Governing technologically-induced adaptations of information flows along the value chain: The case of German pasture-based farming

The technological base of governance arrangements is a neglected topic in policy analysis. This paper discusses how novel technology assemblages are enabling new governance arrangements for agricultural grazing systems, while also creating new governance dilemmas. The background is the general trend towards implementation of digital technologies in combination with new sensor technologies, wich are captured in debates about “smart farming”, “agriculture 4.0” and “precision livestock farming” (Bos et al. 2018). Combinations of sensors, robotics and digitized information enable remote, fine-grained and often real-time feedback, control and intervention. Apart from the potential for more efficient agricultural practices – e.g. improved fertilizer application based on real-time data on soil conditions – the information created also enables governance innovations, while also raising new questions about the use and protection of data and the appropriate limits of observation. One of the main governance challenges in European agriculture is currently the maintenance of grasslands with high nature value, which are at risk of abandonment due to low economic value. Free-range grazing for premium markets, supported by agro-environmental payments, appears as the only viable perspective in many regions. Both value creation along premium value chains and public payments require reliable information, creating principal-agent problems. Can they be overcome by utilizing information available through technological innovations? Governance solutions taking up this challenge would have to design flows of information which balance enhanced credibility and precision of monitoring against concerns about surveillance and disclosure of sensitive business data. Using the example of virtual fencing, a revolutionary technology for grasslands revitalization, animal welfare and ecosystem services, we analyse how technological change enables new modes of agri-food governance. To account for contextual influence and variation, we compare pasture-based farming systems in three regions in Germany. We first analyse existing information flows and demands of stakeholders regarding adaptations of these flows in light of technological innovations (Rose et al. 2021; Pérez-Mesa et al. 2019). We then discuss how novel information technologies enable the credible communication of these improvements to consumers and authorities. We build on expert interviews with stakeholders along the value chain. Applying content analysis, we identify the current situation as well as needs and demands regarding information flows and their role in addressing governance issues. Based on the results, we discuss how emerging technologies are likely to enable new modes of agri-food governance that 1) address governance issues rooted in information asymmetries, such as credence goods and monitoring of sustainable farming practices; and 2) move towards more reflexive and adaptive governance arrangements.