156
Global Compact International Yearbook 2013
Itochu
In 2007, managers at the Textile Company
visited India, the world’s largest producer
of organic cotton, to learn about local
farming of organic cotton. By visiting
local farmers, they came to understand
the needs and issues associated with the
production of organic cotton, which was
then developed into an innovative busi-
ness model not only for ITOCHU Corpo-
ration, but also for the textile industry.
Issues confronting cotton farmers
in India
Since the green revolution in the 1960s,
genetically modified seed, agrochemi-
cals, and pesticides have been used in
large quantities in India. It is said that
45
percent of all agrochemicals con-
sumed in India are used for cotton farm-
ing, yet cotton fields account for a mere
5
percent of all farmland in India. The
purchasing of chemicals and pesticides
poses an economically heavy burden on
impoverished cotton farmers.
Moreover, since many of them are not
equipped with appropriate protective
gear for handling chemicals on their
farms, skin and respiratory diseases
are common. The safety of drinking
water is also a concern, since farmers
depend onwells near cotton fields where
agrochemicals are used. For decades,
despite these negative impacts, it was
commonly used as the most efficient
way of farming.
Pre Organic Cotton
program: a Shift to
Organic Farming
In September 2012, more than 150 delegates from corporations, international organizations,
governments, and NGOs around the world gathered at Business, The MDGs and Beyond –
a forum run as a side event to the UN General Assembly in New York. ITOCHU Corporation
represented the Japanese corporations that are members of the UNDP-led Business Call to
Action (BCtA) and spearheaded a panel at the first session, “Innovative Business Models for
Sustainable Development.” At the forum, ITOCHU presented the Pre Organic Cotton Program,
an initiative of its Textile Company, which contributes to overall development in the cotton
farming communities in India through poverty reduction and improvements in farmers’
health and the farming environment.