World Cocoa Foundation facts for kids

The World Cocoa Foundation (WCF) is a non-profit group of over 90 companies. These companies work to make the cocoa supply chain more sustainable. This means they want to make sure cocoa is grown and sold in a way that helps people and the planet.

However, the WCF and its members have faced criticism. Some people say they have not done enough to stop child labor, deforestation, and extreme poverty. Critics have called their efforts "a remarkable failure." WCF members include big chocolate makers like Mondelez International, Nestlé, The Hershey Company, and Mars, Inc.. It also includes cocoa suppliers like Barry Callebaut and Cargill, plus shipping companies and retailers like Starbucks.

History of the World Cocoa Foundation

The World Cocoa Foundation started in 1995. It was an idea from the Chocolate Manufacturers Association (CMA). Back then, it was called the International Cocoa Research and Education Foundation.

On August 14, 2000, its name changed to the World Cocoa Foundation. The CMA itself later closed down in 2008. It became part of the National Confectioners Association.

In 2022, a report called the Cocoa Barometer pointed out something important. It noted that the WCF's board of directors was not very diverse. It said, "Of the sixteen board members of the World Cocoa Foundation, not one is from West Africa. None are black."

WCF Initiatives for Sustainable Cocoa

The World Cocoa Foundation aims to create a strong, fair, and healthy cocoa industry. They want to help farmers earn more money. They also work to stop trees from being cut down and to end child labor.

Some studies have looked at how much money chocolate companies invest in these efforts. One study estimated it was about 0.5% of their total sales from cocoa and chocolate. This study said this amount was "not much." It also suggested that the pay for top company leaders was similar to or even more than the money invested in helping cocoa farmers. For fighting child labor, one estimate found companies invested only 0.1% of one year's sales.

Efforts to Combat Child Labor

In 2019, the WCF announced a plan called Children First. This plan aimed to stop all forms of child labor by 2025. However, this initiative has not yet officially started.

Child labor in cocoa farming is a serious problem. It is still very common and has not decreased much over many years. One activist called it a "criminal tragedy."

A 2019 investigation by The Washington Post found something troubling. It reported that Mars, Nestlé, and Hershey promised almost 20 years ago to stop using cocoa picked by children. Yet, much of the chocolate people buy still comes from child labor. The report described children from Burkina Faso working in terrible conditions. They were harvesting cocoa in Côte d’Ivoire.

A 2020 report from NORC at the University of Chicago showed that child labor in cocoa farming had actually increased. This was true in Côte d’Ivoire and Ghana. The Washington Post said these findings showed a "remarkable failure" by chocolate companies. They had not kept their promise to remove child labor from their supply chains. The WCF President, Richard Scobey, responded to these findings. The Washington Post noted he "identified no industry failures." Instead, he suggested that the goals for reducing child labor might have been too ambitious.

Companies on the WCF board have said their chocolate is free of child labor. But news investigations have often found child labor in their supply chains.

In 2022, a British TV show called Channel 4 Dispatches investigated. They found children as young as 10 working on farms in Ghana. These farms supplied cocoa for Cadbury's, a brand of Mondelēz International. The investigation visited an address listed on Mondelēz’s Cocoa Life website. There, they found child laborers harvesting cocoa without safety gear. In 2023, a CBS television news investigation found children as young as five working in Ghana. They were in the supply chain for Mars, harvesting cocoa for brands like Snickers and M&Ms.

The chocolate industry has set deadlines to end child labor many times. They missed deadlines in 2005, 2008, 2010, and 2020. These repeated failures have led to a lot of criticism. It makes people wonder if they truly intend to solve the problem.

Improving Farmer Income

From 2001 to 2012, the World Cocoa Foundation managed projects to help farmers earn more. These projects received some money from the United States Agency for International Development. In 2009, the WCF received a large grant of $23 million from the Bill and Melinda Gates Foundation. This money was meant to help farming families earn more. It aimed to do this by improving cocoa crop growth and quality. It also encouraged farmers to grow other crops. In 2014, the Gates Foundation gave another $8.9 million grant. This money also aimed to improve the lives of farmers in West Africa.

The CocoaAction program started in June 2014 and ended in 2019. It was a voluntary effort by leading cocoa and chocolate companies. They wanted to improve farmer incomes and make cocoa farming more sustainable. The World Cocoa Foundation helped these companies work together. By 2019, nine companies were part of CocoaAction. These included Barry Callebaut, Blommer Chocolate Company, Cargill, Ferrero, The Hershey Company, Mars, Inc., Mondelez International, Nestlé, and Olam International. These are some of the biggest cocoa and chocolate companies in the world. They worked through CocoaAction to coordinate their efforts in Côte d'Ivoire and Ghana.

A 2020 review by KPMG said CocoaAction "did not fully reach its targets." It aimed for 300,000 farmers to use all parts of its "Productivity Package" by 2020. But only 1,165 farmers did so. This was less than one percent of the goal. The program did reach more than 1,200 communities with its "Community Development Package." However, this only meant they assessed the needs, not that they fully completed all projects. KPMG noted that the overall plan for CocoaAction was made with little input from outside groups. Also, the governments of the cocoa-producing countries were not involved enough. This meant they did not feel ownership of the program. KPMG also noted that CocoaAction struggled because the WCF's support and company participation decreased over time.

In 2018, the WCF started CocoaAction Brasil. It played a similar role there as it did in West Africa.

In 2022, Côte d’Ivoire and Ghana did not attend the WCF Partnership Meeting. They were upset about falling cocoa prices and how it affected farmers' earnings. The 2022 Cocoa Barometer stated that problems in cocoa farming would continue. This would happen until companies paid farmers much more for their cocoa beans. Antonie Fountain, a director, said, "You cannot have sustainable cocoa without higher prices for farmers." WCF President Chris Vincent said cocoa prices were not something the WCF could control. He explained that laws prevent companies from discussing prices together.

Reversing Deforestation

In 2018, the World Cocoa Foundation launched the Cocoa & Forests Initiative. This effort had support from The Prince of Wales. The Cocoa & Forests Initiative brings together the governments of Ghana, Côte d'Ivoire, and Colombia. It also includes thirty-five chocolate and cocoa makers. Founding members include The Hershey Company, Nestle, and Mondelez International. Two main parts of this initiative are mapping farms and giving out tree seedlings. This helps increase tree cover.

The World Cocoa Foundation reported progress in the first four years of this initiative. However, an environmental group called Mighty Earth said there was still much to improve. Glenn Hurowitz, CEO of Mighty Earth, stated that chocolate companies need to do more. He urged them to work with governments to create a clear system for monitoring deforestation.

A review by Reuters of the Cocoa & Forests Initiative's first five years found it had not done enough. It said the initiative had not stopped cocoa farming from destroying forests. Reuters pointed to a lack of money, difficulty in tracking cocoa, and companies not working together enough. These were seen as key problems.