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  • Good investments in agriculture and forestry can benefit smallholders and landscapes

Good investments in agriculture and forestry can benefit smallholders and landscapes

The finance pavilion stands beside the indigenous people's pavilion at the GLF Bonn 2017. Photo by Pilar Valbuena/GLF
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FTA COMMUNICATIONS TEAM

With companies increasingly being seen as key partners in scaling-up efforts to achieve sustainable landscapes, a growing number of private actors are moving from ‘do no harm’ to a ‘do good’ approach.

In light of this, Tropenbos International (TBI) – along with the CGIAR Research Program on Forests, Trees and Agroforestry (FTA), the Netherlands Development Organization (SNV), Finance Alliance for Sustainable Trade (FAST) and the Forests and Farm Facility – organized a well-attended panel discussion titled “Inclusive Finance and Business Models – Actions for Upscaling” at the recent Global Landscapes Forum (GLF) in Bonn, Germany.

Held in the Finance Pavilion, where FTA and TBI also shared a booth showcasing their work and research, around 40 participants came together to hear from five panelists, share ideas about what a do-good approach means in practice, and consider how it can be scaled up.

Watch: Inclusive Finance and Business Models – Actions for Upscaling

In opening the discussion, TBI Director René Boot said: “There’s a growing need for companies and for investors to basically upgrade their corporate social and environmental responsibility policy. We think it is time to move from ‘do no harm’ to ‘do good’.”

Boot pointed out that in order to make that step, it is important to know how to build businesses that are both profitable and can contribute to livelihoods, secure land rights, and make use of the entrepreneurial qualities of smallholders and small and medium enterprises. “Do we have enough information, do we have enough examples, to scale up?” he asked.

Attendees peruse the materials available at the finance pavilion. Photo by Pilar Valbuena/GLF

The first speaker, Herman Savenije of TBI, presented the findings of a working paper titled Improving the positive impacts of investments on smallholder livelihoods and the landscapes they live in, a joint effort from the Dutch Development Bank (FMO), TBI, Dutch organization for development HIVOS and the Royal Tropical Institute (KIT).

The report “developed some key points for the do-good approach for investment and business,” Savenije explained. The points in the report were divided into three categories: recognizing rights; active engagement; and “think landscapes” – which is also an overarching focus of the GLF. An increasing number of business cases show that the approach is feasible, but requires thinking, acting and partnering beyond a business-as-usual approach, he added.

Savenije suggested that mainstream investments and businesses often ignore and underestimate land governance, land rights and livelihoods issues, but failing to properly address the issues could lead to business and reputational risks. “So strengthening the position of smallholders and communities within value chains, within landscapes, makes business sense,” he said.

Carina van der Laan of SNV then discussed access to finance for smallholders in oil palm plantations in Indonesia, while Marcelo Cardozo of the Bolivian forest producer organization MINGA provided perspectives from indigenous producers on accessing finance for integrated territorial management, Francesca Nugnes shared FAST’s experiences in supporting small- and medium-scale enterprises on building workable, sustainable business models, and Paul Hol of Sustainable Forestry Investments (SFI) discussed investments in tree plantations in Ghana and Tanzania.

Aspects of the session echoed a discussion organized by TBI in September, which showed that a growing number of investors want to have a greater positive impact on people’s rights and livelihoods in areas where they do business.

Read more: Getting down to business: Seminar promotes shift toward inclusive investment

The finance pavilion stands beside the indigenous people’s pavilion at the GLF Bonn 2017. Photo by Pilar Valbuena/GLF

Following the panel discussion at GLF, TBI and FTA produced a report outlining its outcomes.

“In the context of agricultural and forestry production, a do-good approach means that commercial investments simultaneously improve the environmental integrity of the landscape and the livelihoods of the people living there, while making a profit,” the report read.

“This requires long-term thinking and investments, including investing in stakeholder engagement and building relationships. Initially, this may result in higher opportunity costs, which makes such investments risky for the private sector. How then can a do-good approach be operationalized on the ground?”

Finding ways to operationalize this approach should be one of the main goals of related research – to advance understanding not only on which business models have greater potential for sustainability and social inclusion, but also on the most effective ways for financial institutions to support scaling-up efforts – which is embraced by FTA’s work on innovative finance, said Pablo Pacheco, a Center for International Forestry Research (CIFOR) scientist leading the work.

Those involved are convinced about the need to team up to reach scale. The success of a do-good approach, thus, is considered to be largely dependent on collaboration and connections. The panel discussion was another step forward in contributing to these efforts.

Read more:

By Hannah Maddison-Harris, FTA Communication and Editorial Coordinator


This work is linked to the CGIAR Research Program on Forests, Trees and Agroforestry, which is supported by CGIAR Fund Donors.

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  • Integration is name of the game that forests and agriculture need to play

Integration is name of the game that forests and agriculture need to play

Banyan trees beside a river. Photo by FAO Forestry Mediabase
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FTA COMMUNICATIONS TEAM

Banyan trees. Photo by FAO Forestry Mediabase

Sustainable development of agriculture cannot be reached without acknowledging the important role forests have in landscapes and in value chains.

Agroforestry systems include not only traditional but also modern land-use systems where trees are managed together with crops and/or animal production systems in agricultural settings.

Whenever trees can be kept intact rather than be cleared for the purposes of agricultural production and forest ecosystems can thrive alongside crops, the more benefits are reaped. Considering this there is a need to facilitate the integration of agriculture and forestry relevant policies, allowing them to play better, together.

However, what is needed is a forward-looking focus on research, knowledge-generation and scaling-up with development of strong partnership among many different stakeholders. This is exactly what a side event at this year’s CFS 44 entitled “Forests, trees and agroforestry for food security and nutrition and the SDGs: Research and partners, toward a joint action agenda” aimed to debate.

The event itself was organized in a partnership between a large number of different stakeholders, including the CGIAR Research Program on Forests, Trees and Agroforestry (FTA), the Food and Agriculture Organization of the United Nations (FAO), The Netherlands Government, Tropenbos International and SIANI.

A strong case has been made for scaling up agroforestry in order to address the need for more productive and sustainable use of the land while assuring livelihoods and quality nutrition for the growing world population. In fact, as stated by FAO in their presentation on agroforestry, there is a constantly growing body of scientific literature that clearly demonstrates the gains accruing from agroforestry adoption, especially in regards to the improvement of the environment and people’s lives.

Continuing to invest in research is therefore essential. As FAO outlines “the agroforestry systems are dynamic, ecologically based, natural resource management systems that diversify and sustain production in order to increase social, economic and environmental benefits for land users at all scales.”

Click here to read the full story on the CFS website, by #CFS44 Social Reporter Ksenija Simovic.

As part of the live coverage during CFS44, this post covers the Forests, trees and agroforestry for food security and nutrition and the SDGs side event.

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  • Why good policies and public funding (only) won’t change the world

Why good policies and public funding (only) won’t change the world

Photo by G. Smith/CIAT
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FTA COMMUNICATIONS TEAM

Photo by G. Smith/CIAT

We have been cutting trees to plant food crops since the beginning of time. Forest cover loss is a major contributor to climate change – the biggest challenge of our times. So, we won’t save the world without saving forests.

However, while the connection between forests and climate is very well recognized, agriculture is an elephant in the room at climate talks and a rare bird at discussions about forestry.

International deforestation curbing policy infrastructure is well developed. It includes the New York Declaration on Forests, the Bonn Challenge, Initiative 20×20, AFR100 and now also the UN Strategic Plan on Forests 2017-2030, just to mention a few of its components.

These are all great, but throwing billions at conservation and afforestation won’t work without making agriculture sustainable and zero-deforestation.

“Foresters must get out of the woods and focus more on deforestation drivers!” invokes Hans Hoogeveen, Ambassador to the FAO of the Netherlands, at the “Forests, trees and agroforestry for food security and nutrition and the SDGs” side event during the 44th session of the Committee on World Food Security.

Click here to read the full story on the CFS website, by #CFS44 Social Reporter Ekaterina Bessonova.

As part of the live coverage during CFS44, this post covers the Forests, trees and agroforestry for food security and nutrition and the SDGs side event.


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