Supply capacity - Netherlands

The IDH was launched in 2008 by the Netherlands Ministry of Foreign Affairs. It brings together close to 40 businesses, trade unions and over 20 civil society organizations, and focuses on linking producers from developing countries in a sustainable manner to the international trade and production chains. The project is expected to run to 2015, and the Ministry has pledged around €50 million, which has been matched by a €0.5 billion pledge by 54 CEOs. The IDH seeks to improve economic, environmental and employment conditions in the initial stages of production chains in developing countries. It targets the first link in the international chains that start in developing countries and end in the Netherlands or Europe, and works on making international production chains sustainable through two types of interventions: (i) sectoral development and improvement programmes; and (ii) intersectoral learning programmes. In 2008, four sectors − natural stone, soya, cacao, and wood and forest products − were targeted. The improvement programmes focus on tackling obstacles to sustainability along the production chain, and include establishing certification systems, clean production methods, branding, etc., while the second important set of activities, the learning programmes, further the exchange of knowledge.