Cocoa prices have risen steadily in recent years and are at or near record highs, representing a great opportunity for smallholder cocoa farmers.
Additionally, worldwide consumption of cocoa products continues to grow at about 2-3 percent or 60,000-90,000 MT per year. This includes steady growth in the area of dark and origin chocolates, which command premium prices.
Challenges Face Increased Market Demand
Projections show global production remaining behind the increasing demand, indicating that there is a clear need for expanded production of higher quality cocoa.
The cocoa sector, however, faces myriad challenges such as climate change, declining soil fertility, pests and diseases, and inefficient farming practices.
Sustainable and Competitive Cocoa Sectors Key for Growth
Recognizing the importance of the cocoa crop to smallholder farmers as well as the international cocoa industry’s need for diversified cocoa sources, ACDI/VOCA is addressing constraints to sustainable cocoa production and marketing to increase the competitiveness of the cocoa sector.
Strong Public-Private Alliances Benefit Farmers
ACDI/VOCA is a founding member of the Sustainable Cocoa Enterprise Solutions for Smallholders (SUCCESS) Alliance, which improves the livelihoods of smallholder farmers by promoting cocoa production and marketing in a way that is economically, environmentally, socially and culturally sustainable.
The SUCCESS Alliance receives funding from the United States Department of Agriculture, the United States Agency for International Development and from private sector partners. Private sector partners include the World Cocoa Foundation and its member companies. The alliance also includes various local governmental and nongovernmental organizations.
SUCCESS Alliance is active in Ecuador, Liberia, the Philippines and Vietnam, and ACDI/VOCA has integrated cocoa program components in Bolivia and Sierra Leone.
In addition, ACDI/VOCA’s affiliate Agribusiness Systems International (ASI) is a technical partner in Ghana and Liberia for the Cocoa Livelihoods Program, which is managed by the World Cocoa Foundation and funded by the Bill & Melinda Gates Foundation with additional cash and in-kind contributions from 12 cocoa industry partners.
- Ecuador – Local Business Development Project
- Indonesia – Agribusiness Marketing and Support Activity (AMARTA) II
- Jamaica – Jamaica Rural Economy and Ecosystems Adapting to Climate cHange (Ja REEACH)
- Liberia – Livelihood Improvement for Farming Enterprises (LIFE) II
- Philippines – CoCoPal Program
- Sierra Leone – Promoting Agriculture, Governance and Environment (PAGE)
- Vietnam – Sustainable Cocoa for Farmers
A Selection of Past Projects
- Bolivia – Integrated Community Development Fund (ICDF)
- Ecuador – Proneri
- Ecuador – SUCCESS Alliance
- Ecuador – Transmar Cocoa Project
- Indonesia – Global Development Alliance
- Indonesia – SUCCESS Alliance
- Indonesia – USDA 416(b) Program
- Liberia – Livelihood Improvement for Farming Enterprises (LIFE)
- Philippines – SUCCESS Alliance Phase II
- Vietnam – SUCCESS Alliance