Responsible Governments, Businesses, Consumers and Investors.
Impact investments are investments intended to create a positive impact that goes beyond simple financial returns. Such investments seek to include social and environmental impact in their measurement of performance.
Impact investments can be made by anyone who seeks to take a more rounded view of performance. Investors range from philanthropic foundations and financial institutions to retail and high net worth individuals, investing across the capital structure, across regions and business sectors, and with a range of impact objectives. The general aim of impact investments is to improve the lives of the poor and vulnerable or to provide environmental benefits at large.
Agroforestry Group as well as other agricultural and forestry companies have a large role to play in the impact investing universe. The historic exploitation of natural resources by these sectors and the energy sector are primarily to blame for a host of environmental issues.
While COVID-19 lockdowns have led to a collapse in demand for durable goods and discretionary services, the opposite is true of food.
COVID-19 has led to a significant need for financing Food and Agriculture
In cities around the world, reports of panic buying and food hoarding have proliferated since the pandemic began. On the supply side, stockpiles could quickly be depleted as the virus disrupts food production and distribution. Also, shortages of animal feed, fertilizers, and pesticides have increased both the costs of farming and the risk of bad harvests.
Furthermore, many major food-producing countries have imposed export bans or quotas in response to the pandemic, as Russia and Kazakhstan have done for grain, and India and Vietnam have done for rice. Meanwhile, other countries are stockpiling food through accelerated imports, as is true of the Philippines (rice) and Egypt (wheat).
With the pandemic threatening to wreak even more economic havoc, governments must work together to address the risk of disruptions to food supply chains. It is also the responsibility of businesses to invest in more sustainable methods of production, consumers to reduce food waste, and investors to seek more meaningful impactful investments.
Even before the pandemic, there were signs that significant investment and changes to the agricultural sector would be needed soon.
Extreme weather events induced by climate change have become more common (floods/drought), resulting in food supply shocks.
Natural pest disasters such as the Desert Locust Infestation (2020), African Swine Flu (2019), Fall Armyworm Crisis (2018) have crippled food supply
Essential natural resources are dwindling such as arable land and water supply
Food demand & waste is rapidly increasing
United Nations Sustainable Development Goals
In 2015, United Nations member states universally adopted the 2030 Agenda for Sustainable Development, an aspirational plan to spread peace and prosperity around the globe. The Agenda is organized around 17 Sustainable Development Goals (SDGs), which have been widely embraced by governments and civil society organizations, as well as a growing number of companies and investors.
Agroforestry Group's projects directly and indirectly cover the vast majority of identified SDG's.
We seek to avoid projects and supporting businesses or practices that do not strive for sustainable production and the promotion, protection and preservation of natural ecosystems.
Agroforestry Group's Impact Areas
AFG (Agroforestry Goup) & the United Nations Sustainable Development Goals