By Stephen Nakrosis


Mondelez International Inc. said it would increase investment in the Cocoa Life Program, which is designed to, among other things, secure supplies of sustainable cocoa.

The company also called for "more sector-wide effort and actions to drive greater impact, including new private-public partnerships, as we aim to catalyze ground-breaking collaboration to help move cocoa forward together," said Dirk Van de Put, Mondelez' chairman and chief executive.

New Investments

The company said it would give an additional $600 million to Cocoa Life through 2030, for a total $1 billion investment since the start of the program.

Along with securing a supply of sustainable cocoa, Mondelez said the program aims to "tackle the root causes of systemic issues in cocoa including farm productivity, farmer livelihoods, community development, and helping combat child labor and deforestation."

Currently, there are over 200,000 farmers involved in the program, Mondelez said.

Results

Ten years after the start of the program, farmer net incomes have increased 15% in Ghana and 33% in Cote d'Ivoire, Mondelez said. The company also said "cocoa yields are higher, with double-digit percentage increases in farmers earning a living income."

In West Africa, 61% of the Cocoa Life communities are covered with Child Labor Monitoring and Remediation Systems, Mondelez said, adding it has a goal to reach 100% by 2025.

Future Plans

The company said lessons from the prior ten years - including focusing on enabling farmers to increase their income and accelerating innovation in cocoa production - will help it accelerate its Cocoa Life Program.

Focus areas for the program include farmer income, child protection and education and "helping to strengthen deforestation monitoring systems, promote agroforestry and make forest conservation more attractive," Mondelez said.

Christine Montenegro McGrath, the company's chief impact and sustainability officer, said "we are passionate about helping to drive lasting change across the whole cocoa sector and are doubling down on Cocoa Life's integrated approach because we know only a sector-wide long-term strategy, supported by action by all industry players, producing and consuming governments, and civil society will lead to lasting impact."


Write to Stephen Nakrosis at stephen.nakrosis@wsj.com


(END) Dow Jones Newswires

10-25-22 1850ET