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Federal Department of Economic Affairs, Education and Research EAER State Secretariat for Economic Affairs SECO Economic Cooperation and Development Reduced Deforestation and Increased Farmer Incomes A Landscape Approach in the Cocoa Supply Chain This innovative project will pilot a combination of solutions in the fight against deforestation and poverty. The pilot will sensitize local communi- ties on deforestation and climate change; promote alternative growing systems such as agroforestry, which has the added benefit of diversifying their incomes; implement Sustainable Land Use Plans which will conserve and replant forest; and importantly introduce incentives through payment for environmental service (PES) contracts, for producers to join the fight. Intervention area: Gabiadji - San Pedro Region (see map below) Cooperative: 2 cooperatives Producers: 600 farmers and 120 other beneficiaries Number of villages: 14 Local dynamics: 14 villages involved, 720 contracts (individual and collective) for payments for environmental services (PES) to be signed Area of Cocoa: Above 1200 ha of cocoa Number of trees to be planted: At least 156'000 multi-purpose shade trees Gazetted forests: Classified forests of Rapides Grah and Monogaga near the supply basins. Country/region Cote d’Ivoire Project Partners Barry Callebaut Mondelez Impactum Earthworm Duration 2019-2022 SECO contribution CHF 300'000
Transcript
Page 1: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

Reduced Deforestation and Increased

Farmer Incomes

A Landscape Approach in the Cocoa Supply Chain

This innovative project will pilot a combination of solutions in the fight

against deforestation and poverty. The pilot will sensitize local communi-

ties on deforestation and climate change; promote alternative growing

systems such as agroforestry, which has the added benefit of diversifying

their incomes; implement Sustainable Land Use Plans which will conserve

and replant forest; and importantly introduce incentives through payment

for environmental service (PES) contracts, for producers to join the fight.

Intervention area: Gabiadji - San Pedro Region (see map below)

Cooperative: 2 cooperatives

Producers: 600 farmers and 120 other beneficiaries

Number of villages: 14

Local dynamics: 14 villages involved, 720 contracts (individual and collective)

for payments for environmental services (PES) to be signed

Area of Cocoa: Above 1200 ha of cocoa

Number of trees to be planted: At least 156'000 multi-purpose shade trees

Gazetted forests: Classified forests of Rapides Grah and Monogaga near the

supply basins.

Country/region

Cote d’Ivoire

Project Partners

Barry Callebaut

Mondelez

Impactum

Earthworm

Duration

2019-2022

SECO contribution

CHF 300'000

Page 2: Reduced Deforestation and Increased Country/region

Objectives and activities

This project has a combined focus on stopping deforestation and providing cocoa farmers with an

alternative income. The project will combine innovations to address these issues and to achieve the

commitments of the companies of zero-deforestation and improving the incomes of farmers.

Innovation

Payments for environmental services (PES) are voluntary contracts concluded with the farmers or the

communities, consisting of payments, in cash and/or in-kind, subject to compliance with a plan for

land use and/or change of agricultural practices. The objective is to maintain or improve certain eco-

systems by cutting down on carbon, preserving biological diversity and water.

Carbon insetting benefits, in this project we will validate a carbon monitoring, quantification and in-

setting approach. We will assess the impact of implementation on carbon insetting benefits achieved.

Expected impact

Cocoa producers and community members

• transition to zero deforestation cocoa farming

• have increased income from zero deforestation farming activities

The expected results of the project are:

1. Community Sensitization: At least 1000 stakeholders (Cooperative, producers and communi-

ties) of the project area are sensitized and informed;

2. Agro forestry: At least 1200 hectares of cocoa-based agroforestry are created;

3. Forest Conservation: At least 15 hectares of community or individual natural forest are con-

served through collective and individual PES contracts;

4. Forest Restoration: At least 90 hectares of reforestation are achieved through collective and

individual PES contracts;

5. Two (2) Local Land Use Sustainable Plans (LLUSP) are developed in a participatory manner

with local communities;

6. 10 Forest tree nurseries with a capacity of 200'000 multipurpose forest seedlings are in place.

Other related results:

1. An incentive mechanism, Payment for Environmental Services (PES), is implemented and func-

tional in the Mondelez and BC supply area for around 720 producers.

2. Green jobs like nurseryman, forest workers, etc. are created for women and youth for a pro-

duction capacity of more than 200,000 fruit trees, timber trees, and wood energy.

3. Create a mechanism to capture and report generation of carbon credits from the project un-

der the REDD+ umbrella and support the production of “carbon neutral cocoa beans”.

Page 3: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

Colombian Specialty Cocoa for the Swiss

Sustainable Market (Cacao+Sostenible)

New sustainable and innovative business models to

improve conditions for cocoa producer families

The project aims at triggering systemic changes and generate

environmental, economic, and social impact in producer families and

throughout the value chain by fostering innovations and services to adopt

long-term commercial relationships between producers and consumers

and to fulfill international sustainability and quality requirements. It

leverages new sustainable business models for the supply of Colombian

specialty cocoa to the Swiss market, based on inclusive supply chains of

the partner companies.

Intervention area: Antioquia, Huila, Tolima, Nariño, Valle del Cauca, and Cauca

Producers: 1050 farmers (direct beneficiaries) and at least 519 associated

farmers

Cocoa beans produced according to sustainable principles: At least 800 tons

Local dynamics: At least 568 producers apply good agricultural practices for

sustainable cocoa production

Access to Finance: At least 304 small producers gain access to appropriate

inclusive financial products to increase productivity and guarantee compliance

with international sustainability standards (UTZ, organic label)

Robust Knowledge Management System: Achieve a systemic change in the

speciality cocoa supply chain through cross-learning and exchanges of

experiences.

Country/region

Colombia

Project Partners

Swisscontact

Colcocoa

Pakka

Solidaridad

EOS

Felchlin

Duration

2020-2022

SECO contribution

CHF 920’000

ANTIOQUIA- Maceo- Caracolí- Yalí

NARIÑO- Tumaco

HUILA- Algeciras

TOLIMA- Planadas

CAUCA- Guachené- Caloto

VALLE DEL CAUCA- Jamundí

Page 4: Reduced Deforestation and Increased Country/region

Objectives and activities

The main objective is to consolidate and leverage viable and innovative business models that provide

exportable supply according to the requirements of the Swiss chocolate industry within a framework

of better conditions for small producers and their families (inclusiveness), by guaranteeing

transparency along the value chain (traceability) and by avoiding deforestation

Innovation

The project will combine the following innovations:

Business Model Innovations: The project proposes a new way of doing business in the Colombian

cocoa sector, with a model that generates incentives to develop a new line of specialty and sustainable

cocoa exports from small farmers who have access to information services, technical assistance and

financing to consolidate their offer according to international market requirements.

Productive Innovations: The project promotes cocoa cultivation in diversified and resilient

agroforestry systems, by increasing density of productive plants per hectare and eliminating or

reducing the use of agrochemical inputs.

Innovations in information communication technology for training, information gathering and

financial solutions: Virtual solutions and Apps will allow to increase the speed of sharing content and

knowledge, as well as the immediate connection between technicians, buyers, and producers.

Social Innovations: Women Economic Empowerment will contribute to building more resilient

communities and more sustainable and inclusive value chains.

Expected impact

Sustainable supply of Colombian specialty cocoa consolidated, with long-term trade relations

between producers, processors, and consumers, generating environmental, economic, and social

impact.

The expected results of the project are:

● Outcome 1: Volume of cocoa beans produced according to sustainable cocoa principles increases

in Colombia: The project identifies activities with partner companies to support smallholders in

complying with requirements of the sustainable cocoa market to develop more beneficial supply

chains.

● Outcome 2: Producers apply good agricultural practices for sustainable cocoa production: Cost-

effective extension service models and technical assistance programs will be developed and

promoted.

● Outcome 3: Small producers have access to appropriate inclusive financial products to increase

productivity and compliance: Financial products and solutions for credit management will be

developed, based on farm diagnostics, and required levels of investments for upgrading and

certification.

● Outcome 4: A robust knowledge management system for sustainable Cocoa created in Colombia:

The validated innovations and successful experiences from each intervention will be

systematized, disseminated, and promoted among the stakeholders of the specialty cocoa value

chain.

Page 5: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

The Green Nawa Initiative: An Integrated

StrongLandscape Approach

Cocoa farming using a multi-sectoral consortium

landscape approach in the Nawa region

We introduce an integrated farming system in a regional landscape model.

The multifaceted program, built upon a traceable and mapped sourcing

system, uses various innovations and considerable synergies to enhance

the positive impact on cocoa farming families and their eco-system.

Objectives and activities

FarmStrong Foundation has carefully crafted a holistic sustainability program

using our vast local experience combined with innovative techniques and

technology. Rather than focusing on actions we are striving for impact. To

maximize impact, we are concentrating all our efforts and resources on a

specific landscape, the Nawa Region. This will be built into a solid Proof of

Concept which can be easily reproduced to other areas.

A cutting-edge Land-use Change and Analysis System which includes an

advanced Forest Cover Development tracking tool will be implemented, using

Satellite Earth Observation (SatEO) technologies enhanced by Artificial

Intelligence (AI) supported algorithms. This combination of technologies is

deployed as innovative Deforestation Risk Assessment (DRA) tool which predicts

potential forest cover and biomass reductions but also quantifies the impact of

reforestation activities, increases of biomass and carbon sequestration.

Intervention area: The La Nawa Region in Côte d’Ivoire.

Farmer groups: 4 farmer groups around Soubré consisting of 10,000 families in 40 villages.

Local Government stakeholders: Sous-préfectures, Préfecture, Conseil Régional & City of Soubré.

Area of Cocoa: About 40,000 ha of mapped cocoa plantations all linked to a unique two-way

traceability system (cocoa beans and farmer premium).

Child Protection: FarmStrong’s Community Child Protection System (CCPS) introduced

Number of trees to be planted: Min. 1 million local forest trees for restoration on and off farm.

Special program: Restoration Classified Forest of Mont du Kourabahi with MinEF and Sodefor.

Country/region

Côte d’Ivoire

Project Partners

Agroforce Commodities

FarmStrong Foundation

Duration

2020-2022

SECO contribution

CHF 300'000

Page 6: Reduced Deforestation and Increased Country/region

The approach is underpinned by a high-tech mix of remote ICT, multiple non-cash financial transfers

options, w3w-GPS home addressing system, land-certificate tools and network of wireless long-range

sensors - Internet-Of-Things (IOT) - supporting and monitoring the implementation.

A strong focus is put on innovations and enabling and empowering of women and youth to adopt

social and environmental practices in resolution groups. The program will target the farmer

community issues as seen through the eyes of the local community.

Digital profiles will be leveraged at scale to make the group members bankable enabling them to

finally open commercial bank accounts and mobile money accounts. The program will introduce a

new instrument in the form of a code protected prepaid debit card with built-in data chip. To ensure

smooth roll out we have secured the support of the local and regional public sector representatives

as well as multilateral agencies.

Innovation

1. Satellite Earth Observation image-based land-use assessment and baseline

2. Deforestation Risk Assessment (DRA) tool

3. Swiss LiDAR laser system to produce 3D images of forests for under canopy analysis

4. Satellite-monitored GPS app “Tropical Tree Trace” to follow forest cover development

5. Wireless sensors network with 24/7 remote surveillance against forest disturbances

6. Introduce code-protected prepaid debit card in addition to mobile money transfers

7. Vector Control Anti-malaria service group

8. Introduction of a nano-technology drinking water purification system

Expected impact

The 6 impact areas at field level of the project are:

• Land-use assessment will allow for a systemic change in the cocoa production system

• Diversification will lead to higher and more consistent farmer net-income and lower spent

• Improve food security and sovereignty on local and regional level

• Improved nutrition and health will increase farm(er) productivity and net-incomes

• SatEO data collection enhances understanding of the underlying causes of deforestation and

degradation in cocoa producing areas

• Community Child Protection System will uproot the root causes of Child Rights violations

The expected outcomes and related results of the project are:

• Outcome 1: 10,000 farmers premium paid by mobile money and 100 farmers whose cocoa is

paid digitally on a prepaid debit card

• Outcome 2: Satellite image-based land-use assessment and baseline report

• Outcome 3: Vertical structure analysis of 3,500ha protected forest land

• Outcome 4: Community based indigenous forest nurseries producing 500,000 trees per year

• Outcome 5: Supporting Rural land Certificate Agency with technology and obtain 500 Land

certificates in the Nawa Region

• Outcome 6: Creation of a remote-controlled forest intrusion surveillance sensor network by

building a 10 km corridor at the periphery of the Taï National Park.

• Outcome 7: Creating: 100 jobs in Vector Control anti-malaria service companies who will work

on Indoor Residual Spraying (IRS), and installing Eave-tubes mosquito traps.

• Related result 1: 25,000 Indigenous trees planted in urban areas, greening towns & villages

• Related result 2: 50,000 Indigenous trees barriers to reduce spread of Swollen Shoot Virus

• Related result 3: 100,000 Fast growing firewood species in community forest tree nurseries

Page 7: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

Organic cocoa farming in Togo

An Innovative Approach

This innovative project combines activities which lead to more efficient

and transparent farmer – buyer relations and improve farm management

and income of producers. Through digitalization of farmer data and pay-

ments, risks are reduced, and farmers can benefit from better customized

trainings as well as transparent price mechanism. The focus on agrofor-

estry and climate smart agriculture leads to more resilience and income

opportunities. Above all farmers will receive a 10% share of the turnover

from their processed product sold online by gebana. A harvest fund fi-

nanced through crowdfunding will also be piloted in this project.

Objectives and activities

The project will implement the following three intertwined components that

contain technical and financial innovations to streamline the collaboration

between value chain partners and farmers and to change habits of the supply

chain actors.

Cooperative: 3-4 cooperatives

Producers: 1’200 organic cocoa farmer families

Other beneficiaries: 10 local agrotechnician, local mobile payment agents

Number of villages: over 40

Area of Cocoa: Above 1’650 ha of organic cocoa

Left: Intervention Area Togo - Kpalimé and Badou area in the West of Togo (border to Ghana);

Right: Sample of GPS data from farmers out of Cropin (Smartfarm)

Country/region

Togo

Project Partners

gebana

Duration

2020-2022

SECO contribution

CHF 241’500

Page 8: Reduced Deforestation and Increased Country/region

Innovation

The project aims to bring innovative approaches into small holder family organic cocoa farming in

Togo. The innovations are on three levels:

1) Digitalization

• The use of smartphones in the relation between the farmer and the buyer company is new in

Togo. The farmer perceives this as a professional and modern tool and feels appreciated.

• Data can be analyzed, and training plans and extension services can be better adapted to the

farmers’ needs.

• Traceability is increased which should reduce incidences of contamination through farmers

not respecting the organic guidelines or side-buying conventional cocoa.

• Mobile payments increase traceability of transactions and reduce risks of “money getting lost”

along the way. The farmer can be sure to receive what the buyer pays.

2) Innovative Agriculture

• Through trainings on agroforestry the farmers learn a new way of looking at their field. This

has not yet been practiced in Togo.

• A more holistic approach not only focusing on cocoa but also potential side products from the

diversified fields increase income, especially also for women who often sell other fruits on the

market.

• New training methods and tools will increase the visibility and support the systematic change

in the habits of the farmers. Professional extension service workers and good training material

help to change the perception of the “farmer profession”.

3) Financial Models

• gebana is sharing 10% of the turnover from sales to the final consumer with the farmers. This

is a new model of trade relations.

• Crowdfunding is a new tool that allows to gather finance with many people which increases

the possibility to get money and decreases the risk in the value chain.

Expected impact

The overarching aim of the project is to improve farmer livelihoods and to ensure the long-term sta-

bility of the organic value chain in Togo addressed in the project.

Outcome 1: Digitalization tool with farmer data module, purchase module and mobile pay-

ment implemented

Outcome 2: Farmers trained by competent trainers using “boite à image” and demonstration

plots on a holistic set of adapted good agricultural practices including climate smart agricul-

ture and agroforestry approaches

Outcome 3: Through innovative financing models, farmers’ need for finance is reduced

Page 9: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

Climate resilient cocoa landscapes in

Madagascar

A multi-stakeholder approach

Sustainable cocoa production ensuring the provision of environmental ser-

vices in a multifunctional landscape can only be ensured, if stakeholders

from different sectors, representing civil society, private sector, and na-

tional and local authorities have a common strategy for the landscape they

are acting in. The project will thus support the development and imple-

mentation of an adequate planning instrument that con siders the com-

peting interests in this multifunctional landscape.

Objectives and activities

The overall goal of this collaboration is that “sustainably managed landscapes in

Sambirano contribute to resilient livelihoods of the local population”. The con-

crete objective is that “Stakeholders from public, private and community entities are

sustainably managing the cocoa landscapes, hereby ensuring the provision of essen-

tial environmental services”.

Country/region

Madagascar

Sambirano

Project Partners

Helvetas Swiss

Intercooperation

Lindt & Sprüngli

Valrhona and Millot

CDE University of Berne

Earthworm Foundation

Duration

2020-2022

SECO contribution

CHF 300'000

Page 10: Reduced Deforestation and Increased Country/region

Innovation

• Private-public-community collaboration. This project is co-funded by private sector compa-

nies as fundamental change agents towards reduced deforestation, which will fund and monitor

actions. At the same time the vision for a multifunctional landscape and necessary related actions

are formulated and implemented by national, regional and local decision makers taking into ac-

count concrete needs of local communities for improved livelihoods.

• Combining local production systems with collaborative action at landscape scale. At local

scale the project is closely collaborating with ongoing projects that foster climate-smart agricul-

tural systems. These sustainable initiatives are integrated and upscaled with its embedment into

planning instruments at landscape scale that have been elaborated based on collective action.

• HCV/HCS approach: The HCV/HCS is a pragmatic approach, that is based on satellite data, con-

crete field investigations and over all involves local perspectives and values (ensured by partici-

patory mapping). The related monitoring is feasible (in monetary and methodological terms) and

also in the interest of private sector companies (who are willing to finance it).

Expected impact

• Based on an in-depth landscape assessment priority zones for conservation and carbon stock

(HCV and HCS), ecological restoration, and diversified cocoa production have been identified and

integrated into a planning instrument at landscape scale

• A functional and locally rooted governance body is put in place

• With financial support from international parties, the implementation of an adequate planning

instrument ensures the conservation of essential environmental services and the sustainable

development in a multifunctional landscape

• From 2025 onwards, expansion of cocoa production to important forest areas – such as pro-

tected areas and HCS or HCV zones - have stopped in the intervention zone

Figure 1. Eight main steps for implementing a landscape approach.

Page 11: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

Sustainable Cocoa Sourcing Landscapes

in Peru

A Landscape Approach in the Cocoa Supply Chain

This innovative project aims to support the regional government of San

Martin in Peru in its efforts to sustainably develop its territory. It brings

together actors from different sectors representing the civil society, the

private sector and the national and regional authorities to jointly develop

a strategy for the sustainable management of cocoa producing landscapes.

Intervention area: Region San Martin, Peru

Local dynamics: At regional level: Territorial certification mark “San Martin

Región” declared 2016 of regional interest to insert and position the products

and services in sustainable or differentiated markets; At farm level: the new

thresholds for cadmium and pesticide residues as well as new pests and

diseases emerged due to climate change pose major challenges for cocoa

farmers; At project level: the project will build on and scale up on-going

initiatives to support cocoa farmers, e.g. the SECO-financed SeCompetitivo

focussing amongst others on viable solutions for the mitigation of cadmium in

cocoa, integral crop management, internal control system for organic

production and elaboration of organic fertilizers and biocarbon.

Gazetted forests: The Region San Martin achieved the country's first forest

zoning, identifying 85% (4,358,508 ha) of its territory with forest and wildlife

resources that should be managed sustainably.

Country/region

Peru / San Martin

Project Partners

HELVETAS Swiss

Intercooperation

Choba Choba

ECOM

Earthworm Foundation

FiBL

Max Havelaar

South Pole

Rabobank Foundation

Regional Government of

San Martin

Duration

2020-2022

SECO contribution

CHF 1'200'332

Page 12: Reduced Deforestation and Increased Country/region

Objectives and activities

The project aims for sustainably managed landscapes that contribute to improved competitiveness

and climate-resilient cocoa production and livelihoods of the local population.

To achieve the overall goal within a long-term perspective of 10 years, both farm level and landscape

level issues need to be addressed simultaneously. On the one hand, stakeholders from public, private

and civil society entities sustainably manage the cocoa landscapes and ensure the provision of

essential environmental and social services. On the other hand, farmers increase productivity (quality

and volumes) and sales of diversified and climate-resilient cocoa production systems.

Innovation

The project encompasses innovative elements at four level:

1 . Landscape level: The landscape approach based on a multi-stakeholder process, involving

private, public and civil society actors, is perceived as an innovation, especially in the areas of

sustainable land use / zero- deforestation. In particular, the involvement of international

market and international private sector right from the project start is new.

2 . Farm level: The project will pilot and upscale new technologies at farm level, methodologies

and practices, such as diversified agroforestry systems, technological packages for cadmium

management, etc., to improve climate-smart farming practices, water conservation and

biodiversity enriching farming practices.

3 . Supply chain level: This project will support the development of a carbon accounting and

reporting process from farm to end product and will develop/promote digital innovations in

production processes.

4 . Project level: The project will explore and identify how best to leverage climate, water and

biodiversity finance potentials to co-finance the project and reward farmers and communities

for their sustainability performance.

Expected impact

The two main impacts of the project are

1 . Farmers have increased income from a diversified and climate-sustainable cocoa production

system and improved their working and human right situation

2 . The forest cover of protected and classified forests has not diminished, and carbon

emissions have been reduced

The expected outcomes of the project are:

• Outcome 1: Stakeholders from public, private and community entities sustainably manage

the cocoa landscapes and ensure the provision of essential environmental services

• Outcome 2: Farmers increase productivity (quality and volumes) and sales of diversified and

climate-resilient cocoa production systems

Page 13: Reduced Deforestation and Increased Country/region

Federal Department of

Economic Affairs, Education and Research EAER

State Secretariat for Economic Affairs SECO

Economic Cooperation and Development

Fair and sustainable chocolate through

complete transparency

An open source software solution

This project is part of SCHÖKI’s efforts to produce chocolate from cocoa which

enables farmers a living income in a sustainable way. We believe that fairness

and sustainability are possible only through complete transparency along the

whole value chain. Responsibility and verifiability are the strongest means to

take action against social imbalances within the chocolate industry. The new

open source software solution is part of a package of free practices and tools

developed by SCHÖKI and easily adaptable for others.

Objectives and activities

The main purpose of this project is the development and implementation of an

open-source software solution, which provides complete transparency along the

cocoa supply chain, comprehensible visualized and easily expandable. The software

will enable businesses and other stakeholders to assume responsibility for the sus-

tainability of their chocolate value chain, and has the potential to counteract pov-

erty and deforestation. At the end of this first, co-financed phase, the software will

have been implemented and evaluated in three different settings and will be made

available for free. The central function is the capability to capture any kind of infor-

mation on the cultivation, trade, and processing of cocoa, as well as on farmers,

cooperatives and other stakeholders

at the beginning of the value chain. The

software will permit fast and reliable

data availability through correspond-

ing data interfaces, so that other exter-

nal systems can easily be integrated.

Data collected using the software can

be made available to various stake-

holders and for multiple purposes.

The software will enable complete de-

piction of the value chain through flex-

ible, freely configurable data collection

and visualization. At a later stage, we plan to expand the software solution through

blockchain technology or the like, which will generate immutable data in the sense

Country/region

Ghana, Peru, Uganda

Project Partners

SCHÖKI AG

Max Felchlin AG

Chocolate Bernrain AG

Gourmet Gardens

FiBL

Friedel Hütz-Adams

Duration

2020-2024

SECO contribution

CHF 250'000

Achieving living income cocoa prices

through payments for ecosystem services.

Page 14: Reduced Deforestation and Increased Country/region

of a permanent, indelible and unaltered history of transaction. Transactions between stakeholders

along the value chain can be portrayed. A special feature are direct payments to farmers via Mobile

Money and receive confirmation of receipt via SMS. This adds additional security for both parties as it

guards against financial mismanagement through intermediaries. User-friendliness is a priority. We

want the use of this new software solution to become fun, rewarding, and intuitive. The long-term

goal is to expand the software solution to all raw materials in the chocolate production.

Direct incentives for sustainable cocoa production

In the light of climate change, erosion, and worn out soil, sustainable cocoa production requires a

thorough agricultural concept focused on agro-forestation. In order to facilitate this, the software will

additionally offer the following optional modules: First, a regionally specific living income cocoa price

can be added for organic and fair trade-certified cocoa farmers. Secondly, a catalogue of measures to

establish diverse agroforestry systems which promote climate resilience and biodiversity will be inte-

grated. Farmers that are able to comply with the measures will be compensated for their ecosystem

services’ provision by a direct payment. These modules are optional and represent the first of a series.

Technological opportunities to set new standards for responsible production and consumption

A central aspect is the consumer perspective (SDG 12). So far, to identify fair products consumers have

to rely on labels only. However, some labels suggest more than realistically the case. The software

solution will collect data on various aspects of cocoa farming, easily accessible and comprehensively

visualized. The consumer will be able to make a fully informed decision concerning a product. This

may have a substantial impact on the sustainability of the chocolate value chain and may finally be-

come ‘the new normal.’

Innovation

The software offers a completely new approach

which caters to both the needs of cocoa stake-

holders, as well as consumers. This first of its

kind open source approach does not only ena-

ble universal access but also fosters the further,

cooperative development of the technology.

While it is starting with two additional modules

to the transparency software, theoretically any further function (module) can easily be added. The fact

that our software will be provided for free further reduces obstacles for smaller stakeholders to join,

as we envisage that in the long-run every chocolate company can easily use it.

Expected impact

300 cocoa farmers will be addressed directly. Existing workshops and trainings will be expanded.

Farmers will expand their knowledge on planting and maintaining various shade trees, but also focus

on further aspects of healthy cocoa. They will actually plant new shade trees on their plantations and

receive the living income price for cocoa.

At the end of this project stands an open source software solution, available to anyone free of charge.

Interested stakeholders are thereby given a tool with which they can take responsibility for their value

chains by implementing real fairness and sustainability. This tool has the potential to become a game

changer and the beginning of a movement which could positively affect the lives of hundreds of thou-

sands of cocoa farmers worldwide. The core aspects of the project will make a direct and measurable

contribution to the Sustainable Development Goals, namely SDG 1 (no poverty), 8 (decent work and

economic growth), 10 (reduced inequalities), 12 (sustainable consumption and production), and 13

(climate action).

Complete traceability and transpar-

ency along the cocoa value chain.


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