By Joyce Ojanji
In response to a call launched by the United Nations Convention to Combat Desertification (UNCCD) at the 16th Conference of the Parties (COP16), private sector representatives met to discuss their role in ensuring sustainable land, soil and water management.
The Business 4 Land(B4L) Forum brought together high-level decision-makers and CEOs from particularly land-and-water-dependent companies, including those in the agrifood, pharma, energy, textiles, ICT, finance, and insurance sectors. The event had 60 high-level speakers and 400 guests; among them, more than 40 corporations.
Land degradation and drought pose serious risks for businesses and investors. It is in their best interest to mitigate them by contributing to global efforts for healthy lands and drought resilience.
According to Executive Secretary of UNCCD Ibrahim Thiaw, “COP16 has attracted the largest-ever participation of the private sector to a UNCCD COP to date, providing a critical momentum to make sustainable land management a core part of corporate and financial strategies. Therefore, “Shifting towards nature-positive operations, supply chains, and investments, is not only about environmental sustainability, but about the long-term profitability and resilience of businesses.”
B4L’s call to action urges companies to contribute to one or more of the B4L initiative’s pillars: promoting sustainable practices across business operations, supporting finance solutions, and advocating for better land and water management policies.
“US$44 trillion, over half of global GDP, is at risk from nature loss. It is imperative for business to explore innovations that can halt and reverse land degradation while unlocking opportunities for business growth,” said Gim Huay Neo, Managing Director at 1T.org, World Economic Forum. “Through collaboration with governments and other stakeholders, business can accelerate progress on land restoration for a more resilient future for all.”
Among the issues tabled during the forum include the need to align business, policies, and finance to protect land as a critical asset. Participants discussed how to account for the corporate impacts on land, how to mitigate the risks of land degradation – for example, by setting measurable targets both in direct operations and across supply chains – and by reporting on progress.
“Companies stand to gain significantly by transforming their value chains to incorporate sustainable practices, not only to reduce their impact on nature but also to seize the economic opportunities that arise. Mobilizing funding for land restoration requires a concerted effort by the public and private sectors. By working together, we can create an enabling environment for restoration, which is essential to achieve greenhouse gas neutrality by 2050 and a sustainable future,” Philippe Zaouati, CEO of the MIROVA sustainable investment fund said.
Additionally, the B4L initiative launched a guide to help corporate actors navigate land-related disclosures and target-setting and align their strategies with national policies and global goals for a fair land transition.
The report, ‘Corporate Disclosures and Target-Setting on Land Guide’, was developed together with the Taskforce for Nature-related Financial Disclosures (TNFD and the Science Based Targets Network (SBTN), in consultation with actors like the WEF and the COP16 Presidency.
The costs of land degradation and drought are steep. For example, U.S. farmers may face short-term costs of up to USD 40 per acre for regenerative agriculture practices, but long-term profits can increase by up to 120%. B4L’s guide supports companies in harnessing these opportunities.
“Corporate disclosures are essential for land-positive businesses. Today, many companies still lack a clear understanding of their land-related impacts and dependencies, leaving them vulnerable to significant risks”, said Razan Al Mubarak, Co-Chair of the Taskforce for Nature-related Financial Disclosures (TNFD) and President of IUCN.
