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STANDARDS FOR SUSTAINABILITY UNIDO’s Contribution to Voluntary Sustainability StandardsInternational trade is a powerful tool to stimulate economic progress and reduce poverty, for which standards play an important role. Research shows that standards that uphold not only the quality, but also the sustainability of methods of production can be the key for developing countries to unlock new markets. Such voluntary sustainability standards VSS specify requirements that producers, traders, manufacturers, retailers or service providers may be asked to meet, relating to a wide range of sustainability metrics, including respect for basic human rights, worker health and safety, environmental impacts, community relations, and land-use planning. VSS play an important role in guiding buyers and producers to better social and environmental outcomes in supply chains. They also play a role in meeting genuine consumer interest to understand and improve the conditions under which the products they buy are manufactured and traded. The COVID-19 pandemic has further increased interest among retailers and consumers who want more clarity on where their products originate. In this regard, certifications and quality standards are important tools to achieve transparency and traceability of product origins in international trade, especially considering their efficiency to detect any possible causes of diseases. Additional benefits of certification relate to consumer protection, Good Manufacturing Practice, and corporate social responsibility. VSS have thus become highly desirable for brands that want to build trust with consumers. The social and environmental issues associated with international trade that are concerning to many consumers of imported products have salience in light of international commitments made by countries to protect the environment and defend human rights. With rising consumer awareness on sustainability issues stimulating demand for VSSand big retailers and private businesses requiring VSS, thus making them mandatoryVSS serve as an entry point for many producers from developing countries, creating greater export opportunities. The private sector can contribute to more sustainable business practices through trade with VSS, which also have the potential to generate significant economic, social and environmental benefits. This highlights the relevance of VSS for three of the five Sustainable Development Goal SDG pillars, namely people, planet and prosperity, thereby also making VSS key to the operationalization of the SDGs and to supporting both developed and developing countries to meet SDG targets. The sustainable practices promoted by the more than two hundred existing VSS align to some extent with the SDGs. THE ROLE OF VOLUNTARY SUSTAINABILITY STANDARDS RELEVANCE OF VSS FOR PEOPLE, PLANET AND PROSPERITYThere are substantial VSS linkages for SDGs focusing on social issues e.g. SDGs 1, 2, 3 and 4, and almost all existing VSS address both social and environmental issues. Given this, VSS can also affect outcomes such as child education, nutrition, and gender equality in addition to environmental protection through various intended and unintended channels. Sustainability standards also generate gender-sensitive assurances in the operational procedures and norms established by companies to drive systemic changes for women in supply chains and improve their overall working conditions. VSS can potentially contribute to higher incomes for women in agriculture and women can also receive financial support provided through certification. This includes pre-financing or premiums that can contribute to women’s ability to access productive inputs and credit. When producer organizations support these measures, it can enhance women’s rights to productive agriculture resources. Fairtrade and UTZ are examples of VSS involving specific gender and non- discrimination policies that could help promote women’s status and reduce prevalent gender disparities in access to information, inputs, and services. Furthermore, VSS promote gender equality in agriculture by potentially contributing to household food security; women’s rights to productive agricultural resources; gender equality in education; women’s unpaid domestic labour; women’s decision making and empowerment; and decent work for women. The SDGs with the most VSS linkages primarily concern the economic dimensions of sustainable development i.e. SDGs 8 and 12. Agriculture is the sector most covered by VSS and, on average, participating farmers in agricultural value chains are found to derive economic benefits from them. For example, the implementation of VSS can help farmers in developing countries improve their farming techniques and product quality, allowing them to participate in high-value added supply chains and markets. In turn, VSS can lead to higher and more stable prices for certified farmers. There are also substantial VSS linkages for SDGs focusing on the environment e.g. SDG 15. VSS such as Fairtrade, Forestry Stewardship Council FSC, Marine Stewardship Council MSC, Organic, Rainforest Alliance, and UTZ are designed to address ecological and ethical concerns, and are often seen as a promising market-based tool to enforce standards where functioning governmental regulation mechanisms are absent. People Prosperity PlanetUNITED NATIONS FORUM ON SUSTAINABILITY STANDARDS Despite these opportunities presented by VSS, many decision-makers in developing countries have difficulty finding credible standards, compliance is costly, small-scale producers risk exclusion, and standards are not harmonized, causing unnecessary duplication. As a result of this lack of infrastructure and the necessary public finance, many businesses in developing countries are prevented from exporting to more profitable markets in developed countries. In response to these challenges facing decision-makers in developing countries, the United Nations Forum on Sustainability Standards UNFSS was established in 2013 as a joint initiative of the Food and Agriculture Organization FAO, the International Trade Centre ITC, the United Nations Conference on Trade and Development UNCTAD, the United Nations Environment Programme UNEP, and the United Nations Industrial Development Organization UNIDO. Serving as a neutral, independent dialogue forum, the UNFSS helps producers, traders, consumers, standards-setters, certification bodies, trade diplomats, non-governmental organizations and researchers to find relevant information on VSS, share their experiences, obtain technical help and influence decision- makers at the intergovernmental level. The UNFSS is rooted in the existing mandates and activities of the five participating agencies and addresses the sustainable development value of VSS by pooling resources and synchronizing efforts. Moreover, the UNFSS assures policy coherence, coordination and collaboration among the agencies that comprise it, while each member agency has its own projects and related work on VSS and sustainable development. A series of analysis and information-sharing activities are undertaken to facilitate this dialogue, including the production of a flagship report on topical VSS issues; support for national initiatives through National Platforms; Informed Policy Dialogue on VSS and its contribution to achieving the SDGs; and dissemination of information and awareness building, including through the UNFSS website.UNIDO’S CONTRIBUTION TO VSS The United Nations Industrial Development Organization UNIDO is the specialized United Nations agency supporting developing countries to facilitate industrial development for poverty eradication, globalization of trade and environmental sustainability. UNIDO’s mandate is best captured in SDG 9 which speaks to inclusive and sustainable industrial development ISID, and aims at enhanced economic competitiveness, social inclusion and safeguarding the environment. UNIDO considers VSS to be a major tool for opening opportunities for the integration of business operators into global markets and value chains. UNIDO’s interventions with respect to VSS help businessesparticularly small and medium-sized enterprises SMEsto achieve and prove conformity with market requirements, compete on international markets and connect to global value chains. Its work spans policy and governance advice to the development of Quality Infrastructure QI institutions and conformity assessment services, including the support of the private sector in achieving compliance with international public and private standards and technical regulations. These actions are a response to the fact that global trade increasingly takes place within value chains, and in a system that is governed by multilateral trade rules such as World Trade Organization WTO agreements on behind-the-border regulations like technical barriers to trade TBT and sanitary and phytosanitary measures SPS. In addition, the quality and compliance of products and services with market requirements and standards on consumer health and safety, environmental impact, labor conditions and/or sustainability including voluntary standards have become key elements of competitiveness in global business relations. As UNIDO recognizes the potential of VSS to contribute to export-led growth, wealth creation and poverty reduction, and, if properly used by countries, to serve as an effective tool to achieve the SDGs, it contributes to VSS through » knowledge sharing and awareness raising; » partnerships; and » technical cooperation.UNIDO contributes to the UNFSS’s biennial Flagship Report, which is a pivotal tool for all stakeholders from the public and private sectors to gain substantial information, through a transparent network, on trending topics important to the evolution of VSS. The report, in publication since 2013, has covered topics ranging from public policy issues and objectives, to VSS and the role of government, to VSS trade and sustainable development, to scaling up VSS through sustainable public procurement and trade policy. In the UNIDO publication Making Private Standards Work for You A guide to private standards in garments footwear and furniture sectors, producers in the respective sectors are provided with insights into the landscape of private standards and with guidance for turning private standards to their advantage. UNIDO’s Rebooting Quality Infrastructure for a Sustainable Future explains that “through voluntary measures, the private sector can also give a substantial contribution to sustainability in trade along value chains, by actively supporting the exchange of environmentally and socially friendly goods, services and technologies”. The private sector’s contribution to achieving the SDGs through the adoption of sustainability standards was further showcased during the International Quality Infrastructure Forum, organized by UNIDO in cooperation with the African Union Commission, and held in Brussels, in 2019. Working within its Informed Policy Dialogue function, the UNFSS interacts regularly with leading institutions and experts from both the public and private sectors, while drawing decision-makers and national experts from developed and developing countries into the dialogues supported by the Forum. These dialogues usually take the form of conferences, expert meetings, case studies or technical reports. This form of dialogue provides the most accurate and credible information on VSS, given the heightened concerns expressed by developing countries. The UNFSS Informed Policy Dialogue feeds into the International Convention on Sustainable Trade and Standards ICTS, which serves to create awareness on the challenges and opportunities of VSS schemes such that the central reason to comply with VSS is the achievement of the SDGs. Most importantly, the ICTS provides a space for national and local stakeholders to participate in international dialogues that are supported by the United Nations, particularly the five United Nations agencies behind UNFSS. UNIDO Representatives have participated in both ICTSs held to date, in Brazil 2019 and India 2018. Additional knowledge exchange takes place within the UNFSS’s VSS Academic Advisory Council AAC, designed to pursue the scientific objective of understanding the determinants and effectiveness of VSS. The AAC brings together a global mix of experts from a wide variety of academic backgrounds, ranging from public international law, international political economy, economics and public management, to human rights and sustainability studies. KNOWLEDGE SHARING AWARENESS RAISINGNational Platforms In several emerging countries, including Brazil, China, Colombia, India and Mexico, the UNFSS supports National Platforms, which are national initiatives created and shared by stakeholders under each countries’ respective coordinating body to reflect local priorities. They provide a neutral forum to exchange information and learn about VSS, as well as to collect information on national standards, assess the needs of decision-makers, policymakers and other stakeholders, link national demands with international expertise, and institutionalize VSS to strengthen communication. The experiences and lessons learned from these National Platforms are fed into policy dialogues of the Forum, and applied to other countries in similar situations. ISEAL At the global level, in addition to its contribution to the UNFSS, UNIDO is partnering with key players in VSS, including the ISEAL membership alliance of credible sustainability standards. A strategic alliance with ISEAL has resulted in promoting sustainability standards through major global events including one associated with projects in Colombia 2016 and in Indonesia 2017. Global Sustainable Seafood Initiative GSSI At the sectoral level, UNIDO joined the Global Sustainable Seafood Initiative GSSI in 2020 as an Affiliated Partner. The GSSI aims to ensure clarity, confidence and choice in the supply and promotion of certified seafood as well as to promote improvements in seafood certification schemes. UNIDO joining FAO in this partnership with GSSI will strengthen the global efforts to promote sustainable fisheries development, and increase its long-term contribution to securing better livelihoods in producer communities and protecting the natural environment. PARTNERSHIPS TECHNICAL COOPERATION There is a general trend towards standardization and application of standards driven by valid motives that include consumers becoming more demanding regarding the safety and quality of products as well as managerial and technological innovations e.g. in production processes and product design. Other motives include increased awareness and concern for social and environmental sustainability issues among many governments, consumers, non-governmental organizations and civil society organizations. Despi
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