Burroteka

All over the world, scientists, governments, and consumers alike have drawn attention to the loss of biodiversity around the world and the urgent need to change patterns of agricultural production and consumption in order to conserve biodiversity and feed a growing population. Agroforestry – an approach to land management that places trees and row crops in close proximity - may play a key role in helping to meet these challenges. Agroforestry is particularly prevalent in Latin America, and covers between 200 and 357 million ha of land including commercial coffee and cocoa production systems as well as silvopastoral systems, where animals graze under natural and planted forests. Agroforestry is about more than simply planting a variety of crops in close proximity; it's about creating systems which provide people with economic opportunities as well as restoring biodiversity, landscapes and ecosystems. It is a flexible concept and can be applied by both large and small farmers. Key benefits of including trees with other agricultural production systems include:

• Soil improvement, erosion-control, water availability and favorable micro-climatic conditions;
• The sustainable production of timber and firewood, as well as food avoiding deforestation in adjacent forest areas;
• Higher productivity and profitability;
• Improved social stability, local entrepreneurship and employment.

Agroforestry systems can include fruit trees such as avocado, cocoa, guava, guaba, citrus, plantains and palm trees. In addition, annual crops such as pineapple, cassava, tomato, pepper, and peanut are planted, as well as various beans and tubers. Many countries within Latin America recognize the value of agroforestry. For example, the Brazilian government has made efforts to augment and protect agroforestry practices. The Brazilian Forest Code introduced in 2012 established the mandatory restoration of riparian zones, steep hillsides, and ridges of springs. Smallholders are allowed to use agroforestry systems, with exotic species on up to 50% of the restoration area. In this way agroforestry helps to offset compliance costs and delivers the restoration of natural habitats as well as helping to provide economic opportunities for farmers. Biodiversity is increasingly seen as an economic asset, which has attracted attention from funds willing to invest in agroforestry. For example, the Moringa fund is a EUR 84 million private equity fund which targets agroforestry projects in Latin America and Sub-Saharan Africa. Moringa’s agroforestry projects create economic benefits for investors and local communities while contributing to building environmental and social resilience of land-use. Certification schemes can also help in developing the market for sustainable agroforestry products and boost agroforestry investment. The Forest Stewardship Council (FSC) promotes the environmentally appropriate, socially beneficial, and economically viable management of the world’s forests. Recently a group of 104 smallholders, located in the region of San Martin in Peru, gained FSC certification - the first group of smallholders of that size to become certified in Latin America. The new group certification covers over 1,100 ha of forests, of which about 190 ha are for planted crops. The group shows that it is possible to achieve both the growth of the agricultural frontier and the supply of sustainable wood. Agroforestry is showing potential as a system to deliver the conservation of biodiversity, and meeting the food, fuel and timber needs of a growing population. It helps to strike a balance between ecosystem services and maintaining rural livelihoods. Agricultural systems across the globe are under pressure from climate change and a growing population, however, agroforestry systems can provide a means to balance these needs in Latin America and elsewhere.

Illegal logging is a massive environmental and economic problem that has plagued governments for decades. One of the principal causes of deforestation worldwide, illegal logging can take a variety of forms, from harvesting timber from protected areas to felling protected tree species to falsifying timber licences. Many international organizations have taken a stand against illegal logging, and consumers are now demanding stricter standards for imported timber.

Illegal logging can have far-reaching and devastating consequences. The widespread deforestation it causes can inflict huge damage on animal habitats, and can deprive local communities of the chance at a sustainable livelihood. Illegal logging has also played a significant role in the illegal conversion of forests to agricultural land, which is one of the key drivers of deforestation. Damage to the global timber market is equally impactful, and the World Bank estimates that illegal logging deprives governments of up to $5 billion in tax revenue annually. By flooding the market with timber that is not subject to taxes or duties, illegal timber also puts downward pressure on global timber prices, resulting in an estimated loss to $10 billion for the legal timber market. Some of the most effective measures taken to combat illegal logging have come from countries with strong import markets for wood products. In the United States, for example, the Forestry Stewardship Council (FSC) oversees the quality of wood products, labelling only those products made from material that was sourced from responsibly managed forests. In Europe, importers are increasingly favoring products with the FSC label, often preferring higher standards such as the ISO 14001:2015. In addition, the European Union Timber Regulation forces suppliers to trace their products back to the source, ensuring that only legally verified timber can enter European markets. Indeed, legally sourced plantation timber often contributes to reforestation efforts, as in the case of Colombia, where government programs and private enterprise have added tens of thousands of hectares of new forest. However, standards are more difficult to enforce in countries where government power has failed to penetrate into the isolated areas where timber is often sourced. In Myanmar and in the Democratic Republic of the Congo, for example, the rate of illegal logging is estimated at 85%. However, as development accelerates, the integration of the timber supply chain will facilitate government efforts to track down and punish illegal timber operations. As global demand for timber continues to rise, the expansion of certification will also depend greatly on the demands of consumers in rapidly growing markets such as India and China, the world’s number one wood importer. With China increasingly relying on timber from Russia, where regulations are sparse, illegal timber will likely constitute a significant portion of Chinese imports. Whether carried out by local communities, organized crime networks, or corrupt government officials, illegal logging is a serious crime that inflicts massive damage to the environment and the global timber market alike. At every phase of the supply chain, people must work together to ensure that the world’s timber is sourced legally and sustainably.

Encouraging news from Colombia last week as the regional government of Antioquia reiterated its commitment to building a new commercial port in the Urabá region on the Atlantic coast. Governor Luis Pérez Gutiérrez announced on Friday that his government intends to pursue an agreement on the development of the port, and the communities of the region are expected to vote in favor of the project this Friday.    The agreement will designate 40 hectares of land for the construction of the port, as well as establish a 30-year concession between the National Infrastructure Agency and the Port Society of Bahía Colombia de Urabá. Construction is set to begin on the 30th of November of this year.   The new port, which represents a significant advancement in Colombia's maritime infrastructure, is projected to have an annual cargo capacity of 6.6 million tons. Situated on the Atlantic coast, the port will provide exporters with easy access to markets in the US and Europe. One of many ongoing infrastructure projects in Colombia, the new port is sure to attract further investment to the developing nation.   This is tremendous news for us at Farmfolio, and we are eagerly awaiting further developments. With the launch of our Valle Verde project in Antioquia, we are poised to take advantage of the many scheduled infrastructure projects which are set to improve transportation and distribution in the region, including the port.    The planned construction of the port represents another step forward for Colombian infrastructure projects, which have seen a significant boost in funding thanks to foreign investment, a booming tourism industry, and the business-friendly government of Iván Duque. With the recent opening of the long-anticipated Tunnel de Oriente, which connects Medellin with its airport and the Valley of San Nicolas, all systems are go for Colombian infrastructural development.   Perhaps the most ambitious infrastructure project currently underway is the Master Plan for Intermodal Transport, the largest infrastructure project in Latin America, which seeks almost $70 billion for far-reaching improvements to Colombia’s road system. The plan will connect Colombia’s secondary and tertiary cities, as well as modernize existing roads in order to further advance the nation’s logistical capabilities. The National Infrastructure Agency plans to invest nearly $100 billion into transportation by 2021, a tenfold increase from its funds in 2012.    Infrastructure projects in Colombia have come a long way, and the new developments on the horizon certainly look promising. Over the last seven years, the Colombian government has put more than half a billion dollars in investment towards improving ports, and this herculean effort seems likely to continue. As Colombia moves forward, we are strategically poised to lead the charge towards prosperity and progress.

People all over Medellín had cause for celebration last month when the regional government of Antioquia opened the long-awaited Túnel de Oriente, or Eastern Tunnel, to motor traffic on the 15th of August. The tunnel will connect the Valley of Aburrá, where the majority of Medellín’s metropolitan area is located, with the Valley of San Nicolás, which is home to Farmfolio’s headquarters.  Many of Farmfolio’s staff members will see their commutes drastically shortened, and the city will now be more accessible to people living on the outskirts. Access to the airport will also significantly improve, with total driving time from the city center reduced by about half an hour. Logistically, the tunnel will make all of our lives easier. But the tunnel represents much more than just a shorter commute for our people. It is indicative of a widespread trend in Colombia of large-scale, forward-thinking infrastructural investment that has seen billions of dollars poured into the country’s roads, airports, and sea ports. According to export.gov, the construction industry is poised to exhibit strong growth this year due to “...continued progress on several infrastructure projects…” which will increase the country’s ability to compete economically. With easy access to two oceans and the Panama Canal, infrastructural development will position Colombia perfectly to capitalize on its natural geographical advantages as well as its abundant resources and natural splendor.  Perhaps the most ambitious infrastructure project currently underway is the Master Plan for Intermodal Transport, the largest infrastructure project in Latin America, which seeks almost $70 billion for far-reaching improvements to Colombia’s road system. The plan will connect Colombia’s secondary and tertiary cities, as well as modernize existing roads in order to further advance the nation’s logistical capabilities.  Investors all over the world are beginning to recognize Colombia’s vast potential, and have funneled billions of dollars into helping this potential be realized. At Farmfolio, we are proud to be taking part in this process. Click here to learn more about how you can benefit from the ongoing development of this wonderful country.