The telecoupled sustainability impacts of global agricultural value chains:Assessing the cross-scale sustainability impacts of the cocoa sector

Agriculture is a major contributor to the global environmental crisis. Natural ecosystems are being replaced by agricultural land, which leads to the extinction of species and the release of tons of carbon emissions. Global agricultural value chains (GVCs) have grown due to the intensification of international trade. While GVCs have undeniably created economic opportunities for the agriculture sector, they have also led to the escalation of local environmental issues. Several initiatives have been implemented to reduce the negative impacts of agriculture, including government regulations, sustainability certification labels, and voluntary sustainability commitments. However, the effectiveness of these initiatives has been questioned due to several reasons, including the mismatches between the scale of the problem and the solution, the lack of monitoring and verification of sustainability actions, and their weak enforcement. Sustainability initiatives are informed by studies assessing the impacts of agriculture that often only focus on local impacts, while disregarding larger-scale – telecoupled– dynamics that can trigger impacts across geographic and temporal scales. This thesis aims to help bridge these knowledge gaps by examining the impacts of agricultural GVCs across scales, studying the role of GVC’s configuration in modulating these impacts and investigating the role of GVC actors in mitigating sustainability risks across scales. The global cocoa value chain is used as a case study. Chapter 2 examines various impact assessment methods and their ability to capture the effects caused by telecoupled dynamics across different scales. The study concludes that no single method is sufficient to capture all telecoupled cross-scale dynamics and that the integration of different methods is necessary to bridge gaps between methods and complement their scope. Chapter 3 implements the recommendations outlined in Chapter 2 by analyzing the impacts caused by cocoa agroforestry and cocoa full-sun production in Ghana. Impacts on carbon, biodiversity stocks, and environmental pollution were analyzed within and beyond the farm-level. This chapter reveals that findings drawn from farm-level assessments can contradict those from landscape-level assessments. Decision-makers focused should be wary of extrapolating farm-level assessment results to larger scales. Chapter 4 expands the scope to the global scale by examining the role of the cocoa GVC configuration on the capacity of the sector to address sustainability challenges across scales. The chapter identifies different types of cocoa traders, their market dominance, and sustainability commitments. The chapter highlights that to address the telecoupled impacts of the cocoa GVC, coordinated action between traders is required, along with government interventions to balance power asymmetries. Chapter 5 measured the degree to which cocoa traders, as identified in Chapter 4, are exposed to deforestation and climate change. This chapter highlights that sustainability challenges in agricultural value chains cannot be resolved in isolation as farming systems are constantly interacting with other farming systems and land competing sectors. To avoid displacing negative impacts across scales, it is necessary to have a coordinated and collaborative effort from stakeholders and sectors involved in making decisions related to land use. This thesis shows that addressing the telecoupled impacts caused by agricultural value chains needs a good understanding of the cause-effect dynamics at play. This requires the quantification of impacts caused by agriculture across scales and the characterization of the GVC network of actors modulating these impacts. Interdisciplinary methods need to be leveraged and integrated to generate actionable insights. The findings of this thesis can assist decision-makers and private actors in devising customized sustainability strategies, prioritizing action, and addressing the most vulnerable hotspots while being mindful of global teleconnections and avoiding spillovers

Toward spatial fit in the governance of global commodity flows

Unidad de excelencia María de Maeztu CEX2019-000940-MGlobal commodity flows between distally connected social-ecological systems pose important challenges to sustainability governance. These challenges are partly due to difficulties in designing and implementing governance institutions that fit or match the scale of the environmental and social problems generated in such telecoupled systems. We focus on the spatial dimension of governance fit in relation to global commodity flows and telecoupled systems. Specifically, we draw on examples from land use and global agricultural commodity governance to examine two overarching types of governance mismatches: boundary mismatches and resolution mismatches. We argue that one way to address mismatches is through governance rescaling and illustrate this approach with reference to examples of three broad types of governance approaches: trade agreements, due diligence laws, and landscape approaches to supply chain governance. No single governance approach is likely to address all mismatches, highlighting the need to align multiple governance approaches to govern telecoupled systems effectively

Methods to assess the impacts and indirect land use change caused by telecoupled agricultural supply chains: A review

The increasing international trade of agricultural products has contributed to a larger diversity of food at low prices and represents an important economic value. However, such trade can also cause social, environmental and economic impacts beyond the limits of the countries directly involved in the exchange. Agricultural systems are telecoupled because the impacts caused by trade can generate important feedback loops, spillovers, rebound effects, time lags and non-linearities across multiple geographical and temporal scales that make these impacts more difficult to identify and mitigate. We make a comparative review of current impact assessment methods to analyze their suitability to assess the impacts of telecoupled agricultural supply chains. Given the large impacts caused by agricultural production on land systems, we focus on the capacity of methods to account for and spatially allocate direct and indirect land use change. Our analysis identifies trade-offs between methods with respect to the elements of the telecoupled system they address. Hybrid methods are a promising field to navigate these trade-offs. Knowledge gaps in assessing indirect land use change should be overcome in order to improve the accuracy of assessments

Accounting for land use changes beyond the farm-level in sustainability assessments: The impact of cocoa production

Impact assessments are used to raise evidence and guide the implementation of sustainability strategies in commodity value chains. Due to methodological and data difficulties, most assessments of agricultural commodities capture the impacts occurring at the farm-level but often dismiss or oversimplify the impacts caused by land use dynamics at larger geographic scale. In this study we analyzed the impacts of two cocoa production systems, full-sun and agroforestry, at the farm-level and beyond the farm-level. We used life cycle assessment to calculate the impacts at the farm-level and a combination of land use modelling with spatial analysis to calculate the impacts beyond the farm-level. We applied this to three different future cocoa production scenarios. The impacts at the farm-level showed that, due to lower yields, cocoa agroforestry performs worse than cocoa full-sun for most impact indicators. However, the impacts beyond the farm-level showed that promoting cocoa agroforestry in the landscape can bring the largest gains in carbon and biodiversity. A scenario analysis of the impacts at the landscape-level showed large nuances depending on the cocoa farming system adopted, market dynamics, and nature conservation policies. The analysis indicated that increasing cocoa demand does not necessarily result in negative impacts for carbon stocks and biodiversity, if sustainable land management and sustainable intensification are adopted. Landscape-level impacts can be larger than farm-level impacts or show completely opposite direction, which highlights the need to complement farm-level assessments with assessments accounting for land use dynamics beyond the farm-level.Please cite as: 32. Parra-Paitan, C. & P.H. Verburg (2022). Accounting for land use changes beyond the farm-level in sustainability assessments: The impact of cocoa production. Science of the Total Environment 825:154032. http://dx.doi.org/10.1016/j.scitotenv.2022.15403

Accounting for land use changes beyond the farm-level in sustainability assessments: The impact of cocoa production

Impact assessments are used to raise evidence and guide the implementation of sustainability strategies in commodity value chains. Due to methodological and data difficulties, most assessments of agricultural commodities capture the impacts occurring at the farm-level but often dismiss or oversimplify the impacts caused by land use dynamics at larger geographic scale. In this study we analyzed the impacts of two cocoa production systems, full-sun and agroforestry, at the farm-level and beyond the farm-level. We used life cycle assessment to calculate the impacts at the farm-level and a combination of land use modelling with spatial analysis to calculate the impacts beyond the farm-level. We applied this to three different future cocoa production scenarios. The impacts at the farm-level showed that, due to lower yields, cocoa agroforestry performs worse than cocoa full-sun for most impact indicators. However, the impacts beyond the farm-level showed that promoting cocoa agroforestry in the landscape can bring the largest gains in carbon and biodiversity. A scenario analysis of the impacts at the landscape-level showed large nuances depending on the cocoa farming system adopted, market dynamics, and nature conservation policies. The analysis indicated that increasing cocoa demand does not necessarily result in negative impacts for carbon stocks and biodiversity, if sustainable land management and sustainable intensification are adopted. Landscape-level impacts can be larger than farm-level impacts or show completely opposite direction, which highlights the need to complement farm-level assessments with assessments accounting for land use dynamics beyond the farm-level

Large gaps in voluntary sustainability commitments covering the global cocoa trade

The production and trade of agricultural commodities, such as cocoa, have important impacts on farmer livelihoods and the environment, prompting a growing number of companies to adopt public commitments to address sustainability issues in their value chains. Though trading companies, who handle the procurement and export of these commodities, are key actors in corporate sustainability efforts, cross-country data on their identity, market share, and adoption of sustainability commitments is lacking. Here, we address this gap for the cocoa sector by compiling detailed shipping data from eight countries responsible for 80% of global cocoa exports, developing a typology of trader types, and assessing their adoption of sustainability commitments. We find that cocoa trading is a highly concentrated market: seven transnational companies handled 62% of the global cocoa trade, with even larger shares in individual cocoa producing countries. The remaining 38% of exports were handled by domestic trading companies and farmer cooperatives. Overall, the adoption of public sustainability commitments is low. We estimated that just over one quarter (26%) of cocoa is traded under some form of sustainability commitment, with gaps arising from their exclusion of indirect sourcing, low adoption rates by domestic traders, and commitment blind spots, notably on forest degradation and farmer incomes. Low rates of traceability and transparency pose a further barrier to the broadscale implementation and monitoring of these commitments: one-quarter of traders report being able to trace at least some of their cocoa back to farmer cooperatives and only half of them openly disclose the identity of their suppliers. We discuss the opportunities and limitations of voluntary sustainability commitments in a highly concentrated market and argue that, to realize visions of sustainable trade, the gaps in commitment coverage must be closed by extending current efforts to smaller traders and indirect suppliers. However, companies must support, coordinate and align with government efforts so that voluntary initiatives are ultimately rendered more transparent and accountable

Ecosystem services assessment tools for African Biosphere Reserves: A review and user-informed classification

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Make EU trade with Brazil sustainable

Brazil, home to one of the planet's last great forests, is currently in trade negotiations with its second largest trading partner, the European Union (EU). We urge the EU to seize this critical opportunity to ensure that Brazil protects human rights and the environment