A major transition is urgent for beef and soy production in South America. Global demand is growing for sustainable foods, and consumer countries are adopting new environmental regulations. Innovative Finance for the Amazon, Cerrado and Chaco (IFACC) is a US$30 billion opportunity for banks, companies and investors to protect South America’s most vulnerable and iconic biomes while supporting two of its most important commodities.
The Amazon, Cerrado and Chaco regions of South America are food production centers and vital stores of carbon, water and biodiversity. With the right approaches, all three biomes can be protected while continuing to grow agricultural production. The sustainable intensification of existing pasture can meet future demand for beef and leather while also freeing up land for soy and other agricultural products to expand without further conversion of natural habitat
IFACC is a new initiative from the United Nations Environment Programme, the Nature Conservancy and the Tropical Forest Alliance. We serve as the “go-to” team for banks, companies and investors seeking to expand innovative finance for deforestation/conversion-free beef and soy in these regions. We want to scale innovative financial mechanisms—including farm loan products, farmland investment funds, corporate debt instruments and capital markets offerings—and help farmers implement proven business models to supply the global market without further conversion of the Amazon, Cerrado and Chaco ecosystems.
Our experts have deep relationships with local farmers, banks, supply chain companies and concessionary capital groups and work one-on-one with IFACC signatories to provide:
We are seeking US$3 billion in commitments and $200 million in disbursements by 2023 and $10 billion in commitments and $1 billion in disbursements by 2025, charting a course for rapid scaling over the next decade. Our work will accelerate the flow of capital to sustainable commodity production and establish new norms for lending and investing in the deforestation/conversion-free production of cattle and soy.
IFACC will also help signatories meet the targets set by the Principles for Responsible Banking and the Net-Zero Banking Alliance; and highlight their role in innovative finance at Davos, COP and other key forums.
If you are interested to know more about the work of the IFACC, please contact the IFACC secretariat.