Companies need to mainstream land as a key ESG issue in their operations. Although practice on land rights is improving as the business case for avoiding tenure risks becomes clearer, practical barriers still exist. Despite growing boardroom level commitments and some good examples, operational priorities for agribusiness on the ground including needs to acquire and control land are driven by production and profitability targets, and more systemic changes are needed in business practice.
The Tenure Risk Tool: helping investors meet environmental, social and governance criteria
This brief gives an overview of the Quantifying Tenure Risk (QTR) initiative, and the key findings from their recent research into the costs associated with land tenure dispute in Africa, and present the Tenure Risk Tool, a discounted cashflow model created to help investors avoid harmful investments.