Action to improve producers' income
A long-term commitment to producer communities
Given the diversity of the countries we work in and the types of data available, defining and assessing what constitutes a fair income for cocoa producers is a very complex task.
However, this reinforces our commitment to setting guaranteed minimum incomes through our long-term partnerships – thus allowing producers to better plan for the future.
The example of Ivory Coast
Since 2014, we have been working with Ecookim Union member cooperative CAPEDIG in the world’s top cocoa producing country, Ivory Coast. All plots were mapped out in 2019, so 100% of our cocoa is traceable from the farm. It is also Fairtrade, Rainforest Alliance and UTZ certified. Under supervision from the Ivorian government, the Café Cacao Council sets a minimum guaranteed price for producers each year. Following a sharp fall in market prices in 2016, in 2017 Ivorian producers lost 36% of their cocoa revenue. For the second year in a row, Valrhona compensated its producers for this shortfall by maintaining the highest minimum price since 2012, 1100 FCFA per kg.
Key Figures:
Currently, we pay 47% more than the guaranteed minimum price and ensure the money goes directly to Ivorian producers.
This system is verified by an independent firm, JLB Expertise, which approves and checks the distribution process of this premium on the ground. In 2019:
- 1,209 producers received a compensation premium
- Farmers receive 47% more income for cocoa bought by Valrhona thanks to the compensation premium program
- 100% of the premium goes to producers
We have, of course, upheld this commitment for the 2019/2020 harvest.
