Cargill enhances traceability for premium payments to cocoa farmers, €14M paid in 2015
• Improved traceability for allocation of funds across categories
• Cooperatives re-invest more than 11 percent in improved community services Improved technology and equipment in bean logistics allows for savings
Schiphol, the Netherlands - February 17, 2016 - In 2015, cocoa farmers in Côte d’Ivoire have received over €7 million in premium payments under the Cargill Cocoa Promise, while another €7 million were distributed as sustainability premiums to cooperatives for their certified beans’ deliveries. Over 50% of the sums paid to the cooperatives have been reinvested to strengthen cocoa cooperatives’ infrastructures, allowing for the construction of three warehouses and improving the transport and logistics for beans with the acquisition of over 50 trucks, many of which via the FiE Sustainability Innovation Award winning financing mechanism.
As an overall trend, the cooperatives participating in the program have been spending an increasing amount in community services (11% of total premium amount), covering the improvement of health services, the construction of seven schools and 17 new potable water sources. Cargill’s Monitoring and Evaluation system effectively traces back the allocation of funds for each participating cooperative and keeps track of how the money is spent. For the first time in five years, cooperatives have been able to allocate 10 percent of premium payments to savings, which demonstrates the farmer organizations’ maturity and professionalization, and establishes the basis for great financial autonomy.
“All of us increasingly care about the origin of the things we buy,” says Taco Terheijden, Director Cocoa Sustainability at Cargill. “We persistently focus on real results to demonstrate to farmers that we mean business when we say we want to support them in improving their livelihoods. Our programs prioritize their needs. For our customers and partners whose contributions directly benefit those for whom they are aimed, it is great to see what our program delivers. It clearly shows the longer terms results we aim to achieve and how we intend to get there.”
Ahead of the overall industry average, over 30% of the beans Cargill is sourcing are third-party certified sustainable. Launched in 2012, the Cargill Cocoa Promise is the company’s commitment to improve the livelihoods of farmers and their communities in ways that enable them to deliver more cocoa in the long-term and secure a thriving cocoa sector for generations to come. The premium payments are made to farmers for selling their UTZ, Rainforest Alliance and Fairtrade certified cocoa beans and are funded by confectionary and food manufacturers and retailers.
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 150,000 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. For more information, visit Cargill.com and our News Center.
About Cargill Cocoa & Chocolate
Cargill Cocoa & Chocolate offers its customers quality products and services they trust to help them thrive, today and in the future. We consistently deliver a wide range of products—including cocoa powder, liquor and butter, chocolates, fillings and coatings—to help customers stand out from the crowd. Cargill offers peace of mind in the short and long-term; day-to-day we work to the highest safety standards and offer insight-driven price risk management and sustainable cocoa services. For recipe development and optimization, we have seven specialized Application Centers around the world. Our insights on market and consumer trends, combined with our innovation support and consistent performance, make us a proactive partner in all major consumer markets. Cargill customers also benefit from our bean sourcing and research capabilities in key origin countries, including Brazil, Cameroon, Ghana, Côte d’Ivoire and Indonesia. With a team of more than 3,000 passionate cocoa and chocolate experts in 35 locations, connected to 150,000 Cargill employees around the globe, we provide unique knowledge and proactive services across five continents, built on a foundation of 150 years of experience. Visit www.cargillcocoachocolate.com