Welcome to today s webinar How companies are managing biodiversity in their supply chains

Transcription

1 Welcome to today s webinar How companies are managing biodiversity in their supply chains Presenters Verity Lawson, British American Tobacco; Steven Lowe, Fauna & Flora International; Joseph Yalley-Ogunro, Biodiversity Partnership

2 Managing biodiversity risk and opportunities in agricultural supply chains Verity Lawson, British American Tobacco Steven Lowe, Fauna & Flora International Joseph Yalley-Ogunro, Biodiversity Partnership 22 May 2014

3 Why biodiversity? Soil health and erosion control Water availability and quality Pollination Pest control Agricultural productivity all depend on biodiversity So biodiversity is key for the long term sustainability Of businesses with agricultural supply chains Of species and local communities who depend on the availability of these resources

4 Why is biodiversity important to BAT? Secure and sustainable supply chain Buys some 400,000 tonnes of tobacco leaf each year to make its products Majority is grown by over 100,000 smallholder farmers worldwide Reputation with key stakeholders We have a responsibility to ensure our operations and activities do not deplete the availability of natural resources that species and local communities depend on Protecting biodiversity makes good business sense

5 BAT s approach Supporting farmers Skilled network of local field technicians providing on-the-ground support to over 100,000 smallholder farmers Covers sustainable agriculture practices Not just for tobacco Setting standards Social Responsibility in Tobacco Production programme sets minimum standards Includes biodiversity criteria Working in partnership

6 Established by BAT in 2001 With three international conservation NGOs

7 Partnership Focus Areas 1 Operational projects 2 Broader projects 3 Enhancing the sustainability of BAT leaf-growing operations Focused projects in selected tobacco-growing locations with local NGOs Developing tools, undertaking research, and delivering training for better agricultural policy development and decision making Assessing and addressing biodiversity risk and opportunities in BAT leafgrowing operations

8 Biodiversity Risk & Opportunity Assessment (BROA) A field-based tool which enables you to: Identify the impacts and dependencies of business operations on biodiversity in agricultural landscapes Assess and prioritise the risks and opportunities arising from those impacts and dependencies Produce action and monitoring plans to address the identified risks and opportunities

9 Three key phases Planning and information gathering Stakeholder mapping and identification Map operations against areas of biodiversity importance Identifying, investigating and prioritising risks and opportunities Stakeholder engagement to identify initial risks and opportunities Gather more detailed knowledge with site surveys Analyse and prioritise risks and opportunities Action and monitoring plans Develop action and monitoring plans with stakeholders Approval of plans by company senior management Address capacity needs and outsource where required Monitor progress with regular stakeholder review and site surveys

10 Creates shared value Ecological sustainability Conservation value of agricultural landscapes Landscape conservation of biodiversity and ecosystem services BROA Business sustainability Impacts and dependencies Risks and opportunities Supply chain security Improved collaboration with external stakeholders Social sustainability Ecosystem service provision Rural livelihood security 1st round of BROAs completed in 100% of BAT leaf-growing operations

11 Case study Lombok Ecosystem-based approach to watershed management in a key agricultural area, Lombok, Indonesia

12 Case study Lombok Context The tobacco sector in Lombok, Indonesia, is significant to the island s economy BAT s operating company, PT Export Leaf Indonesia (ELI), partners with almost 3,000 smallholder farmers every year In 2007 PT ELI was one of the first BAT Operating Companies to implement BROA

13 Case study Lombok BROA findings Two highest priority biodiversity risks identified were: 1. unsustainable wood-fuel use for tobacco curing 2. water catchment degradation reducing water supply for agriculture ELI is addressing on-farm operational risks but watershed degradation is driven by many factors at multiple scales which ELI and its farmers cannot solve alone

14 Case study Lombok Action plans resulting from BROA Method and capacity to monitor wood fuel use Pilot activities using integrated watershed management In partnership, FFI and ELI established a supply chain for candlenut shells 25 farmer groups planting >400,000 candlenut trees ELI and other companies use candlenut shells for curing

15 Case study Lombok Action plans resulting from BROA BAT Biodiversity Partnership provide support for the Lombok Watershed Project to address the wider impacts and dependencies in the landscape Project partners: ELI; Fauna & Flora International (FFI); University of Mataram, Lombok; District Government; local NGO partners; village communities

16 Case study Lombok Actions: Watershed Planning Develop an Integrated Watershed Management Plan (IWMP) for an important agricultural catchment Support provincial regulation on watershed management across several Islands in West Nusa Tenggara Province

17 Case study Lombok Actions: Institutional development Establish a district Watershed Forum to implement watershed plan and leverage funds Reinvigorate an Island-wide Watershed Forum Support a Forest Management Unit with Forestry Department

18 Case study Lombok Social/environmental benefits Demonstration plots in six villages across the watershed as a model for livelihood and BES benefits Community planting of 76,000 seedlings of native multi-purpose tree species 63 women s groups received training on product processing and accessing markets Special focus on protecting and rehabilitating degraded upper watershed forests Strengthen community water spring management group Legal land tenure for 134 households for sustainable forest management Community-led Payment for Ecosystem Services scheme rewarding sustainable land management Village regulation and management body set-up to increase capacity for natural resource management based on indigenous wisdom in 2518 ha

19 Case study Lombok Social/environmental benefits cont. Monitoring of Ecosystem Services delivery Project partners monitoring hydroclimatic variables, water supply, carbon stock and biodiversity under different land uses Wider education and awareness raising activities including quarterly policy newsletters, local and national TV coverage, promotional videos

20 Case study Lombok Business benefits Demonstrates leadership and responsibility: o ELI is an active watershed stakeholder building reputation and relationships with government and community o ELI is seeking solutions for collective problems of watershed degradation Helped develop ELI s strategy and supply chain for business operations (curing) ELI is raising agriculture sector issues on sustainable fuel use and dependencies through the watershed forums Project synergy with ELIs existing sustainability programme

21 Key challenges for BAT COLLATING INFORMATION from assessments across the globe COMMUNICATING large amounts of information in an engaging and meaningful way INDICATORS there is a lack of globally-recognised biodiversity indicators NO ONE SIZE FITS ALL APPROACH different strategies and actions are needed specific to each location

22 Key benefits for BAT BUILDING AWARENESS & CAPACITY for the importance of biodiversity across the Group CONSISTENT APPROACH to identify, assess and address biodiversity risk and opportunities EXTERNAL RECOGNITION as examples of best practice SUPPLY CHAIN SECURITY by helping to protect future leaf supplies ENGAGEMENT PLATFORM collaboration with people who live and work in agricultural landscapes

23 External recognition

24 Not just for tobacco BROA can be used by ANY organisation: With an agricultural supply chain or operating in an agricultural landscapes That has recognised the shared responsibility to conserve and manage the sustainability of the landscape, biodiversity and ecosystems on which they depend

25 Why choose BROA? Developed, trialled and implemented on agricultural operations in 20 countries globally Updated version builds on experience from first round and independent external review Based on classic risk management approach and used by a FTSE Top 10 company Adopts a landscape approach to biodiversity and sustainable practices and catalysing inclusion of stakeholders Can be applied by non- specialists to manage agricultural supply chains and future proof their operations

26 Biodiversity Partnership offer Open access BROA Tool which is free for any organisation to use Remote technical support for your company whilst conducting a BROA, and for identifying a Conservation Partner for the assessment Training in country of implementation for the team conducting the assessment In return, we ask: Feedback on the process that you'd be willing to share, ideally a landscape level case study of your experience using BROA

27 Download and more information DOWNLOAD: The BROA Tool, training material and podcasts from the Biodiversity Partnership website