Alexander Kasterine, Building capacity of SMEs engaged in trade for climate change, International Trade Center

1. Providing climate smart Aid for Trade to SMEs
Experience from the Trade and Environment Programme,
International Trade Centre (WTO/UN)
Alexander Kasterine
Head, Trade and Environment Programme
International Trade Centre

2. International Trade Centre (ITC)
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3. Objective of the International Trade Centre
- Integrated solutions for the internationalisation of SMEs
Internationalisation
of SMEs
Strengthen the
international
competitiveness of
SMEs through ITC
training and support
Increase the capacity of
Trade and Investment
Support Institutions
(TISIs) to support
businesses
Strengthen the
integration of the
business sector into the
global economy through
enhanced support to
policymakers
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4. ITC’s 6 focus areas
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1 Trade and market intelligence for SME competitiveness
2 Supporting regional economic integration South-South links
3 Connecting to value chains: SME competitiveness, diversificaion
and links to export markets
4 Strengthening trade and investment support institutions
5 Promoting and mainstreaming inclusive and green trade
6 Building a conducive business environment

5. Trade and Environment Programme (TEP)
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Advisory services
 Stakeholder consultations
 Supply chain assessments
 Support for policy and strategy development
Capacity building
 Training and seminars
 Technical manuals and guides
 Provision of tools to access new markets
Market studies
• Publications on market barriers and opportunities and livelihood impacts
Strengthening the competiveness and sustainability of SMEs in the
green economy market

6. Trade and Environment Programme (TEP)
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Large private sector partners
Kering, second largest fashion group worldwide
 Southeast Asia: Python Conservation Partnership (Kering,
IUCN, ITC)
 Madagascar Sustainable Use and Conservation Partnership
(Kering, IUCN, ITC)
The Body Shop International, multinational cosmetics company
 Ghana: Shea butter sector
Medium-sized private sector partners (selected examples)
 Mar y Sol, American designer – sustainably sourcing raffia
from Madagascar
 Lovingearth, Australian organic & raw food manufacturer –
sustainably sourcing cocoa from indigenous communities
Private sector partners

7. TEP’s current and recent interventions
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Peru:
• Andean grains
• Fine cocoa
• Exotic fibres
Madagascar:
• Raffia
• Crocodile skin
South East Asia:
• Python skins
Kenya:
• Tea
South Africa:
• Rhino horn
China:
• Medicinal plants
Ghana:
• Shea
Namibia:
• Indigenous
plants
Sri Lanka:
• Tee

8. Trade and Environment Programme (TEP)
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Sustainable and climate-smart export sectors (since 2013)
- Kenya – tea and coffee sectors
- Uganda – tea and cut flowers sectors
- Peru – Andean grains sector
- Madagascar – raffia palm sector
Conservation and sustainable use of biodiversity (since 2013)
- Peru – Andean grains, fine cocoa and exotic fibres sectors
- Madagascar – raffia palm and crocodile skin sectors
- South East Asia – python skin sector
Environmental goods and services (from 2017 onwards)
TEP’s focus areas

9. Climate change and the Agri-Food Trade
Primary export challenges for coffee and cocoa exporters –
perceptions of Peruvian exporters
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% of exporters survey
71%
46%
33%
29%
29%
price volatility
market competition/ competitiveness
quality
infrastructure
climate change
Source: Climate change and the Agri-Food Trade: Perceptions of Exporters in Peru and Uganda

10. Climate change and the Agri-Food Trade
Measures needed to respond to climate-related risks and their impacts
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Source: Climate change and the Agri-Food Trade: Perceptions of Exporters in Peru and Uganda
32%
41%
55%
59%
68%
68%
68%
73%
86%
infrastructure improvements
networks and partnerships
human resources
improved climate information
access to finance
institutional and political environment
climate risk insurance
export diversification
climate resilient crop varieties
Areas of TEP technical assistance

11. Sustainable and climate-smart export sectors
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Kenya – tea sector
Goal: Strengthen the competitiveness and
sustainability of SMEs in the tea sector
Implementing Partners: Ethical Tea Partnership,
Kenya Tea Development Agency
 Guide: Mitigating Climate Change in the
Tea Sector
Prepared in 2013, published in 2014
 Trainings on climate change adaptation –
Farmer Field Schools
Lead farmers of 15 factories trained
 Trainings on climate change mitigation
Energy audits and trainings for 8 leading tea
factories trained

12. Sustainable and climate-smart export sectors
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Kenya – tea sector
 Outcomes
- Kenyan government made energy audits a
legal requirement for the tea sector in
2014
- Reduction of energy consumption by 30%
on average among beneficiaries
- Improved climate resilient production and
processing practices
 Follow-up
- Replication of project in Sri Lanka in
partnership with the Ethical Tea
Partnership

13. Sustainable and climate-smart export sectors
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Madagascar – raffia sector
Goal: Strengthening competitiveness and
sustainability of women owned SMEs in the raffia
sector
Implementing Partner: Wildlife Conservation
Society (manager of Makira National Park)
 Guide: Climate Smart and Sustainable
Sourcing of Raffia
Prepared in 2015, forthcoming in 2016
 Trainings on climate change adaptation
200 smallholder farmers from 6 women
associations trained
 Trainings on business capacity
Formation of 6 women associations

14. Sustainable and climate-smart export sectors
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Madagascar – raffia sector
 Outcomes
- International buyers stated interest in
sourcing directly from beneficiaries
- Improved community-based natural
resource management
- Improved climate resilient sourcing and
processing practices
 Follow-up
- Establishment of sourcing platform
- Expansion of project to further associations
in Makira National Park
- Replication of project in other regions of
Madagascar in partnership with GIZ

15. Thank you very much!
For further questions contact:
Alexander Kasterine
Head, Trade and Environment Programme
International Trade Centre
kasterine@intracen.org
@itcenvironment
@alexkasterine