Protecting tropical forests by means of green markets

Project description

Title: Green Markets and Sustainable Consumption
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Brazil
Lead executing agency: Ministry of Agriculture, Livestock and Food Supply (MAPA) 
Overall term: 2016 to 2020

Innovative Firmen sind ein Zukunftsmarkt für Produkte der Biodiversität aus Amazonien_Foto_Werner Rudhardt_GIZ

Context

The rainforest in the Amazon region of Brazil is shrinking. Advancing deforestation is releasing greenhouse gases, reducing biodiversity and destroying the settlement areas of traditional population groups. As its contribution to the Paris Climate Agreement, Brazil has therefore set itself the goal of halting illegal deforestation by 2030. It aims to promote sustainable production systems to protect the forest. The production systems are based, for example, on nuts or fruits that are gathered in the natural forest without destroying it. At the same time, eco-friendly cultivation methods in agriculture can open up economically viable prospects for smallholders. The main challenge facing many farming cooperatives is gaining access to the market for their products.

Objective

Smallholders and traditional population groups have improved market access for sustainably produced products from the Amazon region. This encourages them to conserve and use the forest instead of clearing it and transforming it into arable and pastureland.

Kakaopflanze in einem Agroforstsystem_Foto_Frank_Kraemer_GIZ

Approach

The project improves the state policy for promoting the marketing of sustainable Amazonian products. One example of this is the creation of five Chambers of Marketing in four federal states. In them, all the relevant players work together to find ways of promoting sustainable value chains. The project is developing an information system to monitor the Brazilian measures on agroecology and organic farming.

One important element is to provide support in building management capacities in cooperatives. Needs range from advice on bookkeeping basics and the development of business models to organisational development and sustainability seals. The employees of rural advisory services are being trained to teach content and to apply innovative advisory methods in their work with the cooperatives.

Sustainable consumption is also being strengthened, with campaigns to encourage conscious consumption and provide information about production conditions in the Amazon region. New marketing channels for environmentally friendly products from the Amazon region are being opened up. 

Private business is an important partner in the development of sustainable value chains. The project supports public-private partnerships (PPPs) in order to direct private investment into such production systems. It is also working with ‘impact investors’ whose aim is to achieve a positive social and ecological impact with their investment in the Amazon region.

In its implementation of the project, the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is supported by the Eco Consulting/IPAM consortium.

Results

  • The project has determined the supply and demand for sustainable Amazonian products to raise their visibility. To this end, data was collected on the products of some 340 cooperatives and smallholder organisations. Data was also collected on around 140 companies who are potential buyers of the products.
  • Nine cooperatives took part in the leading international trade fair for organic products, Biofach in Nuremberg, with GIZ’s support. At this trade fair, the cooperatives signed 200 contracts worth a total of around two million euros.
  • Chambers of Marketing have been set up in five federal states. The chambers in Manaus, Rio Branco, Macapá, Belém and Santarém have launched initiatives to regulate sustainable fish products and market products from indigenous communities for school meals, among others. In Acre, public purchasing of sustainable products from local smallholders in the amount of 1.3 million euros was activated by the Chamber.
  • The project has developed a new methodology for the state advisory system for smallholder cooperatives. The CapGestão training courses were attended by 140 employees from state and private advisory services. The technical experts were able to advise 71 cooperatives consisting of 4,331 families in 46 municipalities.
  • Training in the purchasing of sustainable products from smallholders in the Amazon region was provided to 200 civil servants working in public procurement.
  • The campaigns for sustainable consumption in the North and the campaign ‘Gosto da Amazônia’ are supporting about 50 cooperatives and associations, consisting of 5,000 smallholder families and 13 private companies.
  • In cooperation with the project, the support programme ‘Parceiros pela Amazônia (PPA)’ for sustainable start-ups is supporting 15 start-ups and so about 4,000 smallholders, indigenous people and riverbank inhabitants who are improving income levels and the quality of life as sustainable suppliers.

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