The Economics of Land Degradation (ELD) is a global initiative that aims to 1) develop a framework for considering economic values of land in policy decisions, 2) estimate economic benefits of preventing land degradation and maintaining ecosystem services, and 3) make the economic case for sustainable land management practices. ELD works with scientists, economists, businesses, universities, NGOs, and policymakers towards these goals by conducting studies, developing tools and reports, and increasing awareness of land value and degradation costs. Its ultimate goal is to propose solutions to reduce degradation, fight poverty, and ensure global food, water, and energy security.

1. Economics of Land Degradation
A global initiative for sustainable land management

2. Economics of Land Degradation
A global initiative for sustainable land management
ELD – Mission Statement
Through an open inter-disciplinary partnership:
• We develop a holistic framework for the consideration of the economic values of
land in political decision making processes;
• We estimate the economic benefit resulting from prevented degradation of
land and related ecosystem services;
• We compile and build a compelling economics case for benefits derived from
sustainable management practices of land and soil on a global and local scale,
as formulated in Aichi target 7 as well;
• We sharpen awareness of the value of land and related ecosystem services;
• We will propose effective solutions, policies and activities to reduce land
degradation, mitigate climate change and deliver food, energy and water security
worldwide, to fight poverty.
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3. Economics of Land Degradation
A global initiative for sustainable land management
An inclusive partnership
 ELD works with scientists in different disciplines, economists and experts
from the world of business
 The ELD initiative engages in cooperation with universities and research
institutions, NGOs, international businesses, finance institutions, farmers and
agricultural associations, in addition to engaging partners from the political
decision-makig processes.
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4. Economics of Land Degradation
A global initiative for sustainable land management
Our Challenge
 Address the gaps on awareness and
knowledge about the economic
impacts of land degradation and the
value of productive land as a limited
resource.
 The need to argue the case for making
the economics of land degradation an
integral part of policy strategies and
decision-making.
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5. Economics of Land Degradation
A global initiative for sustainable land management
Examples
• Niger loses every year about 8 % of ist GDP because of over-grazing and due to the
salination resulting from the rice cultivation.
Costs for preventing the salination on the cultivation areas in Niger would only
be 10% of the costs per hectar which result from the losses respectively
inaction.
Furthermore: The costs which contribute to the prevention of overgrazing are
only 20% of the costs which result from the recent practices of overgrazing.
• In an example from Peru, the cost of desalinization methods was US$69 per hectare,
which is only 17 percent of the cost of not taking any action.
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6. Economics of Land Degradation
A global initiative for sustainable land management
Examples II
• 2 percent of crop area in India is affected by salinity and reduces crop rice yields by
as much as 22 percent.
Based on crop simulation models, the cost of desalinization mechanisms such
as staggered leaching (using more water to avoid excess salt buildup) was
estimated at only 60 percent of the costs of inaction. This suggests that profit
incentive is not the reason for inaction.
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7. Economics of Land Degradation
A global initiative for sustainable land management
How can ELD help achieve ZNLD
• Economics potentially facilitates communication with public and private decision-
makers: it uses money as a common measuring rod for allocating public resources
• Economics is part of the solution: it provides a view that complements other
disciplines’ (sciences, sociology…)
• Economic cost-benefit analysis is a tool for informed decision-making: chose the
option with the greatest benefit to society as a whole
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8. Economics of Land Degradation
A global initiative for sustainable land management
First steps
• Work on the basis of the decisions of Rio+20 and UNCCD COP10, following the
Changwon Initiative, and linking up closely with the Aichi targets from CBD COP10
• Governance structure established;
• ELD has been succesful in the extension of the ELD network and the list of political
and scientific partners;
• Establishing scientific working groups:
• - Data analysis and methodology
• - Pathways for policy outreach
• - Economic valuation of options
• Initiating cross-relevant case studies and the work on a ELD „tool box“;
• Creating awareness for the „economic catastrophe“.
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9. Economics of Land Degradation
A global initiative for sustainable land management
Target groups
 ELD initiative serves decision makers from both policy on all levels and
the private sector
 Three targeted reports to
i) Scientific community,
ii) Policy makers on international, national
and regional level
iii) Private sector
The reports will be published by the end of 2014/beginning of 2015.
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10. Economics of Land Degradation
A global initiative for sustainable land management
Additional Outputs
 Global Study on the Economics of Land Degradation
 Well-informed risk assessment strategies
 A long-term, proactive view of environmental change processes
 Policy advice and communication strategy.
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11. Economics of Land Degradation
A global initiative for sustainable land management
Supporting links to ZNLD
• Problem: not enough action so far despite well-known technical solutions,
lack of adoption of SLM practices and lack of investment
• Three types of problems faced by land managers where economic valuation
could help:
– Decide which option benefits the most to society as a whole (eg Development
vs Conservation)
– set “fairer” compensation levels and reduce social unrest (redistribution from
winners to losers)
– assess further opportunities for development and set up new markets
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12. Economics of Land Degradation
A global initiative for sustainable land management
Scientific Process
• Scientific partners of the ELD process have engaged in research work,
building on existing work by partner institutions and on a preliminary study
by ZEF and IFPRI.
• Activities are defined by political and scientific partners on the basis of a
gap analysis undertaken by the scientific ELD partners.
• The work on ELD is based on multiple sources.
Support is provided
- as part of in-kind contributions
- from funding partners directly to research institutions or
- with facilitation of the process by the ELD-Secretriat and the Scientific
Coordination to establish case studies and the work on an „ELD Tool
Box“ in the ELD partner network.
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13. Economics of Land Degradation
A global initiative for sustainable land management
Digging up the necessary
information.
Your input is key.
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14. Economics of Land Degradation
A global initiative for sustainable land management
Thank you!
More info available at:
ELD Secretariat
Mark.Schauer@giz.de
www.eld-initiative.org
T + 49 228 24934-400
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