Sustainable Agricultural Commodity Index
Index Initiative has done a study to assess the feasibility of developing a “Sustainable Agricultural Commodity Index”. This feasibility study focused on the role of agricultural commodity traders in promoting more sustainable and inclusive agriculture. There is a strong case for developing this index, since agricultural commodity traders present a highly concentrated segment of the agriculture and food value chain, connecting millions of farmers, including smallholders, to international markets. However, it is often unclear to what extent traders can use this unique position to improve the livelihoods of farmers and their families and reduce the environmental impacts associated with agriculture. Making the production of agricultural commodities more sustainable can positively impact multiple SDGs including SDG 2 (zero hunger), SDG 1 (no poverty) SDG 5 (gender equality), SDG 8 (decent work and economic growth), SDG 6 (clean water and sanitation), SDG 13 (climate action) and SDG 15 (life on land).
Stakeholder consultations during the coming period will focus on refining and possibly expanding the scope of the index and building a coalition of stakeholder supporting its development. This can result in the inclusion of additional industries and companies.