SustainabilityWhat Does it Mean for Ontario Agriculture?

21 January 2014 | Alliston, Ontario | Nick Betts

Sustainability

“Meeting the needs of the present without compromising the ability of future

generations to meet their own needs.” (Brundtland Report, 1987)

NOTSustainability

Economically viable

Environmentally sound

Socially beneficial

Social

EconomicEnvironmental

Sustainable

Resource UseEnvironmental ManagementPollution Prevention

Energy EfficiencySubsides/Incentives for Resource Use

ProfitCost SavingsEconomic GrowthR & D

Business EthicsWorkers’ Rights

Standard of LivingEducationCommunity DevelopmentEqual Opportunity

Environmental JusticeResource StewardshipLocal and Global View EquitableBearable

Viable

How Did We Get Here?

Atlantic Fisheries, 1992

Palm Oil, 2006

South American Soy, 2008

Input Manufacturer

Input Supplier

Producer Processor

Aggregator

Wholesale Distributor Retailer

Consumer

Post-Consumer

Green Packaging,Recyclable,

Compostable

Input Manufacturer

Input Supplier

Producer Processor

Aggregator

Wholesale Distributor Retailer

Consumer

Post-Consumer

Workers’ Rights,Fair Trade,Water Use

Green PackagingRecycling

Green Packaging,Recyclable,

Compostable

Input Manufacturer

Input Supplier

Producer Processor

Aggregator

Wholesale Distributor Retailer

Consumer

Post-Consumer

Sustainability,CSR,

Carbon Cost

Green Packaging,Recyclable,

Compostable

Workers’ Rights,Fair Trade,Water Use

Why is it Important?

» Long-term ability to deliver product˃ ENVIRONMENT - conservation, preservation, animal welfare

» Meet demand for product˃ SOCIAL – social justice, CSR, cooperative relationships

» Business viability (bottom line)˃ ECONOMIC - income, market access, market diversity

What Does This Mean To Me?

Key Aspects

1. Systems thinking and understandingi. Long-term goals and outcomesii. Value association (economic, societal, environmental)

– Understanding that non-financial outcomes will affect a business’ bottom line

2. Principled definition of sustainabilityi. For Farm – in 20 years:

1. Will I have resources available to continue business?2. Will my business be as profitable or more profitable?3. Will my actions cause deleterious effects on local society?

Sustainable Agriculture

Agricultural Practices

Agro

chem

ical

s

IPM

NM

P

Certi

fied

Seed

Social Issues

Hum

an R

ight

s

Com

mun

ity R

elati

ons

H&

S

Lega

l Com

plia

nce

Soil

Mai

ntai

ned

Biodiversity

Conv

ersi

on o

f Lan

d

Wat

erco

urse

s/ N

atur

al

Vege

tatio

n

HVA

s m

aint

aine

d

GHGs

Redu

ced

Water

Irrig

ation

Surf

ace/

Gro

und

wat

er

qual

ity

Geographic Trade-offs

- More on-farm data collection- More expensive- Strong government financial

support- 3rd party verification

- Governance through large corporations (Walmart)

- Little 3rd party verification- Low cost- Low robustness/market

acceptance

- Pioneers of sustainability (RSPO, Bonsucro, RTRS)

- Widely accepted and approved

- Focus on “continuous improvement”

On-Farm Sustainability

Soil Management

& Fertility

Crop Protection

Energy Efficiency

Maintain Biodiversity

Marketing PlanSuccession &

Business Planning

Health and Safety Training

Social Equality

Contribute to Environmental Conservation

On-Farm Sustainability

Maintain field-forest ratio

Prevents Pollution

Reduces Costs

Grass waterway/Buffer (Water Quality)

Economically Beneficial for

Farmer

Social Equality

Long-Term Thinking for Business and Environment

Precision Operations

Appropriate Tillage

Runoff/Wind Erosion

Prevention

International Sustainability and Carbon Certification (ISCC)

» Market-driven, not “Sustainability-driven”

» Energy market focus, moving into food (ISCC PLUS)

» Goal: Decrease environmental impact of consumer product

Sustainable Agriculture

Agricultural Practices

Agro

chem

ical

s

IPM

NM

P

Certi

fied

Seed

Social Issues

Hum

an R

ight

s

Com

mun

ity

Rela

tions

H&

S

Lega

l Com

plia

nce

Soil

Mai

ntai

ned

Biodiversity

Conv

ersi

on o

f Lan

d

Wat

erco

urse

s/

Nat

ural

Veg

etati

on

HVA

s m

aint

aine

d

GHGs

Redu

ced

Water

Irrig

ation

Surf

ace/

Gro

und

wat

er q

ualit

y

Conformity through Field To Market (FTM)

» Calculator» No certification/label value» Practice-focussed» Goal: Continuous

Improvement

Sustainable Agriculture

Agricultural Practices

Agro

chem

ical

s

IPM

NM

P

Certi

fied

Seed

Social Issues

Hum

an R

ight

s

Com

mun

ity

Rela

tions

H&

S

Lega

l Com

plia

nce

Soil

Mai

ntai

ned

Biodiversity

Conv

ersi

on o

f Lan

d

Wat

erco

urse

s/

Nat

ural

Veg

etati

on

HVA

s m

aint

aine

d

GHGs

Redu

ced

Water

Irrig

ation

Surf

ace/

Gro

und

wat

er q

ualit

y

The Sustainability Consortium (TSC)

Sustainable Agriculture

Agricultural Practices

Agro

chem

ical

s

IPM

NM

P

Certi

fied

Seed

Social Issues

Hum

an R

ight

s

Com

mun

ity

Rela

tions

H&

S

Lega

l Com

plia

nce

Soil

Mai

ntai

ned

Biodiversity

Conv

ersi

on o

f Lan

d

Wat

erco

urse

s/

Nat

ural

Veg

etati

on

HVA

s m

aint

aine

d

GHGs

Redu

ced

Water

Irrig

ation

Surf

ace/

Gro

und

wat

er q

ualit

y

» Promotes “credible, scalable, transparent process”

» Working Groups:˃ Clothing, Footwear & Textiles˃ Electronics˃ Food, Beverage, & Agriculture˃ General Merchandise˃ Home & Personal Care˃ Paper, Pulp, & Forestry˃ Packaging˃ Measurement Science˃ Retail

» Goal: Continuous Improvement through FTM

Round Table on Responsible Soy (RTRS)

» Built on RSPO/Bonsucro Multi-Stakeholder model

» Strong market acceptance in EU

» Product and Credit Trading» Goal: sustainable production

of soy

Sustainable Agriculture

Agricultural Practices

Agro

chem

ical

s

IPM

NM

P

Certi

fied

Seed

Social Issues

Hum

an R

ight

s

Com

mun

ity

Rela

tions

H&

S

Lega

l Com

plia

nce

Soil

Mai

ntai

ned

Biodiversity

Conv

ersi

on o

f Lan

d

Wat

erco

urse

s/

Nat

ural

Veg

etati

on

HVA

s m

aint

aine

d

GHGs

Redu

ced

Water

Irrig

ation

Surf

ace/

Gro

und

wat

er q

ualit

y

“Market Goal” of Sustainable Sourcing

Advanced OperationDeveloped OperationDeveloping Operation

How does your production

compare to ISEAL Principles?

International non-profit organization that codifies best practice for the design and implementation of social and environmental standards systems

» Facilitates development of BMP for social and environmental standards

» Market-developed» Scope includes Producers to

Retailers – Multi-Stakeholder

ISEAL Comparison

Criteria meets rigorous detail

Meets SAI Platform Principal Easy, Low

Criteria has some detail but lacking public info Partially meets SAI Platform Principal Moderate

Criteria lacking Does not meet SAI Platform Principal Difficult, High

Does not apply Unavailable

MULTI-STAKEHOLDER PROCESS

GOOD GOVERNANCE

CONFLICT OF INTEREST AND DISPUTE RESOLUTION

ACCREDITATION

LOGOS AND CLAIMS

MANAGEMENT SYSTEMS

CONTINUOUS IMPROVEMENT

CAPACITY BUILDING AND TRAINING

STAKEHOLDER ENGAGEMENT

SITE SELECTION AND MANAGEMENT

PLANTING MATERIAL

INTEGRATED CROP MANAGEEMNT

SUSTAINABILITY MANAGEMENT SYSTEM

ACCESS TO INFORMATION AND SUPPORT SERVICES

SAFETY, QUALITY AND TRANSPARENCY

FINANCIAL STRUCTURE

RELATION TO MARKET

DIVERSIFICATION

LABOUR CONDITIONS

TRAINING

STRENGTHENING LOCAL ECONOMY

SOIL CONSERVATION

WATER CONSERVATION

BIODIVERSITY CONSERVATION

INTEGRATED WASTE AND CROP BY-PRODUCT MANAGEMENT

ENERGY CONSERVATION

AIR CONSERVATION

EASE OF USE

INTEGRATION INTO ONTARIO SYSTEM

CURRENTLY UN-RECORDED REPORTING REQUIREMNETS

COSTS TO FARMER

STANDARDS

GOVERNANCE & REGULATION OF SYSTEM

SYSTEMS ENHANCEMENT

CRITERIAFARMING SUSTAINABILITY ECONOMIC

SUSTAINABILITYSOCIAL

SUSTAINABILITYENVIRONMENTAL SUSTAINABILITY ONTARIO CONTEXT

Assured Food Standard (AFS)

EISA

Environmental Farm Plan

Food Alliance

Global G.A.P.

LEAF Marque

Protected Harvest

Rainforest Alliance - SAN

SCS 001

RTRS

Continuous Improvement

Plan- Data/metrics available- Goals set

Do- Implement plan- Record data/metrics

Check- Verification (unbiased source)

Act- Evaluate process- Note changes- Assess new areas to improve business

Forecast» More Retailers-Farmer relationships

» Unification of corporate strategies

» Strong focus on 3rd-party verification

» Likely little/no premium, but, costs likely absorbed by processor

Nick Betts, P.Ag. | Market Development, Sustainability

Grain Farmers of Ontario

nbetts@gfo.ca | @SustainingAg Sustainability