ADM Cocoa & Swisscontact Distribute Premiums and Loyalty Bonuses to Individual Cocoa Farmer
East Kolaka, April 29, 2015—ADM Cocoa, in collaboration with Swisscontact’s Sustainable Cocoa Production Program (SCPP), distributes premiums for certified cocoa beans and loyalty bonuses for 739 MT traceable cocoa beans to the Koperasi Gabungan Gapoktan (KGG) cooperative. The combination of disbursing premium payments and utilizing a local cooperative as UTZ farm certificate holder brings the most possible benefits and added value to all parties involved: the industry, the cooperative and the cocoa farmers.
Over the past decade, consumers have become more aware of where their food comes from and how it is produced. Hence, the demand for certified and traceable cocoa beans is increasing to ensure that the products are grown and harvested in a responsible way.
In Southeast Sulawesi (Kolaka and East Kolaka), ADM SERAP has been collaborating with SCPP to train 6,000 cocoa farmer households by 2015 in environmentally friendly cocoa farming, good nutritional practices, and applying prudent financial practices, including certification. SERAP stands for “Socially and Environmentally Responsible Agricultural Practices”, an approach launched by ADM Cocoa and implemented by SCPP to ensure a sustainable future for cocoa farming. The overall goal of the program is to create jobs, ensure safe and healthy working conditions, protect the environment, enhance farmers’ productivity and increase their income, and ultimately improve their livelihood. The program has already become a success story and point of reference for future projects. By March 2015, 5,015 farmers were trained, 2,033 of them were certified using the local cooperative KGG as certification holder, and a cocoa production increase of 61% on average was achieved.
“We believe that traceability and transparency along the cocoa bean supply chain are crucial to promoting sustainable cocoa production. This program is a benchmark for utilizing farmer cooperatives as certificate holders to ensure sustainable farm management and pass the full benefits of farm certification on to cocoa farmers,” according to Peter Ng, Director of Trade & Sustainability ADM Cocoa Asia.