Accra, 22 April 2008 — UNCTAD launched the second phase of the BioTrade Facilitation Programme (BTFP II), which helps developing countries benefit from the sustainable use of their biodiversity, during the twelfth session of the United Nations Conference on Trade and Development, held in Accra, Ghana from 20 to 25 April 2008.
The decision reflects the growth in international trade of biodiversity products, such as the plants, extracts and oils increasingly used in cosmetics and natural remedies. Launched in 2002 in Johannesburg, the BioTrade Facilitation Programme works with governments, companies, civil society and small-scale producers. It aims to promote trade while at the same time conserving the biodiversity of developing countries.
Biotrade involves the collection, transformation, production and sale of goods and services derived from natural biodiversity – the millions of microbial, plant and animal species that inhabit the planet. Biodiversity also comprises oils, dyes, resins and fibres and other substances used in cosmetics and pharmaceuticals, as well as timber, handicrafts, medicinal plants, nuts and tropical fruits. In addition, biodiversity contributes to the services sector in developing countries, most notably eco-tourism.
The expanding trade in biodiversity products is due in part to the popularity of cosmetics, care products and remedies based on natural ingredients. For example, the European Union market in natural cosmetics grew by about 20% in each of the past two years and was estimated at €1 billion in 2007. The market for “cosmeceuticals” is expected to reach €3.6 billion in the EU next year.
As a result, biotrade is becoming an important component in cooperation agreements between developing and developed countries as well as national development strategies. It offers the opportunity to enhance economic growth as well as address environmental and social challenges.
In Uganda, for example, collaboration across different economic sectors played a key role in streamlining biotrade into the Ugandan National Export Strategy and other national strategies to promote development that is environmentally and socially sustainable. Meanwhile, the Southern African Natural Products Trade Association, PhytoTrade Africa, has been successful in developing products derived from native biodiversity such as the baobab tree, devil´s claw, kalahari melons, mobola plum, marula, and trichilia. This has benefited about 30,000 producers covering over 2 million hectares in harvest areas.
UNCTAD works to forge partnerships, offers policy advice and addresses regulatory and market access issues. In addition to helping facilitate environmentally sustainable trade, these efforts aim to ensure that developing country producers and growers share fully in profits from such trade.
The programme also addresses the legal and policy environment related to biotrade and the protection of biodiversity, which is complex and rapidly evolving. There is a risk that unless biotrade is adequately recognized and supported, new rules and policies can hurt efforts to conserve the environment through the sustainable use and management of biodiversity. For instance, UNCTAD is working together with exporting countries of native biodiversity products (e.g. Maca from the Andean region) and the European Union in process of revising EU rules on novel foods. The aim is to make the revised legislation as development-friendly as possible, taking into account the development needs of exporting countries as well as health and safety concerns in Europe.
UNCTAD, through the BTFP II and its partners, will address these challenges as well as provide a more effective platform for collaboration. It will contribute to the creation of a policy environment that promotes trade and investment as an incentive measure for the sustainable use of biodiversity.
The Swiss State Secretariat for Economic Affairs (SECO) is providing financial support to UNCTAD for the BTFP II. The governments of Denmark and the Netherlands are also supporting BTFP II through programme partners, such as Bionativa, the International Finance Corporation, the International Trade Centre, PhytoTrade Africa and the Union for Ethical BioTrade.
