By 2050, the world’s population is expected to exceed well over 9 billion people and some estimates suggest that demand for food will double, straining the planet’s capacity to feed growing populations. However, this isn’t just a matter for food security.
Globally, beef, soy and palm oil are among the leading drivers of tropical deforestation and conversion of habitats. Without a shift in the way the world produces food, traces and finances agricultural commodities the growing demand for agriculture will continue to drive deforestation.
The Good Growth Solution
The Good Growth Partnership aims to encourage sustainable production by driving demand for sustainably produced beef, palm oil and soy among consumers, policy makers, companies and investors. Coordinating with existing platforms and initiatives and engaging one-on-one with major market players, the Partnership works with key stakeholders to promote and improve transparency and to address market barriers which restrict sustainable production.
Our Goals at a Glance
Contact Elizabeth Schueler of WWF to learn more about how the
Good Growth Partnership is generating responsible demand in commodity supply chains.
Number of Indonesian cities — Jakarta, Pekanbaru and Medan — where the Partnership aims to increase consumer demand for sustainable palm oil and influence companies in Indonesia to provide and promote products containing sustainable palm oil.
Number of influential companies, engaged in project activities, which are making new commitments to source reduced deforestation palm oil, soy, and beef.
Number of countries where supply chain transparency is increased through various tools and activities developed and conducted via the Partnership.
Number of new jurisdictions where soy and beef products are mapped from origin to destination.
Number of investors that have increased capacity to engage companies on reduced deforestation sourcing and disclosure.
Number of countries with improved policy frameworks in place to support reduced deforestation commodity markets.
Harnessing the Powerful Demand of Companies
Around three hundred companies control a majority of the global market for palm oil, soy and beef. There are even fewer traders that buy and sell the majority of palm oil, soy and beef to other companies.
The Good Growth Partnership is working with major commodity buyers and traders through learning exchanges, workshops and training to build demand for reduced deforestation commodities. The Partnership expects to guide companies beyond commitments into action that reduces deforestation by providing tools and capacity building opportunities.
In Asia, the Good Growth Partnership is focused on expanding zero deforestation and sustainability commitments in domestic markets. The Asia Learning & Exchange Program, administered by WWF, is working to engage companies headquartered throughout the continent to learn about the challenges and successes experienced by their counterparts on the journey toward more sustainable practices and zero deforestation.
In Latin America, the Good Growth Partnership is building the capacity of global soy buyers to achieve their sustainability commitments. The Partnership is also working to increase awareness of sustainable purchasing options for Paraguay’s emerging beef market.
Incentivizing Sustainable Demand with Responsible Investment
Financial institutions play an important role in the demand for commodities as they invest in supply chain actors. When investors enact sustainable policies and safeguards to avoid practices that drive deforestation, companies can be compelled to shift the way they operate in order to remain eligible for investment.
The Good Growth Partnership works with investors in Asia, as well as the United States and Europe, to heighten awareness of the growing risks involved in practices that are responsible for driving deforestation.
In Southeast Asia, only a small number of investors are analyzing risks related to agriculture. The Good Growth Partnership’s demand-investor work, led by WWF, directly engages institutional investors to mobilize collective demand for transparency in Asian palm oil supply chains. WWF also works with key stakeholders to train and disseminate guidelines on best practices for sustainable investment.
To learn more about how the Good Growth Partnership is working with banks to finance sustainable production, see our Enabling Sustainable Transactions project.
Aligning Demand for Sustainability with National Policy
Policies that do not value the long-term benefits of forests and biodiversity can lead to, or even incentivize, deforestation. The Good Growth Partnership works directly with national and regional governments to bring traders and buyers into the policy conversation.
In coordination with the Good Growth Partnership’s Sustainable Production Project, the Demand Project helps to convene multi-stakeholder workshops and meetings to support policy improvements and reduce barriers for the production of sustainable commodities. By organizing industry workshops, in which policymakers are present, government leaders are able to promote the advances being made in their respective countries and learn about the various global standards buyers are aligning with.
The Partnership supports national dialogue and the development of principles for sustainable beef in Paraguay. This work is helping to create new opportunities which will position the country as a premium and sustainable market for beef.
The Demand Project also engages stakeholders in West Africa, including Sierra Leone, to support future markets for sustainable palm oil. By engaging corporate, government, and civil society stakeholders in the TFA 2020 Africa Palm Oil Initiative, the Good Growth Partnership facilitates the development and implementation of national principles and action plans for sustainable palm oil in West Africa.
Through the Asia Learning & Exchange Program, the Partnership increases the capacity of Asian governments to improve policies that are in line with sustainable commodity markets.
Creating Conscious Consumers
In some markets, agricultural products are sold in bulk, which negates opportunities for branding. This lack of awareness means many consumers unknowingly continue to buy products associated with deforestation or unsustainable production practices. In cases where businesses remain unconvinced of the need to shift their sourcing practices, consumers can leverage their influence and place pressure on brands.
Consumer awareness for deforestation-linked agricultural products is relatively limited in large developing economies, such as in Indonesia. To change this, the Good Growth Partnership is focusing its consumer awareness-raising efforts on major Indonesian cities. This includes campaigning and engaging national media to promote the link between unsustainable palm oil production and the products consumers regularly buy.
Enhancing Transparency and Market Intelligence
Transparency throughout the supply chain is critical in the effort to reduce deforestation. It allows all supply chain stakeholders, including consumers, to make informed purchasing and investment decisions. Increasing transparency also enables credible tracking of deforestation commitments and puts pressure on actors who continue to fuel unsustainable production practices.
In addition to engaging key demand stakeholder groups, the Partnership provides companies and other stakeholders with the necessary tools to enhance supply chain transparency.
One of the transparency tools delivered with support from the Partnership is the Trase (transparent supply chains for sustainable economies) platform. This open-access online tool maps commodity supply chains from origin to the country of import, linking impacts in producing regions to trading companies and global markets. An annual yearbook, developed by Trade, synthesizes key findings on the deforestation risk associated with major companies and import markets.
The Partnership also provides market actors with additional information useful for decision-making, including news on market demand, its impact on deforestation, as well as relevant trends in consumption, investment, and corporate mergers and acquisitions. This information is shared through quarterly Commodity Market Intelligence Updates and customized market analyses.