Development of a Business Model for ABS in the Caribbean Region
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Development of Business Model for Access and Benefit Sharing in the Caribbean Region I Development of a Business Model for ABS in the Caribbean Region This report is prepared by Environmental Governance Consulting (EGC) under the auspices of the International Union for Conservation of Nature, Regional Office for Mexico, Central America and the Caribbean (IUCN-ORMACC) in collaboration with the Governments of Antigua and Barbuda, Barbados, Grenada, Guyana, Jamaica, St Kitts and Nevis, Saint Lucia and Trinidad and Tobago through their designated National Biodiversity Focal Point. Disclaimer This report was prepared by Environmental Governance Consulting (EGC) at the request of the International Union of Conservation of Nature (IUCN). The statements, observations, analysis, conclusions and recommendations are those of EGC. None of the statements contained in this report are intended to establish any obligation, standard or procedure by or on behalf of IUCN or any relevant parties mentioned in this report. By virtue of publishing this report, there is no obligation to adopt any of the recommendations set forth in the report. Citation Environmental Governance Consulting (2019) Development of a Business Model for Access and Benefit Sharing in the Caribbean Region, Prepared for IUCN, San Jose Costa Rica, 78 pages II Table of Contents List of Tables …………………………………………………………………………………………………………………… III List of Figures …………………………………………………………………………………………………………………… III Abbreviations and Acronyms …………………………………………………………………………………………… VI Executive Summary ………………………………………………………………………………………………………. V Section One: Introduction …………………………………………………………………………………………… 1 1.1 Background ……………………………………………………………………………………………………… 2 1.2 Study Scope ……………………………………………………………………………………………………… 3 1.3 Data Gathering ……………………………………………………………………………………………………… 3 1.4 Limitation of the Study ………………………………………………………………………………………….. 4 Section Two: Operationalizing Access & Benefit Sharing And Its Relevance To The Caribbean Region ………………………………………………………………………………………………………. 5 2.1 Importance of ABS ……………………………………………………………………………………………. 6 2.2. Mainstreaming ABS-Concept to Inclusion ……………………………………………………… 8 2.2.1 Nagoya Protocol …………………………………………………………………………………………… 8 2.2.2 Nagoya Protocol at the National Level …………………………………………………………………… 8 2.2.3 Rate of Ratification ……………………………………………………………………………………………. 9 2.3 The Economic Potential of Bioresource in the Caribbean …………………………………………… 10 Section Three: Making Biodiversity Use & Extraction a Business: Regulated Bioprospecting.12 3.1 Bioprospecting in the Caribbean ……………………………………………………………………………….. 13 3.2 Issues And Challenges Related To Bioprospecting In The Caribbean …………………….. 13 3.3 Regulated Bioprospecting ………………………………………………………………………………. 14 3.4 The Benefits of a Regulated Bioprospecting Regime …………………………………………… 18 3.5 Critical Stakeholders in Regulated Bioprospecting …………………………………………….. 19 3.5.1 Providers of Genetic Resources ……………………………………………………………………. 19 3.5.2 Users of Genetic Resources ………………………………………………………………………………. 20 3.5.3 Development Partners …………………………………………………………………………………………… 20 Section Four: The Business Model ………………………………………………………………………………. 22 4.1 The Importance ……………………………………………………………………………………………………….. 23 4.1 The Proposed Business Model for ABS in the Caribbean ………………………………………… 23 I Section Five: Utilising Bioresource: Economic Scenarios …………………………………………….. 36 5.1 Single Species Development at The National Level: Sarsaparilla in St Kitts And Nevis.. 37 5.2 Single Species Development at The National Level with Application to Other Countries in The Caribbean: Marijuana In Jamaica …………………………………………………………………… 43 Section Six: Enabling Pillars to support ABS in the Caribbean ……………………………….. 51 6.1 Resource Mobilisation ………………………………………………………………………………………….. 52 6.2 Marketing Strategy ……………………………………………………………………………………………. 55 Section Seven: Economic Assessment of ABS -Country Profile ……………………………….. 56 7.1 Antigua and Barbuda …………………………………………………………………………………………… 57 7.2. Barbados ……………………………………………………………………………………………………………………. 60 7.3 Grenada …………………………………………………………………………………………………………………… 63 7.4 Guyana ……………………………………………………………………………………………………………………. 66 7.5 Jamaica ……………………………………………………………………………………………………………………. 70 7.6 St Kitts and Nevis ……………………………………………………………………………………………………….. 73 7.7 Saint Lucia ……………………………………………………………………………………………………………………. 75 7.8 Trinidad and Tobago ………………………………………………………………………………………….. 77 II List of Tables Table 1 Status of Ratification of the Nagoya Protocol ............................................................. 9 Table 2 The Various Elements of the Business Model ..................................................... 26 Table 3 Business Model for Sarsparilla in St Kitts and Nevis. .................................................. 42 Table 4 Established Avenues for Biodiversity Financing. ........................................................ 54 List of Figures Figure 1 A proposed Governance Model for Regulated Bioprospecting ..................... 16 Figure 2 Stakeholders in Regulated Bioprospecting ....................................................... 20 Figure 3 Flow Diagram of the Business Model ................................................................. 25 Figure 4 Flow Diagram of Business Model for Sarsparilla . ............................................. 41 Figure 5 Options for Resource Mobilisation . ................................................................... 54 Figure 6 Elements of the Marketing Strategy. .................................................................. 55 III Abbreviations and Acronyms ABS Access and Benefit Sharing BSA Benefit Sharing Agreement BTA Biomaterial Transfer Agreement CBO Community Based Organisation CDB Convention on Biological Diversity GR Genetic Resource IGO Intergovernmental Organisation ILC indigenous Local Communities IUCN International Union for Conservation of Nature MAT Mutually Agreed Term NGO Non-Governmental Organisations PIC Prior Informed Consent TK Traditional Knowledge UNEP United Nations Environment Programme IV Executive Summary This study is situated within the framework of an initiative by IUCN -ORMACC under its GEF funded project ‘Advancing the Nagoya Protocol in Countries of the Caribbean Region’ which supports the facilitation of access by the countries in the Caribbean to their genetic resources through the promotion of benefit sharing in a fair and equitable way. This is in accordance with the relevant provisions of the Convention on Biological Diversity and the Nagoya Protocol. This study is regional in scope and includes Antigua and Barbuda, Barbados, Grenada, Guyana, Jamaica, St Kitts and Nevis, St. Lucia and Trinidad and Tobago. The main emphasis is the development of a business model to aid in the uptake and implementation of the Nagoya Protocol in keeping with sustainable biodiversity use and management. The business model proposed serves as a decision-making tool for maximizing the economic potential of biodiversity, within a framework which prioritizes ABS issues. It considers in the design; various elements of the value proposition chain and the accompanying enabling conditions, required to make biodiversity a business. Further, this business model was applied to two species, to demonstrate potential economic scenarios. However, one of the significant challenges faced in designing this model is the paucity of data and information, to provide a more robust application of the model for the species used. This information gap is widespread for the countries under study. V SECTION ONE INTRODUCTION ©EGC Stock Photo This section sets the context of the study with an introduction to the study, its objectives and intentions along with a brief on the method applied. Section One: Introduction 1.1 BACKGROUND Since the protocol’s entry into force in Environmental Governance Consulting 2014, interests in biodiversity continue to (hereinafter referred to as EGC) was gain greater momentum across the retained by the International Union for world. Simultaneously, the Caribbean Conservation of Nature (hereinafter countries, are also moving to streamline referred to as IUCN) to develop a mechanisms to support the protection, business model for maximizing the management, sustainable use and economic potential through Access and equitable sharing of the in-situ genetic Benefit Sharing (ABS) for eight countries resources within the national (Antigua and Barbuda, Barbados, jurisdictions. While these efforts vary by Grenada, Guyana, Saint Lucia, Saint Kitts country in the region, depending on the and Nevis, Guyana, Trinidad and Tobago) priority placed on this agenda, what is in the Caribbean under the project evident is that both civil society and “Advancing the Nagoya Protocol in governments across the Caribbean countries of the Caribbean Region”. This Region are working to implement various is in support of the further upscaling, ‘buy activities related to mainstream in’ and involvement by these countries biodiversity into the economic systems. and citizens in the implementation of the IUCN is leading the efforts in supporting Nagoya Protocol, an accompanying the countries it is readiness in the uptake protocol to the Convention on Biological of the Nagoya Protocol. Diversity (CBD). terrestrial biodiversity albeit not fully 1.2 THE SCOPE OF THE STUDY mapped in any of the countries under study, the genetic resources in the marine The Caribbean islands are of critical environment are largely unknown except importance for global biodiversity for species that