Indonesia is a key global player in the production of palm oil and coffee. In 2017 alone, it exported USD 23 billion worth of palm oil and over USD 1 billion worth of coffee.
This booming production has the potential to boost the country’s economy as well as support rural development. It can also, however, leave fewer resources for local people and harm the environment – since 1990 Indonesia has lost a quarter of its forests.
… along with a growing wildlife trade
Crop production is not the only threat to wildlife. In 2018 wildlife crime was the third worst crime type in Indonesia behind drugs and human trafficking. The value of illegal trade was estimated at more than USD 900 million per year. Legal trade from captive breeding is also on the rise, with the export value increasing from USD 374 million in 2015 to USD 580 million in 2017.
What will we do?
Through this Hub we will look at how the global trade of commodities, such as palm oil and coffee, can be more sustainable. We will also enhance information on legal and illegal wildlife trade in Indonesia, particularly the most exported species, including birds and reptiles.
The start of the supply chain
We will first investigate where farmland is expanding, and where it might pose a threat to forests. We will then look into how deforesting these areas, and so degrading the landscape, might impact supply chains. This will help us guide the sustainable production of palm oil and coffee, particularly helpful for rural communities.
Tools for sustainability
We will provide tools and products that show how to make sustainable investments in palm oil, coffee and wildlife trade. The Indonesian financial regulatory authorities can then use these outputs in their decision-making.
Identifying and working with the main people involved
We will also study value chains of wildlife trade, identifying who is involved, how they interact with each other, and how they share benefits. Part of this will mean investigating the link between the legal and illegal wildlife trade.
Finally, we will work with government regulators and private enterprises, so they can make better decisions for sustainable palm oil, coffee and wildlife trade. Our goal is to make global trade of commodities that deliver benefits for Indonesia, while reducing impacts to forests and local people.