Companies Might Be Forced to Report Their Impact on Nature. A New Framework Aims to Help.

weren’t produced in ways that brought about forest loss, or could face stinging fines.

Despite the challenges, some companies have already begun to include biodiversity in their impact assessments, separately from their analysis of greenhouse-gas emissions. Tobacco grouphas set itself a 2033 target of ensuring it causes no ecosystem loss anywhere connected to the company’s value chain, and of having a net positive impact on nature by 2050.

Philip Morris headquarters in Lausanne, Switzerland. The cigarette maker has set a 2033 target of ensuring it causes no ecosystem loss anywhere connected to its value chain, and of having a net positive impact on nature by 2050.Packaged-foods giant Nestlé welcomed the recommendations. “We are now assessing the framework in full and identifying areas of alignment with forthcoming regulation in the European Union and Switzerland,” a company spokesperson said.

Cost is still a major barrier to proper biodiversity assessment, especially for smaller suppliers, Gillon said. “It can be complicated to be really sure that the origin is totally controlled,” she said, noting that luxury-goods brands—with their larger profit margins and relatively local supply chains—can more quickly and easily assess their biodiversity impact.

“The easiest win for businesses are the areas where they have direct control,” Balmforth said, pointing to where companies control land or where mining companies have assets.

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