makingit_15_pp42-45_policybrief_print 21/11/2013 12:11 Page 43
Photo: The Value Web Photo Gallery
POLICY BRIEF
and biofuels have higher income potential than traditional crops. There could be merit in promoting dual crops, which can be used for both food and biofuel, such as sugar, cassava, sweet sorghum, or castor. This could raise incomes and enable farmers to diversify their livelihoods, helping to promote both food and energy security, if a domestic market for biofuels can also be established. 7. Implement environmental regulation, standards or certification in the manufacturing sector to keep pace as environmental standards or certification increasingly become requirements to access international markets. For example, the Cambodia Chamber of Commerce recognizes that Cambodia needs to take account of environmental concerns in its manufacturing sector through an environmental accreditation programme if it is to continue exporting successfully in future. 8. Support farmers in the transition to sustainable agricultural practices and carbon footprinting to meet future certification requirements, enhance yields, ensure longterm sustainability of production, and capitalize on projected rising global food prices. There are big differences in uptake of
these practices across countries. A report from the Food and Agriculture Organization (FAO) states that 400,000 small farmers are involved in conservation agriculture in Ghana, while only 5,000 are in Kenya, with potentially significant implications for the competitiveness of the Kenyan agriculture sector. 9. Develop economic sectors that capitalize on forest resources and encourage sustainable forest management, such as wildlife tourism, or non-timber forest products such as medicinal and aromatic plants (MAPS). This will encourage conservation of forest assets, which should also increase in value over time as carbon market mechanisms develop. Given its abundance of endemic species, Nepal has a strong potential competitive advantage in the market for MAPS, which is estimated to be growing by 8-10% a year globally – although Nepal’s production and export capability need to be developed to take advantage of this. Ecotourism is growing even faster, at around 20% per year, and some countries are much better than others at capitalising on their wildlife and nature. Both sectors need regulation to ensure they are managed sustainably.
10. Establish green credentials for the country’s tourism sector. Increasing international emphasis on environmental responsibility will reward those tourism destinations that are perceived as relatively green, and early converts to sustainable tourism will make market gains. Therefore, establishing a brand as a green tourism destination will be important to creating a competitive advantage for the future. It will also help ensure the sustainability of the industry. Tourism has been growing at a rate of 20-30% per year for over a decade in Cambodia, but faces big challenges now due to environmental pressures which could jeopardise its future growth. For example, there are concerns that the water shortage in areas surrounding Angkor Wat, exacerbated by illegal water pumps constructed by hotels, could create instability causing the ancient monuments to crack or crumble. Low-income countries face big opportunities and risks as global trading patterns change. But there is much to be gained if policymakers and businesses start thinking now about how to manage the risks and capitalize on the opportunities, positioning themselves for success in a lowcarbon global economy.
MakingIt 43