Tag: business models
Action research to enhance mangrove restoration and community-based business model in Banyuasin Regency, South Sumatra
The objectives are to develop and implement mangrove restoration and community-based business models that are locally accepted, ecologically feasible and deliver benefits for local communities while contributing to initiatives for sustainable mangroves in Indonesia and beyond.
Scaling up oil palm agroforestry in the Brazilian Amazon: Tailoring production systems and business models to the context of family farmers in Tomé Açu (Pará State)
Globally, oil palm is mainly produced in monocrop plantations, which can be highly productive but have been historically associated with negative environmental and mixed livelihood impacts. Oil palm agroforestry (AFS) can provide an agroecological pathway for palm oil production.
Progress and persistent challenges of inclusive business models in cocoa and oil palm sectors in Ghana and Peru
Inclusive business models (IBM) connect smallholders and other low-income people with buyers, processors and traders in agricultural and forest product value chains. Value chain actors engage with each other through diverse institutional arrangements, including international (e.g. UN Global Compact, zero deforestation) and industry standards (e.g. Roundtable on Sustainable Palm Oil, Cocoa and Forests Initiative), certifications (e.g. fair trade, organic), and contract farming.
Ecotourism: Another Benefit of Agro-Silvo-Fishery and Trigona Apiculture in Peatland Ecosystem of Baru Village, Banyuasin, South Sumatra
Agro-silvo-fishery and Trigona apiculture are two business models developed in the peatland ecosystem in Baru Village, Banyuasin District, South Sumatra. Since the beginning of 2022, two demo plots have been built in the same village landscape as part of the business model implementation. The system’s agro-silvo-fishery was established by constructing a pond around a paddy field and planting betelnut, vegetables, and fruit trees. Local fish that had acclimated to the acidic peatland habitat were captured during the flooding and raised in the ponds. In the constrained biophysical and chemical conditions of swampy terrain, this method is thought to be the greatest way to provide a variety of revenue. Individual farmers cannot afford the costs associated with setting up this system, especially when it comes to constructing the pond and dykes. Individual farmers cannot afford the costs associated with establishing this system, especially when it comes to constructing the pond and dykes. Hence, support from the district and village government and program partners is valuable. The farmer group harvested corn and vegetables from the dykes and rice from the paddy fields in the first year, and fish were not ready for harvest. However, the local BUMDes saved the day by creating weekly regular fishing activities and competition events, generating revenue from tickets. Moreover, the Trigona apiculture became a popular place for those outside the village to learn free of charge. Based on profitability analysis, the NPV of establishing agro-silvo-fishery is Rp103.036.769 per 0.8 ha for 30 years, with additional income from ecotourism is estimated to reach Rp21.600.000 per year. The established demonstration plot has the potential to become an ecotourism destination, and the key is to maintain the surrounding flowers and plants as the source of food for bees and the water condition for the fish.
Inclusive business for rural development: New typology and differentiated value creation in the agri-food sector
Inclusive businesses (IBs) resonate with policymakers seeking to leverage private capital in support of poverty alleviation and sustainable development. In the agri-food sector, which represents the largest segment of the base-of-the-pyramid (BOP) market and a key source of livelihood for the rural poor, there is limited evidence on their diversity and social value creation mechanisms. This prevents practitioners from identifying impactful IB types and design features. A statistical analysis of 46 cases in Tanzania and Ghana identified four IB types: (1) self-reliant agribusinesses, (2) domestic plantation companies, (3) social enterprises, and (4) locally-embedded Small and medium-sized enterprises (SMEs). Our findings suggest that socially-driven and localized IBs hold high impact potential but require significant external support, while more self-sufficient IBs adopt less socially innovative designs. This study demonstrates the utility of a data-driven approach to capture the complexity of real-world IBs, which yielded practical insights for more effective poverty alleviation through business means.
Transformative land investment: How do environmental, social, governance and societal standards add up?
Key messages
- With growing concern over climate, biodiversity and food crises, there is a proliferation of standards, guidelines and principles (simplified here as “standards and guidelines” or just “standards”) aimed at addressing environmental, social, governance and broader societal challenges (the “pillars” of transformative change).
- Across these challenges, different standards and guidelines have multiple priorities and varying concepts of what each pillar encompasses.
- Few initiatives acknowledge or incorporate all four pillars, thereby increasing the potential risk of harm by neglecting trade-offs and overlooking the need for understanding and promoting systemic change.
- Although it is not possible for every standard to “do everything”, investors should identify, assess and plan for the potential consequences and trade-offs; otherwise, “green” projects could impoverish smallholders, and livelihood projects could ignore sustainability, with long-term consequences for both.
- Transformative change in food systems requires investor models that ensure a positive impact, where environmental stewardship, social inclusion, governance and societal issues become part of how investors do business.
Land investment standards and guidelines: An overview in light of the need for food systems transformation
We reviewed and analysed global standards and other guidelines and principles related to land investment. Here’s the summary in which we consider a wide range of efforts to set norms for land investment that include standards, guidelines, principles, frameworks and regulations. For simplicity, we refer to them all generically as “standards and guidelines”, or sometimes just “standards”. Also look out for the two forthcoming briefs that analyse alignment across the ‘pillars’ of transformation and present trends in transnational governance.
Developing business model with community groups for fire prevention and peatland restoration: a case study of Siak Regency
Forest and land fires are one of the main environmental challenges in Riau, that majority of its land covered by peatland. Therefore, the main challenge is to introduce fire-free alternatives to clearing agricultural land, while recognizing that local people lack the resources, knowledge, and technology on potential alternatives to zero-burning agriculture. A community-based business model for fire prevention and peatland restoration is urgently needed by making the community the main actor capable of generating value. This study aims to develop the alternative livelihood to support peatland restoration through Sustainable Business Model for the Community (SBMC) by applying Participatory Action Research (PAR). We conducted surveys, focus group discussions (FGDs), and field interviews as well as implemented Canvas Business Model (CBM) to identify the business component. Our finding showed that community groups were able to develop an agrosilvofishery business model that not only implement sustainable practices for land preparation without fire but also determined varieties of commodities that are ecologically and economically suitable for agroforestry techniques on peatlands. Hence, CBM is a suitable tool that helps in developing an integrated sustainable business model for community and can be applied in participative setting. CBM also ensured equity by identifying and agreeing on a cost structure and benefit sharing.
Adaptive business model development for community-based peatland restoration in Riau
Livelihood on peatland often involves unsustainable practices such as drainage and extraction, causing peatland degradation. Indonesia’s peatland restoration approach therefore includes interventions for livelihood revitalization and transformation. This paper describes lessons learned in facilitating sustainable livelihood transitions for restoring peatland using the Sustainable Business Model for Communities (SBMC) canvas as a tool. We utilized Participatory Action Research (PAR) methods, where we engaged in intensive focus group discussions, surveys and facilitation of the action or implementation of the business model. SBMC is a useful tool that facilitates the community mapping their ideas and exercising collective action for restoring peatland while generating green business for the community groups in Siak Regency, Riau Province. Our finding suggests that to successfully transform peatland practices and restore ecosystems, a business model should balance economic motives with restoration objectives, enhance community collective action, improve transparency, and increase adaptability. Embracing uncertainty and complexity in community-based peatland restoration can provide an opportunity for learning and improving the community’s business model. Viewing business model development as an iterative process enables the community group to revisit and refine their model in response to landscape adaptation.