It’s not just animals and plants that can flourish by protectingbiodiversity but the bottom line of businesses, according to a new report.
The survey conducted by The Economics of Ecosystems andBiodiversity (TEEB) highlighted the importance of “natural capital” tocompanies in biodiversity-rich developing economies.
Over 50 percent of the CEOs surveyed in Latin America and 45percent in Africa see the decline in biodiversity as a challenge to businessgrowth, according to the report.
In contrast less than 20 percent of the surveyed business leaders inWestern Europe shared the same concern. According to the InternationalUnion for Conservation of Nature(IUCN), biodiversity loss can beblamed on habitat loss, invasivespecies, pollution, over-exploitationand climate change, and despite somelocal success stories, the rate of lossdoes not appear to be slowing.
Estimates by UK consultancyTrucost working on behalf of theU.N.’s Principles for Responsible Investment suggest that the negativeenvironmental impact of the world’s top 3,000 listed companies total around$2.2 trillion annually.
If the survey indicates that those sitting in boardrooms are aware ofthe importance of protecting biodiversity, consumers are also increasinglyconscious of protecting areas rich in plant and animal species.
Another TEEB survey found that 60 percent of those questioned in theU.S. and Europe and over 90 percent in Brazil were aware of biodiversityloss. Over 80 percent of those consumers surveyed said they would stopbuying products from companies that disregard ethical considerations intheir sourcing practices.
Market opportunities for certified forest products and conservation gradeor organic produce are predicted to grow by 200 percent and around 400 percentrespectively by 2020, according to the TEEB for Business report.
“The economic importance of biodiversity and ecosystems is emergingfrom the invisible into the visible spectrum,” said Pavan Sukhdev, TEEBstudy leader and head of the U.N. Environment Program’s Green EconomyInitiative, in a press statement.
“It is clear that some companies in some sectors and on somecontinents are hearing and acting on that message in order to build moresustainable, 21st century businesses.”
Joshua Bishop, chief economist at the IUCN, believes that companiesthat don’t take environmental factors into consideration will be out of stepwith consumer concerns and profit margins.
