Home to the most abundant tropical climates on earth, Southeast Asia is rich with vital natural resources. With exporting empires in palm oil, timber, and natural rubber, the region is bountiful, but therefore at risk of unethical harvesting practices. New investors can look forward to being leaders in sustainable enterprises while tapping into these incredible resources.
The seas of Southeast Asia hold abounding reserves of oil and natural gas. Southeast Asia produces some of the world’s most important natural resources such as timber, mahogany, natural rubber, palm-oil, copra and other coconut products. Like the region’s currently unsustainable fishing practices, the farming of natural resources creates opportunity for new investments to establish eco-minded practices, with ample support from the public.
Thailand, Indonesia and Vietnam are the top 3 producers of natural rubber
The Philippines, Indonesia and Malaysia are among the top 5 producers of copra and other coconut products
Indonesia, Malaysia and Thailand are the top 3 producers of palm oil
More than 10% of prescription drugs are made from products found in the tropical forest
Thailand, Myanmar, Laos, and Malaysia have the world’s largest tin deposits
As the global economy becomes increasingly dependent on energy and seaborne resources that transit through key points in Southeast Asian waters, this demand may lead to increasing pressure to expand the exploitation of fossil fuels. However, with the right investments, this need can be met sustainably and cooperatively.
Non-sustainable practices in resource exploitation are costly to reverse. The Philippines, Indonesia and Malaysia accounted for approximately half of worldwide exports of hardwood, making tropical deforestation widespread in the region in the last few decades.
Southeast Asia’s booming economy offers tremendous growth potential, but also large and interlinked economic, social and environmental challenges. The region’s growth model is based in large part on natural resource exploitation, exacerbating these challenges. Public and private financing needs to be mobilized in order to foster sustainable development.
Borneo Island, the world’s third-largest forest, is projected to lose about 220,000 km sq of forest between 2010 and 2030. The World Wildlife Fund estimated that if the island of Borneo continues at its current rate of deforestation, it will be severely affected by climate change through the increased risk of floods and forest fires, human health impacts, changes in agricultural yields, and damage to infrastructure.
An effort to make the rubber industry sustainable in Southeast Asia is underway. As the largest producer of rubber in the world, key players from both the producers and consumers are tackling the challenges to pave the ways to make the industry sustainable. Its objective is to help Southeast Asian countries adapt to the challenges facing the sector by documenting the consequences (technical, social, and economic) of these new changes and by specifying the options for adapting more effectively.
With oil and gas reserves being discovered off the coasts of Indonesia, Brunei, Malaysia, mainstreaming new technology into business models will maximize opportunities for growth.
To mitigate dependence on fossil fuel, some countries are testing vehicle fuel made from algae rather than petroleum, due to the way algae stores its energy as natural oils. And concerns over freshwater sustainability have led to the development of rainwater harvesters, desalination machines, and even more incredible inventions. Southeast Asia is primed to pursue economic growth in a way that sustains its natural capital on which prosperity depends.
Electronic catch documentation and traceability (eCDT) systems collect real-time, accurate and verifiable information at all points along the seafood supply chain, from point of catch through to landing, processing, transport, and export.
Greenpeace’s 2018 report, ‘Southeast Asia’s Tuna Cannery Ranking,’ focused on tuna canneries and brands in the Philippines, Indonesia, and Thailand. Greenpeace found that these companies are taking steps towards a more traceable, sustainable and worker-friendly industry.
Ecotourism in Southeast Asia connects the world to the dedicated conservation efforts underway in the region. With thousands of acres of rainforest and hundreds of new species being discovered on the island nations, ecotourism is the best possible way to educate tourists about threatened habitats through a memorable adventure that’s sure to garner lifelong support.
Southeast Asia has one of the most diverse marine ecosystems in the world. However, it is being threatened by overfishing and destructive fishing practices. Protecting this resource will prove crucial to ensure food security and revenue generation.
Empowering workers in Southeast Asia with education and skills training will be the key to the region’s sustained development. Improvements to the workforce will lead to increased economic and human development in the region.
