Welcome to the Climate Change Corner, a new column dedicated to raising awareness, providing education, and inspiring action on one of the most pressing issues of our time: climate change. As the impacts of climate change become increasingly evident, it is crucial for individuals, communities, and businesses in Lesotho to stay informed and engaged. Our goal is to offer you valuable insights, practical advice, and inspiring stories to help you understand and address the challenges posed by climate change.
Why Climate Change Matters Climate change is not just an environmental issue; it is a global challenge that affects every aspect of our lives. From extreme weather events and rising temperatures to shifts in agricultural productivity and biodiversity loss, the consequences of climate change are far-reaching. In Lesotho communities are already facing the impacts, making it essential for us to act now. The Climate Change Corner aims to be your trusted source of information and support, helping you navigate this complex issue.
What’s in store for you: Each week, the Climate Change Corner will bring you a diverse range of content designed to inform, educate, and inspire.
This week we discuss: How A FOCUS ON TRADE CAN HELP
Climate change has significant implications for global trade, and businesses along the value chain are increasingly recognizing the importance of incorporating climate considerations into their operations. The impact of climate change on trade is multidimensional, influencing supply chain resilience, regulatory compliance, consumer preferences, financial pressures, and international trade dynamics.
Businesses along the value chain are facing increasing pressure to integrate climate considerations into their operations, not only to manage risks but also to seize opportunities associated with a transition to a more sustainable and low-carbon economy.
There are several ways in which climate change, particularly in relation to trade, can influence and drive action within the value chain:
Supply Chain Resilience/Climate Risks: Climate change introduces new risks to supply chains, including extreme weather events, changes in temperature and precipitation patterns, and disruptions to transportation infrastructure. Companies are under increasing pressure to assess and address these risks to ensure the resilience of their supply chains.
Regulatory Compliance/Climate Regulations:
Governments worldwide are implementing and strengthening regulations related to climate change and environmental sustainability. Companies engaged in international trade must comply with diverse regulations, such as emissions standards, carbon reporting requirements, and sustainable sourcing practices.
Consumer Expectations and Preferences/Ecoconscious Consumers: Consumers are becoming more environmentally conscious and are increasingly making choices based on a company’s environmental practices. Businesses in the value chain, from manufacturers to retailers, are under pressure to adopt sustainable and climate-friendly practices to meet consumer expectations and enhance their brand image.
Emission Reduction Commitments/Corporate Commitments: Many companies are making voluntary commitments to reduce their GHGs. This includes setting science-based targets, investing in renewable energy, and adopting sustainable practices in their operations. Such commitments can extend throughout the value chain, influencing suppliers and partners to also adopt climate friendly practices.
Carbon Pricing and Trade Policies/Carbon Tariffs: Some countries are considering or implementing carbon tariffs, which impose charges on goods based on their carbon footprint. This approach aims to level the playing field for businesses in countries with stringent climate policies and encourages global adoption of cleaner production methods.
Financial Pressures/Investor and Financial Institution Expectations: Investors and financial institutions are increasingly integrating ESG factors into their decision-making processes. Businesses that are proactive in addressing climate risks and adopting sustainable practices may find it easier to access capital and attract investment.
Supply Chain Transparency/Emission Reporting: Increased demand for transparency in supply chains has led companies to disclose their GHG emissions and environmental impacts. This transparency can expose areas of high emissions within the value chain, prompting companies to seek cleaner alternatives and reduce their Carbon footprint.
Innovation and Green Technologies/Market Opportunities: The shift towards green technologies and sustainable practices presents new market opportunities. Companies that invest in innovation and develop climate-friendly products and services may gain a competitive advantage and enhance their position within the value chain.
International Trade Agreements/Sustainable Trade Practices: International trade agreements may increasingly incorporate sustainability and climate considerations. Businesses that align with such agreements and adopt sustainable practices may benefit from preferential trade conditions and market access.
In the upcoming issue, we get to know more about: THE EVOLVING CONCEPT OF
QUALITY
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