How does the Stewardship Standard relate to sustainable and regenerative agriculture?

Our Stewardship Standard

This document outlines the key principles of stewardship that all borrowers must commit to in order to receive financing from Steward. At the core of these principles are the values of ecological, social, and economic stewardship—which ensure that borrowers not only focus on the sustainability of their operations but also actively contribute to the well-being of their employees, communities, and the environment. Through the implementation of these stewardship principles, businesses can foster long-term resilience and create positive change in the regions in which they operate. 

Definitions

1. Borrower: The business that is receiving financing from the lender, committing to adhere to the stewardship principles. 
2. Lender: Steward and any associated financial institution that provides funding or financial assistance to the borrower under the terms of this agreement, ensuring that the borrower adheres to the principles of ecological, social, and economic stewardship.
3. Operations: The business activities or agricultural processes conducted by the borrower, including farming, manufacturing, processing, or other relevant practices, which are expected to align with Steward's pillars of stewardship.
4. Stewardship Statement: A statement approved by the borrower and the lender, outlining the borrower’s commitment to ecological, social, and economic stewardship. This statement includes concrete and specific goals, a plan for supporting the stewardship principles.

Stewardship Principals

1. Ecological Stewardship: Borrower must use its best efforts to utilize, or support farms that utilize, regenerative management to improve the health and function of on-farm and connected ecosystems, while also minimizing the negative ecological impact of their business—including, but not limited to, those related to energy, emissions, water and effluent management. Farms must treat life in all its forms—plants, livestock, wildlife, microbiology, etc.—with respect for its role in the ecosystem and dignity in its treatment and handling.
2. Social Stewardship: Borrower must use its best efforts to demonstrate a deep commitment to management that supports the well-being and health of their employees and communities. Borrower must avoid exploitative labor practices that extract more value from workers than is justly compensated.
3. Economic Stewardship: Borrower must choose practices and approaches that are suited to a community or location. Businesses must strengthen the economic independence and resilience of the region in which they operate, ideally catalyzing economic development.

Application of Stewardship Principals

Ecological Stewardship

The four processes of the natural world serve as the foundation of our societies and economies. Therefore, Steward’s foundational principle of stewardship is care for the natural world. In order to be successful, the tools and practices chosen to accomplish this end must be contextually-appropriate in regards to the local environment, culture, economy, resources, etc.

The Four Processes

1. The Mineral Cycle
   1. The mineral cycle refers to the continuous movement of minerals and nutrients through soil, plants, animals, and the atmosphere, playing a crucial role in regulating the Earth's greenhouse gasses, particularly carbon dioxide (CO2) and methane (CH4).
   2. Borrowers must prioritize practices that support the natural movement of minerals through this cycle and enhance soil health.
2. The Water Cycle
   1. The water cycle describes the movement of water through the environment, including evaporation, condensation, precipitation, and its flow through rivers, soils, and aquifers. 
   2. Borrowers should ensure they protect water quality, manage water use sustainably, and utilize, whenever possible, management practices that minimize negative impacts on aquifers.
3. The Flow of Energy
   1. This energy cycle is the process by which solar energy is captured during photosynthesis and transformed into food, fuel, and fiber that sustain life and economies. Photosynthesis is the only generative process that can sustain a society indefinitely.
   2. Borrowers should maximize the health of energy processes, as the efficient capture and use of solar energy are fundamental to the sustainability of working landscapes and communities. Farms should minimize the waste of solar energy by ensuring green and growing plants are absorbing the sun’s energy for as many days as possible, and minimizing the number of days that sun is falling on bare soil.  
4. Biodiversity
   1. Interactions between organisms in a diverse biological ecosystem play an important role in the stability and health of the environment. Biodiverse, healthy communities of plants, animals, and microorganisms support the other cycles (mineral, water, and energy). 
   2. Borrowers should use their best efforts to contribute to ecological resilience by supporting the biological diversity within their region.

Application of the Ecological Stewardship Principles to Post-Farm Production Operations

If Borrower does not directly practice agricultural production, but is engaged in the agricultural economy—for example, food and textile manufacturers and processors—it should support ecological stewardship through the sourcing of agricultural products that adhere to the principles of ecological stewardship outlined above. Borrower must demonstrate a commitment to ecological stewardship through:

• Sourcing agricultural products from regenerative and animal-welfare driven production systems. 
• Minimizing its negative ecological and environmental impacts, including energy use in operations and transportation, water use, effluent management, and direct operations.

Social Stewardship

Borrower must demonstrate a deep and consistent commitment to the well-being of employees, communities, and the broader society in which it operates. Key social stewardship activities include:

1. Wages: Ensure all employees earn a living wage that meets or exceeds the legal minimum and allows workers to afford basic needs such as food, shelter, healthcare, and education.
2. Healthy Working Conditions: Provide a safe and healthy workplace by adhering to safety protocols, offering adequate training, and equipping workers with the tools necessary to prevent harm and long-term health issues.
3. Fair Labor Practices: Avoid exploitative labor practices such as child labor and forced labor.

Economic Stewardship

Economic stewardship focuses on fostering local economic development and promoting diversification and resilience in the regions where Borrower operates. Key elements include:

1. Resilient Regional Economies: Encourage economic systems that build regional resilience by supporting regional producers, suppliers, and labor forces. Instead of relying on globalized supply chains, businesses should prioritize local and regional connections, which can strengthen community ties and reduce vulnerability to global economic fluctuations.
2. Economic Equity: The utilization of management practices that allow for a proportional and fair share of the economic benefits generated by the business to be shared with the people who contribute most to its success, including employees, suppliers, and local community members.

Please reach out with any questions about our definitions. We would love to chat!