Action, transformation, adaptation

Over the two day conference many important points were discussed which I've condensed into key takeaways.

Urgency of Action

We know it, the planet cannot wait, and emergency action is imperative. Society expects business to progress even during turbulent times. To make significant strides, massive change is required in the Food and Beverage ecosystem. Consumers also play a critical role. Instead of polarizing the debate (for example between vegans and non-vegans), we should emphasize moderation for the benefit of both health and the planet.

Adaptation and Volatility

Companies need to accept volatility and focus more on adaptation vs. mitigation Change must be driven from top. While the C-Suite is generally more familiar with climate change, biodiversity is a newer theme with significant knowledge gaps. The taskforce on Nature Related Financial Disclosures will help accelerate in this area. Addressing biodiversity presents substantial benefits when approached multidimensional, even though social aspects are harder to quantify.

Strategic Transformation

Resilience is driven by strategy, collaboration and large scale transformation. De-risking and finding the highest abatement in the value chain is crucial. Move from targeting low hanging-fruit to addressing all opportunities.

Building Long Term Partnerships

Adopt a renovation-to-innovation approach, forge partnerships, and build lasting connection with farmers. Shift from transactional relationships to Long_term contracts. Develop solutions trat support farmers through collaboration.

Embracing imperfection.

Accept that Climate Transition Plans are not perfect and high quality reporting will take time. To achieve progress what is needed?

1.????? Transparency: take stock of your SBTi inventory and be honest and highlight gaps.

2.????? Clarity: establish a clear baseline and carbon methodology

3.????? Openness: collaborate openly with auditors, embrace a test-and-learn approach and don't fear scrutiny.

4.????? Setting SBTi’s targets: Be prepared to venture in the unknown.

5.????? Financial Integration: ensure CAPEX/OPEX are allocated to real impactful projects..

6.????? Limited assurance: Recognize that limited assurance is a reasonable expectation.

7.????? Incentive alignment: Embed climate goals in Short/Long Term Incentive structures.

The role of Regulation?

Regulation alone is not the complete solution, but it can be effective if practical.

The EU is pioneering with the Corporate Sustainability Reporting Directive (CSRD), which will demand more detailed transition plans from companies. Those who are lagging behind should take note.

MRV: measuring, reporting, validating

For MRV systems to be effective, they must be credible, accurate and transparent, with methodologies that are user friendly for farmers, producers and corporations globally. Transitioning from expenditure to life cycle assessment (LCA) can be costly and the financial burden of reporting is significant..

Government’s actions could come quicker than we think. If a country sees it production of raw materials less exported because they are seen as not sustainable, they will be quick to react.?

Building Trust

Trust is crucial in any partnership. Farmers are essential to the value chain, and need support in navigating the complexities of climate issues and sustainable finance. Providing support is vital for the overall success of climate initiatives

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