Cargill announces investments in Ghanaian cocoa industry and farmer communities

Tema, GHANA (25 November 2019)

Cargill is investing $13 million in the expansion of its cocoa processing site in Tema, Ghana to increase production capacity by 20%. Cargill has also committed $3.4 million to Ghanaian community sustainability programs and cocoa traceability efforts in Ghana. These programs will enhance the safety and wellbeing of children and families in cocoa farming areas and provide a more transparent, traceable cocoa supply chain for customers and consumers.

Cargill’s 245 employees and 350 contractors at its Tema site in Ghana process and export cocoa beans. The site also produces cocoa powder and cocoa butter.

“The $13 million investment to expand Cargill’s cocoa processing site in Tema will create many indirect jobs, from laborers to university-educated positions”, explains Aedo van der Weij, managing director of Cargill’s cocoa and chocolate business in Ghana. “Building on the success of the ‘Good of taste of Ghana’ when we started producing cocoa powders in the country in 2008, the expansion of Tema is needed to meet customer demand for high value cocoa powders. Working directly with the Ghanaian government and other key stakeholders, we are committed to economic growth, building sustainable local businesses and diversifying sources of income for those who live here.”

Investing in local communities, sustainability

In addition to the site investment, Cargill will invest $3.4 million over the next three years in Ghanaian community projects and supply chain traceability, with a focus on creating stronger, more resilient cocoa farming communities. These projects are part of the Cargill Cocoa Promise: the company’s corporate commitment to improving the lives of cocoa farmers and their communities.

“We recognize that the best way to safeguard the future of cocoa is to improve the livelihoods and wellbeing of farmers and their communities. We also know that the best way to achieve sustainable business practices is by working through partnerships with government and other local stakeholders who know what works for their local communities. That way both parties can do what they do best and together achieve a real transformation”, says Aedo van der Weij.

The $3.4 million investment will go towards expanded or new programming with partners to create a more sustainable cocoa sector:

• Collaboration with long-term partner, CARE, in 156 cocoa growing communities. The effort will strengthen community governance and improve dietary diversity through homestead gardens, nutrition education programming and cooking demonstrations;
• Cargill will invest $800,000 in building of six new schools and school infrastructure in key communities in Ghana;
• Cargill’s Implementation of Child Labor Monitoring and Remediation System (CLMRS) with the International Cocoa Initiative (ICI) to include 8,000 farmers and their families in 56 communities by September 2020.

Building a more transparent cocoa sector

Global cocoa demand keeps growing and Cargill is committed to delivering secure, sustainable and innovative cocoa and chocolate products. In Ghana, where Cargill has already achieved 100 percent traceability in its supply chain from farm to factory using these technologies, the company will continue to invest in GPS polygon mapping of new farms that have recently joined the Cargill Cocoa Promise program and are delivering cocoa through our Licensed Buying Company - Cargill Kokoo Sourcing Ltd.

Data from the deployment of GPS polygon mapping and electronic bean tracking solutions inform how Cargill designs and deploys its sustainability programs, in turn helping customers deliver on consumer demands for ethically sourced products. Cargill’s digital Coop Management System (CMS) ensures that farmers and farmer organizations are empowered to manage their operations and receive secure, timely payments for their beans through digital payment options.