SOUTH AFRICA: Innovation as a key element in the biodiversity Economy

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1 SOUTH AFRICA: Innovation as a key element in the biodiversity Economy Ms Natalie Feltman Date: June 2018 UEBT Conference: Beauty of Sourcing with Respect Paris Marriott Champs-Elysees, Paris VIII Biodiversity and Conservation

2 CONTEXT: ABS LEGISLATIVE FRAMEWORK IN SOUTH AFRICA Constitutional mandate CBD & Nagoya Protocol on Access to Genetic Resources & the Fair and Equitable Sharing of Benefits Arising from their Utilisation- administered by DEA Ratification CBD: 02 November 1995 NP: 10 January 2013 White Paper on Conservation & Sustainable Use of South Africa s Biodiversity of administered by DEA Constitutional Concurrent Mandate- 9 x Provincial Ordinance NEMA (1998), NEMBA (2004), BABS Regulations (2008 amendments 2015), Indigenous Knowledge Systems Policy (2004) -administered by DST Patent Amendment Act (2005)- administered by DTI 2

3 OVERVIEW: OVERALL POLICY OBJECTIVES To redress the injustice of the past in order to achieve socio-economic development goals ~ fair & equitable benefits sharing. To provide regulatory framework for bioprospecting / biotrade activities ~ attain conservation and sustainable utilization of indigenous biological/genetic resources ~ Permitting System. To provide obligatory requirements to the regulated sectors to recognize existing traditional knowledge on the usefulness of indigenous biological/genetic resources ~ Benefit Sharing Agreements. To provide obligatory requirements to the regulated sectors to seek permission from the land owners to access/collect indigenous biological/ genetic resources ~ Material Transfer Agreements and Benefit Sharing Agreements. To implement international regulatory obligations adopted by South Africa

4 PROTECTION OF RIGHTS OF PROVIDERS OF ACCESS TO IBSs & TK THROUGH MTA & BSA REQUIREMENTS Providers IBRs can be provided by land owners & Farmers, organ of states & communities. TK can be provided only by indigenous communities & Associations Indigenous biological resources (IBRs) Traditional knowledge (TK) Providers of IBRs would need to enter into an MTA and a BSA following a successful PIC process Providers of TK would need to enter into a BSA following a successful PIC process Material Transfer Agreement (MTA) Benefit Sharing Agreement (BSA) Benefit Sharing Agreement (BSA) Note: Annexure 11 of the BABS Regulations provides a pro-forma MTA and Annexure 12 of the BABS Regulations provides a pro-forma BSA 4

5 Key challenges inhibiting growth in the Bioprospecting Economy How do we increase the supply? 1 Limited supply due to the dominance of wild harvesting and low levels of cultivation How do we increase demand and local value addition? Low levels of local value addition and product development Limited local and international awareness other than the big five (rooibos, buchu, honeybush, Aloe ferox and Pelargonium sidoides) Difficult access to markets for products with IBRs Regulatory 5 Complex, costly and cumbersome national and international regulatory environment for a sector that straddles multiple industries Transformation 6 Lack of participation of communities and traditional knowledge holders in the sector 5

6 Key initiatives to drive growth in the Bioprospecting Economy How do we increase the supply? 1 2 Promote a mass cultivation drive of 25 plant species of strategic importance and increase cultivation by 500 hectares per annum Define management plans to ensure sustainable wild harvesting of 7 high value plant species to safeguard long term supply How do we increase demand and local value addition? 3 Establish a coordinating and facilitating BioPANZA (Bio Products Advancement Network South Africa) to harness existing initiatives and to address the innovation chasm Promote applied research, local processing, innovation and product development; and to promote the use and awareness of products with IBRs Regulatory 4 5 Fast tracking amendments of Chapter 6 of National Environmental Management Biodiversity Act (NEM:BA) to ease compliance while ensuring protection of the rights and benefits of traditional knowledge (TK) holders and alignment with Nagoya Protocol on Access and Benefit Sharing Improve efficiencies in the Bioprospecting Access and Benefit Sharing (BABS) permitting system Transformation is a cross cutting essential 6

7 End hunger, achieve food security and improved nutrition and promote sustainable agriculture Target 2.5 By 2020, maintain the genetic diversity of seeds, cultivated plants and farmed and domesticated animals and their related wild species, including through soundly managed and diversified seed and plant banks at the national, regional and international levels, and promote access to and fair and equitable sharing of benefits arising from the utilization of genetic resources and associated traditional knowledge, as internationally agreed. Through the Biodiversity Economy Strategy South Africa has embarked on a programme to increase cultivation by 500 hectares per annum of 25 plant species of strategic importance as well as develop Species Management Plans of 7 high value plant species to safeguard long term supply and to ensure sustainable wild harvesting. In doing so the promotion of access to and fair and equitable sharing of benefits arising from the utilization of genetic resources and associated traditional knowledge, as internationally agreed, will be achieved. 7 7

8 End poverty in all of its forms everywhere Target 1.4 By 2030, ensure that all men and women, in particular the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services, ownership and control over land and other forms of property, inheritance, natural resources, appropriate new technology and financial services, including microfinance. South Africa has adopted a strategy Towards gender mainstreaming in the environment sector. South Africa will create an environment that promotes transformation of informal IBR trade into the formal biotrade sector. As an example, cultivation projects will be focused on communities where we will build business capacity/entrepreneurship for marginalised communities and traditional knowledge holders who are engaging in business. Further we intend to improve access to finance and raise levels of investment specifically targeting women, the poor and vulnerable to ensure equal rights to economic resources. 8 8

9 Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation Target 9.5 Enhance scientific research, upgrade the technological capabilities of industrial sectors in all countries, in particular developing countries, including, by 2030, encouraging innovation and substantially increasing the number of research and development workers per 1 million people and public and private research and development spending. South Africa has established a coordinating network referred to as the Bio Products Advancement Network South Africa (BioPANZA), to harness existing initiatives and to address the innovation chasm. The BioPANZA will also promote applied research, local processing, innovation and product development; and to promote the use and awareness of products with indigenous biodiversity. Target 9.b Support domestic technology development, research and innovation in developing countries, including by ensuring a conducive policy environment for, inter alia, industrial diversification and value addition to commodities. 9 9

10 CONTACT DETAILS Ms Natalie Feltman Tel: Ms Phindile Langazane Tel: DEA website Hotline