INVESTING IN TREES AND LANDSCAPE ... - PROFOR

Although harvest of products from protected areas may be restricted, the landscapes surrounding
these areas can be highly conducive to sustainable agriculture and forest investment. Managers of
protected areas aim to develop livelihood alternatives for populations near these areas to reduce
pressure on native forest. In areas near human settlements where modern systems of energy
infrastructure are not well developed, urban and peri-urban forestry can play a critical role in energy
supply and livelihood security. Interactions with other settlement areas may not be so positive,
particularly in growth regions where land is rapidly being cleared for agriculture, either because of new
commercial opportunities in the sector or because alternative livelihood sources are not developing.
Eco-certification and eco-standards
Private producers, businesses, and investors respond positively when the market itself rewards them
for products grown in an ecologically compatible way. Market demand for eco-certified agricultural
products is growing rapidly, particularly in Europe and North America. Globally, these markets totalled
approximately $56 billion in 2010 and are estimated to reach $261 billion by 2020 (EcoAgriculture
Partners 2010). Forest products certified by the Forest Stewardship Council (FSC) totalled $30 billion
globally in 2010 and are projected to reach $228 billion 2020 (Ecosystem Marketplace forthcoming).
These trends have the potential to drive transitions to more ecologically friendly practices among
producers in Africa who have access to international markets. In 2009, Africa had 1.0 Mha of
certified organic agricultural land and 16.4 Mha of other areas (wild collection, beekeeping,
aquaculture, forests and pastures) engaged in organic production (FiBL and IFOAM 2011). FSC
works in 12 countries in Africa, with a total of 7.6 Mha certified (FSC 2011). Projections are for
significant growth in a variety of products, including tea, coffee, cocoa, and palm oil (Forest Trends
and Ecosystem Marketplace 2008, Unilever 2010). The focus of these certification systems has been
on ecological and social benefits at the farm level. Another area of rapid growth is the establishment
by multinational food companies of internal eco-standards and climate standards for their suppliers.
As illustrated in the Kericho case (box 2. 5), there is scope for eco-certification and eco-standards to
drive landscape-scale restoration, and certifiers are beginning to experiment with ways to measure
the effects of these schemes at landscape scale (EcoAgriculture Partners forthcoming).
Payment for ecosystem services
Payment for environmental services (PES) is another new business opportunity for African land
managers, companies, and investors. PES sidesteps the need for physical market infrastructure,
but it requires the capacity to measure and monitor an ecosystem service created from a land
management intervention and to manage the transactions among buyers, sellers, and other actors
in the value chain. PES is represented in the Kagera landscape in Tanzania (box 1). So far, the most
significant developments for PES systems in Africa have been for terrestrial carbon sequestration and
emission reduction, and watershed protection.
Huge potential exists in Africa for terrestrial carbon mitigation. A large portion of the mitigation would
be from avoided deforestation. In addition, carbon sequestration potential is estimated at 265
million tons of CO 2 -equivalent, with about a quarter coming from improved crop management, a
quarter from improved grazing land management, a quarter from organic soil restoration, 12 percent
from degraded land restoration, and 14 percent from other sources (Pender 2009).
Land-based carbon projects—primarily in forests up until now—can sell carbon emission offset
credits to a wide range of buyers throughout the world, because these credits are fungible. As far as
60 INVESTING IN TREES AND LANDSCAPE RESTORATION IN AFRICA