{"id":50364837,"date":"2023-04-06T17:05:22","date_gmt":"2023-04-06T14:05:22","guid":{"rendered":"https:\/\/dialogochino.net\/?p=64837"},"modified":"2023-06-16T23:14:38","modified_gmt":"2023-06-16T20:14:38","slug":"364837-big-banks-deforestation-threatens-indigenous-people-paraguay-chaco","status":"publish","type":"post","link":"https:\/\/dialogue.earth\/en\/forests\/364837-big-banks-deforestation-threatens-indigenous-people-paraguay-chaco\/","title":{"rendered":"Big banks linked to deforestation that threatens Indigenous people"},"content":{"rendered":"<p>In 2022, an isolated Indigenous group disappeared in the Brazilian Amazon. With <a href=\"https:\/\/www.nytimes.com\/2022\/08\/29\/world\/americas\/man-of-the-hole-death-brazil.html\">the death of one man<\/a> \u2013 the last member of an uncontacted tribe \u2013 an entire culture vanished. But this grim demise did not arrive at a moment\u2019s notice: it began decades earlier with the unchecked expansion of livestock farming across the country\u2019s north.<\/p>\n<p>Now, another Indigenous group in South America faces a similar threat. The Ayoreo people live in the forests of the Gran Chaco in Paraguay, where protected land has been <a href=\"https:\/\/dialogue.earth\/en\/agriculture\/can-gran-chaco-deforestation-food\/\">drastically deforested<\/a> in recent decades. Those responsible range from the Paraguayan government to local ranchers \u2013 and international financiers, as a new analysis has detailed.<\/p>\n<p>The <a href=\"https:\/\/www.globalwitness.org\/en\/campaigns\/forests\/cash-cattle-and-the-gran-chaco\/\">report<\/a>, published 30 March by human rights NGO Global Witness, reveals how major international financial institutions, including Santander and BNP Paribas, have bankrolled meatpacking companies <a href=\"https:\/\/www.earthsight.org.uk\/media\/download\/962\">accused<\/a> of buying cattle raised by ranchers linked to illegal deforestation and land-grabbing in the Paraguayan Chaco. The two companies implicated are Paraguayan firm Frigorifico Concepci\u00f3n and Brazilian multinational Minerva, which has also been <a href=\"https:\/\/www.globalwitness.org\/en\/campaigns\/forests\/deforestation-dividends\/\">linked<\/a> to illegal forest clearance in the Brazilian Amazon.<\/p>\n<p>The Global Witness report builds on the \u201c<a href=\"https:\/\/www.earthsight.org.uk\/media\/download\/962\">Grand Theft Chaco<\/a>\u201d investigations released by UK-based nonprofit Earthsight in 2020, in which both companies were named. The meatpackers, however, have not made changes to their operations in the period since, the report\u2019s author, Charlie Hammans, told Di\u00e1logo Chino.<div class='cdo-shortcode--image'><\/p>\n<p><iframe class=\"flourish-embed-iframe\" style=\"width: 100%; height: 600px;\" title=\"Interactive or visual content\" src=\"https:\/\/flo.uri.sh\/visualisation\/13318818\/embed\" frameborder=\"0\" scrolling=\"no\" sandbox=\"allow-same-origin allow-forms allow-scripts allow-downloads allow-popups allow-popups-to-escape-sandbox allow-top-navigation-by-user-activation\"><\/iframe><\/p>\n<p><\/div>Banks including HSBC, JP Morgan and Santander have assisted the growth of both companies, with the trio having helped Minerva in share sales and finding investors on bonds worth US$1.4 billion. The Bank of America, meanwhile, underwrote a US$285 million bond for Frigorifico Concepci\u00f3n in 2021.<\/p>\n<p>Asset management giants BlackRock and Vanguard were also found to have significantly increased their investments in Minerva between 2019 and 2022, rising from US$840,000 to US$4.8 million and US$4.5 million to US$8.6 million, respectively.<\/p>\n<h2>Green commitments?<\/h2>\n<p>These investments and engagements, Global Witness highlights, come at a time when nearly all the financial institutions featured in the report have sustainability commitments through schemes such as the Net-Zero Banking Alliance and Net Zero Asset Managers Initiative.<\/p>\n<figure id=\"attachment_53417\" aria-describedby=\"caption-attachment-53417\" style=\"width: 350px\" class=\"wp-caption alignright\"><a href=\"https:\/\/dialogue.earth\/en\/climate-energy\/53415-opinion-financial-sector-curb-gran-chaco-deforestation\/\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-53417\" src=\"https:\/\/dialogue.earth\/content\/uploads\/2022\/04\/Gran-Chaco-deforestation-Paraguay-Argentina_Michael-Edwards_Alamy_C3A66P-scaled.jpg\" alt=\"deforestation cleared land trees\" width=\"350\" height=\"233\"><\/a><figcaption id=\"caption-attachment-53417\" class=\"wp-caption-text\"><strong>Read more: <a href=\"https:\/\/dialogue.earth\/en\/climate-energy\/53415-opinion-financial-sector-curb-gran-chaco-deforestation\/\">Opinion: Financial sector must step up to curb Gran Chaco deforestation<\/a><\/strong><\/figcaption><\/figure>\n<p>\u201cThese banks have voluntary pledges, almost of them have policies to combat deforestation and extensive screening processes,\u201d Hammans said. \u201cBut what we have found is that either the screening processes are not working properly or they are just accepting it as part of their business because it\u2019s about making money.\u201d<\/p>\n<p>As their analysis demonstrates, voluntary initiatives have not been sufficient for financial institutions to clean their portfolios, and Global Witness has duly been campaigning for more strict legislation, particularly in the European Union. \u201cThere is the <a href=\"https:\/\/environment.ec.europa.eu\/topics\/forests\/deforestation\/regulation-deforestation-free-products_en\">deforestation bill<\/a> [to prevent the import of goods linked to forest clearance into the EU] that is coming in very soon. However, it doesn\u2019t include finance,\u201d Hammans said.<\/p>\n<p>Minerva has 25 slaughterhouses in South America, five of them in Paraguay. The company <a href=\"https:\/\/minervafoods.com\/en\/sustainability\/\">says<\/a> that has implemented the monitoring of its direct supplying farms in Paraguay, though not from <a href=\"https:\/\/dialogue.earth\/en\/agriculture\/37731-the-murky-process-of-licensing-the-amazon-meatpackers\/\">indirect suppliers \u2013 the biggest problem<\/a>.<\/p>\n<p>Minerva did not reply to Global Witness\u2019 requests to comment, and Frigorifico Concepci\u00f3n denied wrongdoings. Among the financial institutions, only BNP Paribas has replied, saying that it reached out to the Minerva for more information and to discuss the company\u2019s supply chain traceability measures.<\/p>\n<h2>Deforestation crisis in Paraguay<\/h2>\n<p>Paraguay lost 32% of its tropical primary forest between 2001 and 2021 \u2013 the fourth-highest rate in the world, behind the US\u2019s minor outlying islands in the Pacific, Dominica and Haiti, according to <a href=\"https:\/\/www.globalforestwatch.org\/dashboards\/global\/?category=forest-change&amp;map=eyJkYXRhc2V0cyI6W3siZGF0YXNldCI6InBvbGl0aWNhbC1ib3VuZGFyaWVzIiwibGF5ZXJzIjpbImRpc3B1dGVkLXBvbGl0aWNhbC1ib3VuZGFyaWVzIiwicG9saXRpY2FsLWJvdW5kYXJpZXMiXSwiYm91bmRhcnkiOnRydWUsIm9wYWNpdHkiOjEsInZpc2liaWxpdHkiOnRydWV9LHsiZGF0YXNldCI6Ik5ldC1DaGFuZ2UtU1RBR0lORyIsImxheWVycyI6WyJmb3Jlc3QtbmV0LWNoYW5nZSJdLCJvcGFjaXR5IjoxLCJ2aXNpYmlsaXR5Ijp0cnVlLCJwYXJhbXMiOnsidmlzaWJpbGl0eSI6dHJ1ZSwiYWRtX2xldmVsIjoiYWRtMCJ9fV19&amp;showMap=true&amp;treeLossRanked=eyJ1bml0IjoiJSIsImZvcmVzdFR5cGUiOiJwcmltYXJ5X2ZvcmVzdCIsImV4dGVudFllYXIiOjIwMDAsInBhZ2UiOjB9&amp;widget=treeLossRanked\">Global Forest Watch<\/a>.<\/p>\n<p>In addition to ranching, a cross-continent highway known as the <a href=\"https:\/\/dialogue.earth\/en\/agriculture\/59354-gran-chaco-road-indigenous-biodiversity\/\">Bioceanic Corridor<\/a> has increased the deforestation pressure in the Chaco, which is South America\u2019s second largest forest, behind the Amazon. It has also brought pressure for the people who live in it. \u201cThe works are moving fast, and this will impact our people,\u201d says Tag\u00fcide Picanerai, a leader of the Ayoreo indigenous people. Picanerai lives some 500 kilometres from his home of Chaid\u00ed in the capital city, Asunci\u00f3n, where he has represented his community in negotiations with the Paraguayan state.<\/p>\n<p>In recent decades, many of the Ayoreo people have been forced to leave their ancestral lands and change their way of life, but some 150 members remained uncontacted \u2013 the only group living in voluntary isolation in the Americas outside the Amazon. As hunter-gatherers, they move around the area collecting fruits and hunting. The <a href=\"https:\/\/dialogue.earth\/en\/climate-energy\/54953-paraguay-electricity-exporter-power-outages\/\">recent drought<\/a> in the country, says Picanarei, might have impaired their access to food.<div class='cdo-shortcode--image'><\/p>\n<h6><iframe class=\"flourish-embed-iframe\" style=\"width: 100%; height: 600px;\" title=\"Interactive or visual content\" src=\"https:\/\/flo.uri.sh\/visualisation\/13321470\/embed\" frameborder=\"0\" scrolling=\"no\" sandbox=\"allow-same-origin allow-forms allow-scripts allow-downloads allow-popups allow-popups-to-escape-sandbox allow-top-navigation-by-user-activation\"><\/iframe>The Ayoreo-Totobiegosode Natural and Cultural Heritage Zone in northern Paraguay has faced increasing pressure and destruction from deforestation in the last two decades (Images: Google Earth, Landsat\/Copernicus; Graphic: Di\u00e1logo Chino)<\/h6>\n<p><\/div>A significant area of the Ayoreo territory is now owned by private landowners, including Mennonite farmers who established colonies in the 1940s and 1950s, and big cattle-ranching businesses from both Paraguay and Brazil. The Ayoreo\u2019s historical territory covers 550,000 hectares, an area which organisations such as Survival International have long <a href=\"https:\/\/www.survivalinternational.org\/tribes\/ayoreo\">campaigned<\/a> to see formally recognised with land titles and protection. But negotiations with the Paraguayan government have failed to advance, and incursions and destruction continue on their lands.<\/p>\n<p>In February 2022, a group of South American Indigenous organisations <a href=\"https:\/\/assets.survivalinternational.org\/documents\/2053\/220222_PRONUNCIAMIENTO_orgs_indigenas_en_apoyo_a_los_Ayoreo-Totobiegosode.pdf?_gl=1*ptqxyf*_ga*MTI3NzQwNTgxMy4xNjgwMjg3MDE5*_ga_VBQT0CYZ12*MTY4MDI4NzAxOS4xLjEuMTY4MDI4NzcyOS4wLjAuMA..\">released<\/a> a statement warning of the \u201crisk of imminent extermination\u201d of the Ayoreo people and demanding urgent measures for their protection. Little has been done since then, according to Picanerai, and with Paraguay\u2019s elections on 30 April looming, he says the signs are not encouraging.<\/p>\n<p>\u201cI don\u2019t want to be pessimistic, but we need to warn about what to expect if the ruling party wins,\u201d he says, pointing out that the leading candidate, Santiago Pe\u00f1a, from the incumbent centre-right Colorado party, is expected to allow the expansion of the agro-industrial sector towards the protected area. He says <a href=\"https:\/\/www.as-coa.org\/articles\/explainer-paraguays-2023-elections\">other candidates<\/a> may be more open to dialogue with his people.<\/p>\n<p>But as Picanerai points out, and as Global Witness\u2019 findings underscore, the destiny of the Ayoreo and their lands is not just an issue of Paraguayan politics and business: it is one that extends far beyond its borders, to international boardrooms and banking offices. \u201cThe beef industry, both on local and global levels, has eyes on that territory,\u201d he says. \u201cThis is a hazard to the future of the Ayoreo, who are absolutely vulnerable.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Report shows US and EU financiers back meat firms in Paraguay whose activities put Ayoreo people at risk<\/p>\n","protected":false},"author":3882,"featured_media":50364839,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[50039902],"tags":[531,544,555],"hashtags":[],"country":[50002600],"class_list":["post-50364837","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-forests","tag-deforestation","tag-finance","tag-indigenous-peoples","country-paraguay"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v26.0) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Big banks linked to deforestation that threatens Indigenous people | Dialogue Earth<\/title>\n<meta name=\"description\" content=\"Report shows US and EU financiers back meat companies in Paraguay whose activities put Ayoreo people at risk\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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