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cocoa sustainability issues

cocoa sustainability issues

The cocoa industry is a major driver of deforestation, loss of critical wildlife habitat, and human rights abuses around the world — particularly in West Africa — but also in Latin America and Southeast Asia. Sustainability in Cocoa. Cocoa Sustainability Strategy | Mars The world cocoa economy is experiencing some issues that are threatening the sustainability of the cocoa sector. Cocoa sustainability programs could work together Deforestation is still a major issue in West African cocoa production. Nestlé has said through its Cocoa Plan it plans to address social and environmental issues and create a responsible cocoa supply chain. Empower the cocoa farmer: The sustainability of cocoa rests with the success of the cocoa farmer. As we shared in a recent blog, we fully met that commitment by the start of 2020 – and are excited to keep our sustainability momentum going over the decade ahead. Cocoa sustainability Nestle plans to triple its annual investment in cocoa sustainability efforts and invest a total of 1.3 billion Swiss francs ($1.4 billion) by 2030. corporate sustainable cocoa sourcing programs, such as the Cocoa Life Scheme from Mondelez International and Cocoa Horizons from Barry Callebaut, which are displacing independent third party standards.34,35 The 13 largest cocoa consuming companies (traders, grinders and manufacturers) purchased 6 million metric tonnes of cocoa in 2016. Cocoa is in high demand in the beauty industry, but is the ingredient sustainable? Cocoa Sustainability During the past … It also provides a list of main sector-related trade and industry association and their websites. Building on the Nestlé Cocoa Plan, our Living Income Accelerator Program aims to tackle many of the issues cocoa farming families encounter and support farmers in the transition to more sustainable cocoa farming. We act in ways to create a more sustainable and better shared future. Sustainable Business. The Cocoa Guide is available in English, French, Spanish and Russian. Sustainability To make a difference in people's lives, communities and our planet by doing business the right way. Cocoa (Bloomberg) -- Ivory Coast plans to start a cocoa-tracing program from April as the world’s top grower faces mounting pressure to prove the sustainability of supplies of the chocolate ingredient. The Hershey Company, famous for its chocolate bars, Hershey Kisses and Reese’s Peanut Butter cups, is actively engaged in a broad range of sustainability initiatives that are making a difference in the livelihoods of cocoa communities across West Africa. Mars Launches New Cocoa Sustainability Strategy. 2020 cocoa target achieved In 2011, Ferrero made a commitment to source 100% sustainable cocoa beans via independently managed standards by 2020 to help improve cocoa farmers’ living conditions and foster sustainable practices. Soil erosion and fertilizer-use . THE ISSUE. 14 Feb 2022 --- Sales of confectionery are set to peak around US$3.4 billion this Valentine’s Day as consumers opt for traditional, indulgent chocolate NPD to share with loved ones. claim “supply chain actors [e.g., Ben & Jerry’s] should help farmers in the technological and social adaptation process that is necessary for a stable, permanent farming economy.”. It reviews trends in cocoa manufacturing and processing, cocoa organic farming, fair trade, sustainable production and environmental issues. care international has been working with these cocoa communities for generations and we are … By intensive farming they wear out the soil and are then forced to put … “If industry players want to continue farming cocoa in 20 years, the approach to cocoa farming needs to change.”. Here’s all you need to know about its environmental and ethical concerns and how you can make a … We’re also a member of the World Cocoa Foundation (WCF), which works with the food industry to address social and environmental issues in the cocoa supply chain. The Malaysian small holder's "follow the leader psychology" has taken its logical step. There are several issues affecting the sustainability of the world cocoa economy. The value cocoa farmers get for their cocoa within the value chain is unsustainable as it does not allow them to achieve a decent standard of living for them and their families. ECOM has empowered and motivated cocoa producing communities to improve the quality of life around them. Examples include the La Mé REDD+ project, with its payment of an agroforestry premium based on the basal View Sustainable Business. Posted: 17 February 2021. Crucial issues for cocoa sustainability include: • Preserving rare dense and complex agroforestry systems, through economic valuation of agroforestry practices, as with payments for environmental services (PES). Cocoa Producers Take Note of Sustainability Ensuring that cocoa is sustainably produced is now as much an economic concern to major chocolate producers as it is an ethical one. Sustainable Cocoa. As one of the world’s leading cocoa and chocolate producers, we act at the heart of the cocoa sector, connecting all stakeholders in the value chain and taking into consideration the many distinct yet interconnected issues that feed into the future sustainability of the sector. Summary Sustainability is an area of growing concern for both the cocoa producing countries and the chocolate manufacturing industry There is a growing consensus on principles underlying sustainable purchasing practices Most cocoa farmers are still living below the poverty line with very low living standards. An income-accelerator program aims to improve the livelihoods of cocoa-farming families and advance regenerative agriculture practices and gender equality. Monoculture cocoa cultivation is often undertaken with a heavy reliance on harmful pesticides, fungicides, and other chemicals, which leads to pollution of water systems and further endangers wildlife. While the global demand for cocoa continues to grow, cocoa sourcing companies and their investors face increased exposure to risks associated with climate change, child labor and expansion of cocoa production into protected forest reserves. To tackle the multiple challenges facing the cocoa sector, voluntary sustainability standards and corporate initiatives, largely focusing on farm and farmer group scale, are often implemented by public–private–civil society partnerships of stakeholders further in … Starting July 2022, the Rainforest Alliance will require a minimum SD of $70 per MT of cocoa. At Mars we’ve been making chocolate and buying cocoa for more than 100 years, putting cocoa at the heart of our company’s long heritage. CocoaAction is a voluntary, industry-wide strategy that aligns the world’s leading cocoa and chocolate companies, origin governments, and key stakeholders on regional priority issues in cocoa sustainability. These are some of the questions being asked by conscious consumers as the COP26 global climate summit in Glasgow this month brings issues of sustainability to the foreground. Production of sustainable cocoa significantly impacts the economies of many developing countries and provides livelihood for an estimated 40 to 50 million people globally. Companies increasingly understand that they ignore sustainability at their own peril and at the risk of higher prices, scarcer production and adverse supply shocks in the years to come. What’s more, as a smallholder crop, cocoa can’t support the expense of regular fertilizer, pesticide and herbicide application, nor is it amenable to irrigation. In Sustainability Science, François Ruf et al. As large companies converted to Oil Palm, so did the smaller ones take heed. David Phillips and Anne Tallontire. “ Our original 2020 commitment was updated in 2019, to source all the cocoa for … The “Cocoa Sustainable Livelihoods Landscape Study” examined what actions are … Many issues threaten the sustainability and the livelihoods of the eight million small holder cocoa farmers worldwide that can only be addressed through large programs in which industry collaborates with governments of producing and consuming countries and with national and international institutes, as well as with NGO’s and the cocoa farmers. Research We have many of the six million global farmers in cocoa living below the poverty reduction line,” he said. More than eight years ago, Hershey made an ambitious, important commitment to reaching 100 percent certified and sustainable cocoa by 2020. Four decades have been spent working in collaboration with others to achieve sustainable cocoa production. Cocoa can’t grow if it’s too hot,” explains Burgess, adding that business as usual in the cocoa industry isn’t sustainable. Our planet matters. Over 80% of all cocoa is produced by smallholder farmers. Addressing this topic – with a particular focus on cocoa supply chains – Sustainable Brands hosted a webinar on 3 November with Fairtrade, Lidl, and Tony’s Chocolonely. CHICAGO - September 19, 2018 – Mars Wrigley, a maker of chocolate for more than 100 years and one of the world’s largest buyers of cocoa, today launched a new plan for overhauling its cocoa supply chain. Cocoa Certification. cocoa sector NRET Working Paper July 2007 . By sourcing cocoa from Rainforest Alliance Certified farms we help improve the livelihoods of farmers and their families and conserve natural resources and biodiversity (discover more: www.ra.org).Certified farms have to follow strict … Read a more detailed description of the Cocoa & Forests Initiative and our approach, in this PDF. The Indonesian can afford to be less crude. Child labor, resource or "brain" drain, and profitability are significant issues on their own and can be insurmountable when a small farmer has to … However, the sustainable production of high-quality cocoa is still far from reality, and the cocoa sector continues to face many challenges in this field. The Income Accelerator Program will pay cash incentives directly to farming families for activities such as school enrollment, sustainable agricultural practices, … When a farm is properly managed, it can produce more and higher-quality cacao, fetching more income to use in addressing related issues. 2020 Cocoa Sustainability Progress Report. Toward a Sustainable Cocoa Sector. “Cocoa growing communities, particularly in West Africa, are facing poverty, child labor and de-forestation that have been made worse by a rapid fall in prices for cocoa,” the report said. It is important to consider environmental factors when looking at the sustainability of cocoa in Africa. The 2018 Cocoa Barometer, a biennial review of the state of sustainability in the cocoa sector, is less than enthusiastic about where things stand in the sector. Small cocoa trees at a cocoa nursery in Ghana. While it’s difficult to separate issues of sustainability and ethics from social issues, these are the human-centric issues arising from our global obsession with chocolate. In September 2020, the European Commission launched an initiative to improve sustainability in the cocoa sector. Cocoa production has potential to do no environmental harm if properly managed, but best practices are not widespread, leading to soil erosion and ultimately further deforestation for new plantations. Related core topics: Business news, Cocoa & chocolate, Processing, Sustainability. This article is adapted from a presenta-tion made to the Cocoa Merchants Associa-tion of America in March 2011 and offers a case study of one sustainability program that demonstrates the pow er and scale that come from collaboration. The World Cocoa Foundation (WCF) provides an umbrella for the various initiatives through CocoaAction. sustainable way, utilizing management methods that are cheap, practical and sustainable for the small farmer, and reducing dependence on costly inputs such as pesticides and fertilizer. In fact, the company’s support for cocoa communities goes back more than 50 years. Sustainability programs set up to support cocoa farmers in West Africa should work more closely together to tackle farmer poverty, according to a study released May 19 by a partnership between the Fairtrade Foundation and Mondelez International, Inc.’s Cocoa Life. Sustainable sourcing labels increase business sales but fail to make a difference for cocoa farmers. Chocolate is one of the world's favorite treats but faces severe challenges. It's a great feeling to achieve a big goal, especially in … It sets challenging goals to tackle the key issues facing the cocoa supply chain by 2030, with milestones for action in 2020 and 2024. Unlike larger industrialized … It must also be attractive to small-scale cocoa producers. In 2019, the company broadened the scope of this target to include the chocolate sourced from third parties. In relation to this issue, in order to provide continuous supports to the cocoa farmer in enabling them to be productive safely, Cocoa Sustainability Partnership with its members and other sustainable cocoa stakeholders in Indonesia are initiating some support programs. The Cocoa Sustainability Initiative phase 3 (CSI III) is a three-year partnership between General Mills Foundation and CARE International that will be implemented over the period December 2020 to November 2023. Over the past twenty years, much work has been dedicated to improving labour standards in cocoa production, with the aim of weeding out child labour. The sustainability of the value chain depends on its capacity to adapt to climate-related constraints (particularly pests and diseases) and pressure on resources. Cocoa Barometer 2020: "Too many companies continue to ignore structural issues in the cocoa sector" 03/12/2020 in News. Download Helpful Resources. Cocoa farmers face several economic and social issues, and this is why Ferrero made a commitment to responsibly source our cocoa beans. Under the CFI, these companies committed to ending cocoa-driven deforestation in the world’s largest cocoa producing countries: Ghana and Côte d’Ivoire. And because cacao trees thrive in a tight window of optimum temperature, humidity and soil conditions, even slight climate shifts threaten it further. Cocoa; sustainability standards; issue-attention cycle; swing potential; global value chain; development; policy Introduction Sustainability concerns for group of agricultural and forest products produced in the tropical countries, includingcoffee,oilpalm,cocoaandtimber,encompass important environmental, social and … To tackle the multiple challenges facing the cocoa sector, voluntary sustainability standards and corporate initiatives, largely focusing on farm and farmer group scale, are often implemented by public–private–civil society partnerships of stakeholders further in the value chain. As of January 2020, Hershey has achieved 100 percent certified and sustainable cocoa. With a view to ensuring sustainability in the cocoa production chain in C ?te d’Ivoire, various organizations including cocoa companies are intervening, through NGOs, in cocoa production areas to improve women empowerment; improve education, and vocational training of young people with the ultimate objective of improving the living conditions of cocoa producing … The recently launched, industry-commissioned report “Panorama of Cocoa Cultivation in the Southern Coastal Territory of Bahia” analyzes sustainability issues in Brazil’s South Bahia territory. ECOM supports farmers via financial investments, social issues, health concerns, education, environmental matters, distribution arrangements, and technological support and services. Photo: WCF. ... Nestle plans to triple its annual investment in cocoa sustainability efforts and … This is the cash per MT paid to the individual farmer. In the Cocoa Barometer 2020, a broad coalition of civil society organisations assess the sustainability performance of the cocoa sector. But increasingly, consumers and investors alike are recognizing the social and environmental … In November 2016, the company unveiled Forever Chocolate, a suite of sustainability goals for 2025. It is OCP's believe that sustainable cocoa production will not only lead to environmental integrity and social and economic stability but will also improve product quality and supply security. Child Labor & Slave Labor on Cocoa Farms Intensely-farmed cacao requires lots of labor to upkeep trees and harvest the pods, and then remove the seeds and process them. to cocoa sustainability to achieve the impact needed across the entire cocoa-farming sec-tor. We believe that creating lasting benefits for cocoa farmers and their communities goes hand-in-hand with the business success of all the actors in the cocoa value chain. Cocoa ethics: questions about child labour and social sustainability. that’s why cocoa life comprises several thematic areas including farming, livelihoods, community development, environmental sustainability, youth and women’s empowerment. The FINANCIAL -- Ferrero, continues to drive forward and scale its cocoa sustainability efforts as part of the Ferrero Farming Values Cocoa Programme. The rapid loss of the rainforest and other highly-biodiverse areas is just one factor motivating more sustainable and ethical cacao farming. Child labor issue the focus of Nestle cocoa-farming plan. A large proportion of cocoa farmers are affected by poverty and child labor remains a prevailing issue, particularly in West Africa. RECOMMENDATIONS OCP's recommendations assume that there is unilateral support for sustainable growing of cocoa. Most cocoa is grown on small farms, with Ivory Coast and neighboring Ghana accounting for roughly 70% of output. Our ambition is to sustainably provide high quality cocoa and chocolate throughout the world. Cocoa provides employment in many rural communities and Mars Wrigley puts smallholder farmers at the center of its ambitious strategy. Cocoa production has potential to do no environmental harm if properly managed, but best practices are not widespread, leading to soil erosion and ultimately further deforestation for new plantations. Soil erosion and fertilizer-use Soil erosion and fertilizer-use . Gender imbalance also affects the sustainability of cocoa farming communities, with women having limited opportunities to build skills and generate income. How can we intensify cocoa production in a sustainable way, to satisfy growing demand? It is the only study over the past 20 years that details the everyday lives and realities of the typical cocoa grower in South Bahia. The primary reason for this is that farmers move into the forest to get a short-term yield boost after poor farming practices have exhausted the soil. She further points out that Covid-19 has worsened the report’s numbers by an additional 15 percent, with “schools shutting, supply chains disrupted, purchasing off, prices down.” And then, of course, there’s the deforestation that occurs wherever cocoa plantations arise — that’s increasing, too, also despite pledges and much industry handwringing. A minimum Sustainability Differential, not a fixed premium. Sustainable cocoa farming begins by reaching as many smallholders as possible, giving them access to training in agricultural practices and improved plant material. Given its weight as the largest importer of cocoa, the EU bears a responsibility to ensure that the cocoa sector becomes more sustainable. At the economic level, there are issues with ageing cocoa farms (COCOBOD, 2018; Dormon et al., 2004) and low producer price of cocoa beans (Dormon, 2004). Cocoa for Generations puts cocoa farmers first. cocoa life is not just economic; it recognises that value chains face other issues. FoodIngredientsFirst dives into what flavors are connected to romance and how broader sustainability issues around cocoa and vanilla are driving consumer choices. CIRAD and its partners are working to help producers and players … THE SUPPLY CHALLENGE CHICAGO — Sustainability programs set up to support cocoa farmers in West Africa should work more closely together to tackle farmer poverty, according to a study released May 19 by a partnership between the Fairtrade Foundation and Mondelez International, Inc.’s Cocoa Life. The new WCF chief said the goal would be to achieve farmer income of at least $1.25 a day, the World Bank’s poverty line. For a treat that’s meant to spark human happiness, chocolate is paradoxically synonymous with a whole lot of suffering.The industry’s latest scandal comes in the form of a report leaked in April, which found that child labor had risen in Ghana and Côte d’Ivoire, from 30 percent to 41 percent over the 10 years that large-scale chocolate companies had pledged to … IV. We can make cocoa more sustainable by supporting brands, manufacturers, and retailers that are committed to tackling the issues outlined above. Unsustainable farmingBecause of low revenues farmers cannot invest in the maintenance of existing trees or in planting new trees on their plantations. Cocoa Giant Ivory Coast Says Deforestation Fight Is Picking Up Deforestation rate fell in 2019-21, compared with 1990-2015 Top grower is … Grantees Cocoa Revolution and Economic, Quality, and Sustainability Improvement (ESQI) lacked a strong foundation and suffered from a combination of logistical challenges and time constraints. Instead of replacing old and diseased cocoa trees, they often use new farmland for cocoa - at the expense of sustainable, ecological and diversified farming. Firstly, the living income of cocoa farmers has not improved despite several initiatives taken to address the issue. Leading members of Brazil’s chocolate and cocoa sector launched “CocoaAction Brasil” to address a range of sustainability issues in the country’s cocoa sector, in October 2018. This created a unique opportunity to address the issue of prices in the cocoa sector, and to make real progress towards sustainability. Dr. Soetanto Abdoellah, chairman of the Indonesian Cocoa Board, said: “If farmers aren’t using good agricultural practices (GAP) then … Investors and consumers are increasingly concerned about the wide environmental and social impacts of cocoa as a … We need a sustainable market transformation implying a collaborative effort from all stakeholders such as brands, manufacturers, retailers, governments, NGOs and organisations like International Cocoa Organisation (ICCO) . The chocolate industry has been under pressure for a few years to make the cocoa sector more sustainable. Sustainable sourcing labels increase business sales but fail to make a difference for cocoa farmers. The lack of living incomes for farmers is a serious issue in the cocoa sector, as it is a human right in itself and a pre-condition for the fulfillment of other human rights as well as a root cause of child labour and deforestation. Cocoa; sustainability standards; issue-attention cycle; swing potential; global value chain; development; policy Introduction Sustainability concerns for group of agricultural and forest products produced in the tropical countries, includingcoffee,oilpalm,cocoaandtimber,encompass important environmental, social and … Hershey sources cocoa through two of the world's most recognized cocoa certifying organizations: Fair Trade USA and Rainforest Alliance (UTZ) We also source cocoa from suppliers whose standards meet the International Organization for Standardization … The SAN/Rainforest Alliance cocoa program has grown rapidly over the past five years, with just under 1 million hectares of cocoa farmland in 15 countries achieving SAN/Rainforest Alliance certification by the end of 2016. This review provides an update on the progress toward the authenticity, traceability and sustainability of cocoa products, issues that chocolate producers still need to resolve. This installment of Critical Questions is the first in a series that will focus on engagement by the U.S. government and the private sector in agribusiness. Related topics: child labour, cocoa, confectionery, industry, policy, supply chains, sustainability. Beyond cocoa, Hershey is pushing hard on its sustainability agenda, with its CSR strategy encompassing issues as diverse as climate change and social justice. Get in touch. Major issues remain to ensure the cocoa sector’s future sustainability. 60% - Percentage of cocoa farmers in Côte d’Ivoire living below the poverty line 51 years-old - Average age of farmers in West Africa 30–40% - Percentage of crops lost to diseases The Cocoa and Forests Initiative (CFI), a public-private agreement backed by the World Cocoa Foundation, has been signed by 34 companies making up 85% of global cocoa usage. Fortunately, cocoa can be grown in ways that … "In-depth system change is urgently needed." A multi-stakeholder dialogue brings together representatives of Cameroon, Côte d’Ivoire and Ghana – producing countries accounting together for 70% of global cocoa production – as well as representatives of the European Parliament, EU Member States, cocoa growers, … About 40% of Ivorian cocoa is estimated to have come from inside protected forest areas, technically making it illegal. Leanne de Bassompierre, Bloomberg News. The concern for low cocoa production in cocoa farming systems is accompanied by economic, social and environmental challenges. With Halloween just around the corner, store shelves across the US are filling up on one of the country’s favorite sweet treats — chocolate.As an industry that uses 40 percent of all cocoa produced worldwide, the chocolate industry relies on a robust supply chain for its success. Sustainable cocoa production is of paramount importance to the ICCO. Indeed, assisting Member countries in achieving the 3 pillars of sustainability – economic, social and environmental – in the production of cocoa is one of the ICCO’s main missions . 6 April 2017. Cocoa production has potential to do no environmental harm if properly managed, but best practices are not widespread, leading to soil erosion and ultimately further deforestation for new plantations. The major sustainability and ethical issues in modern cacao farming are labor, gender equality, … A stepwise guide to start and shape your sustainability journey. Chocolate comes from the pods that grow on cocoa trees, which are small trees that only grow in the tropics. Mass deforestation, lack of biodiversity, aging trees, pests, disease and climate change are major issues that have led to the decline of cocoa production (Kongor, 2017). The Sustainable Cocoa Production Program (SCPP) grant leveraged implementing partner Mars’s technical assistance delivery model. “The first is the need for stronger sustainable livelihoods of cocoa farmers. We have now achieved all our 2020 milestones which means we have 100% traceability and 100% deforestation monitoring in the direct supply chain, and child labor monitoring in our managed sustainability programs. This would mean that deforestation in the unorganised cocoa sector could continue unchecked as smallholders open new areas of forest to increase yields, the sustainability expert warned. To develop a sustainable cocoa supply chain, Nieburg believes reforestation efforts also need to be higher up the agenda. From a country producing 240,000 tonnes of cocoa annually, it now produces a mere 40,000 tonnes. Sweet Sustainability: Cocoa Agroforestry Advantages Conference Report May 2021 The three-day virtual conference, Sweet Sustainability, explored the environmental, social, and economic aspects of cocoa agriculture with a focus on sustainable implementation of … The “Cocoa Sustainable Livelihoods Landscape Study” examined what actions are needed to … This article, published in the journal Sustainability, explores the social, economic and environmental effects of voluntary sustainability standards and corporate initiatives implemented by public-private-civil society partnerships in cocoa value chains.Its finding suggests effects are mixed and modest, stressing the need for sectoral transformation, continued … The SD is the additional payment producers receive in recognition of the choice they have made to farm to the Rainforest Alliance Standard. 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