Hanns R. Neumann Stiftung: how smallholder farmers can turn biodiversity into a business case – Comunicaffe International

Report on Aligning Smallholder Coffee Farming with Sustainable Development Goals

Introduction: A Strategic Event on Sustainable Coffee Production

A report on the event “The Smallholder Dilemma: Balancing Nature and Livelihoods,” hosted by the Hanns R. Neumann Stiftung (HRNS) during the Hamburg Sustainability Week 2025. The event addressed the critical challenge of integrating biodiversity conservation with the economic needs of smallholder coffee farmers. This issue is central to achieving several Sustainable Development Goals (SDGs), including SDG 1 (No Poverty), SDG 2 (Zero Hunger), SDG 13 (Climate Action), and SDG 15 (Life on Land).

The Smallholder Dilemma: A Barrier to Sustainable Development

Economic and Environmental Pressures

Smallholder farmers face a conflict between meeting immediate economic needs and preserving the natural resources upon which their livelihoods depend. Current agricultural models, often reliant on monoculture, provide short-term gains but lead to long-term environmental degradation. This practice directly undermines SDG 15 (Life on Land) by depleting soil fertility and reducing biodiversity. Consequently, farm vulnerability to climate change and pests increases, threatening economic stability and impeding progress toward SDG 1 (No Poverty) and SDG 8 (Decent Work and Economic Growth).

Systemic Challenges in Modern Agriculture

The prevailing agricultural paradigm has historically prioritized mechanization and commoditization, making coffee monocropping systems highly susceptible to climate change impacts, as outlined in SDG 13 (Climate Action). This vulnerability threatens the viability of coffee as a source of income, highlighting the need for a systemic shift towards agricultural practices that support both ecological health and secure livelihoods, in line with SDG 2 (Zero Hunger).

Integrating Biodiversity for Resilient Livelihoods and Ecosystems

Proven Strategies for Sustainable Coffee Farming

HRNS projects demonstrate that integrating biodiversity into coffee systems is a viable strategy for advancing the SDGs. Key interventions include:

• Agroforestry: Combining coffee with shade trees diversifies farmer income and enhances food security (SDG 1, SDG 2), while improving soil quality and restoring habitats for vital species (SDG 15).
• Soil and Water Conservation: Practices such as composting, mulching, and the use of biofertilizers contribute to halting land degradation (SDG 15) and building climate resilience (SDG 13).
• Integrated Pest and Disease Management (IPDM): Utilizing natural predators and biopesticides reduces reliance on synthetic chemicals, promoting responsible production patterns as per SDG 12 (Responsible Consumption and Production).
• Community and Landscape-Level Action: Initiatives like tree planting campaigns and community-based water protection promote biodiversity on a broader scale, supporting the objectives of SDG 15.

The Business Case for Biodiversity

For biodiversity-friendly practices to be adopted, they must be economically viable. As noted by panelists, securing basic livelihoods (SDG 1) is a prerequisite for farmers to invest in conservation. The business case for biodiversity is built on several key economic benefits:

1. Enhanced Quality and Yield: Healthy ecosystems lead to improved soil fertility and pollination, boosting farm productivity.
2. Diversified Income Streams: Agroforestry and companion crops provide additional products for consumption or sale, increasing economic resilience and contributing to SDG 8.
3. Reduced Input Costs: Lower reliance on synthetic fertilizers and pesticides can reduce operational expenses.
4. Long-Term Resilience: Diversified farms are more resilient to climate shocks and market volatility, ensuring sustainable profitability.

Framework for Successful Implementation and Systemic Change

Key Factors for Long-Term Success

Successful transformation requires a strategic approach grounded in local realities. Critical success factors identified include:

• Farmer-Centered Approaches: Designing interventions that address the specific challenges and needs of local farmers.
• Gradual Implementation: Introducing new practices in stages to manage costs and allow for adaptation.
• Demonstration Plots: Providing tangible proof of the benefits of new techniques to encourage adoption.
• Strong Farmer Organizations: Strengthening local institutions is crucial for providing access to resources, marketing diversified products, and sustaining new systems, reflecting the principles of SDG 17 (Partnerships for the Goals).

A Shared Responsibility Across the Value Chain

Overcoming the knowledge and financial gaps that hinder this transition is a shared responsibility. The burden cannot fall on smallholder farmers alone. Achieving systemic change requires collective action from all stakeholders in the value chain, a core principle of SDG 17.

• Governments: Can provide targeted funding, subsidies, and supportive policies.
• Development Partners and NGOs: Can offer technical assistance, training, and direct financial support.
• The Private Sector: Companies can support the transition by offering fair prices, long-term purchasing agreements, and investing in sustainable supply chains, aligning their business models with SDG 12.
• Consumers: Can contribute by choosing sustainably produced products and supporting brands committed to ethical sourcing.

Conclusion: Biodiversity as a Foundation for Sustainable Futures

The event concluded that investing in biodiversity is not a luxury but a fundamental necessity for the future of the coffee sector and the achievement of global sustainability targets. It is an investment in resilient business models and the well-being of communities worldwide. The transition to biodiversity-friendly agriculture requires significant time and investment, but it is the only viable path to ensure the long-term health of our planet and its inhabitants, fully aligning with the vision of the Sustainable Development Goals.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

The article on balancing biodiversity and livelihoods for smallholder coffee farmers connects to several Sustainable Development Goals (SDGs). The core issues discussed—poverty, sustainable agriculture, environmental degradation, and collaborative action—are central to the 2030 Agenda for Sustainable Development.

• SDG 1: No Poverty – The article directly addresses the economic well-being of smallholder farmers, focusing on strengthening their livelihoods and ensuring their basic needs are met as a prerequisite for adopting sustainable practices.
• SDG 2: Zero Hunger – The discussion revolves around sustainable agricultural practices, improving soil fertility, and enhancing yields to ensure food security for farming families and create resilient food production systems.
• SDG 8: Decent Work and Economic Growth – It explores making coffee farming a viable and profitable long-term business, decoupling economic gain from environmental harm, and diversifying income streams for farmers.
• SDG 12: Responsible Consumption and Production – The article highlights the need to shift away from monocultural systems dependent on chemical inputs towards sustainable production methods. It also touches upon the role of companies and consumers in supporting this transition.
• SDG 13: Climate Action – The text identifies climate change as a major threat to coffee farming and presents biodiversity-friendly practices like agroforestry as a way to build resilience to climate-related challenges such as irregular rainfall and rising temperatures.
• SDG 15: Life on Land – This is a central theme, with a strong focus on preserving biodiversity, halting the decline of species, improving soil health, and integrating conservation into farm and landscape management to protect terrestrial ecosystems.
• SDG 17: Partnerships for the Goals – The article repeatedly emphasizes that the transition to sustainable practices requires shared responsibility and collaboration among farmers, companies, governments, NGOs, and consumers.

2. What specific targets under those SDGs can be identified based on the article’s content?

Based on the solutions and challenges discussed, several specific SDG targets can be identified:

• Target 1.5: By 2030, build the resilience of the poor and those in vulnerable situations and reduce their exposure and vulnerability to climate-related extreme events and other economic, social and environmental shocks and disasters.
  • The article supports this by promoting diversified farms (through agroforestry and companion crops) which are described as “more resilient and profitable in the long term” against market and climate shocks.
• Target 2.3: By 2030, double the agricultural productivity and incomes of small-scale food producers.
  • The article focuses on how healthy soils and balanced ecosystems can “enhance both” coffee quality and yield, directly contributing to farmer incomes. Income diversification is also presented as a key strategy.
• Target 2.4: By 2030, ensure sustainable food production systems and implement resilient agricultural practices that increase productivity and production, that help maintain ecosystems, that strengthen capacity for adaptation to climate change…and that progressively improve land and soil quality.
  • This is addressed through the promotion of practices like agroforestry, composting, mulching, and the use of biofertilizers, all of which are designed to improve soil quality and maintain ecosystems.
• Target 8.4: Improve progressively, through 2030, global resource efficiency in consumption and production and endeavour to decouple economic growth from environmental degradation.
  • The article’s central theme of making biodiversity a “business case” directly aligns with this target, showing that profitability can be achieved while preserving natural resources, rather than depleting them.
• Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources.
  • This is reflected in the call to move away from “monocultural systems that deliver short-term gains but deplete soils” and reduce reliance on chemical inputs in favor of natural solutions like Integrated Pest and Disease Management (IPDM).
• Target 13.1: Strengthen resilience and adaptive capacity to climate-related hazards and natural disasters in all countries.
  • The article explains that modern agricultural practices make farms “more vulnerable to pests and climate change,” while agroforestry helps “reduce water evaporation” and mitigate the effects of “rising temperatures, shifting rainfall, and spreading pests.”
• Target 15.3: By 2030, combat desertification, restore degraded land and soil, including land affected by desertification, drought and floods, and strive to achieve a land degradation-neutral world.
  • The promotion of agroforestry and soil conservation techniques like composting and mulching are direct actions aimed at restoring and improving soil fertility and quality, which the article notes is declining.
• Target 15.5: Take urgent and significant action to reduce the degradation of natural habitats, halt the loss of biodiversity and, by 2027, protect and prevent the extinction of threatened species.
  • The entire article is framed around this target, with practices like planting shade trees to “provide habitats for pollinators and other species” being a key strategy to preserve biodiversity on coffee farms.
• Target 17.17: Encourage and promote effective public, public-private and civil society partnerships, building on the experience and resourcing strategies of partnerships.
  • The article concludes by stating that “all parts of the value chain must work together” and highlights the importance of “Communities of Practice connecting farmers, local organizations, and private actors to exchange knowledge and coordinate action.”

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

The article implies several practical indicators that can be used to measure progress, even if they are not official UN indicators:

• Adoption rate of agroforestry systems: Progress can be measured by the number of farmers or the percentage of farmland that incorporates shade trees like banana or avocado alongside coffee crops. The article states, “One key way is through agroforestry.”
• Diversification of farmer income: An indicator would be the percentage of a farmer’s income derived from non-coffee sources, such as companion crops grown in agroforestry systems. The article notes these crops “provide products for home consumption or sale, helping to diversify income.”
• Reduction in the use of synthetic inputs: Progress can be tracked by measuring the decrease in the application of synthetic pesticides and fertilizers, and the corresponding increase in the use of “compost and biofertilizers produced on-farm” and IPDM techniques.
• Improvement in soil quality: This can be measured through scientific analysis of soil organic matter and fertility. The article mentions that monocultural systems “deplete soils,” while sustainable practices “improve soil quality.”
• Increase in coffee yield and quality: An indicator of success for the “business case” would be measured increases in coffee yield and quality scores on farms that have adopted biodiversity-friendly practices.
• Number of collaborative initiatives: Progress towards partnership goals can be measured by the number of established “Communities of Practice” or formal partnerships between farmer organizations, companies, and NGOs, as advocated in the article.
• Investment in sustainable agriculture: The amount of funding provided by governments, development banks, and private companies for “financing the transition to biodiversity-friendly systems” serves as a key indicator of shared responsibility.

4. SDGs, Targets, and Indicators Summary

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