The Human and Environmental Impact of Plantations International’s Sustainable Agriculture: Plantations International will report publicly on its sustainability performance, and is committed to sharing performance and management practices with interested stakeholders to promote transparency and adoption of best known methods. In recent years, consumers of timber have become increasingly aware of the environmental and economic consequences of illegal logging and unsustainable forestry practices. Voluntary initiatives to source legal, sustainable timber have become established.
Why Agriculture? Agriculture has become an attractive investment destination for a number of reasons. Most important of all being the strong market fundamentals in support of the sector on both the demand and supply side. An increasing population, changing demographics, reductions in arable land and climate change have led to an urgent need of more productive methods of growing food. Food and agriculture as an asset class falls under the broad investment category of real assets which are physical in nature and provide hard tangible ownership. Real assets broadly include commodities, property, infrastructure, timberland and agriculture also classified as farmland. Agriculture as a sector has been rising in prominence over the past decade reaching over 8 USD trillion in value.
Food security is traditionally defined as food availability and one’s access to it. Over the years however the definition of food security has developed into more descriptive terms as its importance has risen. The Food & Agriculture Organization of the United Nations (FAO), the United States Department of Agriculture (USDA) and dozens of others today have their own interpretation of food security. Furthermore, low levels of food security place significant stress on government expenditures. It forces governments to invest substantial resources in the short-term through social safety net programs and conditional cash transfers. It also increases their reliance on food imports which is detrimental to long term food self-sufficiency. The FAO has reported that high rates of malnutrition can lead to a GDP loss of as much as 4-5%.
With offices, plantations, and representatives across Asia, Europe, and Africa, Plantations International is a multinational plantation and farm management company that specializes in providing sustainable agricultural and forestry or “agroforestry” management services for its clients. Plantations International has clients ranging from private individuals to large landholders and corporate investors. We put teamwork, innovation, and our passion for creating “Ethical & Sustainable Capital” at the heart of everything we do.
Water scarcity is another impending crisis. 28% of agriculture lies in water stressed regions. It takes roughly 1,500 litres of water to produce a kilogram of wheat, and about 16,000 litres to produce a kilogram of beef. In 2050, the world will need twice as much water. As the world population soars, arable land per person proportionally shrinks. The stresses on food production and food prices will inevitably keep rising. Arable land loss can be combated by improving productivity per acre and taking measures against climate change and erratic weather conditions. 1.4 billion hectares of land the equivalent of 28% percent of the world’s agricultural area is used annually to produce food that is lost or wasted. The total volume of water used each year to produce food that is lost or wasted (250km3) is equivalent to three times the volume of Lake Geneva.
The planet is warming, from North Pole to South Pole, and everywhere in between. Globally, the mercury is already up more than 1 degree Fahrenheit (0.8 degree Celsius), and even more in sensitive polar regions. And the effects of rising temperatures aren’t waiting for some far-flung future. They’re happening right now. Signs are appearing all over, and some of them are surprising. The heat is not only melting glaciers and sea ice, it’s also shifting precipitation patterns and setting animals on the move. Plantations International often use the term “climate change” instead of global warming. This is because as the Earth’s average temperature climbs, winds and ocean currents move heat around the globe in ways that can cool some areas, warm others, and change the amount of rain and snow falling. As a result, the climate changes differently in different areas.
