You can also learn more about the following: Regulation on deforestation-free productsCocoa is set to be regulated from December 30, 2024. Brands and countries around the world have been working to prepare for its introduction. Increase their traceability effortsThey aim to help the region manage its deforestation governance and adhere to EUDR rules.
The Cocoa & Forests Initiative
The ICF is a multi-agency programme that includes 36 brands, including Mars Wrigley Hershey, Nestlé and the Government of Côte d’Ivoire. Since its frameworks for action were signed by leading cocoa and chocolate producers and manufacturers at the UN Climate Change Conference COP23 in 2017, it has helped accelerate progress towards zero deforestation and meet EUDR requirements.
Charles Snoeck is the Senior Cocoa Officer at IDH, a social enterprise organization that facilitates the Cocoa & Forests Initiative.
The process of moving cocoa from farm to supermarket shelves involves a number of industry players and is complex, delicate and multi-step. With EUDR fast approaching, efforts to improve ethical and sustainable practices and policies throughout supply chains are intensifying.
Concerns about the impact of EUDR on farmers are ongoing. Indirect cocoa supply chain calls into question its efficiency. The EUDR is only a few months away.
Traceability of cocoa beans from farm to factory
The World Cocoa FoundationThere are approximately five to six million cocoa farmers worldwide. Research into the factors that influence variations in cocoa quality has revealed that between 40 and 50 million people depend on the crop for their livelihoods. Traceability is therefore vital for farmers as well as those in the supply chain who depend on cocoa.
You can also learn more about the following: IDH Technical Note: Traceability of cocoa in West and Central Africa According to the report, Cameroon signed a similar agreement to the CFI in January 2021. The government, companies, farmers’ organizations and NGOs signed the Deforestation-Free Cocoa Roadmap. The company aims to trace 100,000 tons of cocoa from farm to warehouse to port of exit by 2025.
When the EUDR comes into force, it will build on these programmes and initiatives. It will also translate these recommendations into law. Brands are vocal in their support for legislation that will encourage a shift towards transparency. We have also seen increased private and public sector investment in farmer identification systems, farm mapping and traceability.
Traceability test: difficult
The industry faces a number of hurdles in implementing traceability across the entire cocoa supply chain to ensure an accurate and efficient journey from farm to supermarket shelf. Snoeck explains that due to the complexity of the cocoa supply chain and its size, some brands are concerned about being fully compliant on time.
There are different levels of traceability that both startups and multinationals can implement in their supply chain. Snoeck says it’s important to remember that traceability is expensive and there are many levels of traceability.
CFI estimates that by 2022, nearly three-quarters of the cocoa used in CFI’s direct supply chains will be traceable. 339,928 units have been identified to enable traceability.
But it’s a completely different story for indirect supply chains. Traceability is not a priority over tracking in the supply chain. Traceability is the only way forward. 9 % indirect cocoa supplies could be traced back to the plantationIn 2022, the percentage will increase to 22.2 %. The lack of traceability of cocoa in indirect sourcing can lead to potential human rights and environmental violations, including deforestation.
Traceability systems are beneficial for farmers, but they also require them to be held to account more and more frequently. Ownership of this responsibility and sharing of data are also problematic.
Traceability is limited at the farm level, which creates a serious problem. The Ivorian supply chain was studied in 2019. Only 22 % of Ivorian cocoaExports come from farms mapped by the CFI. The cocoa industry is unable to fully report on its sustainability obligations throughout supply chains due to a lack of farm data.
Traceability is a tool, not an end in itself. It must serve a specific purpose, which is to build truly sustainable cocoa supply chains that protect forests. You can also learn more about the following:Snoeck adds: "Farmers earn a decent living." The IDH is prioritising ensuring that this issue of impact on farmers is fully integrated into its discussions with public and private stakeholders.
What countries are doing to prepare for EUDR
Representatives of the United Nations Development Programme and the Department of Forestry, under the Ministry of Agriculture and Rural Development, held a workshop on EUDR readiness monitoring in July. They focused on traceability and presented efforts by some countries to increase transparency and monitoring throughout their supply chains.
Both Côte d’Ivoire and Ghana have national cocoa traceability systems. They include polygon plots, farmer identifiers and extension services.
Peru’s agricultural sector has developed a national farmer registry, including GPS points. There are more than 2 million registered farm owners. The points aim to collect at least 500,000 polygons by December 2024 to help cocoa farmers and the wider industry. To help create traceability systems, cocoa farmers can use an app that allows them to self-describe their cocoa crops. This includes information on the land tenure of their crop, its planting date and production data.
UNDP also worked with Lavazza Cacao and Silva Cacao to pilot sustainable, deforestation-free cocoa production in Costa Rica and Ecuador. As part of this programme, UNDP developed a cocoa traceability plan and implemented policies to prevent deforestation. It also developed agreements with trading partners to promote sustainable practices and fair pricing.
Indonesia has created the SatuData platform, which offers different maps of land change and land use. It is linked to a traceability network for palm oil. This platform was designed to collect data and develop methodologies to monitor these factors throughout the supply chain, and to carry out due diligence and quality assurance.
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