes linked to farming, including what is released from livestock, soils, fuels, fertiliser and purchased inputs, and what is stored in soils and trees.

Underpinning these GHG flows is a complex web of connections between the arrows, with subtle changes in one having knock on effects on many others. For example, plants pull carbon dioxide out of the atmosphere. The carbon in that carbon dioxide can either enter the soil when the plant dies and breaks down, or cycle through livestock as they graze, returning to the atmosphere as methane or into the soil as manure.

Emissions are grouped into three internationally recognised categories, following the Intergovernmental Panel on Climate Change (IPCC) aligned guidance:

• Scope 1 covers direct emissions from activities on the farm (such as methane from livestock and nitrous oxide from soils).
• Scope 2 covers indirect emissions from the electricity the farm purchases.
• Scope 3 includes all other indirect emissions from the wider supply chain, such as manufacturing feed, fertiliser and other inputs.

Under IPCC guidelines, the main methane emissions accounted for in agriculture come from two sources: enteric fermentation, where livestock naturally produce methane during digestion, and manure management, where stored or deposited manure can generate methane. When quantifying the emissions and removals shown in the infographic, greenhouse gases are converted to units of carbon dioxide equivalents, using Global Warming Potentials. This accounts for differences in how strongly different gases warm the atmosphere and how quickly they are broken down.