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Economic Instruments in the Agricultural Sector in Peru

Adrian Dascal, Cusco, Peru ©
Identifying the impact on Biodiversity


The Post 2020 Biodiversity Framework – EU support in collaboration with the Ministry of Environment (MINAM) in Peru will conduct a series of activities in response to harmful incentives to biodiversity in multiple sectors. 

The policy incentives of the agricultural sector, with both positive and negative effects on biodiversity, are reflected and projected in the historical and current process of the sector. Therefore, it is necessary to understand its productive dynamics and its importance both for the food supply and for the development of national and export markets, and especially, its dependence and interrelation with ecosystem goods and services.

The different types of agriculture in Peru depend on social and economic processes that have been forging territories with characteristics that bring with them changes in land use, expansion of agricultural and livestock land, diversification of productive systems with the consequent impact on ecosystems, biodiversity, climate change and people’s living conditions. In this path-dependence, the rules of the game and political decisions have played, and play, a fundamental role in the face of the challenges arising from the crisis of biodiversity loss and climate change. Understanding and analysing the role that the different policy decisions of formal and non-formal institutions have played, from a socio-ecological perspective is essential to assume the complexity of the measures and actions of the agricultural sector on ecosystem services.

Adran Dascal, Cusco, Peru ©

The main goal of the activities conducted by our Project together with the Ministry of Environment of Peru (MINAM) is to support the implementation of Target 18 of the Global Biodiversity Framework, adopted at CBD COP15 in Montreal in December 2022 by identifying and characterising positive and negative incentives for biodiversity in the agricultural sector, and providing guidance for the establishment of a reporting mechanism and shared governance.

The activities to be undertaken in the run-up to CBD COP16 in Cali will combine studies and consultations to develop a mapping and characterizing tool to identify, characterize and prioritize positives and negatives incentives in order to propose a reorientation of some harmful subsidies identified and to promote the beneficial ones, both while fostering the mobilization of private funding and investors, and the successful transformation of nature-positive business best practices in all sectors.

All activities will be designed to facilitate the sharing of best practices, knowledge transfer, networking and expertise building. They will offer a space for dialogue and innovative ideas for an ambitious alignment of the National Biodiversity Policy and Strategy (NBSAP) and the multi-level and inclusive implementation of the Global Biodiversity Framework (GBF).

4 weeks before CBD COP16 starts in Cali

As we are approaching the first GBF implementation COP, and countries are submitting their NBSAPs, several avenues are being explored to present the results of the activities nt in Cali which would most certainly feed the discussions with other countries and stakeholders on the way forward to ensure the effective implementation of Target 18 by 2030.



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