UNCTAD's successful BIOTRADE Initiative will be highlighted at a high-level parallel event on 15 June 2004 at UNCTAD XI in Sao Paulo. The initiative focuses on private sector involvement and partnerships to promote sustainable use of biodiversity through trade.

Ugandan President Yoweri Kaguta Museveni will be the keynote speaker at the session to be opened by Brazil&apo;s Environment Minister, Marina Silva and UNCTAD Secretary General Rubens Ricupero.

Great potential exists for bio-businesses in developing countries to tap into rising consumer demand for biodiversity products. For example, world markets for herbal medicines are expected to reach US$ 40 billion in 2011, more than double the 1997 level of US$ 16.5 billion.

In accordance with the objectives of the Convention on Biological Diversity (CBD), the UNCTAD BIOTRADE Initiative is developing programmes that enhance the capability of developing countries to take advantage of their biodiversity resources. They include promoting the sustainable production of biodiversity products and their commercialization on national and international markets.

Through the BIOTRADE Initiative, UNCTAD plays a pioneering role in partnership approaches. The success is founded on cooperation with networks of partner organisations operating in the field at different points along the value chain for biodiversity products. This approach builds on the comparative advantages of each participant, creating synergies and maximizing the use of scarce resources. It also allows the effective integration of the private sector in biodiversity-related programmes.

During the event, BIOTRADE beneficiaries will showcase concrete results obtained. Additionally, at the high-level panel, speakers will share experiences gained from partnerships. New ideas will be discussed for national and international strategies for biotrade and biodiversity, with focus on the potential biodiversity holds for development and poverty reduction. Well-managed bio-businesses can generate tangible economic benefits for populations whose livelihood depend on biodiversity and provide an incentive to use that biodiversity in a sustainable fashion.

Why biotrade and biodiversity are important

Many developing countries are endowed with rich and highly diverse biological resources, but this rich biodiversity is threatened by fragile eco-systems and loss of natural habitats. Biodiversity loss affects the foundations of human society as it provides food, clothing, housing, health care products and many other basic goods. Since current flows of funding for biodiversity conservation are insufficient, it is necessary to find alternative and innovative means of biodiversity conservation.

Countries rich in natural resources are losing their biodiversity at alarming rates. Causes for biodiversity loss include the search for short-term economic gains, unsustainable practices, population growth, and poverty among local populations. For example, about 24% of the world&apo;s mammals and 12% of the world&apo;s bird species are globally threatened. Forests have almost disappeared in 25 countries and deforestation was estimated at 15 million hectares yearly mainly in the tropics, during the last two decades of the 20th century. In El Salvador the forest cover, which was originally 90 to 95%, has been reduced to less than 7%, half of which is degraded mangroves and pines. In Ecuador, 68% of the original coastal coverage, and 50% of the original Amazonian forest coverage have likewise disappeared. In the Philippines, forest cover has decreased from more than 50% to less than 24% over a period of 40 years.

Against this backdrop, the challenge is to find ways and means to use biodiversity as a basis for real impacts on sustainable development. More and better-funded partnerships are required in support of trade of biodiversity based products and services. In coming years, the UNCTAD BIOTRADE Initiative intends to continue and expand its partnership approach. It will seek to consolidate existing partnerships while establishing new ones to promote the right conditions at national, regional and international level for biotrade.