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Low incomes despite record cocoa prices: Easter bunny check shows alternatives

Low incomes despite record cocoa prices: Easter bunny check shows alternatives

Major challenges in the cocoa industry underline the importance of fair production and trading conditions for the cocoa farming families in the countries of origin.

Vienna (OTS) The winners of the new Easter Bunny Check have been announced. All products in the top positions again bear the FAIRTRADE seal. This once again underlines the effectiveness of the FAIRTRADE standards in chocolate production and their contribution to improving the social, economic and ecological living conditions of cocoa farming families.

These in particular are facing major challenges despite the currently high raw cocoa prices. In the past, farming families received little money for a lot of cocoa. Actually, they should now receive a higher price for their much smaller harvests, but the reality is different. “Farming families must honor long-term contracts that do not cover current price increases. At the moment it is not possible to earn nearly enough money to achieve a living income.”says Hartwig Kirner, Managing Director of FAIRTRADE Austria. On the contrary: financially poorly equipped farming families are the big losers in current developments.

Jon Walker, Senior Advisor for Cocoa at Fairtrade International, comments on the current situation: “The underlying causes of high global prices are worrying. The dramatic increase is the result of declining supply. This was triggered by crop failures due to plant diseases, the effects of the climate crisis and rising production and living costs.” It remains to be seen whether supply will recover or whether the current trend will continue. “We have long believed that the cycle of rising and falling prices for small-scale farming families is unsustainable. They need more stability in their income to be able to invest in their businesses and adapt to climate change. Higher prices offset by lower productivity only lead to uncertain incomes, keeping farming families in poverty and endangering the future of cocoa,” Walker further analyzes.

In times like these, fair trade is particularly important. The FAIRTRADE premium strengthens rural communities in difficult times and supports them on the way to a living income.

There is still a need for action at the political level. “The new guidelines that are being introduced and discussed in Europe, such as deforestation and corporate due diligence, are urgently needed, but will also increase costs for cocoa farming families,” says Kirner. “Strong partnerships and co-investments are key to weathering price shocks and securing more sustainable cocoa supply chains,” concluded Kirner.

On the subject of cocoa, FAIRTRADE Austria will be in parliament on March 21st. The pillared hall of the House of Representatives forms the framework for an exhibition on fair trade, which will be opened by National Council President Wolfgang Sobotka. FAIRTRADE Austria will be represented by Managing Director Hartwig Kirner and Chairwoman Johanna Mang.

Additional Information:

About the test result: The EZA chocolate bunny from the world shops, the Billa organic Easter bunnies, the Veggie and Natur Pur organic Easter bunnies from Spar, the BIO Natura chocolate bunny from Hofer, the Riegelein organic FAIRTRADE Easter bunny and the noble bitter bunnies from Berger Confiserie are among those chocolate bunnies , which performed particularly well in the assessment by the experts from Südwind and Global 2000.
You can find the full results of the Easter Bunny Check here.

FAIRTRADE is the world’s leading certification system in which producers benefit from a minimum price and a precisely defined premium.

FAIRTRADE-Standards: enable the producer organizations to design the necessary processes and offer additional support through the FAIRTRADE producer networks, for example through training, awareness-raising and advice directly on site

FAIRTRADE minimum price & premium: Higher prices and the additional premium lead to an improvement in the living situation of people in the south. This positive effect supports the strategy of risk-reducing procurement and sustainable purchasing practices that companies need.

Questions & Contact:

FAIRTRADE Austria
presse@fairtrade.at

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