Getting small firms from climate risk to resilience

11 November 2022
ITC News

At COP 27, ITC launches report to protect small firms in value chains.

Small firms face big climate challenges in today’s global value chains. Extreme weather events are more frequent, affecting their sourcing, production and shipping and other business operations. Nearly 70% of small firms in sub-Saharan Africa say that environmental resources are significant for their business, but less than 40% can do something about it, according to ITC research.

When climate change hits SMEs hard, supply chain disruptions have a domino effect. That’s why managing risk and building climate resilience requires a team effort.

Small business in value chains: from climate risk to resilience is ITC’s report which outlines a ten-step plan to build small business climate resilience. Development cooperation agencies, business support organizations, policymakers, large corporations, financial institutions and technical suppliers can work together with small businesses to manage risk and boost resilience.

The approach helps to build shared awareness about risks, makes a business case for adaptation, addresses skill gaps and outlines how to match companies with financial and technical service providers. The report features case studies from Kenya and Morocco. ITC has applied the approach in 11 countries, based on collaboration with the German Agency for International Cooperation, GIZ.

The report is designed as a practical follow-up to ITC’s flagship research on small firms, SME Competitiveness Outlook: Empowering the Green Recovery.

The report launch takes place during COP27 on 11 November at noon at the ITC Pavilion (blue zone P12), as part of its campaign to bring the voice of small business to COP27.