Businesses in the agriculture sector must invest in climate-resilient and precision farming practices to protect workers and reduce economic losses from rising heat and extreme weather, the World Economic Forum (WEF) said in a new report.

The paper, titled “Building Resilience to the Health Impacts of Climate Change,” warned that companies failing to adapt will face growing operational disruptions, workforce vulnerabilities, and financial liabilities, while “those that build resilience will unlock opportunities for innovation, competitive advantage, and long-term growth.”

Agriculture, which employs nearly one billion people worldwide—about 30 percent of the global labor force—is among the industries most vulnerable to climate risks. The WEF noted that climate change could cause up to a 35 percent decline in global crop production and a 20 percent increase in malnutrition by 2050, even as food demand rises by 50 percent.

The report estimated that agricultural and food-processing workers could suffer 600,000 deaths and 130 million disability-adjusted life years (DALYs) between 2025 and 2050 due to heat, malnutrition, and respiratory illnesses—equivalent to $740 billion in lost output over the period.

“Businesses have the opportunity to protect health by meeting demand for nutrient-dense food products and climate-resilient cultivation. Strengthening resilience in food systems and protecting workers are vital actions for global health,” the report said.

To address these risks, the WEF urged firms to develop climate-resilient crops, adopt precision agriculture technologies, improve irrigation systems, and modify working practices to minimize heat exposure. It also recommended shifting to locally suited crops and livestock, enhancing soil health, and investing in sustainable food production to safeguard long-term productivity and worker well-being.

The report emphasized that strengthening farm-level resilience and protecting agricultural workers are not only social responsibilities but also essential to ensuring stable supply chains and future food security.