# Tobacco

## **Dependencies on Ecosystem Services in the Tobacco Industry**

Companies within the Tobacco Industry are intricately linked to the natural environment and have deep dependencies on ecosystem services. 

### Sector Classification

<table><thead><tr><th width="399">Framework</th><th>Primary</th><th>Secondary</th></tr></thead><tbody><tr><td>SASB</td><td>Food &#x26; Beverage</td><td>Tobacco</td></tr><tr><td>GICS</td><td>Consumer Staples</td><td>Food, Beverage &#x26; Tobacco</td></tr><tr><td>NACE Rev. 2</td><td>Manufacturing</td><td>Manufacture of tobacco products</td></tr></tbody></table>

## **ENCORE**

The ENCORE (Exploring Natural Capital Opportunities, Risks, and Exposure) tool provides a detailed view of the direct ecological dependencies and the risk levels.

| Dependencies               | Materiality Risk Rating                   |
| -------------------------- | ----------------------------------------- |
| **Fibers & Materials**     | <mark style="color:red;">Very High</mark> |
| **Ground Water**           | <mark style="color:red;">Very High</mark> |
| **Surface Water**          | <mark style="color:red;">Very High</mark> |
| **Water Flow Maintenance** | <mark style="color:orange;">Medium</mark> |
| **Erosion Control**        | <mark style="color:green;">Low</mark>     |

## **Swiss Re Biodiversity Ecosystem Services Index**

The Swiss Re BES Index further highlights critical ecological dependencies across the industry's value chain.

### Manufacturing Sector Ecological Dependencies

#### **Overall Risk Rating:&#x20;**<mark style="color:red;">**HIGH**</mark>

| Ecosystem Service           | Dependency Rating (0-1) |
| --------------------------- | ----------------------- |
| Habitat intactness          |                         |
| Pollination                 | .6                      |
| Air quality / local climate | .18                     |
| Water security              | .6                      |
| Water quality               | .36                     |
| Soil fertility              | .36                     |
| Erosion control             | .25                     |
| Timber provision            | .4                      |

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## Reduce Risk & Increase Resilience

One-click investment into nature-related risks and dependencies for sectors and industries can be done via [BASIN FLOWS](https://docs.basin.global/appendix/ecosystem-services-dependencies-and-risks/by-sector-and-industry/archive/food-and-beverage/broken-reference).
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## Applied to Core Benefits & Ecosystems

In Edits

## **Source Notes**

This analysis draws on public methodologies and data from ENCORE and Swiss Re, focusing on the direct potential dependencies and impacts on ecosystem services and natural capital assets. It underscores the industry's reliance on natural ecosystems, highlighting the importance of preserving these resources for resilience and adaptation.