Agroindustry Standards for Biodiversity Conservation Dave Gibson

Chemonics International

Biodiversity Conservation in Agriculture Symposium

Punta Cana, Dominican Republic

May 31 – June 2, 2006

Outline

Driving Forces for Biodiversity in Agrifood

Typology & Application of Biodiversity Standards

Common Obstacles & Opportunities for

Agriculture Remains at the Center of The Global Biodiversity Crisis

70% of forest loss due to agricultural conversion

90% of the world’s forests lay outside of protected areas

If only current protected areas remain as habitat, we risk losing between 30-50% remaining species

Shifting Agrifood Concerns

1970s

1980s

1990s

2000

2005

Supermarket Consolidation Drives Agrifood Interests

0102030405060708090

100

1940 1950 1960 1970 1980 1990 2000 2010

%

U.S. FranceBrazil & Korea China

* Courtesy Tom Reardon, Michigan State Univ.

Standards & Arm-Length Trading

Ensure quality conformity

Provide product traceability

Product Safety & healthiness

Cost reduction

Capture the value of environmental goods and services

Move “Pure Public” goods to “Market Goods” box

Risk Reduction!Risk Reduction!

Consumers

Producers

StandardsStandards

SuppliersSuppliers

ProcessorsProcessors

Value Chain Standard Types

Retail – Starbucks CAFÉ, Fair Trade, Food Manufacturers – BRC, IFS, ISO 14001/22000 Agricultural production – EurepGAP Meta-standards – Organics, Rainforest Alliance, BMP

ProcessorsBrokers Retailers ConsumersFarmers

RetailManufacturerProduction

Meta Standards

Retail – Starbucks Café Subject Area: Environmental Leadership Principle: Employ coffee farming

practices that maintain and enhance the presence and viability of biological resources found within and adjacent to coffee production areas

Criteria, Indicators & Scoring Maintain coffee shade (5 pts) Protect wildlife (5 pts) Establish conservation areas (5 pts)

Food Manufacturers – British Retail Consortium (BRC)

Aimed food safety, traceability, quality management

Integrates raw products through finished foods

Waste disposal must meet national regulations

Contamination of product more important than ecosystem loss

Agricultural Production - EUREPGAP

1 Minor Must and 5 Recommendations: Has a conservation management plan

been established (either individually or on a regional basis)?

Documented wildlife conservation plan that refers specifically to the farm

Baseline audit of species and HVC areas

Actions to expand diversity to other sites

Meta-standards – Sustainable Food Lab

Soy, Sugar, Palm Oil, Cotton Focused on non-3rd party

verification:

Sustainable Food Laboratory

Sustainable Agriculture Initiative Platform

IFC BMP Program

Meta-standards – IFC’s BMP Program

Crop Places Impacted

Partnering Corporations

Cotton India, Pakistan, Brazil, China, West Africa

Adidas, GAP, IKEA, H & M, Nike, Wal-Mart, Rabobank, ABN-AMRO

Sugar-cane

Brazil, India, Honduras, East Africa, Vietnam, Australia, US

Cadbury-Schweppes, Cargill, Coca-Cola, Tate & Lyle, Unilever, SAB Miller, Rabobank, IFC

Palm Oil

Indonesia, Malaysia, Honduras, Brazil, PNG

Unilever, Cadbury-Schweppes, The Body Shop, IFC

Soy Brazil, Argentina, Paraguay, US, China

Unilever, Bunge, COOP, Cargill, Group AMaggi, IFC, Sadia, HSBC, Rabobank, HSBC, ABN-Amro,

Meta-standards-Rainforest Alliance/SAN

Principle Criteria Indicator

Wildlife Protection

Wildlife & habitat inventory maintained

Lists of species Habitat maps Field signage

All key ecosystems identified Written policy Restoration activities T/E habitats managed

Ecosystem Conservation

All ecosystems must be protected Recovery plan for T/E’s Shade tree conservation Demonstrated understanding

Aquatic ecosystems on and off farm maintained

Policies & procedures in place Proximity to PA’s, BZ & corridors Sustainability biologically demon.

Biodiversity within Organic Standards

Land Clearing

Set Asides

Buffer Zones

Wild Products

Waste Water

IFOAM Primary ecosystems prohibited

Significant portions

Only buffers prohibited

substances

Harvest yield only from

sustainable environments

No surface water

pollution

USNOP N/A N/A Only buffers prohibited

substances

Sustain growth of wild

crop

Restricted to farm only

BIO-SUISSE

Primary & secondary

forests prohibited

7%

of total area

Managed buffers count

toward set aside

Sustain growth of wild

crop

3 meter riparian

exclusion required

EU N/A N/A Only buffers prohibited

substances

Sustain growth of wild

crop

Restricted to farm only

USNOP Biodiversity Rules

Organic production: A production system that is managed in accordance with the Act and regulations in this part to respond to

site-specific conditions by integrating cultural, biological, and mechanical practices that foster cycling of resources, promote

ecological balance, and conserve biodiversity.

But there are no specific requirements stated!

§205.203(c) “Manage plant and animal materials to maintain or improve soil organic matter content in a manner that does not

contribute to contamination of crops, soil, or water by plant nutrients, pathogenic organisms, heavy metals, or residues of

prohibited substances.”

Formulate Policy

Implementation

Corrective Action

Management Review

Develop Plan

ContinualContinual

ImprovementImprovement

1. Develop conservation policy appropriate to farm operations

2. Conduct baseline inventory to understand conservation needs

3. Set Objectives & targets for HCV areas and, other farm operations

4. Implement the conservation policy & plan

5. Benchmark performance of conservation system

6. Set aside resources and management time to review and modify system

7. Communicate results!

Common Elements of Standards

Emerging Trends – Obstacles

Food safety concerns overshadow biodiversity

Lack of landscape planning context & capacity

Inadequate incentives for conformance

Access to standards Cost of maintaining certification

Emerging Trends: Opportunities

Proliferation slowing Structural uniformity Planning & management-driven Ecosystem focus emerging Local capacity growing Consumers starting to pay Multinationals listening

Project-Level BMPs

Assure that biodiversity standards are routine values within BDS outsourcing projects

Build conservation awareness & capacity in associations as part of competitiveness strategies

Ease conservation standard entry by clustering producers & processors or retailers

Consider working with DCA & multilaterals to establish credit windows & insurance for “certified” commodities

Promising Approaches Include

Accelerate access to clean production through regulatory relief, P2/CP tariffs, and P3’s

Review & strengthen host country capacity to promote & support application of environment and conservation standards

Help build 3rd party capacity to implement and audit to private standards that incorporate conservation values

Trade Integration Standards Support Solutions

Trade Standards Practitioners Network Established

Conduct routine screening of project interventions for market conformity, compliance with regulations, and cost reduction

Guide series demystifies standards

Trade Standard Integration Portal

www.tradestandards.org

Required Voluntary

National Regulatio

ns

National Regulatio

ns

Conventions &

VoluntaryInitiatives

Conventions &

VoluntaryInitiatives

InternationalVoluntaryStandards

InternationalVoluntaryStandards

National

International

Trends in Biodiversity Standards