CLIMSU

Climate-related yield variability is a main production risk for agriculture worldwide. Due to global markets, production shocks can have a large impact on the global food price volatility. Sugar is an important globally produced and traded agricultural commodity, which contributes in many less developed countries to the local livelihood and is a main income source for farmers worldwide. The Potsdam Institute of Climate Impact Research (“PIK”) and Carbon Delta (“CD”) will analyze the climate change risks related to sugar cane and sugar beet production. PIK and CD will produce sugar supply chain risk analysis for Barry Callebaut (“BC”), the world’s leading supplier of high-quality chocolate and cocoa products. For the products of BC, sugar is an important ingredient. Since the global sugar production goes along with large GHG emissions and environmental issues, it is highly relevant to produce sugar more sustainably and secure adequate in-comes for farmers notably in developing countries. Our recommendations will focus on GHG reduction strategies in sugar cane and beet production as well as climate smart adaptation strategies to cope with climate change risks in both crops. Together with BC, PIK will also develop a first “test” analysis for coconut production, which can assess climate change impacts. Coconut is also an important ingredient for BC’s products. The output from this test will focus on climate change yield risks.