#Organic

Sustainability challenge and related SDGs:

#Organic farming produces food or cotton for textiles in harmony with nature, supporting ecosystems and thus making agriculture more resilient. It replaces conventional agriculture, which negatively impacts the environment through the use of fossil-fuel-based fertilizers and pesticides. Unfortunately, globally the vast majority of all farmlands (98%) are managed conventionally.

Badly managed conventional agriculture is often responsible for soil degradation, freshwater pollution and biodiversity loss. These issues are critical for a sustainable food production, as outlined in SDG 2 “Zero Hunger” and functioning ecosystems as described in SDG 15 “Life on Land”.

Possible solutions and their contribution to achieving the SDGs

Compost or manure are typical alternatives to fossil-fuel based fertilizers, whereas pesticides are commonly replaced through naturally occurring agents such as extracts from tobacco or chili plants, or live organisms such as ladybugs.

These inputs to #Organic agriculture are less harmful to the environment and thus mitigate some of the damages to nature commonly occurring when land is used for agricultural purposes. Together they ensure long term sustainable agriculture without a loss in productivity.

Further benefits of #Organic agriculture revolve around improved water quality through reduced nitrate leaching, improved soil quality, halting the loss of biodiversity or even actively boosting it and also halting soil erosion. #Organic agriculture plays a key role in reaching SDG 2 and SDG 15.

Primarily related SDG Targets: 2.1, 2.2, 2.3 2.4, 15.1, 15.2, 15.3, 15.4, 15.5

Investment Rationale and Growth Potential

#Organic food sales have increased globally in the past decades. In recent years, some national markets have seen two-digit annual growth rates. In certain countries, mainly in Europe, the share of #Organic food in the total food market has reached 10% and more. This puts companies manufacturing #Organic products in a great position to start lead the way to reaching the SDGs.