ISSUE 1/2010

The world's rapidly growing demand for resources, influenced by high growth rates and urbanization in countries such as China, India and Indonesia, is resulting in higher overall commodity prices, particularly for fuels. Yet there are technologies available which can help to ease the demand for fossil fuels in developing countries and to produce goods and services more efficiently. These technologies can also reduce greenhouse gas emissions.

As countries grapple with the challenges of integrating economic interests with the management of climate change, trade and environmental policy have become increasingly entwined in the ongoing negotiations.

Climate Change & Trade   International Trade Forum - Issue 1/2010 Climate change is the major, overriding global issue of our time and the single greatest challenge we face. It is a growing crisis with not only environmental concerns but economic, health and safe

Climate change is the major, overriding global issue of our time and the single greatest challenge we face. It is a growing crisis with not only environmental concerns but economic, health and safety, food production, security and, of course, trade dimensions. However, a proactive approach to addressing climate change can also open opportunities in new markets and create new business prospects in developing countries. As many businesses are discovering, environmentally sustainable trade is good both for the planet and for business, too. In this online edition of Trade Forum we explore the challenges posed by climate change and the business opportunities that exist for entrepreneurial vision and innovation in tackling them. The success stories of businesses that implement renewable energy practices and new technologies and reduce CO2 emissions, while creating jobs and realizing cost-savings, offer inspiration for us all.

Science has delivered a grim message. Reduce emissions of greenhouse gases by 90 per cent in the next 30 years or risk catastrophic climate change. The private sector and governments are taking their own initiatives to reduce the carbon footprint of consumption. This has important implications for developing country exporters.

Outsourcing emissions to the developing worldWhen consumers in rich countries buy imported items, who is responsible for the emissions? Is it the consuming country or the country where it was produced?

In the foothills of the Himalayas in northern India, a project run by myclimate, a Swiss non-governmental organization, is creating new jobs and income opportunities, while reducing greenhouse gas emissions through new technology.

Climate change and broader environmental concerns have, as yet, had only a relatively minor impact on shaping the direction of economic growth in South-East Asia. However, prospects for change are expanding with growing global concern and increasing competition for and pressure upon available agricultural land and water.

What are the objectives of eco-packaging initiatives? From an environmental standpoint, eco-packaging avoids depletion of non-renewable resources, minimizes wastage and usage of raw materials, reduces pollution and energy consumption and, consequently, global warming and climate changes resulting from fossil fuel usage.

Experts believe that climate change will hit countries in the Pacific islands first, as the low-lying island countries there have fewer barriers against the more extreme weather and predicted sea-level rises that are expected to threaten the main industries: fishing, tourism and agriculture. While the region's leaders seek ways to help people adapt, one organization, founded by Samoan businesswomen, is helping hundreds of families to protect their livelihoods by offering links to expanding niche markets. If crisis does strike, these families will have the resources to recover.