As highlighted in my contribution to the last issue of this newsletter, the recent dramatic price increases for agricultural commodities reflect the increased demand for agricultural products. We have moved from surplus to deficit in the EU in just a few years and, since agricultural land is finite most of the demanded increase will have to result from boosting production on existing land (1).

We thus face a two-fold challenge with sustainable agricultural intensification: we need to achieve productivity increases on existing land, while maintaining or enhancing the diversity of agro-ecosystems to safeguards their long-term production base and resilience.

Sustainable agricultural intensification
In my view, sustainable agricultural intensification builds on two major sets of measures. Firstly, we need strategies and practices for sustainable agro-ecosystem management. Secondly, we require a set of science-based and flexible policies and mechanisms that involve farmers and which provide them with the necessary incentives to adopt good practices.

As a company, we promote Integrated Crop Management (ICM) because it provides a sensible, balanced and holistic approach to agro-ecosystem management. Classic elements of agricultural decision-making are applied, such as tillage and crop-choice, -rotation, -protection and –nutrition. Measures for biodiversity enhancement, water and energy management and landscape protection are also included, and speak for the recognition of agriculture as a complex and dynamic system which is in constant interaction with its environment. Biodiversity conservation within ICM includes the conservation, or creation, of habitats within the farm environment, including hedgerows and field margins. These measures contribute not only to the conservation of flora and fauna in general, but also support pest management by providing habitat, cover and refuge for beneficial insects. In common with the concept of ‘ecoagriculture’, proposed as a way to integrate agriculture and wildlife protection (2), ICM builds on the concept of integrated ecosystem management in line with the principles of the ecosystem approach.

Sustainable practices and policies
Strategies for holistic sustainable agro-ecosystems management already exist today. However, to achieve the mainstreaming of good agricultural practices, the goal is to see them applied globally and to adjust the policy framework in the following areas:

1. Political discussion needs to shift from a bureaucratic approach that focuses on input reduction, to a more holistic and flexible framework that supports the enhancement of site-specific needs and reflects agriculture’s overall positive contributions to biodiversity conservation, such as habitat protection, water management and erosion prevention. I was pleased that some of these aspects were considered at SBSTTA-13. However, we need a focused discussion on developing flexible policy frameworks. An approach based on voluntary schemes, for example, would be more attractive to farmers because it reduces their administrative burden.

2. Market mechanisms should provide incentives for farmers by stimulating improved market access possibilities, thus generating a price premium for sustainable agro-ecosystems management. In addition, outcome-focused compensation schemes would be a driver for farmers to develop, implement and disseminate site-specific good practices and respond to local needs and opportunities to enhance ecosystem services. The adoption of such schemes should comprise direct payments for specific activities and measures, based on their effectiveness in achieving environmental objectives.

Approaches to date
Although the growth of various food labels and certified standards as a market mechanism tool is rising, the total volume and value of such products is still a small percentage of the overall market — about 5 percent. While these labeled products provide a premium price in niche markets, most of them focus only on specific aspects of production, such as labour rights, social standards, input reduction, biodiversity conservation, low distance to market, or reduction of greenhouse gas emissions. The challenge, however, is to implement holistic approaches that address all pillars of sustainability and, with that, help mainstreaming good practices into the remaining ‘95%’ of agricultural production.

A broad range of successful, holistic approaches already exists, but they need to be scaled-up, promoted and actively encouraged. A pioneering example is GLOBALGAP developed by food retailers through the setting of voluntary certification standards for agricultural products. These standards are adhered to by many farmers worldwide, because they are based on regionally-adjusted criteria that apply to local needs and they allow access to premium markets by generating improved quality produce (3).

Such market-driven certification systems could be made even more powerful through compensation schemes that provide farmers with direct payments for the implementation of sustainable agro-environmental practices. In the UK, entry-level stewardship schemes encouraging farmers to adopt simple, yet effective, environmental management practices led to a dramatic increase in the area managed under agri-environmental schemes, now covering close to 60% of all agricultural land (4).

Outlook for COP-9 and beyond
The examples above, show that market mechanisms and outcome-oriented compensation schemes are already successful in many places; but their immense potential to support the mainstreaming of sustainable agro-ecosystem management is yet to be realized and further efforts are needed. An increased awareness among consumers about efforts being undertaken by farmers to protect the environment and provide high quality and affordable food products is required. To ensure this, policy makers should take a lead role in addressing the huge challenges faced by agriculture in a clear and balanced way. We should seize the opportunity at COP-9 to set the direction towards an integrated policy for sustainable agricultural intensification.

Mainstreaming sustainable agro-ecosystem practices is an objective shared by business, the conservation community and consumers. The current boom in commodity prices is both a signal for the urgency to act — including to ensure food security — and an opportunity to initiate crucial shifts in policy making. With such broad-based support for the objective, it demands action by the policy makers and regulators and the good collaboration of all. We in Bayer CropScience stand ready to share our expertise alongside others to accelerate the progress towards this important common goal.

Jacques du Puy is Member of the Executive Committee of Bayer CropScience.

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(1) See FAO, 2003. World agriculture: towards 2015/2030. An FAO perspective, edited by J. Bruinsma. Rome, FAO and London, Earthscan.
(2) See UNDP, 2002. Reconciling Agriculture and Biodiversity: Policy and Research Challenges of ‘Ecoagriculture’.
(3) http://www.globalgap.org
(4) UK Biodiversity Partnership, 2007. Biodiversity Indicators in your Pocket (BIYP)