Small-scale producers play a vital role in sustainable production and land use — but too often, they lack the resources and economic resilience needed to adopt more sustainable practices.This case study highlights practical approaches that are helping bridge this gap by creating incentives that bring climate, environmental and social benefits, including premiums, incentives and recognising and rewarding community stewardship.Part of a series exploring promising approaches for enabling small-scale producer market access and shifts to sustainable production:
Small-scale producers play a vital role in sustainable production and land use — but too often, they lack access to the resources they need to adopt more sustainable practices and participate in global value chains, limiting their ability to achieve a decent standard of living.
Improving the livelihoods and well-being of smallholders, small-scale producers and workers is a priority for many sustainability systems. This case study looks at some of the innovative ways sustainability systems and partners supported by the ISEAL Innovations Fund are enabling small-scale producers to benefit from accessing markets and participating in global value chains.
The Good Practice, Better Finance project is an ISEAL Innovations Fund project that aims to develop and test methodologies, as well as improve monitoring tools, which would allow for improved access to affordable finance for farmers. This improved access would be through reward systems based on the integration of farmers’ risk management and sustainability strategies with financial institutions’ own risk assessment frameworks.
In 2019, the ISEAL Innovations Fund awarded a grant to Bonsucro to collaboratively develop and test methodologies to help financial service providers improve how they assess their agricultural clients’ sustainability performance, to enable access to better financing opportunities for farmers who produce sustainably. Project partners included the Better Cotton Initiative, and the Alliance for Water Stewardship (AWS).