Periodic Reporting for period 3 - TRADE4SD (Fostering the positive linkages between trade and sustainable development)
Periodo di rendicontazione: 2024-06-01 al 2025-05-31
The TRADE4SD project was initiated to address the complex and often ambiguous impacts of international agri-food trade on global sustainability. While international trade is essential for economic and social development, its potential to exacerbate environmental degradation, greenhouse gas emissions, biodiversity loss, and socio-economic inequalities—particularly affecting smallholder farmers and vulnerable communities—requires careful management. Addressing these issues is vital for society, as sustainable agri-food trade can significantly improve food security, rural livelihoods, equitable economic growth, and environmental conservation, thereby contributing meaningfully to achieving the United Nations Sustainable Development Goals (SDGs).
The primary objective of TRADE4SD was thus to identify and foster positive linkages between trade and sustainable development by providing robust evidence and actionable policy recommendations. The project aimed to enhance trade policy design and implementation at national, EU, and global levels, calling for modernisation of World Trade Organization (WTO) rules, stronger integration of local contexts within trade agreements, comprehensive "SDG-proofing" of trade policies, and greater policy coherence across agricultural, environmental, climate, and energy sectors.
TRADE4SD’s findings highlighted that trade liberalisation alone is insufficient for reaching sustainability goals. Although liberalisation generates economic benefits, such as increased employment and food affordability, it also carries risks of environmental damage and socio-economic inequalities. The project emphasized the importance of tailored policies designed around local contexts, advocating explicitly enforceable sustainability standards within trade agreements and active involvement of local stakeholders, particularly smallholders, in policy formulation. Furthermore, the project underscored the critical need for EU-wide policy coherence, recommending an integrated "food systems" approach to harmonize trade policies with sustainability objectives outlined in initiatives such as the European Green Deal and the Farm to Fork Strategy.
The primary objective of TRADE4SD was thus to identify and foster positive linkages between trade and sustainable development by providing robust evidence and actionable policy recommendations. The project aimed to enhance trade policy design and implementation at national, EU, and global levels, calling for modernisation of World Trade Organization (WTO) rules, stronger integration of local contexts within trade agreements, comprehensive "SDG-proofing" of trade policies, and greater policy coherence across agricultural, environmental, climate, and energy sectors.
TRADE4SD’s findings highlighted that trade liberalisation alone is insufficient for reaching sustainability goals. Although liberalisation generates economic benefits, such as increased employment and food affordability, it also carries risks of environmental damage and socio-economic inequalities. The project emphasized the importance of tailored policies designed around local contexts, advocating explicitly enforceable sustainability standards within trade agreements and active involvement of local stakeholders, particularly smallholders, in policy formulation. Furthermore, the project underscored the critical need for EU-wide policy coherence, recommending an integrated "food systems" approach to harmonize trade policies with sustainability objectives outlined in initiatives such as the European Green Deal and the Farm to Fork Strategy.
From its inception, the TRADE4SD project carried out extensive multidisciplinary work, combining rigorous quantitative modelling, qualitative assessments, and comprehensive stakeholder consultations to explore the relationships between international agri-food trade and the Sustainable Development Goals (SDGs). The project began by conducting a structured literature review, assessing how trade interacts with economic, social, and environmental dimensions of sustainability. This was complemented by detailed case studies focusing on agri-food value chains in Ghana, Vietnam, and Tunisia, examining the sustainability impacts of EU trade agreements in specific local contexts.
Advanced economic modelling methods, including computable general equilibrium (CGE) and global agricultural market analyses, provided insights into the economic, environmental, and social implications of various trade scenarios. These models demonstrated that while trade liberalisation can improve economic outcomes such as food affordability and market access, it often increases environmental pressures and exacerbates inequalities, highlighting the necessity for complementary sustainability policies.
Throughout the project, TRADE4SD generated a series of evidence-based policy briefs offering concrete recommendations. These include the need for explicitly enforceable sustainability provisions in trade agreements, tailored support for smallholder integration into global markets, robust capacity-building programmes, and enhanced coherence among EU trade, agricultural, environmental, and climate policies.
In terms of dissemination, TRADE4SD actively engaged diverse stakeholders—ranging from policymakers, academia, and industry representatives to civil society groups—through workshops, policy dialogues, webinars, and public conferences. The project's findings and recommendations have been extensively published and disseminated via policy briefs, detailed reports, academic publications, and the project’s dedicated website (www.trade4sd.eu). These activities have maximized visibility and facilitated widespread knowledge transfer.
Exploitation of project results has primarily involved informing ongoing policy discussions at EU and international levels, notably influencing debates around WTO modernisation, EU trade agreement strategies, and sustainability integration within agri-food value chains. The comprehensive evidence and clear policy recommendations provided by TRADE4SD have become a valuable resource for policymakers and practitioners working to align international trade with the global sustainability agenda. Moreover, the project has elaborated two visualisation tools and a game, also available at the website, as a legacy.
Advanced economic modelling methods, including computable general equilibrium (CGE) and global agricultural market analyses, provided insights into the economic, environmental, and social implications of various trade scenarios. These models demonstrated that while trade liberalisation can improve economic outcomes such as food affordability and market access, it often increases environmental pressures and exacerbates inequalities, highlighting the necessity for complementary sustainability policies.
Throughout the project, TRADE4SD generated a series of evidence-based policy briefs offering concrete recommendations. These include the need for explicitly enforceable sustainability provisions in trade agreements, tailored support for smallholder integration into global markets, robust capacity-building programmes, and enhanced coherence among EU trade, agricultural, environmental, and climate policies.
In terms of dissemination, TRADE4SD actively engaged diverse stakeholders—ranging from policymakers, academia, and industry representatives to civil society groups—through workshops, policy dialogues, webinars, and public conferences. The project's findings and recommendations have been extensively published and disseminated via policy briefs, detailed reports, academic publications, and the project’s dedicated website (www.trade4sd.eu). These activities have maximized visibility and facilitated widespread knowledge transfer.
Exploitation of project results has primarily involved informing ongoing policy discussions at EU and international levels, notably influencing debates around WTO modernisation, EU trade agreement strategies, and sustainability integration within agri-food value chains. The comprehensive evidence and clear policy recommendations provided by TRADE4SD have become a valuable resource for policymakers and practitioners working to align international trade with the global sustainability agenda. Moreover, the project has elaborated two visualisation tools and a game, also available at the website, as a legacy.
TRADE4SD has made substantial progress beyond the state of the art through a comprehensive, evidence-based, and participatory research approach aimed at clarifying and quantifying the intricate relationships between international agri-food trade and sustainability. A significant advancement has been the successful integration of multiple quantitative modelling approaches, which enabled consistent and holistic assessments across diverse sustainability dimensions. Enhanced model capabilities allowed for deeper exploration of trade's direct and indirect impacts on economic, social, and environmental sustainability, complemented by a newly developed, detailed database of sustainability indicators.
Innovative visualisation tools created by TRADE4SD have significantly improved the understanding and accessibility of complex sustainability linkages among stakeholders, policymakers, and civil society organisations. By combining and extending existing economic models and simulations, the project has tested and validated several new policy measures, including sustainability provisions within trade agreements, carbon border adjustments, and tailored support mechanisms for smallholder farmers. This revealed concrete impacts on different countries, regions, producers, consumers, and taxpayers.
Notably, TRADE4SD has identified effective incentives for farmers and traders to adopt sustainable practices and highlighted how practical experience ('learning by doing') influences investment decisions towards achieving sustainability goals. The project has also provided insights into making EU bilateral trade agreements more effective and identified areas where a modernised World Trade Organization (WTO) could significantly enhance global sustainability.
The potential socio-economic impacts and wider societal implications of TRADE4SD are significant. The project's findings and recommendations contribute directly to improved economic equity by promoting fairer market conditions and enhancing smallholder livelihoods. Environmentally, the project supports the transition towards more sustainable trade systems with measurable reductions in greenhouse gas emissions, biodiversity loss, and resource depletion. Societally, TRADE4SD fosters increased awareness and capacity among stakeholders and policymakers, strengthening inclusive governance, policy coherence, and ultimately supporting the global achievement of the Sustainable Development Goals.
Innovative visualisation tools created by TRADE4SD have significantly improved the understanding and accessibility of complex sustainability linkages among stakeholders, policymakers, and civil society organisations. By combining and extending existing economic models and simulations, the project has tested and validated several new policy measures, including sustainability provisions within trade agreements, carbon border adjustments, and tailored support mechanisms for smallholder farmers. This revealed concrete impacts on different countries, regions, producers, consumers, and taxpayers.
Notably, TRADE4SD has identified effective incentives for farmers and traders to adopt sustainable practices and highlighted how practical experience ('learning by doing') influences investment decisions towards achieving sustainability goals. The project has also provided insights into making EU bilateral trade agreements more effective and identified areas where a modernised World Trade Organization (WTO) could significantly enhance global sustainability.
The potential socio-economic impacts and wider societal implications of TRADE4SD are significant. The project's findings and recommendations contribute directly to improved economic equity by promoting fairer market conditions and enhancing smallholder livelihoods. Environmentally, the project supports the transition towards more sustainable trade systems with measurable reductions in greenhouse gas emissions, biodiversity loss, and resource depletion. Societally, TRADE4SD fosters increased awareness and capacity among stakeholders and policymakers, strengthening inclusive governance, policy coherence, and ultimately supporting the global achievement of the Sustainable Development Goals.