Workshop on Closing the Gap in Actual Income of Cacao Farmers in Central Sulawesi

Luwu, 15 - 17 April 2025 – Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) Indonesia, Cocoa Sustainability Partnership (CSP), and Circle Indonesia have held a Workshop and Workplan Discussion for Closing the Gap in Actual Income and Living Income Benchmark for Cacao Farmers in Central Sulawesi.

The event is a follow-up to a study on the actual income gap and the benchmark of reasonable farmers’ income. The study found that cacao farmers are greatly influenced by market price rather than farm productivity, showing there is a need to enhance farmers’ readiness towards price changes.

The workshop presented that non-cacao has a <15% contribution to farmers’ income. Considering that cacao as a primary source of income is susceptible to pests, diseases, and climate change, there is a need to develop strategies and action plans to safeguard farmers’ welfare and increase cacao productivity in Central Sulawesi. 

Moreover, the research also recommended that there is a need to develop farmers’ organizations to bridge smallholder farmers to financing and market access. To further empower farmers and increase cacao production, there is still a need for increased knowledge, management, and adoption of Good Agricultural Practices (GAP). Assistance programs can be rolled out to maximize the farm’s potential, which all stakeholders, such as the government, non-government, industry, and academia, can support.

The workshop is attended by participants representing Central Sulawesi, Sigi Regency, and Poso Regency Governments, in addition to representatives from Cacao Farmers, the Industry, and Development Partners.