The CIPS: A step forward to

Sustainable Palm Oil in Ecuador

By: María Amparo Albán

UNDP Environmental consultant for the Project

Italian support for REDD+ implementation in Ecuador

Achieving sustainability in the agricultural sector is one of most complex challenges of modern times. The sector’s multiple interactions with diverse development priorities, raises discomfort and anxiety among traditional stakeholders. The same questions are raised again and again and echo across the globe. “Are sustainable markets paying off?” “Is the Government helping?” “Where is our gain?” “We already comply with so many stringent environmental laws.”

Yet, the reason why the agricultural sector should bet on a full conversion to sustainable practices goes beyond environmental self-consciousness. This conversion has several motivating factors and does not follow an already established pattern. It is the result of a combination of factors among which economic feasibility, social relevance, and environmental awareness, are just a few. Foremost among these is the increasing impact of environmental policies and international market preferences, where concern for conserving biodiversity and reducing carbon emissions is increasing steadily.

In Ecuador, the motivation for the palm oil sector to rebrand, rethink, and reinvent itself is the result of many factors and the readiness of the sector to assume greatercommitments. Motivation and readiness converged during the recent creation of the Interinstitutional Committee on Sustainable Oil Palm (CIPS, by its Spanish acronym) which will be in charge of implementing the Sustainable Oil Palm Production Initiative in Ecuador, lead jointly by the Ministry of Agriculture and the Ministry of Environment.

The Sustainable Oil Palm Production Initiative started with the implementation of the REDD+ Sustainable Oil Palm Action Plan for the Amazon Basin, as part of REDD+ National Action Plan – “Forests for Good Living, 2016-2025”1, an initiative lead by the Ecuadorian Ministries of Environment and Agriculture and supported by the UN-REDD Programme, which engaged the oil palm sector to commence a comprehensive discussion on how to implement sustainable practices for oil palm to decrease and hopefully cease deforestation in the Amazon provinces. One result of these discussions was the request to create a multi-stakeholders´ platform called “Comité Interinstitucional de Palma Sostenible –CIPS”. This platform would serve as a forum for discussion and decision making towards the implementation of the sustainable oil palm plans resulting from the REDD+ Action Plan.

The first responsibility of the CIPS is to incorporate civil society organizations, small producers and Academia as part of it. To do so, the Ministry of Agriculture is conducting a process based on an open call2 and on principles of objectivity, transparency and non- discrimination.

The CIPS is seeking to advance a new environmental governance model that will be essential as more Ecuadorian companies undergo the RSPO certification process, and many are close to finalizing it. The Committee will also be a central space for dialogue and coordination as many markets, especially the EU, are discussing trade-related environmental sanctions on palm oil biofuels and are debating more stringent certification schemes for palm oil production. The CIPS will provide important guidance when Ecuadorian authorities and the different stakeholders involved in the Committee come to an agreement on how to move forward in relation to the sustainability of oil palm production.

For the Ecuadorian government as well as for the Ecuadorian private sector, the transition towards sustainable oil palm production is not solely about forest conservation, or carbon stocks or watershed management. Nor it is just about capturing a greater share of trade in a premium market. The shift towards sustainable oil palm production is fundamentally about people, human rights and development. In a country where 90% of oil palm producers are small farmers, the ability to produce sustainably and access the international market for sustainable palm oil is paramount.

CIPS has taken on a challenging task. The bet is on.