Tag Archives cocoa

The bitter aftertaste of chocolate: why Ghana’s cocoa farmers are struggling to adhere to sustainable cocoa production standards by Adjoa Annan

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Prompted by demands from consumers to know where the chocolate we eat comes from and how it is made, companies producing chocolate are increasingly investing in measures such as certification schemes and company-driven sustainability initiatives in an effort to make chocolate production more transparent and sustainable. However, cocoa farmers in Ghana are struggling to adhere to environmental standards for more sustainable cocoa production practices. Adjoa Annan explains why.

Consumers are more interested than ever to obtain information about the sustainability of cocoa beans, one of the main ingredients of chocolate, including the way in which it is sourced. At the farm gate level, where the sourcing of raw cocoa beans begins, Sustainable Cocoa Production (SCP) is increasingly promoted through the implementation of certification programmes and company-driven sustainability initiatives. These programmes attempt to enhance process quality through farmers’ adoption of production practices that focus on reducing environmental harm and including social considerations, such as paying a fair price for raw cocoa.

However, efforts to ensure SCP have been largely compromised by a lack of transparency and accountability of certification auditing systems [1] [2]. What is less known are the effects of undesirable incentives for cocoa farmers and a low level of knowledge transfer on their ability to ensure SCP. This article seeks to explain some of the barriers cocoa farmers face in adhering to environmental standards prescribed by the certification schemes they are subscribed to.

One objective of my PhD research on quality enhancement in Ghana’s cocoa sector is to examine how cocoa buyers control and promote process quality at the farm gate level. Two communities were selected for this study from the Adansi South and Amasie West districts in the Ashanti region, which accounts for one of the largest cocoa-producing regions in Ghana. Within the various cocoa-growing communities, different Licensed Buying Companies (LBCs) purchase cocoa beans. LBCs employ a purchasing clerk(s) who buys cocoa beans from farmers.[1]

For the purpose of the study, an LBC which implemented the UTZ certification scheme and a cooperative supplying cocoa beans through an international chocolate brand’s label that adopts Fairtrade principles into its sustainability programme were studied. Purchasing clerks, inspection officers facilitating the auditing of farms, and farmers enrolled in both UTZ and Fairtrade programmes were also interviewed. By using in-depth interviews, participant observation, and farm visits, training regarding the UTZ and Fairtrade environmental best practices and factors on farmers’ adoption and non-adoption of best practices were examined.

Empirical observations revealed some challenges compromising effective SCP. Farmers were not effectively trained on the UTZ and Fairtrade environmental best practices. In the case of the international chocolate brand studied, farmers were seemingly sporadically trained on Fairtrade best practices once or twice a year, during cooperative meetings. The LBC that implemented the UTZ certification scheme organized training for farmers only once annually. In both cases, group trainings held in classroom venues were not suitable for explaining certain best practices that demanded on-farm demonstrations. This led to farmers’ poor understanding and implementation of environmental best practices on farms.

Farmers enrolled in both certification schemes noted that they struggled to understand technical topics presented in training, especially related to agrochemical use, health and safety issues, and water and waste management. Consequently, some farmers did not properly adopt best practices such as removing rubbish and agrochemical bottles from farms and wearing safety clothing. Some farmers also struggled to understand the required measurement of agrochemicals.

Aside from poor training, farmers noted that adopting all environmental best practices was time-consuming. Low-price premiums paid to farmers served as a disincentive to adopt best practices. Farmers complained that the premiums received for enrolling in certification programmes were not sufficient to warrant their efforts[2]. These factors led to a low adoption rate on Fairtrade and UTZ certification environmental best practices. However, interviewed farmers felt that a premium increase and access to frequent on-farm training could enhance their efforts to adhere to sustainable production practices [3].

Overall, SCP was not effectively promoted in the various studied communities. Cocoa buyers did not seem to invest enough in the sourcing communities where they buy cocoa beans. In order to achieve sustainable chocolate, there should be an increased engagement of farmers to enhance the quality of cocoa bean sourcing processes. The needs of farmers should also be addressed to ensure cocoa farming as a sustainable livelihood. At present, this is not happening, which is leaving chocolate with a bitter aftertaste.

[1] In one of the studied communities, for instance, five different LBCs and nine different purchasing clerks were buying cocoa beans from farmers. There is competition over cocoa beans among purchasing clerks.

[2] As at 2018, the premium received by UTZ and Fairtrade farmers interviewed for this study in the studied communities was 1.4 USD and 1.6 USD, respectively per the standard 64kg bag of cocoa beans.

References
Fountain, & Hütz-Adams. (2015). Cocoa Barometer – Looking for a Living Income. Cocoa Barometer, 42–43.
Fountain, A., & Huetz-Adams, F. (2018). Cocoa Barometer.
In-depth interviews with farmers during data collection from July 2017 to March 2018 in Aponapon and Subiriso communities, Ashanti region, Ghana.

adjoa annan.jpgAbout the author:

Adjoa Annan is a PhD candidate at the Center for Development Research of the University of Bonn, Germany. Annan completed a Master’s degree in Development Studies at the ISS.

The revival of Brazil’s cacao sector: is anything really changing? by Lee Pegler and Luiza Teixeira

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Bouncing back from a devastating crop disease (vassoura de bruxa), Brazilian cacao producers are showing a different face. Many of the old plantations have been ‘taken over’ by younger family members who seem keen to present more sustainable products and methods. As discussed here, a 2017 visit and forthcoming research seek to evaluate the development significance of these changes.

In a 2017 seminar, the State University of Santa Cruz (UESC) brought together farmers, buyers, technicians, and governmental experts (plus a few academics) in an attempt to discuss challenges and prospects of a sustained revival of Brazilian cacao and chocolate production. UESC and the town of Ilheus are pivotal as they sit at the northern edge of the main cacao-producing region of Brazil[1], an area that still boasts over 40,000 farms/farmers. Brazil itself seems set to move from number 5 to number 4 in the ranking of global producer nations. What difficulties are involved in such a move and, more pointedly, what do the various actors really mean by sustainability?

In fact, this question concerning the (social) sustainability of the Brazilian cacao chain has a very pertinent historical precedent. When we look back to the novels (e.g. Gabriella) of Jorge Amado (a hero of Ilheus himself)[2], with their vivid dramas highlighting powerful farmers (treated as Coronels/coronéis), hierarchical social relations, slave-type conditions and sexual exploitation in the cacao sector, it comes as no surprise that Brazil is the only one of the large cacao producers for whom small-scale farmers have not dominated national production estimates. This concentration of wealth and power also came to be reflected, at a consumption level, in comments about local farmers “travelling to Paris to have a haircut” (during the heyday of local cacao production).

Most importantly, from a global development and social justice perspective, what is important to examine is the likelihood that the sector’s revival will mean real change to both the social mindset and practice of a resurgent farmer class. Has the recent shake-up in the market, production quality/reliability, and a new era of farmers been enough to lead to substantive change in social relations on farms and within the chain? On this, the seminar and field visits canvassed a very practical range of concerns and viewpoints on what was needed for a revived and sustainable sector.

Discussions in the seminar and at technical facilities focused on scientific quality processes in the field, the laboratory, and on production and marketing. The greatest strains appeared evident between established/large producer families and new or smaller facilities, social actors (communities/cooperatives), and the like. Sustainable production and commercial practices remained fundamental to all, but as this moved to questions of collective action, inter-group cooperation, and substantive changes to social relations on the farm, a sense of unanimity became far less clear.

Without doubt, all agreed that they had moved substantially from earlier modes of production and that child labour, bonded conditions, and the like no longer existed. Field visits even gave good impressions that more participative production, land sharing and autonomy had emerged alongside some impressive on-farm ‘tree to bar’ and social cooperative ventures in local communities (assentamentos) and within some large-scale farms.

Yet the extent to which this has changed and implications from a labour security or social justice perspective could not be gleaned from this brief visit. Even from a solely production point of view, the question of sustainable practices is strongly debated, as is evident from issues such as whether random planting, full sun, or shade tree plantation areas (let alone mixed crop/multiple livelihood strategies!) should be promoted. Yet each has quite specific implications for worker/small scale farmers and community development.

Not uncommon questions about the reach and depth of local (e.g. Project Cacao), sectoral (Cacao Connect), company (Body Shop/Tony Chocolonely), and multi-actor/international coalitions (e.g. Coco Action via UTZ, ICCO) to promote ‘best practice’ have also arisen. The community does not appear to be united in terms of what the various forms of multistakeholder alliances might be able to do in terms of representation and ‘teeth’ (to enforce any common agreements).

Further work on this case study (as part of the ISS Brasil Plan/GOLLS project) took place during 2018, involving staff of ISS and UESC. We soon plan to provide a more consistent overview of ownership and production models in the south Bahia/Ilheus region and to set up a series of case studies of: a) local social sustainability, and b) the governance of sustainability processes, for staff and students to pursue during 2019.

The broader question behind this research is whether structural, market, and generational change has allowed a greater link to be made between economic upgrading (of the cacao chain) and the upgrading of social conditions and relations (i.e. greater social justice) in a situation where Brazil is seeking to find a stronger place in the global market (for cacao/chocolate). This requires not only a methodical analysis of chain governance and of production and social relations (at market, community, and family levels), but also further reflections on how we study, interpret, and classify ‘well-being’. How far have we really moved from the vision of Jorge Amado?

[1] And all exports (both raw cacao and more finished goods from the area) move out of the Port of Ilheus.

[2] The well-known Brazilian romantic/historical novelist – see for example Amado, J. (1958 – 1ST ed.) Gabriela, Cravo e Canela, Livaria Martins Editora, Sao Paulo.

About the author:

IMG_0726Lee Pegler spent his early career working as an economist with the Australian Labour Movement. More recent times have seen him researching the labour implications of “new” management strategies of TNCs in Brazil/ Latin America. This interest expanded to a focus on the implications of value chain insertion on labour, both for formal and informal workers. Trained as an economist and sociologist (PhD – LSE), he currently works as Assistant Professor (Work, Organisation and Labour Rights) at the ISS.

Foto_Bliss copy.jpgLuiza Teixeira achieved her PhD in Public Administration and Government, in 2016, and her dissertation theme focused on Public Participation in Municipal Legislative Branches in Brazil. Luiza is a Professor at Santa Cruz State University, in the Administration and Accountancy Department. Recently she has been involved in research projects on the field of Public Administration, especially with the themes of Public Participation, Social Control, Accountability, and Local Development.