Editing Economics of biodiversity

{{Short description|Economic importance of biodiversity}}
[[Image:MasaiMaraCheetahs01.jpg|right|thumb|250px|The biodiversity of the [[Masai Mara]] nature reserve in Kenya is a tourist attraction]]

[[Biodiversity]] plays an essential role in the global economy.<ref name=":0">Millennium Ecosystem Assessment (MEA), Ecosystems and human well-being: synthesis, Island Press, Washington, DC, 2005, p. 137.</ref> This includes its role in providing [[Ecosystem service|ecosystem services]] - the benefits that humans get from ecosystems. Biodiversity plays a major role in the productivity and functioning of ecosystems, affects their ability to provide ecosystem services.<ref>{{Cite journal |last1=Tilman |first1=David |last2=Isbell |first2=Forest |last3=Cowles |first3=Jane M. |date=2014-11-23 |title=Biodiversity and Ecosystem Functioning |url=https://www.annualreviews.org/doi/10.1146/annurev-ecolsys-120213-091917 |journal=Annual Review of Ecology, Evolution, and Systematics |language=en |volume=45 |issue=1 |pages=471–493 |doi=10.1146/annurev-ecolsys-120213-091917 |issn=1543-592X}}</ref> For example, biodiversity is a source of [[food]], [[medication]], and [[Material|materials]] used in industry. Recreation and tourism are also examples of human economic activities that rely on these benefits. In 2018, the [[World Wide Fund for Nature|WWF]] [[Living Planet Report]] argues that the whole global economy of US$125 trillion ultimately relies on nature.<ref name=":5">WWF. 2018. Living Planet Report - 2018: Aiming Higher. Grooten, M. and Almond, R.E.A.(Eds). WWF, Gland, Switzerland.</ref>

The benefits of biodiversity are often evaluated in an anthropocentric way and the inherent value of biodiversity, outside of its benefits to humanity, has been debated by economists.<ref>{{Cite journal |last1=Gómez-Baggethun |first1=Erik |last2=de Groot |first2=Rudolf |last3=Lomas |first3=Pedro L. |last4=Montes |first4=Carlos |date=2009-12-13 |title=The history of ecosystem services in economic theory and practice: From early notions to markets and payment schemes |url=https://linkinghub.elsevier.com/retrieve/pii/S092180090900456X |journal=Ecological Economics |language=en |volume=69 |issue=6 |pages=1209–1218 |doi=10.1016/j.ecolecon.2009.11.007}}</ref><ref>{{Cite journal |last1=Seddon |first1=Nathalie |last2=Mace |first2=Georgina M. |last3=Naeem |first3=Shahid |last4=Tobias |first4=Joseph A. |last5=Pigot |first5=Alex L. |last6=Cavanagh |first6=Rachel |last7=Mouillot |first7=David |last8=Vause |first8=James |last9=Walpole |first9=Matt |date=2016-11-01 |title=Biodiversity in the Anthropocene: prospects and policy |journal=Proceedings of the Royal Society B: Biological Sciences |language=en |volume=283 |issue=1844 |pages=20162094 |doi=10.1098/rspb.2016.2094 |issn=0962-8452 |pmc=5204156 |pmid=27928040}}</ref> Despite these benefits, economic activities often result in harm to biodiversity, such as through deforestation.<ref name=":0" />

The majority of species have yet to be evaluated for their current or future economic importance.<ref name=":1">{{cite journal | doi=10.1016/j.cub.2015.03.041 | title=The Importance and Benefits of Species | date=2015 | last1=Gascon | first1=Claude | last2=Brooks | first2=Thomas M. | last3=Contreras-Macbeath | first3=Topiltzin | last4=Heard | first4=Nicolas | last5=Konstant | first5=William | last6=Lamoreux | first6=John | last7=Launay | first7=Frederic | last8=Maunder | first8=Michael | last9=Mittermeier | first9=Russell A. | last10=Molur | first10=Sanjay | last11=Al Mubarak | first11=Razan Khalifa | last12=Parr | first12=Michael J. | last13=Rhodin | first13=Anders G.J. | last14=Rylands | first14=Anthony B. | last15=Soorae | first15=Pritpal | last16=Sanderson | first16=James G. | last17=Vié | first17=Jean-Christophe | journal=Current Biology | volume=25 | issue=10 | pages=R431–R438 | pmid=25989087 | bibcode=2015CBio...25.R431G }}</ref> Raw materials, pharmaceuticals and drug [[Manufacturing|production]] all directly and indirectly depend upon biodiversity.<ref name=":1" />

==Agriculture and food==
{{Main|Biodiversity and food|Agricultural biodiversity}}
{{See also|Crop diversity|Animal genetic resources for food and agriculture|Genetic resources}}Biodiversity plays an essential economic role in [[agriculture]] as the origin of all crops and domesticated livestock, contributing both to food security and to livelihoods.<ref>{{Cite web |title=Agricultural biodiversity {{!}} FAIRR |url=https://www.fairr.org/resources/knowledge-hub/key-terms/agricultural-biodiversity |access-date=2024-07-22 |website=www.fairr.org |language=en}}</ref> Around 25% of the global population is estimated to work in agriculture.<ref>{{Cite journal |date=2023-11-29 |title=MAP 4: Share of agriculture, forestry and fishing employment in total employment (2021) |url=http://dx.doi.org/10.4060/cc8166en-map04 |access-date=2024-07-22 |website=World Food and Agriculture – Statistical Yearbook 2023 Datasets|doi=10.4060/cc8166en-map04 }}</ref> Estimating the economic value of biodiversity (and the costs of its continued [[Biodiversity loss|loss]]) in agriculture and through the use of wild species for food is both challenging and controversial. 

[[Agricultural biodiversity]] (agrobiodiversity) refers to all the components of biodiversity that are relevant to food and agriculture, and that make up agricultural ecosystems.<ref>{{Cite web |last=Unit |first=Biosafety |date=2008-04-23 |title=What is Agricultural Biodiversity? |url=https://www.cbd.int/agro/whatis.shtml |access-date=2024-07-20 |website=www.cbd.int |language=en}}</ref> More specifically, the term [[food biodiversity]] refers to the diversity of organisms used for food. Agrobiodiversity provides income through food and raw materials, as well as by supporting [[Ecosystem service|ecosystem services]] that are essential for agricultural productivity, including [[pollination]], [[pest control]], [[Nutrient cycle|nutrient cycling]], and climate regulation.<ref>{{Cite web |last=Unit |first=Biosafety |date=2008-04-25 |title=Why is it Important? |url=https://www.cbd.int/agro/Importance.shtml |access-date=2024-07-22 |website=www.cbd.int |language=en}}</ref> 

Income is generated from the harvest and sale of wild species, as well as from those that have been cultivated and domesticated. This can play an important role in supporting the livelihoods of people living in [[Developing country|developing economies]]. For example, [[Bushmeat|wild meat]] (bushmeat) is harvested by rural households in some countries to support dietary requirements and as a source of subsistence income, though the practice is controversial.<ref>{{Cite journal |last1=Nielsen |first1=Martin R. |last2=Meilby |first2=Henrik |last3=Smith-Hall |first3=Carsten |last4=Pouliot |first4=Mariève |last5=Treue |first5=Thorsten |date=2018-04-01 |title=The Importance of Wild Meat in the Global South |url=https://www.sciencedirect.com/science/article/pii/S0921800917304093 |journal=Ecological Economics |volume=146 |pages=696–705 |doi=10.1016/j.ecolecon.2017.12.018 |bibcode=2018EcoEc.146..696N |issn=0921-8009}}</ref> The trade in bushmeat occurs both legally and illegally, for cultural reasons as well as socio-economic ones.<ref name=":8">{{Cite web |last=KKIENERM |title=Wildlife, Forest & Fisheries Crime Module 1 Key Issues: Implications of Wildlife Trafficking |url=https://www.unodc.org/e4j/en/wildlife-crime/module-1/key-issues/implications-of-wildlife-trafficking.html |access-date=2024-07-22 |website=www.unodc.org |language=en}}</ref>

Biodiversity includes [[genetic diversity]], providing [[genetic resources]] for food and agriculture. The term genetic resources refers to "genetic material of actual or potential value", according to the [[Convention on Biological Diversity]].<ref>{{Cite web |title=genetic resource {{!}} InforMEA |url=https://www.informea.org/en/terms/genetic-resource |access-date=2024-07-22 |website=www.informea.org}}</ref> These resources are important as the raw material for evolution by [[Natural selection|natural]] and [[Selective breeding|artificial selection]] to enable the development of new [[Cultivar|cultivars]] with higher yields, greater tolerance to abiotic stresses, and greater resistance to pests and diseases.<ref>{{Cite journal |last1=Swarup |first1=Shilpa |last2=Cargill |first2=Edward J. |last3=Crosby |first3=Kate |last4=Flagel |first4=Lex |last5=Kniskern |first5=Joel |last6=Glenn |first6=Kevin C. |date=2021-10-11 |title=Genetic diversity is indispensable for plant breeding to improve crops |journal=Crop Science |language=en |volume=61 |issue=2 |pages=839–852 |doi=10.1002/csc2.20377 |issn=0011-183X|doi-access=free }}</ref> The role of genetic diversity in reducing risk to commercial output from farms or forests has been said to contribute to the indirect economic value of biodiversity.<ref>{{Cite journal |last1=Hanley |first1=Nick |last2=Perrings |first2=Charles |date=2019-10-05 |title=The Economic Value of Biodiversity |journal=Annual Review of Resource Economics |language=en |volume=11 |issue=1 |pages=355–375 |doi=10.1146/annurev-resource-100518-093946 |issn=1941-1340|doi-access=free }}</ref> Genetic resources may also be used in [[biotechnology]], such as for [[genetic engineering]], though concerns have been raised that the use of such methods could increase [[genetic erosion]].<ref>{{Cite web |title=HARVESTING NATURE'S DIVERSITY |url=https://www.fao.org/4/v1430e/V1430E05.htm |access-date=2024-07-22 |website=www.fao.org}}</ref> Estimating the economic value of conserving such resources is difficult<ref>{{Cite journal |last1=Ahtiainen |first1=Heini |last2=Pouta |first2=Eija |date=2011-07-14 |title=The value of genetic resources in agriculture: a meta-analysis assessing existing knowledge and future research needs |url=https://www.tandfonline.com/doi/full/10.1080/21513732.2011.593557 |journal=International Journal of Biodiversity Science, Ecosystem Services & Management |language=en |volume=7 |issue=1 |pages=27–38 |doi=10.1080/21513732.2011.593557 |bibcode=2011IJBSE...7...27A |issn=2151-3732}}</ref> and their global value is largely unquantified as a result.<ref>{{Cite web |last1=Pearce |first1=David |last2=Moran |first2=Dominic |date=1994 |title=THE ECONOMIC VALUE OF BIODIVERSITY IUCN — THE WORLD CONSERVATION UNION |url=https://www.cbd.int/financial/values/g-economicvalue-iucn.pdf |access-date=2024-07-22 |website=CBD International}}</ref>

About 70% of crop genetic diversity and 30% of livestock genetic diversity has been lost.<ref>{{Cite journal |last1=Mburu |first1=Simon Wambui |last2=Koskey |first2=Gilbert |last3=Kimiti |first3=Jacinta Malia |last4=Ombori |first4=Omwoyo |last5=Maingi |first5=John M. |last6=Njeru |first6=Ezekiel Mugendi |date=2016-09-15 |title=Agrobiodiversity conservation enhances food security in subsistence-based farming systems of Eastern Kenya |journal=Agriculture & Food Security |volume=5 |issue=1 |pages=19 |doi=10.1186/s40066-016-0068-2 |doi-access=free |bibcode=2016AgFS....5...19M |issn=2048-7010}}</ref> The loss of [[genetic diversity]] reduces the resilience of food systems to pests, diseases, abiotic stresses, and [[climate change]], posing a threat to food security.<ref>Benton, T. G., Bieg, C., Harwatt, H., Pudasaini, R., & Wellesley, L. (2021). Food system impacts on biodiversity loss. In ''Policy File''. Chatham House: The Royal Institute of International Affairs.</ref> These risks can reduce yields, therefore having an economic and social impact. In addition, [[species diversity]] (an aspect of biodiversity) in the global [[food system]] is relatively low when compared to the total number of described species; it was estimated that only 40 species of [[Mammal|mammals]] and [[Bird|birds]] have been domesticated for agriculture and less than 200 plant species are produced on a significant scale globally.<ref name=":7">FAO. 2019. The State of the World’s Biodiversity for Food and Agriculture, J. Bélanger & D. Pilling (eds.). FAO Commission on Genetic Resources for Food and Agriculture Assessments. Rome. 572 pp. (<nowiki>http://www.fao.org/3/CA3129EN/CA3129EN.pdf</nowiki>)</ref> This compares to a total of approximately 6,400 mammal species, 11,000 avian species, and 391,000 plant species (out of which 6,000 have been cultivated for food and agriculture).<ref name=":7" />

Despite the importance of biodiversity to agriculture and its role in the global economy, the global food system is thought to be a primary driver of biodiversity loss, according to the [[United Nations Environment Programme]].<ref>{{Cite web |date=2021-02-03 |title=Our global food system is the primary driver of biodiversity loss |url=https://www.unep.org/news-and-stories/press-release/our-global-food-system-primary-driver-biodiversity-loss |access-date=2024-07-22 |website=www.unep.org |language=en}}</ref> For example, this may occur as a result of deforestation and land use change for [[agricultural expansion]].

===Biological pest control===
[[Image:Ladybird aphid 7462.jpg|right|thumb|A [[ladybird]] larva eating [[aphid]]s]]
{{Main|Biological pest control}}

An important ecosystem function associated with biodiversity is pest control.<ref>{{Cite journal |last1=Ives |first1=A.R. |last2=Klug |first2=J.L. |last3=Gross |first3=K. |date=2000 |title=Stability and species richness in complex communities |url=https://onlinelibrary.wiley.com/doi/10.1046/j.1461-0248.2000.00144.x |journal=Ecology Letters |language=en |volume=3 |issue=5 |pages=399–411 |doi=10.1046/j.1461-0248.2000.00144.x |bibcode=2000EcolL...3..399I |issn=1461-023X}}</ref> Control species can suppress pest populations and reduce loss of crop yields without the negative impacts of chemical [[Pesticide|pesticides]].<ref>{{Cite journal |last1=Bianchi |first1=F.J.J.A |last2=Booij |first2=C.J.H |last3=Tscharntke |first3=T |date=2006-07-22 |title=Sustainable pest regulation in agricultural landscapes: a review on landscape composition, biodiversity and natural pest control |journal=Proceedings of the Royal Society B: Biological Sciences |language=en |volume=273 |issue=1595 |pages=1715–1727 |doi=10.1098/rspb.2006.3530 |issn=0962-8452 |pmc=1634792 |pmid=16790403}}</ref> This has economic benefits and maintaining natural pest control is important to humanity's ability to grow crops.<ref>{{Cite journal |last1=Dainese |first1=Matteo |last2=Martin |first2=Emily A. |last3=Aizen |first3=Marcelo A. |last4=Albrecht |first4=Matthias |last5=Bartomeus |first5=Ignasi |last6=Bommarco |first6=Riccardo |last7=Carvalheiro |first7=Luisa G. |last8=Chaplin-Kramer |first8=Rebecca |last9=Gagic |first9=Vesna |last10=Garibaldi |first10=Lucas A. |last11=Ghazoul |first11=Jaboury |last12=Grab |first12=Heather |last13=Jonsson |first13=Mattias |last14=Karp |first14=Daniel S. |last15=Kennedy |first15=Christina M. |date=2019-10-11 |title=A global synthesis reveals biodiversity-mediated benefits for crop production |journal=Science Advances |language=en |volume=5 |issue=10 |pages=eaax0121 |doi=10.1126/sciadv.aax0121 |issn=2375-2548 |pmc=6795509 |pmid=31663019|bibcode=2019SciA....5..121D }}</ref> It can also be applied within horticulture.<ref>{{Cite web |title=Biological control in the home garden / RHS Gardening |url=https://www.rhs.org.uk/prevention-protection/biological-control-garden |access-date=2024-07-19 |website=www.rhs.org.uk |language=en-gb}}</ref> 

Biological pest control can reduce economic losses incurred as a result of pests, disease vectors, and invasive species.<ref>{{Cite journal |last1=Hanley |first1=Nick |last2=Roberts |first2=Michaela |date=2019 |editor-last=Chan |editor-first=Kai |title=The economic benefits of invasive species management |url=https://besjournals.onlinelibrary.wiley.com/doi/10.1002/pan3.31 |journal=People and Nature |language=en |volume=1 |issue=2 |pages=124–137 |doi=10.1002/pan3.31 |bibcode=2019PeoNa...1..124H |issn=2575-8314}}</ref> However, its use can have unintended effects where control species are introduced without adequate research.<ref name=":2">{{Cite news |last=Readfearn |first=Graham |date=2019-01-27 |title=Cane toads wouldn't have made it: inside CSIRO's biocontrol program |url=https://www.theguardian.com/environment/2019/jan/28/cane-toads-wouldnt-have-made-it-inside-csiros-biocontrol-program |access-date=2024-07-19 |work=The Guardian |language=en-GB |issn=0261-3077}}</ref> For example, the [[cane toad]] was introduced to [[Queensland]], [[Australia]] in 1935 to control [[Dermolepida albohirtum|cane beetles]] that attack [[sugarcane]] roots but are now regarded as an [[Invasive species|invasive]] species through their damaging impacts on native species.<ref name=":2" /><ref>{{Cite journal |last=Shine |first=Richard |date=2010 |title=The Ecological Impact of Invasive Cane Toads ( Bufo Marinus ) in Australia |url=https://www.journals.uchicago.edu/doi/10.1086/655116 |journal=The Quarterly Review of Biology |language=en |volume=85 |issue=3 |pages=253–291 |doi=10.1086/655116 |pmid=20919631 |issn=0033-5770}}</ref>

=== Horticulture ===
[[Horticulture]] refers to the small-scale cultivation of plants, such as for use in [[gardening]]. It encompasses both [[Domestication|domesticated]] and wild [[species]], [[Cultivar|cultivars]], [[Genotype|genotypes]], and [[Allele|alleles]].<ref>{{Cite web |title=ORCID |url=https://orcid.org/0000-0002-7848-5824 |access-date=2024-07-22 |website=orcid.org}}</ref> These plants may be used for food, medicine, or aesthetic and ornamental purposes.<ref>{{Citation |last=Kumar |first=Ashwani |title=Role of Horticulture in Biodiversity Conservation |date=2014 |work=Sustainable Horticultural Systems |volume=2 |pages=143–155 |editor-last=Nandwani |editor-first=Dilip |url=https://link.springer.com/10.1007/978-3-319-06904-3_7 |access-date=2024-07-19 |series=Sustainable Development and Biodiversity |place=Cham |publisher=Springer International Publishing |language=en |doi=10.1007/978-3-319-06904-3_7 |isbn=978-3-319-06903-6}}</ref> Horticultural plant biodiversity can be highly profitable and provides opportunities for employment.<ref>{{Cite journal |last1=Weinberger |first1=Katinka |last2=Lumpkin |first2=Thomas A. |date=2007 |title=Diversification into Horticulture and Poverty Reduction: A Research Agenda |url=https://doi.org/10.1016/j.worlddev.2007.05.002 |journal=World Development |volume=35 |issue=8 |pages=1464–1480 |doi=10.1016/j.worlddev.2007.05.002 |issn=0305-750X}}</ref> In the UK, growth of [[Ornamental plant|ornamental]] plants was worth £1.7 billion in 2023.<ref>{{Cite web |title=Horticulture statistics - 2023 |url=https://www.gov.uk/government/statistics/latest-horticulture-statistics/horticulture-statistics-2023 |access-date=2024-07-19 |website=GOV.UK |language=en}}</ref>

Originally, plants for horticultural use were sourced from wild populations, but now tend to come from [[Plant nursery|nurseries]], [[Botanical garden|botanical gardens]], and private collections.<ref>{{Cite web |last=Secretariat of the Convention on Biological Diversity |date=2010 |title=Uses of genetic resources |url=https://www.cbd.int/abs/infokit/factsheet-uses-en.pdf |access-date=2024-07-22 |website=CBD International}}</ref> 

=== Aquaculture and fishing ===
[[Aquaculture]] and [[fishing]] are underpinned by biodiversity, with significant economic importance globally.<ref>{{Cite web |title=Biodiversity underpins all fishing and aquaculture activities |url=https://www.cbd.int/article/waterforbiodiversity |access-date=2024-07-22 |website=Convention on Biological Diversity |language=en}}</ref> By 2006, over 3 billion people were dependent on marine and coastal biodiversity for their livelihoods and 38 million people were estimated to be directly employed by fishing.<ref>{{Cite web |last=FAO Fisheries and Aquaculture Department |date=2007 |title=THE STATE OF WORLD FISHERIES AND AQUACULTURE 2006 |url=https://www.fao.org/4/a0699e/a0699e.pdf |access-date=2024-07-22}}</ref> In 2023, the global fishing market was estimated to be worth $656.96 billion, based on revenue.<ref>{{Cite web |title=Fishing Market Size, Share, Growth, Industry Analysis, Trends Report 2024-2033 |url=https://www.thebusinessresearchcompany.com/report/fishing-global-market-report#:~:text=The%20fishing%20market%20size%20has,(CAGR)%20of%207.0%25. |access-date=2024-07-22 |website=www.thebusinessresearchcompany.com}}</ref> 

==Medicine==
{{Main article|Biodiversity and drugs}}
Biodiversity plays a vital role in the maintenance of human [[health]] and a wide variety of products derived from plants, animals, and fungi are used in medicine. Biodiversity acts as a source of medicinal compounds, impacts the provision of ecosystem services that improve health and protect against disease, and as an inspiration for biomedical techniques that could be utilised to cure diseases (such as [[CRISPR/Cas9]]).<ref name=":9">{{Cite journal |last1=Linhares |first1=Yuliya |last2=Kaganski |first2=Alexander |last3=Agyare |first3=Christian |last4=Kurnaz |first4=Isil A. |last5=Neergheen |first5=Vidushi |last6=Kolodziejczyk |first6=Bartlomiej |last7=Kędra |first7=Monika |last8=Wahajuddin |first8=Muhammad |last9=El-Youssf |first9=Lahcen |last10=dela Cruz |first10=Thomas Edison |last11=Baran |first11=Yusuf |last12=Pešić |first12=Milica |last13=Shrestha |first13=Uttam |last14=Bakiu |first14=Rigers |last15=Allard |first15=Pierre-Marie |date=2023 |title=Biodiversity: the overlooked source of human health |url=https://doi.org/10.1016/j.molmed.2022.12.002 |journal=Trends in Molecular Medicine |volume=29 |issue=3 |pages=173–187 |doi=10.1016/j.molmed.2022.12.002 |pmid=36585352 |issn=1471-4914|hdl=10468/14216 |hdl-access=free }}</ref> Over 40% of pharmaceutical products are derived from nature, identified through indigenous knowledge and scientific methods, and 70% of all [[cancer]] drugs are natural or bioinspired products.<ref name=":03">{{Cite web |last=Whiting |first=Kate |date=2023-11-23 |title=This is how biodiversity loss impacts medicine and human health |url=https://www.weforum.org/agenda/2023/11/biodiversity-nature-loss-health-medicine/ |access-date=2024-07-22 |website=World Economic Forum}}</ref> This has significant economic implications. For example, the market for [[traditional medicine]] was predicted to reach a value of $115 billion by the end of 2023.<ref name=":03" />

Wild plant species have been used for medicinal purposes since [[Prehistory|pre-historic times]]<ref>{{Cite journal |last=Petrovska |first=BiljanaBauer |date=2012 |title=Historical review of medicinal plants′ usage |journal=Pharmacognosy Reviews |language=en |volume=6 |issue=11 |pages=1–5 |doi=10.4103/0973-7847.95849 |doi-access=free |issn=0973-7847 |pmc=3358962 |pmid=22654398}}</ref> and over 60% of the world's population still depends on herbal medicine as their primary source of healthcare.<ref>{{Citation |last1=Ahmad Khan |first1=Mohd Sajjad |title=Herbal Medicine |date=2019 |work=New Look to Phytomedicine |pages=3–13 |url=https://doi.org/10.1016/B978-0-12-814619-4.00001-X |access-date=2024-07-22 |publisher=Elsevier |doi=10.1016/b978-0-12-814619-4.00001-x |isbn=978-0-12-814619-4 |last2=Ahmad |first2=Iqbal}}</ref> Some major antimalarial drugs are derived from plants. For example, [[quinine]], derived from the bark of South American ''Cinchona'' trees is used as an anti-malarial.<ref name=":9" /> [[Artemisinin]], another anti-malarial, was isolated from [[Artemisia annua|sweet wormwood]] by [[Tu Youyou]].<ref>{{Cite web |title=The Nobel Prize in Physiology or Medicine 2015 |url=https://www.nobelprize.org/prizes/medicine/2015/summary/ |access-date=2024-07-22 |website=NobelPrize.org |language=en-US}}</ref> In addition, [[anti-cancer drugs]] like [[Paclitaxel|Taxol]], [[Vincristine]], and [[Vinblastine]] were isolated from plants.<ref>{{Cite journal |last1=Khazir |first1=Jabeena |last2=Mir |first2=Bilal Ahmad |last3=Pilcher |first3=Lynne |last4=Riley |first4=Darren L. |date=2014 |title=Role of plants in anticancer drug discovery |url=https://doi.org/10.1016/j.phytol.2013.11.010 |journal=Phytochemistry Letters |volume=7 |pages=173–181 |doi=10.1016/j.phytol.2013.11.010 |bibcode=2014PChL....7..173K |hdl=2263/59253 |issn=1874-3900|hdl-access=free }}</ref>

==Industry==
{{See also|Biomimetics|Ecosystem service}}
Beyond agriculture and pharmaceuticals, biodiversity plays an important role in [[Industry (economics)|industry]]. It acts as a source of [[Natural resource|natural resources]], [[Natural material|materials]], and [[Natural product|products]] that are sold, consumed, or used in manufacturing. Many livelihoods are dependent on biodiversity as a result.<ref>{{Cite web |title=What is biodiversity and why is it important? {{!}} BCT |url=https://www.bct.nsw.gov.au/what-biodiversity-and-why-it-important |access-date=2024-07-22 |website=www.bct.nsw.gov.au}}</ref> Examples of some of the raw materials that originate from biodiversity include wood, plant fibers (such as [[cotton]]), animal fibers (such as [[wool]] and [[silk]]).

[[Ecosystem service|Ecosystem services]], relied upon by industry and businesses, are underpinned by biodiversity. As a result, [[Ecosystem valuation|estimates of the value]] of these services to the global economy have been made, though this practice is controversial, with an estimate of US$125 trillion a year worldwide by WWF's 2018 Living Planet Report.<ref name=":5" /> 

Biodiversity includes the [[Morphology (biology)|morphological]] diversity of life forms.<ref>{{Citation |last1=James |first1=Maclaurin |title=Morphology and Morphological Diversity |date=2008 |work=What Is Biodiversity? |pages=60–83 |url=https://doi.org/10.7208/chicago/9780226500829.003.0004 |access-date=2024-07-22 |publisher=University of Chicago Press |doi=10.7208/chicago/9780226500829.003.0004 |isbn=978-0-226-50081-2 |last2=Kim |first2=Sterelny}}</ref> This can provide economic opportunities as inspiration for [[research and development]] of industrial materials and structures.<ref name=":6">{{Cite journal |last=Lebdioui |first=Amir |date=2022-12-01 |title=Nature-inspired innovation policy: Biomimicry as a pathway to leverage biodiversity for economic development |url=https://www.sciencedirect.com/science/article/pii/S0921800922002476 |journal=Ecological Economics |volume=202 |pages=107585 |doi=10.1016/j.ecolecon.2022.107585 |bibcode=2022EcoEc.20207585L |issn=0921-8009|doi-access=free }}</ref> For example, the ridges on pectoral fins of [[Humpback whale|humpback whales]] have inspired the shape of [[wind turbine]] blades.<ref>{{Cite web |title=Whale-Inspired Wind Turbines |url=https://www.technologyreview.com/2008/03/06/221447/whale-inspired-wind-turbines/ |access-date=2024-07-22 |website=MIT Technology Review |language=en}}</ref> The field of [[biomimetics]] is dedicated to the emulation of models, systems, and elements from nature to solve complex human problems. In the [[United States]], biomimicry is estimated to account for $425 billion of the country's GDP, according to the Fermanian Business and Economic Institute.<ref name=":6" /> This provides potential economic opportunities for [[Developing country|developing countries]] with high levels of biodiversity, but has mainly been explored in [[Economic development|developed economies]].<ref>{{Cite web |title=Learning from nature to reconcile economic upgrading with biodiversity conservation? Biomimicry as an innovation policy |url=https://www.lse.ac.uk/granthaminstitute/publication/learning-from-nature-to-reconcile-economic-upgrading-with-biodiversity-conservation-biomimicry-as-an-innovation-policy/ |access-date=2024-07-22 |website=Grantham Research Institute on climate change and the environment |language=en-GB}}</ref>

==Tourism and recreation==
{{See also|Sustainable tourism|Ecotourism}}
Through cultural ecosystem services, biodiversity provides economic benefits in the form of recreation and tourism, while also benefitting human wellbeing.<ref>{{Cite journal |last1=Paracchini |first1=Maria Luisa |last2=Zulian |first2=Grazia |last3=Kopperoinen |first3=Leena |last4=Maes |first4=Joachim |last5=Schägner |first5=Jan Philipp |last6=Termansen |first6=Mette |last7=Zandersen |first7=Marianne |last8=Perez-Soba |first8=Marta |last9=Scholefield |first9=Paul A. |last10=Bidoglio |first10=Giovanni |date=2014-04-08 |title=Mapping cultural ecosystem services: A framework to assess the potential for outdoor recreation across the EU |url=http://dx.doi.org/10.1016/j.ecolind.2014.04.018 |journal=Ecological Indicators |volume=45 |pages=371–385 |doi=10.1016/j.ecolind.2014.04.018 |bibcode=2014EcInd..45..371P |issn=1470-160X}}</ref><ref>{{Cite web |title=Economic Benefits of Outdoor Recreation And Tourism : WeConservePA Library |url=https://library.weconservepa.org/conservation-benefits/129-Economic-Benefits-of-Outdoor-Recreation-And-Tourism |access-date=2024-07-19 |website=library.weconservepa.org}}</ref> Biodiversity influences the potential of ecosystems to provide recreational services.<ref>{{Cite journal |last1=Mancini |first1=Francesca |last2=Coghill |first2=George M. |last3=Lusseau |first3=David |date=2019-01-31 |editor-last=Wiersma |editor-first=Yolanda |title=Quantifying wildlife watchers' preferences to investigate the overlap between recreational and conservation value of natural areas |url=https://besjournals.onlinelibrary.wiley.com/doi/10.1111/1365-2664.13274 |journal=Journal of Applied Ecology |language=en |volume=56 |issue=2 |pages=387–397 |doi=10.1111/1365-2664.13274 |bibcode=2019JApEc..56..387M |hdl=2164/13130 |issn=0021-8901|hdl-access=free }}</ref> This includes [[outdoor recreation]], such as hiking, hunting, fishing, and wildlife watching.
[[File:Sumidero ecotourism reserve.JPG|alt=Sumidero Canyon Ecological Reserve in Sumidero Canyon — in the state of Chiapas, Southwestern Mexico.|thumb|Sumidero Canyon Ecological Reserve in '''Sumidero Canyon''' — in the state of Chiapas, Southwestern Mexico.]]
Another form of [[recreation]] supported by biodiversity is [[tourism]]. Biodiversity is "at the heart of what drives the [[tourism]] industry", according to the [[United Nations Environment Programme]].<ref>{{Cite web |title=No guilt trips: Tourism is part of the solution for nature |url=https://www.cbd.int/article/tourism-part-of-the-solution |access-date=2024-07-19 |website=Convention on Biological Diversity |language=en}}</ref> The beauty of tourist destinations or the species they support can attract tourists to visit certain areas.<ref name=":02">{{Cite journal |last=Jones |first=Peter |date=2022-08-25 |title=Tourism and Biodiversity: A Paradoxical Relationship |url=https://www.athensjournals.gr/tourism/2022-9-3-2-Jones.pdf |journal=Athens Journal of Tourism |volume=9 |issue=3 |pages=151–162 |doi=10.30958/ajt.9-3-2}}</ref> For example, destinations like [[Rainforest|rainforests]], [[Beach|beaches]], [[National park|national parks]], and [[Nature reserve|nature reserves]] are attractive to tourists. The revenue generated through tourism is vital to many economies worldwide and accounts for 10% of the global job market.<ref>{{Cite journal |last=Naseem |first=Sana |date=2021-08-18 |title=The Role of Tourism in Economic Growth: Empirical Evidence from Saudi Arabia |journal=Economies |language=en |volume=9 |issue=3 |pages=117 |doi=10.3390/economies9030117 |doi-access=free |issn=2227-7099|hdl=10419/257275 |hdl-access=free }}</ref><ref name=":3">Secretariat of the Convention on Biological Diversity (2009). Biodiversity, Development and Poverty Alleviation: Recognizing the Role of Biodiversity for Human Well-being. Montreal, 52 pages.</ref>

Nature-based tourism, such as to visit protected areas, also has an important economic impact.<ref>{{cite journal | doi=10.1371/journal.pone.0282912 | doi-access=free | title=Economic impact of nature-based tourism | date=2023 | last1=Gupta | first1=Anubhab | last2=Zhu | first2=Heng | last3=Bhammar | first3=Hasita | last4=Earley | first4=Elisabeth | last5=Filipski | first5=Mateusz | last6=Narain | first6=Urvashi | last7=Spencer | first7=Phoebe | last8=Whitney | first8=Edward | last9=Taylor | first9=J. Edward | journal=PLOS ONE | volume=18 | issue=4 | pages=e0282912 | pmid=37043462 | pmc=10096494 | bibcode=2023PLoSO..1882912G }}</ref> For example, [[ecotourism]], where the motivation of tourists is to observe and appreciate nature and the cultures in natural areas, while supporting their maintenance.<ref>{{Cite web |title=Ecotourism and Protected areas {{!}} UN Tourism |url=https://www.unwto.org/sustainable-development/ecotourism-and-protected-areas#:~:text=According%20to%20the%20UN%20Tourism's,cultures%20prevailing%20in%20natural%20areas. |access-date=2024-07-19 |website=www.unwto.org}}</ref> In 2023, the global ecotourism market was estimated to be worth US$216.49 billion.<ref>{{Cite web |title=Ecotourism Market Size, Share, Growth {{!}} Various Trends [2032] |url=https://www.fortunebusinessinsights.com/ecotourism-market-108700 |access-date=2024-07-19 |website=www.fortunebusinessinsights.com |language=en}}</ref>

Despite the economic benefits from biodiversity through tourism, the tourism industry has negative impacts on biodiversity.<ref name=":02" /> For example, through habitat destruction and pollution. As a result, [[sustainable tourism]] emerged with the aim of reducing the negative impacts of tourism on the environment.<ref>{{cite journal | doi=10.1007/s11356-022-22496-w | title=Impact of tourism development upon environmental sustainability: A suggested framework for sustainable ecotourism | date=2023 | last1=Baloch | first1=Qadar Bakhsh | last2=Shah | first2=Syed Naseeb | last3=Iqbal | first3=Nadeem | last4=Sheeraz | first4=Muhammad | last5=Asadullah | first5=Muhammad | last6=Mahar | first6=Sourath | last7=Khan | first7=Asia Umar | journal=Environmental Science and Pollution Research | volume=30 | issue=3 | pages=5917–5930 | pmid=35984561 | pmc=9389488 | bibcode=2023ESPR...30.5917B }}</ref>

== Illegal wildlife trade ==
{{See also|Wildlife trade|Wildlife smuggling}}
The [[Wildlife trade|illegal wildlife trade]] profits from [[biodiversity]] through the sale of products derived from non-domesticated animals, including those classed as endangered by the [[International Union for Conservation of Nature|IUCN]]. According to the [[Zoological Society of London]], the illegal wildlife trade is estimated to be worth $23 billion a year.<ref>{{Cite web |title=Illegal wildlife trade crisis {{!}} ZSL |url=https://www.zsl.org/what-we-do/conservation/protecting-species/illegal-wildlife-trade-crisis |access-date=2024-07-22 |website=www.zsl.org |language=en}}</ref> Cultural demand (such as for [[bushmeat]] or use in traditional medicine) is one factor motivating the illegal wildlife trade, however, [[Terrorist organisation|terrorist]] and [[Organized crime|criminal organisations]] engage in illicit trafficking of plants and animals to fund the purchase of weapons, fund civil conflicts, and other illegal activities.

Exploitation of biodiversity through wildlife smuggling has a negative impact on biodiversity itself, including by driving population declines, species extinctions, and the loss of genetic diversity.<ref>{{Cite journal |last1=Mozer |first1=Annika |last2=Prost |first2=Stefan |date=2023-12-01 |title=An introduction to illegal wildlife trade and its effects on biodiversity and society |url=https://www.sciencedirect.com/science/article/pii/S2666937423000021 |journal=Forensic Science International: Animals and Environments |volume=3 |pages=100064 |doi=10.1016/j.fsiae.2023.100064 |bibcode=2023FSIAE...300064M |issn=2666-9374}}</ref> It can also impact biodiversity through [[biosecurity]] risks, including the potential to spread diseases that native populations may not be resistant to and through the introduction of alien species.<ref name=":8" /> 

== Impact of economic activity on biodiversity ==
{{See|Biodiversity loss}}Despite the role of biodiversity in underpinning the economy, economic activities often cause harm to biodiversity and the economic incentives they provide mean that they are often favoured over [[Conservation biology|conservation]] and [[Ecological restoration|restoration]] activities.<ref name=":4">IPBES (2019): Global assessment report on biodiversity and ecosystem services of the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services. E. S. Brondizio, J. Settele, S. Díaz, and H. T. Ngo (editors). IPBES secretariat, Bonn, Germany. 1148 pages. <nowiki>https://doi.org/10.5281/zenodo.3831673</nowiki></ref> This contributes to the [[Biodiversity loss|loss of biodiversity]] observed on a global scale with numerous causes, such as habitat loss, land-use change, pollution, and [[overexploitation]].<ref name=":4" /> 

According to an estimate from [[Boston Consulting Group|BCG]], more than 90% of the anthropogenic drivers of biodiversity loss result from economic activities linked to agriculture, infrastructure, fashion, and energy.<ref>{{Cite web |date=2021-02-23 |title=The Biodiversity Crisis Is a Business Crisis |url=https://www.bcg.com/publications/2021/biodiversity-loss-business-implications-responses |access-date=2024-07-22 |website=BCG Global |language=en}}</ref> In addition, the IUCN estimates that 79% of threatened species are impacted by agriculture, infrastructure, and energy and mining activities.<ref>{{Cite web |last=Torkington |first=Simon |date=2023-02-07 |title=50% of the global economy is under threat from biodiversity loss |url=https://www.weforum.org/agenda/2023/02/biodiversity-nature-loss-cop15/ |access-date=2024-07-22 |website=World Economic Forum}}</ref>

The failure to halt terrestrial biodiversity loss between 2000 and 2010 was estimated to cost the global economy $500 billion.<ref name=":3" /> Continued biodiversity loss and environmental degradation poses a long-term risk to society and the economy, such as by increasing the risk of pandemics, floods, and droughts.<ref>Ranger, N., Alvarez J., Freeman, A., Harwood, T., Obersteiner, M., Paulus, E. and Sabuco, J. (2023). The Green Scorpion: the Macro-Criticality of Nature for Finance – Foundations for scenario-based analysis of complex and cascading physical nature-related risks. Oxford: Environmental Change Institute, University of Oxford.</ref>

==See also==

* [[Biodiversity Action Plan]]
* [[Biodiversity finance]]/[[The Economics of Ecosystems and Biodiversity]]
* [[Environmental economics]]
* [[Endangered Species Recovery Plan]]
* [[Ecosystem service|Ecosystem services]]
* [[Food biodiversity]]
* [[Agricultural biodiversity|Agrobiodiversity]]
* [[Biodiversity and drugs]]
* [[Payment for ecosystem services|Payment for ecosystem services (PES)]]

==References==
<references/>

== External links ==

* [https://www.gov.uk/government/publications/final-report-the-economics-of-biodiversity-the-dasgupta-review Final Report - The Economics of Biodiversity: The Dasgupta Review]

[[Category:Biodiversity]]
[[Category:Economics of sustainability]]