Unlocking the power of nature-based solutions to build sustainable, deforestation-free supply chains

• The three target states had the highest levels of deforestation in Brazil (Para 37%, Mato Grosso 20%, and Minas Gerais 16%), mainly attributed to cattle ranching and the clearance of forest for agriculture and logging
• There is a global challenge to balance the increased worldwide demand for soybean and cattle products, the livelihoods of farmers, and the increased protections for the environment - but requires local action
• Brazil has committed to the Race to Zero pledge to sustainably manage ecosystems and mitigate emissions – with NBS solutions and traceability mechanisms being key to achieving it
• Private companies importing soy, timber and beef often have limited understanding on the deforestation footprint of these commodities
• Awareness of agroforestry, such as NBS and traceability mechanisms, as a solution to deforestation has been limited among both the private and public sector, aggravated by lack of financial resources

The project worked with the private sector and policymakers to build capacity, strengthen networks, and produce quality and comprehensive content on NBS and traceability mechanisms.

Key project outputs included:

• Capacity building activities on traceability mechanisms and one-to-one support for Brazilian companies on NBS integration.
• An online roundtable focusing on private sector engagement in traceability mechanisms. The event covered topics such as collaboration to achieve resilience and reduce deforestation in supply chains, and how the private sector is progressing on deforestation commitments.
• Knowledge products including: a factsheet on forest commodity traceability, focusing on cattle, soy, wood products and palm oil; 10 corporate case studies on NBS mainstreaming in the private sector; a policy brief focusing on the risks to society created by the climate and biodiversity crises; and a policy brief providing an overview of the policies and experiences of NBS in Brazil.
• Best practice guidance document, highlighting the importance of private traceability mechanisms, focusing on the case study of Selo Verde, a public traceability system implemented in some Brazilian regions to tackle deforestation in agricultural supply chains.

Alongside these outputs, the project drove advocacy efforts that focused on supporting sub-national governments with the adoption of public policy recommendations for climate change mitigation.

CDP implemented a number of GESI actions internally as a result of learnings from the GESI actions embedded in this project. Key GESI outputs delivered by the project include:

• The best practice guidance document, which highlighted the connection between illegal deforestation and violence and other violation of rights against indigenous peoples, residents, and environmental and human rights defenders. The project noted that traceability mechanisms should be used not only to prevent deforestation but also to prevent human rights violations against vulnerable groups.
• GESI language which was included throughout the Commodities factsheet, with special attention given to the importance of including women and indigenous people in the design and implementation of NBS.
• During the online roundtable, the team supported the understanding and inclusion of sub-national governments by using accessible language explaining the process. The project also considered diversity of selected panellists.

Active engagement with stakeholders was key to ensuring the successful implementation of project activities, especially with governments and private companies.

Brazilian companies were open to engaging with the project and actively participated. Following one-to-one engagement sessions, the supported companies requested to extend bilateral engagement, as companies prefer to finalise their annual reports to CDP before joining the specific working groups.

Despite initial delays with the start of the project activities and engagement with policymakers due to National elections, all three states conveyed positive feedback and showed high participation in the project activities, signalling their support to take the work forward in the future.

However, the project suggests that there is a need to continue working with stakeholders to strengthen and deepen understanding, knowledge and skills, in particular on GESI mainstreaming.