Investor pressure group urges G20 to reform agricultural subsidies

Summary

• First call to finance chiefs of richest countries
• Seek alignment with climate, nature goals by 2030
• Legal & General, BNP Paribas fund arms back call

Companies

LONDON, Aug 22 (Reuters) – A group of 32 investors managing $7.3 trillion in assets have urged the G20 group of wealthier countries to align agricultural subsidies with their climate and nature goals by the end of the decade, a statement seen by Reuters showed.

The group, which includes Britain’s biggest asset manager Legal & General Investment Managers (LGEN.L) and the fund arm of BNP Paribas (BNPP.PA), issued their first ever call to the countries’ finance chiefs ahead of a G20 summit in September in India.

The intervention marks the first time investors have grouped together to tackle global subsidies in this way, they said, and follows a narrower 2021 request to the European Union, amid concern about the risks to investment portfolios of inaction.

A 2021 United Nations report said around 87% of the $540 billion in total annual subsidies to agricultural producers included measures that were price distorting and potentially harmful to nature and human health.

In addition, subsidies caused $4-$6 trillion in damage to nature each year, a landmark 2021 UK report on the economics of biodiversity said.

While a global deal to preserve biodiversity, including reform of subsidies, was struck in December in Montreal, it was crucial that richer countries acted quickly, said Helena Wright, policy director at the FAIRR Initiative, a grouping of investors managing $70 trillion focused on farming issues.

“Investors are calling on the G20 to lead by example and ensure these commitments are met – to the benefit of the climate and nature.”

To help fix the

SDGs, Targets, and Indicators

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

• SDG 2: Zero Hunger
• SDG 13: Climate Action
• SDG 15: Life on Land

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

• SDG 2.3: By 2030, double the agricultural productivity and incomes of small-scale food producers, in particular women, indigenous peoples, family farmers, pastoralists, and fishers, including through secure and equal access to land, other productive resources and inputs, knowledge, financial services, markets, and opportunities for value addition and non-farm employment.
• SDG 13.2: Integrate climate change measures into national policies, strategies, and planning.
• SDG 15.9: By 2020, integrate ecosystem and biodiversity values into national and local planning, development processes, poverty reduction strategies, and accounts.

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

• Indicator for SDG 2.3: Agricultural productivity and incomes of small-scale food producers.
• Indicator for SDG 13.2: Integration of climate change measures into national policies, strategies, and planning.
• Indicator for SDG 15.9: Integration of ecosystem and biodiversity values into national and local planning, development processes, poverty reduction strategies, and accounts.

SDGs, Targets, and Indicators Table

Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.

Source: reuters.com

Join us, as fellow seekers of change, on a transformative journey at https://sdgtalks.ai/welcome, where you can become a member and actively contribute to shaping a brighter future.