Our reliance on nature, coupled with the continued degradation of natural systems, creates risks for society and has led to an increased consumer expectation that businesses will take greater responsibility for their impact on ecosystems and the planet.

In response to these risks and consumer expectations, companies are embedding nature into their sustainability commitments and strategies.  Guided by frameworks such as the Kunming-Montreal Global Biodiversity Framework and The Taskforce on Nature-related Financial Disclosures (TNFD), companies are setting targets and taking action to achieve nature-positive* outcomes.
* Definitions of key terms are provided in Appendix 1.

What is Nature and Biodiversity?

These terms are often used interchangeably because biodiversity is an integral part of nature.  Threats to one will almost always affect the other.

Biodiversity flourishes within healthy natural ecosystems, and those ecosystems, in turn, rely on biodiversity to remain resilient and functional.

This creates a relationship which is so profound that addressing one effectively means addressing both ³.

The Climate, Nature and People Connection

Nature is a critical ally in addressing climate change and strengthening our ability to adapt to its impacts.  Climate change and nature loss are deeply intertwined challenges that can impact food security and that must be tackled together ⁴.

Figure 1. The relationship between Climate Change, Nature, and People ⁴
Source: Adapted from WWF. (2019). Climate, Nature and our 1.5°C Future. WWF International.

The three pillars of climate change, nature loss, and people are often considered in isolation.  However, adopting a holistic perspective allows for a deeper understanding of their interactions and the development of integrated solutions ⁴.  Climate change contributes to nature loss through rising temperatures and extreme weather events, which affect terrestrial and aquatic ecosystems.

Conversely, nature loss exacerbates climate change, as the conversion of natural habitats – such as grasslands, forests, and wetlands – for agriculture or urban development releases stored carbon into the atmosphere ⁵.  Human activity is central to this feedback loop, being one of the primary drivers of both climate change and nature loss ⁶.

Despite the challenges, there is a clear opportunity; natural systems play a vital role in regulating the climate, sustaining food production, and supporting communities.  Investing in nature can provide co-benefits for climate mitigation, adaptation, and social wellbeing, ultimately creating a more sustainable and equitable future ⁷.

The Nature Crisis and The Food System

Nature loss poses a significant threat to business operations, particularly within the agricultural and food production sector, where there is a direct dependency on environmental factors including soil health, water security, and pollinator species.

We need ecosystems to thrive to ensure that food production can sustain the planet’s growing population.  For decades, agricultural policy has helped deliver abundant food, but often at the cost of biodiversity, fertile soil, water resources and a stable climate, prioritising high yields to meet demand over long-term sustainability ⁸.

Currently, 50% of all habitable land is used for agriculture ⁹.  To meet growing population pressures, forests are increasingly cleared for farmland, leading to habitat destruction which reduces biodiversity and raises CO_₂ emissions.  In fact, food systems account for over a third of global greenhouse gas emissions ¹⁰.

Moreover, agriculture accounts for 70% of global freshwater withdrawals and is a leading source of water pollution, which can create challenges in regions already facing water risk ¹¹.  Consequently, in just over 50 years (1970-2020), there has been a decline of approximately 73% in the average size of monitored wildlife populations ⁴.  This decline can be attributed to five major drivers of biodiversity loss ¹², which are outlined in Table 1 :

Table 1. Major drivers of biodiversity loss ¹²

Transforming food systems is not just an environmental imperative which can address the root causes of biodiversity loss – it is a strategic necessity for the global community to ensure economic prosperity, climate resilience, and long-term food security ¹⁷.

Protecting Nature and Biodiversity for Food Security

Protecting and preserving our oceans, forests, species, and soils safeguards our natural resources and can help us realise a world of sustainable nutrition.  By working in harmony with nature, the food and beverage industry has a unique opportunity to drive real environmental change across supply chains.  Some important areas of focus for our industry are soil health, avoiding further land conversion, and protecting the abundance of species that surround us and the area in which we operate.

Restoring soils
Around 95% of our food relies on healthy soil, yet one-third of the world’s soil is already degraded ¹⁸.   If conventional farming practices continue, we may be facing a future with only sixty harvests remaining ⁸.  With topsoil eroding 100 times faster than can be naturally replenished ¹⁹, immediate intervention at farm-level is essential.

Soil holds 25% of the world’s biodiversity ²⁰, providing plants and crops with the essential nutrients and moisture they need to grow and survive.  Studies have highlighted the important role regenerative agriculture can play in reviving degraded soil, promoting long-term productivity and ecosystem health.  Fertile soil can support carbon sequestration, with the top metre of soil around the world containing three times more carbon than the entire atmosphere ²¹.  This highlights the strong link between soil quality, climate stability, and nature-positive benefits.

Supporting farmer education and offering incentives for practices including cover cropping, intercropping, reduced tillage, and organic composting is a practical and effective way to enhance soil health across arable land ²².  These practices also deliver co-benefits that address climate change, water conservation, and pollution.

Conserving land
Agricultural expansion stands as the primary driver of global deforestation ²³ as forests are converted to make room for plantations cultivating high-demand crops such as palm oil, soy oil, rubber, coffee, tea, and rice.  This transformation is driven by the rising global appetite for food and consumer goods ²⁴.  Companies in the food and beverage industry have a responsibility and an opportunity to ensure their supply chains do not contribute to further deforestation.

By eliminating deforestation and land conversion, companies can ensure that the raw materials they source are not linked to environmentally destructive practices.  Implementing a clear Deforestation and Conversion Free (DCF) policy and collaborating with suppliers to enhance supply chain transparency are key to achieving this goal.

Preventing deforestation and conversion benefits both local and global communities.  Forests store carbon, enhance soil fertility, safeguard watersheds, and provide habitat for a range of species.  This, in turn, strengthens biodiversity and food security ²⁵.

Supporting species
When a species’ population declines below a certain threshold, its ability to perform natural functions can be disrupted.  This includes processes such as seed dispersal, pollination, grazing and nutrient cycling which contribute to ecosystem health and agricultural productivity.  Many pollinator species are facing the threat of extinction, an alarming trend given their role in sustaining 35% of the world’s crop production ²⁶.  Statistically, nearly 75% of crops that yield fruits and seeds consumed by humans rely on pollinators to some extent ²⁶.

A decline in crop yields also poses a serious risk to the stability of supply chains and drives up food prices globally.  A diverse range of species on farmland plays a valuable role in managing pests and parasites that threaten food-producing crops and livestock ²⁷.  These species are also key contributors to crop reproduction, enhancing both the quality and quantity of harvests.  Working with farmers to develop diversified farming systems that include hedgerows, wildflower strips, and different varieties of the same crop create habitats for pollinators and is beneficial to insects ²⁸.

In Summary

As the food and beverage industry responds to the compounding climate and nature risks, it is evident that working in harmony with nature offers a powerful means to address food insecurity through actions that protect, sustainably manage and restore ecosystems ²⁹.  Industry awareness of our reliance on nature is growing as businesses recognise their dependence on natural systems, the risks posed by nature loss, and the strategic value of integrating nature for long-term resilience and delivering against climate goals ³⁰.

By embedding nature-positive practices into food production and supply chains, businesses can harness the benefits of nature while actively contributing to its preservation.  Nature is not an unlimited resource, and our food systems are key to helping safeguard it.