UNDP Portal on Low-Emission, Climate-Resilient Development Strategies

UNDP Environmental Finance Services

Green Commodities Facility

Assistance directed at overcoming market barriers to the production and sale of sustainably produced goods. For more information, please see the Green Commodities section of the UNDP Environmental Finance Services brochure.

Snapshot

The UNDP Green Commodities Facility (GCF) is a public-private partnership that will scale up existing programmes targeting market barriers to the production and sale of sustainably produced commodities. Green commodities eligible for GCF funding are sourced and produced to minimise negative impacts in either bulk-traded goods or specialised niche varieties. For example, in the UNDP West Africa Regional Centre, Cadbury has invested US$70 million over ten years to shift cocoa production across West Africa towards more environmentally sustainable and socially beneficial methods.

The GCF operates at two levels to address supply chain issues at different scales. At the global level, the GCF conducts baseline reviews, prepares research documents and guidance protocols, and develops partnerships among government, business and other stakeholders, in addition to providing policy targeted to commodities markets. 

At the country level, support services for a commodity include: 

• Delivery of technical assistance and training for farmers and businesses in both business management and sound environmental practices; 

• Ensuring the availability of credit through partnerships with financial institutions so that financial services are available to green commodity businesses, including at the micro-finance level;

• Analyzing and assisting government reform of policies and regulations to create better economic conditions for sustainable agriculture businesses;

• Implementing place long-term support through sustainable government extension services or alternative private sector means to support green commodity producers; 

• Verification of achievement of environmental practices through monitoring, scorecards and reporting on indicators for ecosystem health;

• Increasing access to markets for green commodity producers through the development of national and global platforms.

The GCF currently focuses on bulk traded goods of cocoa, coffee, cotton, and tuna, but will expand into a wider array of agricultural, forestry and fisheries products including rice, soy, palm oil, lobster, shrimp, beef, and timber.

For more information on the Green Commodities Facility, please see the GCF brochure in the UNDP Environmental Financial Services overview.