Latin America Archives - Green Initiative - For a Climate and Nature Positive Planet

Industrialization of Brazil’s Comparative Advantages: How Natural Capital Can Drive Inclusive and Sustainable Growth

How can emerging economies grow and foster development today, in a world where protectionism has become the norm, access to markets has narrowed, technology sharing has declined, and geopolitics has taken center stage? The strategies that propelled South Korea, Taiwan, China, Singapore, and others to success decades ago no longer deliver the same results. What, then, are the new pathways and opportunities? The answer lies in identifying and seizing the vast opportunities arising from climate transition, geopolitical realignment, and the quest for resilience in global value chains. These forces are revaluing geography as one of the most powerful drivers of business and investment. This is particularly true for much of Latin America, endowed with immense natural wealth and capital—renewable energy, bioeconomy resources, critical minerals, forests, carbon markets, water, and ecosystem services, among others. There are already unmistakable signs of a shift in relative prices in favor of these assets, which could reshape the global economic game and benefit emerging economies. To unlock this potential, however, countries must transform static comparative advantages into dynamic ones—in other words, industrialize their natural assets and add value to them. The moment is favorable, but the benefits are not automatic. 🎧 This is the central theme of the new podcast series launched by Imagine Brasil, “Industrialization of Brazil’s Comparative Advantages,” conducted by professors Aldemir Drummond and Jorge Arbache. In the first episode, Maria Netto, CEO of the Instituto Clima e Sociedade (iCS), offers an in-depth analysis of the global geopolitical and economic landscape, highlighting structural crises linked to energy, food, and climate change. She discusses Brazil’s challenges and opportunities in leveraging its clean energy matrix and abundant natural resources to generate innovation, added value, and long-term development. “Industrializing natural advantages is not only about economic transformation—it’s about shaping a new, inclusive model of prosperity for the twenty-first century,” emphasizes the Imagine Brasil initiative, created in collaboration with the Fundação Dom Cabral (FDC). 🔗 Listen to the first episode on Spotify: Industrialização das vantagens comparativas do Brasil – Conversa com Maria Netto (iCS) The new Imagine Brasil podcast, conducted by Jorge Arbache (Photo/ Green Initiative’s Scientific and Technical Advisory Council member) and Aldemir Drummond, explores how Brazil can transform its natural capital into engines of innovation, inclusive prosperity, and sustainable development through the industrialization of its comparative advantages.

Industrialization of Brazil’s Comparative Advantages: How Natural Capital Can Drive Inclusive and Sustainable Growth Read More »

Climate Action: Igniting Competitiveness in Central America and the Dominican Republic

Why should the Wine Industry in Latin America Integrate Climate Action at the core of their business models?

Leave a Comment / Green Initiative

The wine industry is one of Latin America’s most important export sectors, especially for countries like Argentina, Chile, and Uruguay. Wine production in Latin America has grown rapidly over the past few decades, accounting for a significant share of global wine production. For example, in 2019, Argentina was the fifth largest wine-producing country in the world, with a production of over 14 million hectoliters, while Chile was the ninth largest, with a production of over 10 million hectoliters (OIV, 2020). On the other hand, Uruguay is a small but significant player in the premium wine market, focusing on high-quality wines (Uruguay XXI, 2021). The Economic Impact of the Wine Industry in Latin America: Job Creation, Tourism, and Export Growth According to a report by the Inter-American Development Bank (IDB), the wine industry in Latin America is an important driver of economic growth, generating jobs and income for rural communities and contributing to the development of the local economy (IDB, 2019). In Argentina, for example, the wine industry generates over 20,000 jobs and contributes to the country’s tourism industry (Wines of Argentina, 2021). In Chile, the wine industry is a significant source of exports, accounting for over 2% of the country’s total exports (Chilean Wine, 2021). Similarly, in Uruguay, the wine industry contributes to the country’s exports and tourism industry, focusing on high-end wines (Uruguay XXI, 2021). Challenges and Opportunities: Why Integrating Climate Action is Essential for the Future of the Wine Industry in Latin America The wine industry in Latin America is facing significant challenges due to climate change. As a result, grape yields, quality, and the industry’s overall sustainability are being affected. In order to address these challenges, it is essential for the wine industry in Latin America to integrate climate action and promote sustainability. In addition to the environmental and social benefits, integrating climate action in the wine industry in Latin America can have economic benefits. By integrating climate action at the core of their business models, Latin American wine producers can mitigate climate risk and benefit from opportunities to reduce costs, increase efficiency, promote product innovation, and tap into emerging net-zero emissions value chains. EU’s Carbon Border Adjustment Mechanism and Its Implications for the Wine Industry in Latin America The European Union has introduced the Carbon Border Adjustment Mechanism (CBAM) to ensure that imported goods meet the same environmental standards as those produced within the EU. The CBAM is expected to significantly impact the wine industry in Latin America, as it will require exporters from Latin America to pay a carbon price based on the carbon footprint of the exported product. This mechanism will encourage exporters to reduce their carbon footprint and ensure that companies that take proactive measures to reduce their emissions and promote sustainability are more likely to succeed in the European market. Green Initiative: Partnering with Latin American Wine Producers to Implement Climate-Smart Business Strategies Latin American wine producers seeking to integrate climate action into their business models can benefit from expert guidance and support from Green Initiative. Green Initiative’s advisory services specialize in helping companies develop and implement climate action strategies that reduce their carbon footprint, promote climate-smart practices, and connect to emerging net-zero emissions value chains. Through a comprehensive approach that includes science-based carbon footprint assessments, strategy development, and implementation support, Green Initiative can help Latin American wine producers navigate the complex landscape of climate action and take concrete steps to achieve their decarbonization goals. Are you a wine producer in Latin America looking to reduce your carbon footprint and promote climate-smart practices? Contact Green Initiative today and benefit from our expert advisory services. Our team of experienced climate advisors can help you develop and implement customized climate action strategies that meet your business needs and align with emerging net-zero emissions value chains. Take the first step towards a sustainable future – contact us now to learn more!

Why should the Wine Industry in Latin America Integrate Climate Action at the core of their business models? Read More »