EIB’s Biodiversity and Ecosystem Services

1. EIB’s Biodiversity and Ecosystem Services The BioTrade Initiative: sustainable trade of biodiversity products & services Lorena Jaramillo – lorena.jaramillo@unctad.org Economic Affairs Officer

2. Overview • Importance of BD and opportunities for sustainably produced p/s • The BioTrade Initiative • Lessons learned

3. I. Importance of BD and opportunities for sustainably produced products and services Human wellbeing: food, shelter, medicines, productive soil, clean air, recreation… Used by different users in different sectors – ingredients and products

4. Global trends for personal care • Consumption of cosmetic and toiletries is not restricted to women, but also man. • Global demand of natural and organic cosmetic and personal care products is significantly growing, particularly for sustainably sourced natural ingredients. Europe: market grew by 11.7% (2009 to 2010), expected to reach €6 bn by 2015. USA market grew by 11.9% (2010), expected to reach $6.7 billion in 2015. Asia expected sales growth of $16.2 billion by 2015 (14% growth rate since 2005). Brazil: fastest-growing market with total sales of R$7.5 billion (2010), expected to surpass R$13 billion in 2015. Source: N Barwa, Indonesia cosmetic association, April 2012

5. Biodiversity, business and market opportunities Sustainability is extremely or very important for • Biodiversity is seen as an opportunity (59% of executives) • may allow their businesses to grow – new products / markets, • obtain cost savings • building an environmentally responsible reputation • comply with regulations By 2050 (in 2008 prices), sustainability-related global business opportunities in natural resources (energy, forestry, food and agriculture, water and metals) - US$ 2-6 trillion Source: McKinsey Global Survey, March 2010 Source: TEEB – The Economics of Ecosystems and Biodiversity. Report for Business - Executive Summary 2010

6. Opportunity for sustainable practices In addition to the consumer trends Developing countries are rich in BD which is traditionally used, but is being threatened Need for sustainable pro-poor/feasible economic activities • 70 % of the world's poor live in rural areas & directly depend on those resources to cover 90% of their needs in terms of food, fuel, medicine, shelter and transportation • Some 1.6 bn people depend on forest and NTFP for their livelihoods and over 3 bn depend on marine and coastal resources Initiative that links the conservation, sustainable use and trade of biodiversity (BioTrade)

7. II. The BioTrade Initiative of UNCTAD

8. What is BioTrade? BioTrade refers to those activities of collection, production, transformation, and commercialization of goods and services derived from native biodiversity (species &ecosystems) under the criteria of environmental, social and economic sustainability. Principles • Conservation of biodiversity • Sustainable use of biodiversity • Fair and equitable sharing of benefits derived from the use of biodiversity • Socio-economic sustainability • Compliance with national and international regulations • Respect for the rights of actors involved in BioTrade activities • Clarity about land tenure, use and access to natural resources and knowledge

9. BioTrade network Activities are implemented by national, regional and international partners that foster BioTrade, its Principles and Criteria Established a platform of national, regional and international public and private organizations working for the conservation & sustainable use of biodiversity, and a fair and equitable distribution of benefits Support the development of BD-based sectors Under development: Costa Rica, Indonesia (national). - UEBT: Tanzania, Ghana

10. Sectors supported • Natural ingredients and products for cosmetics, food and pharmaceuticals industries • Wild life trade for pets • Flowers and foliage • Crocodile products • Fish products • Handicrafts • Sustainable tourism • Impact 2011 • Employment 30,000+ individuals @ first stage of the value chain (suppliers) • Sales US$4.1 billion (€3.1 billion), (growth 17% for 2010 and 76% for 2011) • Area of influence: 19,3+ million ha

11. Market access Post-harvesting Processing Production Commercial Consumption • Trade fairs, B2B programmes, information • Overcome market barriers: Novel Foods Regulation of the EU • Consumer’s awareness and market differentiation • Funding: credits, factoring

12. Processing & quality improvement Commercial. Production Post-harvesting Consumption Processing Fulfilling market requirements: Enhance facilities of companies, training on GMP, develop VA and high quality products

13. TA & training for cultivated spps. Post-harvesting Processing Consumption Commercial Production Support in implementing GAP

14. TA for wild collected spps. Wild collection Post-harvesting Processing Consumption Commercial Development of management plans • Identification of collection areas and collectors • Assessment of managed resources • Definition of good practices to be implemented • Definition of follow-up and monitoring systems • Implementing documentation systems Methodology available at ww.biotrade.org

15. III. Opportunities & challenges Market driven Common goal with fair distribution of benefits Engagement of actors – private & public Enabling policy environment Service providers structure Financing

16. Questions and answers Thank you For further information: www.biotrade.org BioTrade is supported by the Swiss State Secretariat of Economic Affairs (SECO), Government of Norway, Spain, The Netherlands, as well as the UN Foundation

17. BioTrade video: Practical experiences: the food & fashion sectors Preparedwiththesupport of the UN TV, theSwissSecretariatforeEconomicAffairs (SECO) and UNCTAD