The economic importance of ecological services provided by associated biodiversity in agricultural systems

The economic importance of ecological services provided by associated biodiversity in agricultural systems

Satellite Event CGRFASatellite Event CGRFAFAO, RomeFAO, Rome

9 November 20049 November 2004

Satellite Event CGRFASatellite Event CGRFAFAO, RomeFAO, Rome

9 November 20049 November 2004

The concept of biodiversity values • CBD (Rio de Janeiro,1992):“the forgotten environmental problem”• The direct or indirect, economic and non-economic interest a given species or ecosystem may represent for human populations (actual and future)

Need to quantify the importance of associated biodiversity• High species richness of associated biodiversity• Valuation of functional importance (social & economic benefits)

Still lack of consideration in decision-making and policy agenda• Need to mainstream at national level and in global processes

What are the issues?

Importance of associated biodiversity in agricultural systems• Managed and unmanaged associated diversity• Examples: beneficial predators, pollinators, soil organisms• Enhance awareness of roles & functions and capacity to manage

Ecosystem goods and services provided by associated diversity

Goods: food, fresh water, fuel wood, fibre, GR, biochemicals

Services: the benefits people obtain from regulation of ecosystem processes (climate, disease, hydrological regime, detoxification), support services (soil formation, nutrient cycling, pollination) as well as other cultural benefits.

These biologically generated services are largely considered to be “free”; rarely included in analysis of economic benefits to agriculture.

This is the case of Associated biodiversity in agricultural systems However it can and should be valued – i.e. the benefits quantified.

Examples of:• Pollination is fundamental in agriculture (enables plant reproduction and

food production for humans and animals (fruits and seeds; improved seed and fruit quality and quantity)

• Soil organisms provide a range of unique ecosystem services: nutrient cycling, decomposition, soil structure, C sequestration, pest control, ....

Ecological economics: What is the total economic value of associated biodiversity

in agricultural systems?

Direct economic values

- Food resources- Species for specialised markets (dDelicatessen)

Indirect economic values

- Ecosystem services- Recreation & tourism- Education

Present use values Option valuesFuture products:- Food resources- Genetic resources- Medicines

Existence and strategic values- Protecting biodiversity- Maintaining culture of local people- Continuing ecological and evolutionary processes

Total economic value (TEV)

After Primack (2000)Increasing difficulties of economic estimation

TEV = [Use values] + [Option values] + [Non-use values] Use (instrumental) values include direct and indirect economic valuesNon-use values include existence and strategic values

Value of pollination • Many species provide pollination services - primarily bees, but also

butterflies, moths, bats, birds, etc.• Many important food crops rely on animal pollination, including

fruits and vegetables and fodder. The decline of pollinator populations impacts negatively on crop production (+ food security)

Three types of Values

• as an intrinsic ecosystem service– conservation/maintenance of surrounding natural ecosystems

(habitat)– specific plant/pollinator relationships

• in real terms - from increased agricultural yield– improved quality and quantity (fruit set, seeds)

• in real terms, as “agricultural input”– value against potential loss of pollination service– costs of hand pollination (China) and hive rental (India)

Value of honeybee pollination

Estimates show that the benefit of using honeybees for enhancing crops yields through cross pollination is much higher than their role as produces of honey and beeswax (Partap, 2002).

Estimated value of honeybee pollination (Apis mellifera) to crop production:

• US agriculture: US$ 14.6 billion (Morse & Calderone 2000).

• Canadian agriculture: CDN 1.2 billion (Winston & Scott 1984)

• EEC agriculture: US$ 3 billion (Williams, 1992).

• New Zealand agriculture: US$ 2.3 billion (Matheson and Schrader, 1987).

• China agriculture (four major crops - cotton, rapeseed, sunflower and tea): US$ 0.7 billion. (Partpap, U. 2002)

Case studies : valuing pollinationChina• Hand pollination in China (Maoxian county in Hengduan Mountains of

China) – e.g. apples and pears.

• Provides employment & income generating opportunities to many people during apple flowering season.

• Expensive, time consuming and highly unsustainable option for crop pollination due to increasing labour scarcity and costs. A large part of farmers’ income is used in managing pollination of their crop.

• Bee-keepers do not rent out their hives, even during the flowering season, due to excessive use of pesticides

India• Bees (Apis cerana or A. mellifera) used in India (Himachal

Pradesh in NW Himalayas) for apple pollination: fees for renting bee colonies Indian rupees 800/- (US$ 16) per colony for two weeks. (Partap, 98).

From Micro-organisms

e.g. bacteria + fungi Micro & meso-fauna protozoa,

nematodes to acari & springtails

Macro-fauna e.g. ants, termites, earthworms

Soil BiodiversitySoil Biodiversity

...Roots in the soil and their interactions with species above & below

ground

Indirect uses for food provisioning

Compostearthworms

Consumptive & productive uses of soil biota

Fishing baits

Food for backyard animals

Manure piles forcompost production

Edible ants (Atta sp.)

Fire smoked « motto » Primack 2000 IBOY group

Direct uses for food

Provides many Ecosystem Services• nutrient cycling

• regulates the dynamics of soil organic matter

• soil C sequestration and

• reduced GHG emissions

• modifies soil physical structure and maintains water regimes

• enhances amount/efficiency of plant nutrient acquisition

• enhances plant health...

These services are essential to the functioning of natural

ecosystems AND an important resource for the sustainable management of agricultural

systems (crops, pasture, trees and rangeland).

Productive and environmental benefitsProductive and environmental benefits

Enhances Agricultural Production: soil quality and health and plant health

Ecosystem goodsand services

Climate regulationC storageNutrient cyclingPrimary productivity

Ecosystemproperties

C stocksOM turnover

Soilprocesses

Soil structure formationOM dynamics

Incr

easi

ng

spat

ial s

cale

Increasing time scale

Decaëns & Jiménez, after Lavelle et al. 2004

The use / instrumental values of soil biodiversity

Indirect economic values: ecosystem services

Activity Associated biodiversity involved Economic benefits (x US$109 /yr)

Waste recycling Saprophytic, litter feeding invertebrates (detritivores), fungi, bacteria, actinomycetes and other micro-organisms

760

Pollination Many pollinators may have edaphic phase in their lifecycle

200

Biocontrol of pests Soil provide microhabitats for natural enemies of pest, soil biota (e.g. mycorrhizas) contribute to host plant resistance and plant pathogens control.

160

Bioremediation of chemicals

Maintaining biodiversity in soils and water is imperative to continued and improved effectiveness of bio-treatment.

121

Nitrogen fixation Biological nitrogen fixation by diazotroph bacteria 90

Soil formation Diverse soil biota facilitate soil formation, e.g. earthworms, termites, fungi, etc.

25

Biotechnology Soils provide nearly half of the current economic benefit of biotechnology related to agriculture: nitrogen fixing bacteria, pharmaceutical industry, etc.

6

Other wild food For example mushrooms, earthworms, small arthropods 180

Total by Pimentel et al. 1997 1,542

Global Economic value of ES by soil biodiversity

Determining the services from soil biodiversity

Benefits of ecological functions performed by soil organisms

Soil biodiversity is extremely complex (not well understood), however based on food web or functional domain approaches 4 main functional groups of soil organisms may be proposed See interaction web below:

Root feeders

Soil engineers

Litter transformersor engineers

Litter and soil predators

Abovegroundpredators

Abovegroundherbivores

Brussaard 1998

Soilproperties

Litter fragmentation

Aggregate production

Direct use: Soil invertebrates used as food - high nutritional value 32 Amazonian ethnic groups consume >100 soil invertebrate species (Paoletti) Up to 60% of animal protein during rainy season for “Guahibos” Amerindians of Venezuela

Other values of soil biodiversity

Option value: Potential to provide an economic benefit to human society at some point in the future: For Soil biodiversity: difficult to predict and not yet considered

Existence value: Linked with the concern of people for wildlife conservation. Funds and conservation organisations for charismatic “mega fauna” : unlikely for soil bugs, or associated biodiversity in general

Willingness to Pay (WTP): Valuation method that does not include the ecological function of a species

Scientific and educational value

Journals or web sites for kids

Identification books for entomologists, etc

Management practices to enhance values of soil biodiversity

Select & improve adapted leguminous varieties with associated Rhizobium bacteria and inoculate for enhanced BNF 40-48 million 40-48 million tons N/yr is fixed in agricultural crops and fields …tons N/yr is fixed in agricultural crops and fields …

Reduce soil tillage (disturbance of soil fauna, compaction, loss of porosity/channels, N release): reduce labour, energy, timelinessreduce labour, energy, timeliness

Enhance soil cover: reduce soil temperature, enhance infiltration, soil moisture and OM (roots & mulch): better germination, health better germination, health & yield& yield

Enhance and vary organic matter supply: maintain pH, enhance mycorrhizae and enhance availability P and micro-nutrients (often limiting e.g. acid soils) and nutrient supply for many organisms

Rotations and mixes of annual and perennial species: varied organisms, biocontrol e.g. nematodes; root biomass and SOM, deep rooting –access to nutrients and moisture

Diversify habitats (buffers, contour strips, field borders, change land use and sequence varied niches and organisms

ConsiderationsConsiderations Multiple values of soil bota and pollinators strong justification for increased recognition of their functions and support

How much associated biodiversity is enough to maintain ecosystem functioning in agricultural systems? Can we identify “strategically important” species or functional groups (local to international levels) Need to focus and prioritise work

What tools and mechanisms are available / required to evaluate and to promote due attention to the economic and social values of associated biodiversity? Wider use of Case studies, key indicators, cost/benefit analysis

How to raise awareness and build capacity at all levels (from users to policy makers) Enhance management and valuation of services (provided/underutilised)