Bridges Trade BioRes Review • Volume 3 • Number 2 • October 2009

Engaging Business in the Conservation and Sustainable use of Biodiversity

by Rik Kutsch Lojenga and María Julia Oliva

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Biodiversity is depleting at a faster rate now more than ever before. And with the world’s population dependent on biological resources for food, health, and economic welfare, reversing this worrisome trend is a global challenge. Yet discussions at the Convention on Biological Diversity (CBD) - the most comprehensive international agreement on biodiversity - have not managed to fully engage the range of stakeholders and affected parties in order to find a collective solution.

The role of the private sector in the conservation and sustainable use of biodiversity, in particular, still needs to be further explored and developed. Many economic and industrial sectors rely heavily on biodiversity and their actions can have a major impact on the health of ecosystems and biological resources. As noted by Jean-Christophe Vié, Deputy Head of the Species Programme at the World Conservation Union (IUCN), the economic impact of biodiversity loss is immense: “Think of fisheries without fishes, logging without trees, tourism without coral reefs or other wildlife, crops without pollinators.”[1] Similarly, encouraging business and industry to adopt and promote good practices on the conservation and sustainable use of biodiversity could make a significant contribution towards reaching the objectives of the CBD.

The CBD has recognized the importance of engaging the business community in the implementation of its work. At its 2006 meeting in Curitiba, Brazil the Conference of the Parties of the CBD issued the first decision to focus exclusively on business involvement. This decision - formally known as Decision VIII/17-focuses on bringing together national governments and the business community during the development and implementation of biodiversity strategies and action plans; encouraging the participation of businesses in CBD processes; and compiling and developing good biodiversity practices.

Other initiatives likewise attempt to address the need for more business involvement in the conservation and sustainable use of biodiversity. This includes the CBD-led ‘Business and the 2010 Biodiversity Challenge’ meetings, which explore new ideas for engaging the private sector (the next meeting is scheduled for December 2009 in Jakarta). Work on ‘The Economics of Ecosystems and Biodiversity’ - better known as TEEB - also includes a report focusing on business. This study is expected to outline the economic case for biodiversity conservation and identify economic tools to help businesses make the transition toward a ‘green’ economy.

The private sector is also focusing increasingly on the issue of conservation and sustainable use of biodiversity in their strategic decision-making process. In the cosmetics sector, for instance, the loss of biodiversity is a grave concern. Colipa, the European Cosmetics Association, has highlighted key issues linked to natural resources and biodiversity as among the primary challenges the sector faces.[2] Nine of the top twenty cosmetics companies mentioned biodiversity considerations in their corporate communications in 2008.[3] A specific example is that of companies developing fragrances and flavours, which are increasingly worried about competing land uses and growing pressure on ecosystems: the shrinking resource base is expected to impact the quantity and quality of available fragrances.

Despite the rising awareness of the importance of the engagement of the private sector in the conservation and sustainable use of biodiversity, there is still a long way to go. Biodiversity considerations need to be not only recognised but also incorporated in business practices and integrated along the supply chain. To contribute to the protection of biodiversity, business must adopt practices that, among others, promote the preservation of local ecologies and support local development in source countries.

Budding yet significant efforts to address biodiversity in business practices do exist. In the food and cosmetics sectors, for example, ethical sourcing practices are increasingly recognised as an effective means to addressing biodiversity concerns. Leading companies like L’Oréal acknowledge that “plant-based ingredients are a huge source of innovation” and have developed approaches aimed at ensuring sustainable sourcing practices for these ingredients.[4]

Companies are also collaborating amongst themselves and with other stakeholders to develop and adopt sustainable biodiversity sourcing practices. For example, the Novella Africa Partnership was formed by Unilever, IUCN and other organisations with the aim of advancing the equitable and sustainable production of oil from the Allanblackia tree - a natural ingredient with great potential in the food and cosmetics sectors.

All of these private sector-related efforts will be considerably influenced by consumer demand for biodiversity-friendly products. And while advertising increasingly refers to the environment and to ‘green’ products, it is still unclear to what extent consumer interest in such products relates to biodiversity. A recent international measurement of consumer awareness of biodiversity - The Ethical BioTrade Barometer - found that more than 1 out of 2 people say they have heard of biodiversity.[5] Yet, people are less knowledgeable about concepts such as biodiversity conservation and ethical sourcing of the biodiversity, than about other more mainstream terms like fair trade and sustainable development. Nevertheless, research by the Union for Ethical BioTrade shows that consumers would like to know more about how the cosmetics sector, for instance, sources its natural ingredients. Moreover, a large majority would be willing to stop buying products from cosmetics companies that are not materially committed to ethical sourcing for their products.

While public awareness of biodiversity issues is only now beginning to grow, the example of sustainable development and climate change - once unknown concepts among the general public - demonstrates that communication efforts can bear fruit over time. As these terms and their relevance have become widely recognised, industry trend watchers predict that the concept of biodiversity will gain traction in coming years. As the International Year of Biodiversity, 2010 presents an important opportunity to bring greater attention to bear on the continued loss of biodiversity and the relevance of promoting actions to support its conservation and sustainable use at all levels and among all stakeholders.

Rik Kutsch Lojenga is the Executive Director and María Julia Oliva is the Senior Adviser on Access and Benefit Sharing at the Union for Ethical BioTrade.

[1] IUCN, Wildlife crisis worse than economic crisis - IUCN, 02 July 2009 Press Release, available at http://cms.iucn.org/news_eventsold/?uNewsID=3460.

[2] Colipa, Activity Report 2008, available at http://www.colipa.eu/news.html?id=17.

[3] Union for Ethical BioTrade, “Ethical BioTrade Barometer 2009,” April 2009. The survey involved a sample population of 4000 individuals in four countries: France, Germany, the UK and the USA. A press release issued for the launch of the Ethical BioTrade Barometer 2009 is available at http://www.ethicalbiotrade.org/dl/ENG-UEBT-IPSOS-COMMUNIQUE-PRESSE-30avril2009fr.pdf.

[4] Union for Ethical BioTrade, “The Beauty of Sourcing with Respect,” Press Release, 13 May 2009, available at http://www.ethicalbiotrade.org/dl/press/UEBT_Beauty_of_Sourcing-Web_19May.pdf.

[5] Union for Ethical BioTrade, “Ethical BioTrade Barometer 2009,” April 2009. The survey involved a sample population of 4000 individuals in four countries: France, Germany, the UK and the USA. A press release issued for the launch of the Ethical BioTrade Barometer 2009 is available at http://www.ethicalbiotrade.org/dl/ENG-UEBT-IPSOS-COMMUNIQUE-PRESSE-30avril2009fr.pdf.