Oct 23, 2020

 The global perception of the sustainability of consumer products is changing and adapting the Brazilian agricultural sector to the new demands is of crucial importance. This view was shared by the specialists participating in Thursday’s (22) first panel on Climate and Sustainability in the Countryside, held on the fourth day of BNDES Green Week.

Fernando Schwanke, secretary of the Ministry of Agriculture, Livestock and Supply (Mapa), pointed out that Brazil has 20% of the world's biodiversity and the world has been paying more and more attention to how food is produced. "Our challenge is to demonstrate that Brazilian agriculture is responding forcefully and convincingly to this demand and we are developing programs such as, for example, Low Carbon Agriculture, Carbon Neutral Meat and the Brazil Bio-Economy program," he said.

According to him, the ministry reckons that there is no agriculture if it is not sustainable. “Of all Brazilian agriculture, only 2% comes from the Amazon Region and we are moving towards making it more and more liable and sustainable.”

Environmental tracking and deforestation for illegal timber extraction were the central themes addressed by Alexandre Saraiva, superintendent of the Federal Police of Amazonas. According to him, most of the timber sold comes from illegal logging. "It is necessary to organize the sector and deal with the land issue in the Amazon, invest in new technologies that allow defining the origin of that wood and ensuring that the forest inventory, which is where the management begins, will be done with responsibility."

Alexandre pointed out that wood from the Amazon, obtained from trees that take 400 to 1400 years to achieve full growth, is sold at much lower prices than other woods of less noble origin due to illegal extraction. This makes the activity of legal timber producers economically unfeasible, he said.

Schwanke, from Mapa, emphasized that the demand for organic food has grown worldwide in recent years: "The North American market, which is the largest consumer market for this type of food, is already responsible for almost US$ 40 billion per year. Brazil is the world's fourth largest market for organic hygiene and personal care products, with US$ 30 billion in sales in 2018.”

The President of the Brazilian Association of Exporting Producers of Fruits and Derivatives (Abrafrutas), Guilherme Cruz de Souza Coelho, emphasized the relevance of Brazilian fruit exports for the country's development: “For every four glasses of orange juice in the world, three are made with oranges from Brazil.” For the exports to be possible, fruit production must follow various certifications for good practices in hygiene, social, protocols and waste analysis.

"When we talk about the agricultural sector, it is clear the importance of traceability and socio-environmental aspects for Brazil to maintain its exports, conquer new markets and increase the value of its products in foreign markets," declared the manager of the BNDES’s Public and Socioenvironmental Management Division, Raphael Stein, who moderated the panel.

ENVIRONMENTAL SERVICES - The second table of the day, moderated by the superintendent of BNDES's Public and Socioenvironmental Management Division, Julio Leite, addressed Payments for Environmental Services (PSA) scheme and the Carbon Market. For him, these mechanisms of financial compensation for the conservation of natural resources can be used to direct more financing to those who are ultimately responsible for preserving the forest. The main topic was the initiatives that allow paying for the preservation of native vegetation and biodiversity.

The secretary for the Amazon and environmental services of the Ministry of the Environment, Joaquim Leite, spoke about the Forest+ Program and explained that the PSA program consists of remunerating those who look after and protect the forest, creating a new green economy. This makes it possible to engage the private sector and allows corporate policies to view the conservation of the native forest as a relevant activity that contributes to the preservation of these territories.

For Fabio Olmos, Director of Permian Global, the market is seeking certifications with social and environmental components, in addition to the acquisition of carbon credits, which generates a virtuous cycle in forests. “The most valuable product for the market is, precisely, one which involve activities that benefit local communities.”

Abel Marcarini, from SouthPole, another company that deals with these credits on a global level, highlighted the importance of Brazilian forests. He recalled that 30% of the rain that falls in São Paulo depends on the Amazon Forest. "Just like the rain that falls in areas of agribusiness, for example, which is so important to the country's economy, and that is why it is so important to keep the forest standing."