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‘Certification and beyond: solutions for responsible agro-commodity governance’

Challenges & Responses

The Hague, 30th October 2014

Paul Wolvekamp

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CHALLENGES (7)

Half of global deforestation caused by production of beef, soy, palm oil, corn and timber – contributing to 15% of global GHG emissions (World Economic Forum, 2013).

Palm oil and soy are key revenue earners and source of economic growth – However: expansion brings serious social effects: land conflicts, labour issues, disharmony within communities, erosion local-regional food security.

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CHALLENGES (continued)

EU is worlds largest ‘’importer of deforestation’’ due to import of these commodities.

Global demand for palm oil and soy rapidly expands – especially. in India, China, Indonesia, …

RSPO and RTRS offer strongest standard to transform the mainstream market - However: market uptake CSPO & CSS lags behind.

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CHALLENGES (continued)

''Implementation Gap'': divide between standards and performance of growers in the field.

Governance deficit in producing countries: a lack of enforcement.

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Responses (4)

Actions to reform the sector, support governance and drive sustainability :

Support high quality certification – such as RSPO and RTRS – and ensure implementation through supportive NL/EU policies and measures in collaboration with producing countries:

Market Governance Implementation Sustainable landscapes & livelihoods

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Responses: through the market

Dutch Government reconfirms commitment to target 1,8 million ton RTRS certified soy by 2015, as agreed with Dutch industry.

Dutch government and EU should offer a level playing field to pioneering companies pursuing sustainable palm oil and soy– this requires regulation to address market imperfections.

NL/EU: International diplomacy: invite Indonesia, India and other EU member states and international traders to promote domestic market up-take of certified palm oil and soy.

NL/EU: Offer reduced import tariffs for certified palm oil/soy & re-direct tax gains into sustainability measures.

NL/EU: Offer level playing field: tax, tariffs and regulations: reward pioneers and punish free riders.

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Responses: Implementation

NL / EU / private sector: To help addressing the ''Implementation Gap” is:

Bridging divide between standard and real time implementation by growers in the field through monitoring, exposure, accountability and corporate culture reform - capacity building.

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Responses: Governance

NL/EU: Create enabling environment for legality compliance: e.g. through FLEGT type voluntary partnership agreements to promote stricter regulation of palm oil and soy production.

Collaboration around inclusive land use planning.

EU mandatory regulations – such as REDD – to be broadened to all agro-commodities – for all uses – include social criteria.

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Responses: Sustainable landscapes and livelihoods

NL/EU/ private sector – financiers: Support diversified ecosystem based land use systems

on which community based livelihoods and food security depend through land use planning, infrastructure, credit & extension services.

NL and private sector: Reach out and support communities and their support

groups: local NGOs / intermediary organisations.

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Salamat – Dank – Mucho Gusto