Cargill direct purchasing license boosts cocoa sustainability
New purchasing model means better implementation of the Cargill Cocoa Promise to expand sustainability activities in Ghana
AMSTERDAM, The Netherlands, 3 November, 2016 – Cargill’s cocoa & chocolate business has established its own licensed buying company (LBC) following the successful application for a license from the Ghanaian Cocoa Board (Cocobod).
The new LBC is now fully operational and Cargill has purchased its first consignment of beans directly from cocoa farmers in Ghana, with around 30,000 farmers already registered with the LBC. By directly sourcing the beans, the company is now able to diversify the way it sources sustainable beans and rolls out the Cargill Cocoa Promise more effectively to better serve its customers.
“Direct sourcing of certified beans from farmers via our own LBC in Ghana is an exciting new business model for us”, said Lionel Soulard, Managing Director West-Africa, Cargill Cocoa & Chocolate: “Cocoa sustainability is at the heart of our global growth strategy for cocoa and chocolate. Developing a direct sourcing capability in the world’s second largest cocoa producing country means we will be better placed to meet growing demand for sustainable, certified cocoa.
“We are confident this business model will add value at every level particularly for farmers who, as a result of working directly with us, will make a better living out of cocoa farming, and we are really proud of this development.”
Cargill has been operating a cocoa processing plant in Ghana since 2008. The move to direct sourcing of cocoa via its 60 strong team in the country reflects the company’s commitment to growing the business in Ghana. It will also enable a more direct approach to supporting more productive, profitable and sustainable farms.
The new purchasing model will be fully sustainable and fully certified. By operating its own LBC, Cargill will implement high standards of safety, integrity and quality throughout the supply chain in Ghana.
“We already source directly from cocoa farmers or farmer organisations in the other cocoa producing countries in which we operate. By moving to this model in Ghana we will be much better positioned to fully implement the Cargill Cocoa Promise.
“This means expanding our sustainability activities to enable farmers to benefit from premium payments for certified sustainable cocoa beans. Farming communities will also be able to benefit from training, community and farm development support which will also help with improving their livelihoods. For example around community support, we will be building four new schools to serve the children of cocoa farmers in the four districts where we will operate.
“It is our objective to work hand in hand with the Ghanaian authorities to improve the livelihoods of cocoa communities for generations to come”, concludes Lionel Soulard.
Cargill provides food, agriculture, financial and industrial products and services to the world. Together with farmers, customers, governments and communities, we help people thrive by applying our insights and 150 years of experience. We have 155,000 employees in 70 countries who are committed to feeding the world in a responsible way, reducing environmental impact and improving the communities where we live and work.
About Cargill Cocoa Promise
We launched the Cargill Cocoa Promise in 2012 to align our efforts in origin countries. It is our commitment to improving the livelihoods of farmers and communities in a holistic way that will secure a thriving sector for generations to come. The origin countries include Brazil, Cameroon, Côte d’Ivoire, Ghana and Indonesia.
About Cargill’s global cocoa and chocolate business
Cargill’s cocoa and chocolate business offers the food industry a wide range of both standard and customized cocoa and chocolate ingredients for use in delicious bakery, confectionery and dairy applications all over the world. The company’s product range includes high quality Gerkens® cocoa powders, chocolate, coatings, fillings, cocoa liquors and cocoa butters. With years of experience in technical food expertise Cargill supports its customers in new recipes and new product development.
Cargill’s processing plants in Belgium, Brazil, Canada, Côte d’Ivoire, France, Germany, Ghana, Indonesia, the Netherlands, UK and the USA are in full compliance with the highest food safety standards.
To secure a good quality and sustainable supply of cocoa beans, Cargill has its own cocoa bean sourcing operations for buying, handling and exporting of cocoa beans in Brazil, Cameroon, Côte d’Ivoire, Ghana and Indonesia. Presence in all the leading producing countries allows Cargill to oversee the supply chain from beans at origin to cocoa and chocolate products on its customers’ doorsteps. In addition, extensive market research and analysis proves to be a source of valuable information to customers.
More information is available at www.cargillcocoachocolate.com/