PM — Stark warnings

Happy Monday, wonderful people. It’s a busy, busy day here in Omm El Donia as the leaders’ summit gets underway at COP27 in Sharm El Sheikh, while the global business press still has one eye on the US midterm elections. But before we get started…

We’re delighted to let you all know that the Enterprise Climate X Forum, our first industry-specific conference, is taking place on Tuesday, 6 December. It’s a C-suite event for CEOs and top execs, investors, bankers, and development finance folks.

You’re going to love the venue when we unveil it next week.

DO YOU WANT TO ATTEND? The first wave of invites is going out today. If you’re a C-suite exec, business owner, climate professional, DFI staff, investor or banker, please email us at climatexrsvp@enterprisemea.com to signal your interest, letting us know your name, title and where you work.

The Enterprise Climate X Forum takes place a bit after COP27 for two simple reasons:

• To give us all time to catch our collective breaih before we ask: Now what?
• And to serve as a bridge to COP28, keeping the industry in the spotlight for the 11 months before the world heads to the UAE.

Make no mistake: Climate will be the world’s largest and most important industry for decades to come — and is the defining challenge of our generation. It cuts across every sector, from banking and finance to infrastructure, urban planning, real estate, FMCG and beyond. Enterprise Climate and the Enterprise Climate X Forum are the regional hub for news, views, discussion and debate about how we build this industry.

In panels, live interviews and networking sessions, the Enterprise Climate X Forum will give insiders and newcomers alike the chance to talk about how to build a climate-centered business — and how to make sure your business continues to have access to the funds it needs to grow. Expect it to be heavy on lessons learned in Egypt and other global growth markets — and lots of success stories.

Some of the biggest names in business and finance are on board — are you? The Enterprise Climate X Forum is taking place with the generous support of our friends, including:

• Banking partners: HSBC | Mashreq | Attijariwafa Bank
• Telecom partner: Etisalat by e&
• Event partners: Hassan Allam Utilities | Infinity

Want to reach our audience? Ping a note to Moustafa Taalab, our head of commercial, here.

THE BIG STORY TODAY-

Day two of COP27 in Sharm El Sheikh is still going strong as we dispatch this afternoon’s edition of EnterprisePM. Heads of states are currently delivering their national statements, with UAE President Sheikh Mohammed bin Zayed Al Nahyan starting things off. We’ve also heard some stark warnings and a reiteration of our shared climate goals moving forward from UN Secretary General Antonio Guterres — who said we are on a “highway to climate hell” — while former US Vice President and climate activist Al Gore reminded us that Africa has the natural resources to unlock massive global potential for renewables. Barbados’ Prime Minister Mia Amor Mottley, among other global leaders, also stressed on the issue of climate financing, including loss and damage.

This portion of the day is set to wrap up at 6:30pm. There are also a handful of open and closed meetings happening in parallel.

^^We’ll have the full rundown of the day in tomorrow morning’s editions of Enterprise Climate and EnterpriseAM.

THE BIG STORY ABROAD

Picking up where we left off this morning, the climate summit is still getting pushed down the front pages of the international business press. Among the stories getting front-page play this afternoon: Eleventh-hour campaigning in the US midterms (Wall Street Journal) as Republicans appear to be in good shape to take back control of the House of Representatives (Financial Times), while Russia is hammering Ukraine with “relentless” drone attacks (CNBC).

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• Nations will discuss loss and damage financing for the first time at COP27: A “breakthrough” agreement allowing diplomats to officially debate for the first time who should pay for damage sustained by the countries most vulnerable to climate change was announced on the first day of COP27 yesterday.
• IFC money for 500 MW wind project? The International Finance Corporation (IFC) could provide USD 83 mn to an Emirati-Japanese consortium to part-fund their planned 500 MW wind farm in Ras Ghareb.
• EGX teams up with Agricultural Bank, Enara Group to form carbon credit company: An Egyptian Exchange (EGX) subsidiary has signed an agreement with the Agricultural Bank of Egypt and Enara Group’s Libra Capital to establish Libra Carbon, the first Egyptian company to develop, manage and issue carbon certificates.

???? CIRCLE YOUR CALENDAR-

The Techne Summit continues at the Bibliotheca Alexandrina, bringing together entrepreneurs and investors from various sectors in the Mediterranean region. The global multi-industry gathering runs until tomorrow as a hybrid event.

New int’l wheat tender: Grain suppliers have until today to respond to an international wheat tender from GASC. It’s unclear how many tons the state grains buyer is seeking. Shipping is set for 15-30 December and/or 1-15 January.

Global golf is coming to Egypt: The Asian Tour’s International Series is making a stop in Egypt this Thursday, 10 November through next Sunday, 13 November. The first International Series Egypt will take place at Madinaty Golf Club, with a generous purse of USD 1.5 mn on offer.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

☀️ TOMORROW’S WEATHER- The mercury is set to reach 25°C during the day tomorrow in the capital city before dipping to 16°C at night, our favorite weather app tells us.

Step aside, climate change — G20 countries have bigger fish to fry: Executives in G20 countries are worried about inflation, the debt crisis, and increasing cost of living, pushing climate change and environment-related issues to the back of their agendas “for the first time in years,” according to the World Economic Forum’s Executive Opinion Survey picked up by Reuters. This comes as Egyptian officials have repeatedly called on global players to honor climate pledges and put aside political and economic concerns to avoid detracting from the importance of addressing climate change during COP27. G20 nations have been under scrutiny lately for failure to fulfill their climate pledges, having raised their fossil fuel spending by 16% last year to USD 693 bn, while the Glasgow Financial Alliance for Net Zero called on the G20 to raise their climate targets.

iPhone 14 production downgraded as demand is hurting: Apple plans to decrease the production of its latest iPhone by more than 3 mn units from an initial 90-91 mn, reversing its ambitious plans for a production increase following supply bottlenecks and weaker demand, Bloomberg reports, citing sources in the know. China’s Covid-Zero policy recently triggered a lockdown in the city of Zhengzhou, known to be the production hub for the flagship product, leading to a supply slowdown of its release. Demand for both the iPhone 14 and iPhone 14 Plus has been weakening amid a general drop in consumer spending as global inflation bites consumers’ disposable income. The global slowdown in smartphone sales forced the tech giant to cut production of the iPhone 14 Plus just weeks before it began shipping.

???? ON THE TUBE TONIGHT-
(all times CLT)

Move over Hannibal Lecter: In Inside Man, the new crime drama from Steven Moffat — writer and producer of Sherlock — Stanley Tucci plays Jefferson Grieff, a former criminology professor on death row for allegedly murdering his wife. Grieff has set up an unorthodox consultancy service, helping visitors solve puzzling cases. Meanwhile, across the pond, in a small English village, an at first seemingly unrelated storyline unfolds. David Tennant plays Harry Watling, a vicar who finds himself in an altercation that quickly escalates, reaffirmming Grieff’s notion that “Everyone is a murderer. You just need a good reason and a bad day.” The two narratives begin to intersect, when Beth, an English reporter, visits Grieff and begins asking about a case involving her acquaintance disappearing back home, in a plotline that draws parallels to The Silence of the Lambs — albeit significantly less dark.

⚽ In La Liga tonight: Read Madrid will play Rayo Vallecano at the end of the 13th round at 10pm. The victory will bring the royal club back to the top of the standings, while a tie score or defeat will leave it in second place behind Barcelona.

The UEFA Champions League draw for the round of 16 includes the following matches:

Liverpool v Real Madrid

Paris Saint-Germain v Bayern Munich

Leipzig v Manchester City

Borussia Dortmund v Chelsea

Milan v Tottenham

Eintracht Frankfurt v Naples

Club Brugge v Benfica

Inter v Porto

Football fans will have to wait until the World Cup is over before the Champions League’s 16th round begins in February 2023.

???? OUT AND ABOUT-
(all times CLT)

It’s jazz night tonight at The Tap East at 9pm, featuring an exquisite performance by none other than Harfoush, and pianist Hesham Galal.

On the other side of town, The Tap West is hosting comedian Alaa El Sheikh for the first time tonight at 9pm for a stand-up special.

Don’t miss out on tonight’s electronic beats at the Cairo Jazz Club in Agouza at 9pm, with Mazen A., Karim Yousry and Deemusik.

Room Art Space New Cairo is hosting A3det Saad El Oud tonight at 9 pm. It’s an outstanding performance of authentic Egyptian songs and music tracks with the Oud.

???? UNDER THE LAMPLIGHT-

Enthralling stories behind every element on the periodic table: The Disappearing Spoon gets its name from a popular lab prank that involves serving someone tea with a spoon made out of gallium — which melts at relatively low temperatures — and watching the spoon disappear into the hot cup of tea. This is one of several random facts and anecdotes related to the elements, those that discovered them and the table itself that science journalist Sam Kean brings together into a captivating read. Kan gives each element personalities, from carbon — which he deems promiscuous because it “latches onto virtually anything” — to tungsten, which was “the ‘it’ metal of the Second World War” because it was used for weapons. The book also focuses on the real personalities of the people who discovered the elements and that put the table together, including inventor Dmitri Mendeleev who first proposed arranging elements in a chart in the 19th century, leading Russia’s Emperor Alexander III to overlook his bigamy, saying “I admit, Mendeleev has two wives, but I have only one Mendeleev.”

The EGX30 rose 2.4% at today’s close on turnover of EGP 1.15 bn (5.8% above the 90-day average). Local investors were net sellers. The index is down 4.2% YTD.

In the green: GB Auto (+5.2%), Telecom Egypt (+5.0%) and Talaat Moustafa Holding (+4.7%).

In the red: Qalaa Holding (-0.4%), Palm Hills Development (-0.4%) and Ibnsina Pharma (-0.3%).

We’re going to have to make some changes to our food systems in the coming decades if we’re looking to sustainably feed a growing population: Crop yield is now higher than it has ever been in human history, thanks to technological advancements that have given a major boost to crop productivity and introduced new varieties of plants to our agricultural arsenal. The problem is that a lot of these same techniques have also been highly damaging to our natural ecosystems. To reasonably feed an expanding global population — which is expected to grow over 30% before the end of the century — our food systems will soon need to be reconfigured.

You’ve probably heard this before, but modern food systems and agriculture are notoriously destructive. Rainforests are cleared to make way for cow pastures; greenhouse gasses are emitted in order to cultivate, store, and transport food; and biodiversity has come under increasing pressure since the advent of modern agricultural techniques.

Since the 1960s, food production has been outpacing population growth: Every year since 1961 food production has sat well above population growth and most countries around the world are technically self-sufficient, meaning that they are able to locally produce enough calories for basic dietary requirements outlined by the FAO.

But at the same time, the world has actually been backsliding on combating global hunger in recent years. In 2021, some 767.9 mn people were undernourished, the highest that figure has ever been since 2006. Global hunger has more or less been falling every year between 2002 – 2017. Since then, malnutrition has actually been rising from about 573.3 mn in 2017 to 767.9 mn people in 2021. Considering that there will be 2.5 bn more mouths to feed by the end of the century, these figures are increasingly alarming.

That’s because most of these production gains have been heavily concentrated in high income countries: Since 1961, high-income countries have been able to reliably produce about 2.8k kcal per person per day — 300 kcals above that FAO’s 2.5k threshold for self-sufficiency, according

For the rest of the world self-sufficiency didn’t come until much later (or at all): For upper middle income countries crossing that 2.5k kcal threshold didn’t happen until 1979. Lower-middle income countries saw their turning point in self-sufficiency in 2006, while for low-income countries, self-sufficiency has yet to be reached.

Here in Egypt, food security (and self-sufficiency) is a significant concern: Egypt faces a moderate level of hunger, ranking 61 of 117 countries, according to the UN’s World Food Programme (WFP). “Food affordability, quality and safety remain challenges as Egypt continues to rely on global markets for more than half of its staples,” the WFP says.

To feed a growing population, cutting down food waste needs to be made a priority: Globally, a third of all food produced goes to waste, according to the FAO’s Global Food Losses and Food Waste report (pdf). In rich countries, food waste mostly comes from households, while in developing countries production and distribution problems are the biggest contributors. In North America and Oceania consumption-related food waste makes up over half of the total food waste in the two regions. By contrast, in the Middle East and North Africa, consumption-related waste only makes up about a third of losses. In Sub-saharan Africa and South and Southeast Asia, that percentage is even lower.

Our diets will need to change as well: Cutting out beef and dairy products from diets would be the single biggest change consumers can make to scale back agricultural land usage. Cutting out beef or mutton alone would slash our global land usage by almost 50%. Add dairy to the equation and we could be looking at a 73% reduction of land usage from current levels. This would also have the added benefit of driving down greenhouse gas emissions caused by maintaining, storing and transporting beef.

And yes, it’s beef above all else that is the key here: Beef alone is by far the most damaging food for the environment, emitting almost 40 kg of CO2 for every 1000 kcal produced. Compare that to the second highest contributor, lamb and mutton — which are responsible for only about 13 kg of CO2 for every 1000 kcal produced or poultry (5 kg of CO2) — and you get the picture.