**<u>Box 2.</u>** <u>Two cases of social policies that would foster greener supply chains</u>

<mark>●</mark> **<mark>Greening the global cocoa chain, Ghana</mark>** <mark>: One of the underlying root causes for low productivity of cocoa and hence deforestation has been identified to be the land tenure system. Due to earning only a share of the profits, neither the owner nor caretaker have enough incentives to increase productivity. Facilitating inter-generational contracts to give young people access to land, combined with modern organic farming, enterprise and skills development would attract young people to engage in the current low-productivity cocoa sector. Additionally this would alleviate rural-urban migration. Slash and burn methods practiced by older generations would cease due to intensification and productivity increases. Additional income could be generated from economic diversification into cocoa honey, ecotourism, carbon credits and other food and cash crops, so as to ensure a sustainable global value chain for the multinational chocolate sector.</mark> <mark>●</mark> **<mark>The national dairy value chain with a green lens in India:</mark>** <mark>Cow dung drives a shadow economy of national importance employing, most informally, half the number of workers in the dairy sector. While a buffalo can produce up to 15 litres milk daily, it also produces 30 kg of dung, equivalent to 3 litres of crude oil. Due to its high energy and nutritional value, dung is used for the production of biogas, electricity and fertilizer. The full integration of dung into a ‘Dairy Dung-Energy’ policy could foster socioeconomic development, providing basic energy needs and helping tackle key dairy quantity and quality bottlenecks in India, though increased income and biogas sterilization. Throughout India a total of 1.9 million additional full time jobs could be created. Though 400 000 jobs might be lost in low-productivity dung cake making, with the right just transition policies in place for those affected – mostly women workers making dung cakes – they could be retrained and re-employed in the production of organic fertilizer from the slurry of the biogas plants.</mark> <u>Source: DCED (2012)</u>

# **3.4  At the global level**

Like the incentives provided by national governments, those set at the global stage are meant to enhance firms’ and GVCs’ efforts to become greener. To be sure, an additional objective would be to

**_dissuade arbitrage between jurisdictions and environmental dumping across countries._** The available means to do so include:

► **_International environmental agreements_** , like the _Basel Convention on the control of transboundary movements of hazardous wastes and their disposal_ . The aims of this Convention are: “(i) the reduction of hazardous waste generation and the promotion of environmentally sound management of hazardous waste, wherever the place of disposal; (ii) the restriction of transboundary movements of hazardous waste (...); and (iii) a regulatory system applying to cases where transboundary movements are permissible.” It is noteworthy that some programs in the Convention seek to provide advice and training to firms and governments. Between 2003 and 2008, for example, the Mobile Phone Partnership Initiative developed complete guidelines for the management of obsolete mobile phones, which are being used in the concerned GVCs.

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