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Managing Sustainability Sourcing Risk and Opportunities in Argentina at a landscape level: Workshop Report July 2017

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Table of Contents About Tea 2030 ............................................................................................................................................... 3

Background ..................................................................................................................................................... 4

1. Context.................................................................................................................................................... 5

2. Attendees ................................................................................................................................................ 7

3. Project Aims, Objectives and Workshop Process ................................................................................... 7

4. Insights: Regional Maps, Risks and Opportunities .................................................................................. 8

4.1.1 Social and Economic Risks ............................................................................................................10

4.1.2 Environmental Risks .....................................................................................................................10

4.1.3 Other Risks ...................................................................................................................................11

4.2 Examples of actions needed to address some of the risks identified .............................................11

Emerging list of Tools to Manage Risk and Grow Opportunities: .........................................................11

5. Outcomes: Shared Vision ...................................................................................................................... 12

6. Outcomes: Collaborative Actions ......................................................................................................... 13

7. Recommendations and Conclusions ..................................................................................................... 15

Appendix 1 – Extended List of Potential Actions Highlighted at the Workshop ........................................... 19

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About Tea 2030 Established in 2013, Tea 2030 is a global initiative bringing together leading organizations to help

create a sustainable future for tea. By identifying the challenges affecting tea and developing

innovative solutions, Tea 2030 aims to build a successful and sustainable sector across the globe.

Tea 2030 aims to work with organizations representing the full breadth of the sector, including

commercial businesses, NGOs, trade associations and academics.

Tea 2030’s focus is to:

- Complement and strive to identify gaps in current activity

- Deliver through existing agencies

- Focus on collaborative activity

- Share learnings across the tea sector and beyond

Tea 2030 is supported by a CEO and Steering Group. Members and partners involved in the project

include Camellia, the Ethical Tea Partnership, Finlays, IDH –the Sustainable Trade Initiative, S&D Coffee

& Tea, Starbucks, Taylors of Harrogate, Unilever, Tata Global Beverages, Fairtrade International, and

the Rainforest Alliance.

Forum for the Future serves as the secretariat for Tea 2030. Forum for the Future is an independent

non-profit that works with business, government, and other organizations to solve complex

sustainability problems. With a track record of systems thinking, network building, and tackling global

challenges through collaboration, Forum for the Future brings 20 years of sustainability experience to

the project.

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Background

The need for this project in Argentina emerged from the work of Tea 2030 North America (Tea 2030 NA),

a platform within the global Tea 2030 Initiative1. Argentina is a key sourcing location for the North American

tea industry. However, despite its significance, there is very little understanding of the sustainability risks

associated with sourcing tea from this region. It is in our collective interest to ensure that the tea industry

is able to support sustainable production, ensuring a resilient, vibrant, and prosperous industry in the years

to come.

Producing tea in Argentina has medium and longer-term landscape risks and opportunities. There are a

wide range of environmental, social and economic issues which could impact the future production of tea

and other key commodities, within the Misiones region. These include deforestation, climate change,

inflationary pressures and changing demographics; the impacts of which are being felt by producers, buyers

and other stakeholders within the tea industry. Equally, Misiones is blessed as one of the world’s most

biodiverse regions, with the unique species rich, Atlantic forest ecosystems. This gives Misiones a unique

opportunity for the tea industry, alongside other key land users, to work collaboratively to assess current

and future risks in the region and identify areas for individual and collective action.

On May 16, 2017 Tea 2030, S&D Coffee and Tea, Casa Fuentes and Finlays hosted a workshop in Misiones,

Argentina to explore opportunities for collaboration to maximize opportunities to identify and manage

landscape-level risk across key sectors within the Misiones region. By developing a more holistic landscape-

level approach to tea production and sourcing, the workshop aimed to increase industry understanding of

potential risks, risk mitigation, and how to accelerate and scale up change. This project is part of the Tea

2030 Landscapes Workstream, which is a critical focus area of action for the Initiative. Tea 2030 members

identified the need to drive forward change in the tea industry by developing a more holistic and

collaborative landscape-level approach to tea production and sourcing. This project will share learnings

with the aim of accelerating and scaling-up progress in this area across the industry.

This project is part of the Tea 2030 Landscapes Workstream, which is a critical focus area of action for the

Initiative. Tea 2030 members identified the need to drive forward change in the tea industry by developing

a more holistic and collaborative landscape-level approach to tea production and sourcing. This project will

share learnings with the aim of accelerating and scaling-up progress in this area across the industry.

1 https://www.forumforthefuture.org/project/tea-2030/overview

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1. Context

1.1 What is a landscape approach?

To date, many sustainability initiatives in tea have been implemented through supply chain interventions and take

place at estate level (a sustainable land management approach). Much of this work has been through individual project

activities, or focused on technical assistance provided around the work of voluntary standards and certifications which

may not be adapted to the local context, and is often limited to current short-term issues and solutions.

However, the viability of Argentina’s future – and that of regionals globally – in tea production is dependent on many

ongoing complex and connected external factors – economic, social and environmental. These create issues that are

too big and complex for any individual company or estate to tackle alone, as identified in the workshop (see Section 4

below).

The definitions below summarise current understanding of what we mean by a landscape and a landscapes approach:

Landscape: A landscape is a socio-ecological system that consists of natural and/or human-modified

ecosystems, and which is influenced by distinct ecological, historical, economic and socio-cultural processes

and activities.2

A landscapes approach: A conceptual framework whereby stakeholders in a landscape aim to reconcile

competing social, economic and environmental objectives. It seeks to move away from the often-

unsustainable sectoral approach to land management. A landscape approach aims to ensure the realisation

of local level needs and action (i.e. the interests of different stakeholders within the landscape), while also

considering goals and outcomes important to stakeholders outside the landscape, such as national

governments or the international community. A landscape approach may be undertaken by one or more

stakeholders who engage in actions independently, or by multiple actors as part of a collaborative, multi-

stakeholder process. This multi-stakeholder process is referred to as integrated landscape management3.

While individual estates and companies in Argentina can take positive individual actions, we believe it is essential that

Industry discussions on the Argentina region incorporate plans and actions for developing and integrating a longer-

term, landscape-level approach that is locally owned and prioritised.

This involves recognising the relationship between environmental and socio-economic issues across the Argentina

landscape, and driving multi-stakeholder cooperation (e.g. private sector, civil society and government) to achieve a

shared approach to future management of the region.

2 The Little Sustainable Landscapes Book, Global Canopy Programme, 2015 3 Ibid.

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1.2 Why Misiones?

Argentina is a key sourcing location for the North American tea industry and the US is the largest consumer

of Argentine black tea. However, despite its significance, there is very little understanding of the medium and

long-term sustainability risks associated with sourcing tea from this region. Limited whole-picture analysis has

been undertaken to assess the levels of risk in relation to a host of potential social, economic and

environmental challenges (including labor, climate change and biodiversity loss).

Wide-scale production of tea in Argentina only began in the 1950s and is relatively young compared to many

other parts of the world where tea has been grown for hundreds of years. Misiones and the Northeastern

region of Corrientes province are the main tea growing regions of Argentina. Over 90% of the tea grown in

Misiones is grown for the international market. Argentina contains 4,470 tea producers and 37,945 hectares

under cultivation. Unlike other tea growing regions, production is highly mechanized. 93% of the hectares

under cultivation are within Misiones so any discussion of tea in Argentina must focus on Misiones province.4

The tea that Misiones produces is well suited to the US market where most of the tea consumption is in the

form of iced tea.

However, producing tea in Argentina has many medium and longer-term risks. There are a number of

environmental and economic uncertainties that are felt by producers and buyers alike. By hosting a

participatory workshop in Misiones, Tea 2030 brought together different stakeholders in the tea value chain

in order to address uncertainties for the region and work together to create a stronger industry for all.

1.3 Why act now?

We live in uncertain times and the global tea industry is faced with an increasing number of local and international

risks. For Argentina, issues such as high levels of inflation, to weather fluctuations due to global climate change are

all impacting the tea industry and the Misiones region. In particular, Misiones is connected with the tea market in

North America so market demand and sustainability responsibilities are also important drivers.

The need for this project emerged from the work of Tea 2030 North America (Tea 2030 NA), a platform within the

global Tea 2030 Initiative5. Tea 2030 NA was started in 2014 to address key sustainability issues specific to the

North American tea industry. To better understand the regional industry and identify the common focus areas,

Forum for the Future (as the Tea 2030 Secretariat) facilitated a number of interactive regional workshops, most

recently at the 7th annual North American Tea conference on September 19, 2016 in Niagara Falls, Canada. At that

tea conference, the importance of addressing sustainability risk was re-emphasized, particularly in regards to

sourcing tea from the Argentine market.

In speaking with different stakeholders relevant to the Argentine tea industry it is clear that Argentina, and

Misiones specifically, are vital to the North American tea industry. The high level of development in the region,

strong relationships, and vulnerability to landscape level risk, mean that the area is ripe for collective action. Our

hope is that the collective actions that emerge from this project will contribute to this larger goal.

4 Statistics taken from Tea presentation of Ing. Agr. Patricia A. Parra, Infusions Chain Coordinator, Ministry of Agriculture, Livestock, and Fisheries, Argentina. “Overview of Tea Chain in Argentina” 2014. 5 https://www.forumforthefuture.org/project/tea-2030/overview

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2. Attendees Participating organizations for the May 2017 workshop in Misiones, Argentina included:

Aires de Valle Fundacion Biodiversidad

HPT S.R.L. Fundacion Escuela de Te – EAT

Casa Fuentes Imaflora

CETA Isla 9

Conservation International Las Treinta

Cooperativa 2 de Mayo Lypsia

Don Basilio Ministerio de Ecologia

Don Eduardo Misiones Tea Cluster

Don Layo S&D Coffee and Tea

El Vasco Schuchardt Tea

Finlays Solidaridad

Fontana Universal Commodities

Valmitran

3. Project Aims, Objectives and Workshop Process

The main aims of this project are:

- To support the development of a thriving tea sector in Argentina which improves livelihood outcomes while sustainably managing the producing landscapes, encouraging a restorative and holistic landscape-level approach to tea production.

- Catalyze collective action by local groups in the region.

The long term objectives are:

- To reduce medium and long-term sustainability risks, and build resilience in Argentinian tea production;

- To ensure long-term security of supply to businesses sourcing tea from Argentina; - Through this pilot, to explore alternative approaches to environmental, social and risk management

at a landscape level that can be scaled up and replicated across the global tea industry.

Workshop process

At the workshop we assessed, mapped, and prioritized key risks and opportunities with a focus on environmental, economic and social impacts. Additionally, we created a vision and discussed areas for collective industry action with all participants. The outline of the agenda of the day was:

1. Welcomes, workshop introduction and ‘Why Misiones’? 2. Misiones immersion, current environmental and social condition 3. Mapping and discussing risks and opportunities 4. A prosperous Misiones – a future vision exercise 5. Action – where can we best intervene collectively? 6. Next steps

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4. Insights: Regional Maps, Risks and Opportunities

The current and future viability of tea plantations in Misiones is affected by a variety of external

landscape issues, in this section we present a couple of maps that illustrate from Tea production to “hot-

spots” for conserving ecosystem services in Misiones as a region6. As well, we have summarised below

the key current, medium and long-term sustainability risks and opportunities identified through our

research and stakeholder interviews (with tea producers, purchasers, non-profits, and others in the

Misiones region), along with insights collected during the workshop.

In the year 2010 INTA developed an aerial photogrammetric study 7 which revealed important

information about Tea production. The departments with greater Tea production are Oberá with 15,577

ha and Cainguás with 10,008 ha, and together they concentrate 64% of the production territory. Since

last territorial census done by local authorities earlier this century, San Ignacio, San Pedro and Oberá

were the ones that presented higher surface growth, with increases of 41.65%, 35.97%, and 18.76%

respectively.

6 Those two sources are a few years old and we recommend to update this information as suggested on the recommendations section. 7 Relevamiento aerofotogramétrico de la superficie tealera existente en Misiones en el año 2010. INTA. Lysiak Emiliano

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Additionally below we selected a second map to help understand the spatial pattern of ecosystem services

for effective environmental policy and decision-making.

In the study Spatial Analysis of Conservation Priorities Based on Ecosystem Services in Misiones8 from 2012,

the results showed that areas for conserving habitat, carbon and soil ecosystem services, with a minimal

threat, tended to overlap. The study published by Multidisciplinary Digital Publishing Institute used a

geospatial decision-support tool (Marxan) to identify conservation priorities for habitat and a suite of

ecosystem services (storage carbon, soil retention and water yield) in Misiones, Argentina.

The study shows the importance of the largest remnants of native forest in Misiones and their role in providing

ecosystem services (Figure below). The prioritized planning units for the four targets in that study (carbon,

soil, water, and habitat) differ among themselves, showing areas where they overlap completely (i.e., full

purple a “win-win” situation) to areas with no overlap in light blue. Although protected areas were not

considered, planning units in these areas were often selected, particularly for habitat and carbon. The

solutions for all four targets included the central highlands and Yabotí region as prioritized areas, which are

not protected, yet can be considered win-win areas in providing multiple ecosystem services.

8 https://gisandscience.com/2012/09/20/spatial-analysis-of-conservation-priorities-based-on-ecosystem-services-in-the-atlantic-forest-region-of-misiones-argentina/

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4.1 Risks for tea production

The following risks were identified during the pre-workshop interviews with stakeholders as well as through

the workshop itself. The list is comprehensive and not ranked. The prompt question given to stakeholders

was: ‘what are some of the big social, economic, and environmental risks to tea production in Misiones?’

4.1.1 Social and Economic Risks

Financial: Lack of access to credit (for producers), prices paid for tea are unrelated to increasing cost, and informal market conditions can impact pricing and profits.

Infrastructure: lack of access to electricity, transportation options, and clean water in some areas. Additional issue around consistent power delivery to factories through existing infrastructure.

Improved business/economic model: shared investment to secure sustainable, quality tea production and robust market for Argentinian tea, including a value distribution model that rewards producers.

Inflation: Over the last two years Argentinian inflation has surged, in April 2016 it was above 40%. This situation makes it more expensive to transport tea from Misiones to Buenos Aires than from Buenos Aires to the USA.

Regulatory inconsistencies: the law is not constantly or equally applied to everyone. Regulations

are not applied equally across all stakeholders.

Corruption and lack of transparency: lack of visibility of law enforcement and lack of concrete

strategy/programmes from government.

High labor costs: Salary of farmers and other local stakeholders is much higher than other regions.

Migration/cultural changes: younger generations are abandoning agri-business, and are moving to cities or other industries.

Competition: with other industries such as timber or mate for land and water.

Tea producer’s concentration: the current production processes (collecting with machine) and global prices paid for tea are an unsustainable model for small producers. This situation is prohibiting them to invest on equipment and remain competitive in a larger scale. As a forthcoming result some see a future without small producers.

Low economic value: tea commands a low price worldwide

High investment for certification: the cost is high for small producers.

Lack of innovation: need for new methods and products.

Producer knowledge: Lack of small producer training.

4.1.2 Environmental Risks

Pests and Weeds: chronic problem of weeds and the red spider which require application of pesticides, herbicides, and other agrochemicals.

Energy: reliance on wood as the primary energy source for tea dryers and a lack of long term

options for renewable energy.

Climate change: erratic rainfall, temperature fluctuations – these seem to be escalating. Another example is wet wood chip; chip absorbs rain water becoming more humid, this is extending drying time and overall impacting on productivity.

Soil erosion: due to poor farm management practices.

Lack of waste infrastructure: final disposal of containers and other materials, including chemicals for agricultural production.

Water: scarcity and lack of management infrastructure.

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Deforestation: due to a low but present cutting of native wood, biodiversity loss as a result.

Shared soil: lack of cooperation between Mate and Tea producers. Both are intertwined in Misiones, the two industries impact each other.

Local biodiversity: tea production uses the biodiversity of the natural landscape that if threatened would have a negative impact on the tea industry and the wider region. Biodiversity is key to natural management of pest and disease, acts as a climate regulator and watershed manager.

Yield variability: due to climate change impacts, (e.g. inches of rainfall intensity concentration) yield is related to the capacity to respond to future weather variations.

4.1.3 Other Risks Market demand and tea pricing in North America – tea is priced too low and the consumer is used

to buying cheap tea;

Low return on investment for farmers growing tea – due to low price of tea

Price fixing by the government – pressure on smallholders

Deforestation within neighboring regions and countries

4.2 Opportunities for tea production

Examples of actions needed to address some of the risks identified

Involving smallholders in sharing in the planning and profit so benefits are felt by all;

Collaboration with schools to create momentum for individual action;

Clean drinking water in the area;

Sustainable/renewable sources of energy and incentives for local industries to generate electricity;

Greater industry dialogue on sustainability issues;

Promoting Misiones as an eco-province, harnessing local biodiversity to attract tourism and gain international recognition;

Foster younger generations’ relationship with Misiones to reduce migration;

A shared and inclusive long-term vision for the region;

Collaborate strategically with international partners to promote a more sustainable Misiones;

Interconnecting preserved natural ecosystems through creating a series of green corridors to enhance and protect indigenous fauna and flora.

Emerging list of Tools to Manage Risk and Grow Opportunities:

Certification through Rainforest Alliance, Fairtrade and other certification bodies.

Solidaridad is working with S&D on an initiative to support small farmers’ continuous improvement process.

The data management tool used in this program is Rural horizons > https://es.ruralhorizon.org/

More concepts are needed to better connect the value chain for solutions. An example is MIPI

http://imaflora.blogspot.com.br/2012_10_01_archive.html

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5. Outcomes: Shared Vision During the workshop participants were asked to think of a vision for a future Misiones in the context of 2030.

The summary below highlights some of the descriptors that were identified for such a vision and a number of

vision statements drafted by the groups:

5.1 Key descriptors used (unranked):

- Responsible production region

- Good water management practices

- Taking care of natural resources

- Payment for conservation services on top of tea sales

- 100% sustainable management

- Full traceability in the region

- High quality product

- Environmentally friendly

- Land adaptable for microclimate diversity

- Solved erosion problems

- Leaders in technological innovation

- Protected forests high in biodiversity

- Improved tea bush genetics, improving resistance to pests, diseases and drought etc.

5.2 Vision statements

A variety of interconnected mission statements for a sustainable tea growing region in Misiones were developed by

each group during the workshop. These are summarized here, followed by a suggestion for a vision statement that

brings these together:

“In 2030, Misiones is an eco-province and prosperous economic zone which efficiently exports quality

teas directly to the customer. We are seen as leaders in mechanization and modernization. Innovation

and diversification are constant demonstrations of the sustainable work we do”.

“Misiones is a region that produces commodities in a sustainable way and is recognized by its

technological innovation”.

“Misiones is a hub for agricultural innovation and value addition, becoming a case study for social

resilience”.

“By 2030, Misiones is a producer of quality teas with 90% of certified production supported by BPA

and a production cycle with low environmental impact and high social responsibility”.

Suggested vision statement:

The Misiones region is a global pioneer, incorporating regenerative agricultural technology and best practice in production to increase the wealth, health and vitality of its entire ecosystem.

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6. Outcomes: Collaborative Actions During the final part of the workshop the group identified a list of actions that would improve the short, mid

and long term sustainability of tea and other agricultural sectors within Misiones. Here we present the five

initial concepts developed by each group and shared in plenary during the workshop. These actions are not

exhaustive but a representation of possible priorities, and based on an extended list of actions developed

during the workshop (see Section 6.2)

There are clearer overlaps and commonalities among these ideas, with a majority identifying that there is a

need to develop a collective strategic approach before leaping to implementation.

6.1 Key concepts for collaborative action

A) Creation of a group that markets and brands Argentinian tea

Description / risk addressed:

This group would catalyse and support work from Camara del Te Argentino (CETA). This intervention seeks to

communicate internationally the benefits and sustainable initiatives within the Argentinian Tea sector. This

would include the provision of information and communicating with the consumers of Misiones tea market

(i.e. North American). This would raise awareness with consumers, improve visibility of Argentinians tea and

ultimately encourage consumers to pay a fair price for the tea, with improved prices ultimately benefiting

producers.

Objectives / focus areas:

Raise the profile of key sustainability initiatives with consumers and costumers of Misiones tea.

Build the reputation of Argentinian Tea associated with sustainability and quality. As a consequence producers

will receive a better price for certified Tea.

Team: this initiative would need participation from all producers and tea brands. A key partner would be a

consumer facing brand or retailer.

B) Develop a strategic plan to manage key risks and as a basis collaborative action

Description / risk addressed:

This intervention is a collection of different participants and actions developed during the workshop (see

Section 6.2), where the strength would come from an orchestrated coordination.

Objectives / focus areas:

Some of the key areas addressed by this initiative could be:

Production - Technical support for good practice adoption.

Governance - Manage commitment and responsibility from all organisations as part of the value chain.

Communication - Educate the end consumer on the long term benefits of using a sustainably produced

product.

Team: This initiative could involve government, NGO’s, companies, processing plants, academics, consumers

and producers.

C) Technical Assistance and Capacity Building

Description / risk addressed:

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This initiative would focus on producer education to raise awareness of climate change and its impacts on the

region. In parallel, also would address the opportunities for reducing youth migration and fostering the local

labour market. A first step would involve the creation a working group to develop a strategic plan of action.

Objective / focus areas:

Skills development of small holders, increasing regenerative agricultural practises to increase quality of crops

and innovate responses to climate change impacts on the region.

Team: This initiative would involve participation from government (INTA), private organisations and service

providers.

D) Market diversification

Description / risk addressed:

This idea would create a plan to create a more economically resilient region, and reduce dependency of one

market.

Objectives / focus areas:

Diversification of markets and improving quality of tea (including green tea) return the value.

Diversification of tea, focus on quality.

Map markets which are growth areas.

Technological innovation in R+D.

Develop flavour based tea.

One primary objective of this idea would be for customers to value certification and fostering fairer prices across the whole supply chain. Immediate next steps would involve setting meetings via CETA.

E) Misiones is world famous as a sustainable and diversified tea producing region

Description / risk addressed:

One of the risks this initiative would be tackling the ongoing trend of concentration of tea production and lack of government support to enable small holders economical resilience.

Objectives / focus areas:

Close collaboration with government, businesses and producers.

Continues the dialogue in open, constructive and cross sectorial meetings

Build an open knowledge library to disseminate sustainable practices tips to all producers. Team: Participants needed include producers, businesses and government.

In addition to those actions highlighted above, a larger list of complimentary ideas that couldn’t be developed further during the workshop were discussed and will need to be considered going forward. These are listed in Appendix 1 of this report.

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7. Recommendations and Conclusions

The Tea 2030 team have come up with the following set of recommendations and next steps for the

consideration of all stakeholders, representing the diverse range of groups working within the region. Many

of these will require collaboration across different producer groups (tea, forestry, citrus, Yerba Mate etc) and

between producer groups and governments, civil society organisations, certification bodies and tea brands.

As a result of the workshop, we know a number of organisations attending have had bi-lateral conversations

exploring opportunities for collaborative working. We also know that a producers group has been established

to explore how producer organisations can work together to address some of the challenges and

opportunities raised during the workshop. For the Tea 2030 team and our partners this is already an excellent

start. Building on this, our recommendations are a combination of actions which stakeholders can start on

right away, with minimal input and support from the Tea 2030 team, and longer term actions, providing the

requisite tools and capacity building/support structures for local organisations. Some of these longer term

actions may require more support and coordination from the Tea 2030 partnership and will be focussed on

providing the tools or capacity building programmes which will support local decision making within the

region.

7.1 Recommendations

7.1.1 Actions which stakeholders can undertake immediately

Based on the outputs from the workshop and conversations from key stakeholders subsequently, we

have listed some practical actions which we believe can address some of those sustainability risks

identified. These are actions that we believe could address at least two or more of the key risks in the

region and will need significant levels of collaboration. We suggest that this list is discussed and

prioritised by the new producer group, who may also have other potential suggestions. Our list is not

intended to be a definitive list of all potential actions. To see the long list of potential interventions

identified at the workshop please see appendix 1:

I. Supporting the local stakeholder ( Producer group)

We believe a local producer group has already started to be formed in Misiones, however it needs rapid

organisation and prompt schedule of meetings to be consolidated and start coordination and take this

work forward. This group in our view will play a key role in driving ahead action within the region,

building on the ideas generated within the workshop and listed within this report. A successful and

empowered group would need to have key local influencers, long-term visionaries and high

commitment from participants which will be performing as the action group for this project. The group

should represent the main producer organisations within the region and should also include those

outside the tea sector.

As an immediate priority this group should develop a clear terms of reference for its work/role. There is

then an opportunity to engage local stakeholders to define and agree a vision for the region, co-

define strategy in partnership with other stakeholders and other leading organisations, prioritise

working programs, and implement them. Additionally this group could organize informal local

gatherings for wider engagement and preserve stakeholder interest. Sharing insights, knowledge and

learnings would be a key role for this group

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If required, Tea 2030, could provide initial support by leading the formation, and advice if required.

II. Capacity Building and Knowledge Extension Services Programme

We know that the tea sector in Misiones needs to adapt to the key impacts of climate change. There are

also significant issues around the need to better understand and manage the impacts of pests (such as

red spider), adapt to weather extremes (droughts, flooding), reduce soil erosion and ensure that a new

generation of producers have the tools, skills and abilities to stay on the land. There are real

opportunities to address some of these issues by ensuring time and investment is put into capacity and

knowledge sharing programmes. There are opportunities to develop farmers’ school programmes for

example, based on peer to peer learning groups, or for producers to work with local governments,

certification bodies and brands on developing knowledge extension programmes, with local academic

or research bodies for example. We are aware that the long term viability of the tea sector also depends

on maintaining and encouraging, young farmers to stay within the sector. Stronger farmers can be more

resilient to climate change impacts and reduce the speed of large companies concentrating profits and

production. With the right levels of commitment and resources, we do believe there is an opportunity

to combine these programmes with incentive schemes that will encourage the next generation of

farmers to stay.

III) Biodiversity/Forest Corridors

Misiones has a unique asset – Its Atlantic Forests ecosystems are world renowned. Not only do they

attract investment and opportunities for eco-tourism, but they also help provide key services – clean

air, clean water, sustainably managed woodchip, opportunities to manage soil erosion and natural

predators that will reduce incidences of pests/diseases.

There are a number of ways to do this, but producers will need to work with other partners, particularly

local government organisations and other civil society groups. There is a real opportunity to accelerate a

programme of reforestation, working with civil society organisations such as the World Land Trust and

others to reconnect smaller pockets of natural forests.

To achieve this, also requires the Misiones provincial government to commit some time and resources

to such a programme – there is a real opportunity for Misiones to become an eco-region and a leader in

terms of best practice. To achieve this a landscape level management plan would be an invaluable

resource.

IV) Communicating and Marketing Misiones tea

One of the key issues that came out of the workshop was the need to create value for Misiones tea and

ensure producers are paid a fair price for their tea. This is essential if producers are to invest in the long

term sustainability of their farms. Whilst certification standards help (although not all tea producers we

spoke to saw the financial benefits of certification) there was a recognition that whilst, expanding

certification was seen as important, other ways were required to create long term value for tea

producers.

Many organisations identified the need for tea importing markets (North America) to pay more for the

tea and the need to connect consumer markets with Misiones (Argentinian tea). There is not an easy

answer here. We do believe however, there is an opportunity for producer groups to work with key

brands and exporters to explore how market opportunities can be diversified – potentially building

brand distinctiveness that links consumers with the uniqueness of place (Misiones). There may be some

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opportunities to improve the quality of Misiones tea and therefore create value addition opportunities

this way. We would recommend that further work be undertaken to explore these opportunities with

the key brands involved, however we also recognise the intricacies of a global market influencing local

production.

7.1.2 Medium/Long term actions

Whilst we think there are a number of needed short term actions that stakeholders can initiate, with some or no

support from Tea 2030 (as above) we think it’s essential, in order to monitor and manage risks in the long term, a set

of tools are needed that can help facilitate and guide decision making locally. These longer term actions and the role

that Tea 2030 plays, will be dependent on access to financial resources from key funding partners:

I. Develop a landscape level map of detailed risks, opportunities and action

Develop a landscape-level risk map and action plan based on input from the workshop and further regional

analysis. A tool could include a dashboard of key sustainability risks, at a landscape level, over time and

suggestions for managing or mitigating this risk. The map and dashboard could be publically available and

used as decision making tool for local partners. The aim of such a tool would be to empower local groups –

producers, businesses, governments and civil society organisations, with the tools that would enable decision

making processes which manage any risks/opportunities identified, its aim would be stimulate and foster local

action and collaboration. Such a tool could be developed in partnership with a local leading implementation

organisation with input, advice and guidance for the local advisory/producer group.

In terms of key actions we envision some or all of the following key elements:

- Work with a group of key stakeholders to define common priorities. This would be through interviews and

an initial meeting/workshop in conjunction with the Misiones producer group.

- Develop a series of indicators for the dashboard. This could potentially focus on 4 elements: natural capital,

production, human well-being, and governance. The Tea 2030 team would work with another partner, with

experience of pulling together these sustainability dashboards.

- Compile and analyse secondary data. We look specifically and ensuring we collate existing sustainability data

that underpin our analysis of risk, focusing datasets relevant to the four elements outlined above

- Design a communication tool set (dashboard, scorecard, and web mapper) that contains links to Sustainable

Development Goals (SDGs) and is updated with feedback from stakeholders.

- Second stakeholder workshop with stakeholders (both in Argentina and Tea2030 partners), to test initial

dashboard, scorecard.

- Launch of dashboard, including training local partners to update and maintain the dashboards.

II. Implement collaborative long term strategic actions based on landscape level map results

Local action plans/implementation programmes coordinated by local stakeholder groups could be formed

around prioritised initiatives from the landscape level risk map. For example, more work could be undertaken

to increase regenerative agriculture practices that are resilient to climate change impacts, and open tool

platforms (e.g. Cluster harvesting machine) for sharing knowledge that increase productivity and

competitiveness of farmers in the long run.

18

Whatever the nature of the project it is crucial to refine our planning and coordinate the short-term actions

as part of a wider web of a group interested to pioneer sustainability in Misiones. The local leadership group

could define how many collaborative actions the group can manage, as well as who would be leading and be

part of the implementation local team.

7.2 Conclusions

During the pre-workshop interviews and the workshop it became clear that a landscapes-based approach to

managing regional risk is essential to address some of the key shared challenges that many different producer

groups are facing. Whether it is climate change, deforestation, decreasing financial returns or access to

labour, these environmental, social and economic challenges require a cross-sectorial approach and

collaboration to develop practical and effective solutions.

This workshop was the first time that tea and other producers had come together in over 50 years of tea

production within the Misiones region. Over 60 stakeholders came together and many ideas for collaboration

and action. A few of these actions can be picked up by individual organisations, and in some ways are already

ongoing. Some actions can be achieved by only a small number of organisations coming together, but more

still will require many of those present at the workshop and wider stakeholders coming together and investing

their resources into making them happen.

There was recognition and excitement among stakeholders at the opportunity to collaborate to address some

of these challenges, whilst building a vision for a resilient, vibrant and prosperous tea industry over the next

50 years.

We believe there is a real opportunity to build on the momentum created at the workshop. To achieve action

that creates lasting change and impact requires locally based organisations to step up to the challenge,

supported where possible and as needed by international partners.

Local stakeholders, within the tea sector and beyond, can and should act now, based on a few of the

recommendations we have outlined in this report. The Tea 2030 team and our partners are more than happy

to provide advice and guidance on a number of the needed actions as and when required. We will be speaking

to a number of our funding partners to explore the possibilities of taking forward one or more of the longer

term actions in the meantime and will keep you informed of any progress.

We welcome any feedback or suggestions you may have and hope you will continue to work with us on this

exciting journey. Please contact Rodrigo Bautista, the Tea 2030 North-America coordinator:

r.bautista@forumforthefuture.org for further information

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Appendix 1 – Extended List of Potential Actions Highlighted at the Workshop

Production Finance Energy / Environment

Education / Open Knowledge

Consumer

Small producers strengthen partnership with government to receive financial and other support

*

Coordination among producers to define and maintain price that supports continuous standard improvements

*

Increase knowledge and awareness of sustainable practices (including how RAS Certification is value added for producers)

*

Creation of a support network (primarily small producers ) to assist each other

*

Contacts in October/November [unclear action, it needs clarification]

*

Access to international clients for financial and other support

* *

Develop pellets and products with tea waste to replace and reduce wood consumption

* *

A replicable model to share/create a bioreactor network to increase local production of biomass

*

Increase consumer awareness of the benefits of consuming Argentinian tea

*

Land conservation and water management workshop to increase sustainability aspect of production

* *

Waste management training in collaboration with government and all local stakeholders e.g. neighbours

* *

Creation of biological corridors to sustain, protect and enhance biodiversity

* *

Field Technician (new role needed) that supports and shares best practices and tea quality among producers

* *

Create a digital & physical exchange of ideas platform to crowdsource solutions and increase sustainable production

Water storage feasibility study and implications analysis * *

Communicate via strategic/friendly farmer channels the benefits of sustainable production

* *

Regular interaction among all institutions part of the value network to discuss adoption of better practices

* * *

20

Access to international costumers to increase investment alternatives

*

Develop new products/pellets from tea production to replace wood consumption

* *

Investigate and analyse possible biodiversity risk for the region

*

Develop a landscape environmental study to coordinate future investments

* * *

Study on current production costs from different producers and disseminate best practices among stakeholders

Intensify sustainable production via training and close collaboration with producers - a bottom-up approach

* *

Assess feasibility of increasing organic production * *

Development and implementation of renewable energy plans (incl. solar, wind, etc.)

*

Optimize tea quality to obtain better financial gains * *

Rebrand Argentinian tea as a sustainable and worldwide cutting edge production

*

Promote Argentinian tea in multiple markets, reduce the one market dependency

*

Develop cooperative banks to provide credits for technological developments

* *

Optimize Tea quality to obtain better financial gains *

Reduce percentage of "foreign" matter [needs more clarification] in plantations [needs more specificity]

* *

Factory optimization to reduce environmental footprint and energy demand

* * *

Foster and enable producers to plant wood that can be used as sustainable energy source

*

Open manual for sustainable farm management * *

A shared approach to plague control * *

Drinkable water training at home and schools *

A study projecting years left of land profitability with current production practices

* * * *

Increase incentives for younger farmers to stay in Misiones to work the land

* *

Collaborate with government to reward (e.g. tax reduction) compliant companies and punish dissident ones

* *

Diversify soil use for regeneration and increment farmer's income

* *