Towards a green economy that empowers domestic producers

The State is expected to generate and provide opportunities for industries to incorporate sustainability as the backbone of any business that seeks to be profitable.

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Vista del bosque nuboso Palo
Vista del bosque nuboso Palo Verde, una reserva natural ubicada en la provincia de Cartago (Costa Rica). EFE/Jeffrey Arguedas/Archivo

More and more people hear about the importance of caring for the environment and the responsible use of natural resources as the way in which industries should operate. The world's markets demand sustainable practices; at the same time they recognize and value those who can accredit them. That is why, globally, the focus today is on “green economies” that promote the verification of such practices so that international incentives and financing go to companies that can effectively guarantee them.

The State is expected to generate and provide opportunities for industries to incorporate sustainability as the backbone of any business that seeks to be profitable. From the private sector, to get down to work and generate new processes that enhance its sustainable practices. In short, what is sought is for the two to join forces to promote an economy that combines economic development with environmental care.

Although the government of the day has given signs in favor of the creation of a green economy, as it did with the announcement of the “Green Productive Development Plan” which provides technical and financial assistance to 3,500 national companies in various sectors to convert technology and make them environmentally friendly, it is still a pending subject in which is important to focus. Above all, considering that this would allow the country to better position itself internationally and consolidate a country brand that is aligned with the new global requirements demanded by environmentally friendly industries and economies.

This trend has also reached the food industry and the demand for “green food” has generated a paradigm shift in the agricultural sector. Not only is it necessary to produce products and food in the most efficient and competitive way possible to eradicate hunger, but agricultural events must be transformed into sustainable practices such as direct sowing, the management of plant protection products or the non-burning of grasslands.

While there are currently “green bonds”, it does not take into account what the production cycle is like to access such finance and determine how sustainable the producer is. The same applies to climate risk; today the main risk that the world has is the process of deforestation, and demonstrating that a crop did not have an impact at that level is a priority. For that, all these practices must be recorded; the verification of sustainable practices enhances the value chain and even imposes non-tariff barriers very quickly and very forcefully. This is possible, thanks to the use of appropriate technology.

For all this, the introduction of technology for the transformation of food systems can no longer be postponed. Although the agricultural sector is characterized by the constant incorporation of new technologies to increase efficiency and competitiveness, there are still many other areas where work is possible and necessary to respond to growing consumer demand. In this sense, the use of appropriate technology that allows sustainable traceability for crop verification will allow producers access to financing at low cost and better commercial conditions; in addition, it will allow them to differentiate themselves from the rest and generate a more robust asset in the long term, due to the fact that they have less risk, which in turn will boost domestic production, resulting in the inflow of foreign exchange into the country.

Occasionally in Argentina, a primarily agricultural country, crop traceability is essential and brings enormous benefits due to access to financing and attracting funds. There are millions of hectares of crops in our country that can be potentially sustainable; this means that there are millions of ways to contribute to a sustainable economy, you just have to make the decision, and get down to work.

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