Spatially optimized manure management and nutrient recovery can reduce societal costs in a European livestock production hotspot.

Nutrient pollution from livestock incurs high societal costs in hotspot regions. Here we integrate spatial externality internalization and circularity incentives into optimized manure and fertilizer strategies using Flanders as a case study. Internalization cuts societal costs by a quarter by intensifying processing, prioritizing ammonia abatement near sensitive areas and reducing methane emissions. While carbon dioxide and nitrous oxide rise with processing, circular technologies mitigate trade-offs by reducing fertilizer demand.