MT. OLIVE, NJ AND BONN, DE – Mars Chocolate and Fairtrade International today announced a new agreement to introduce the first Fairtrade labeled Mars product and to work together to enable farmers to have sustainable livelihoods and substantially increased productivity.
At the heart of the agreement is a shared ambition to make commodity certification that supports sustainable livelihoods for farmers the norm in the cocoa industry. Over the long-term, Mars will explore how best to scale up its purchases of Fairtrade cocoa and will support Fairtrade’s continued efforts to develop measures that would allow more confectionery companies to increase their commitments to purchase more Fairtrade cocoa with the aim of impacting the lives of more cocoa farmers than ever before.
As part of the initial phase of the agreement, the first Mars product to carry the FAIRTRADE Mark will be MALTESERS®, to appear in stores in 2012 in the UK and Ireland, a move that will contribute more than US$1 million annually in Fairtrade Premium funds for cocoa farmers to invest in their farms, business organizations and communities.
“This agreement is a big step towards fulfilling our shared mission to empower farmers to build vibrant, sustainable livelihoods, and we’re very excited to work with Fairtrade on ways to enable commodity certification to scale across the entire industry,” said Barry Parkin, Mars Global Chocolate Vice President. “This commitment is our recognition of Fairtrade’s history of dedication to smallholder farmers and their efforts to enable farmer productivity and income improvements.”
In addition, Fairtrade and Mars will work to take advantage of their common interests and expertise to explore how improve the productivity, quality, labor and community development benefits they can bring to farmers. Cocoa farmers stand to benefit immensely from the partners’ combined experience – Mars’ expertise in technical support to improve yield and Fairtrade’s expertise in building farmer organizations.
“We’re excited about this agreement’s potential to transform the lives of thousands of small-scale cocoa farmers,” says Rob Cameron, CEO of Fairtrade International. “Through Fairtrade certification, we’ve seen how farmers’ organizations can use the additional investment from Fairtrade cocoa sales to tackle the problems they face – from projects to improve their farming methods and the quality of the cocoa they produce, to schooling for their children and health facilities in their villages. But the needs are still so great. That’s why working with Mars is so important – together we have the potential to have real measurable impact on the ground.”
Current annual world production of cocoa is around 3.5 million metric tons, and by 2020 the chocolate confectionery industry will need at least 4.5 million metric tons. To satisfy demand, cocoa farmers need industry support to invest in overcoming the challenges of ageing cocoa trees, low productivity and lack of confidence in cocoa farming among the young. Yet as of 2009, certified cocoa represented just over 1% of total purchases.
Mars was the first major confectionery company to commit to purchasing only certified cocoa. In the future, demand for certified cocoa must be met by an efficient, effective and reliable system of farmer training, auditing and supply chain management. Further, a much greater proportion will need to be certified by 2020 to allow the market to bear additional large-scale certified purchasing commitments, and, more importantly, to have a positive impact on many more of the 5 to 6 million farmers who cultivate cocoa.
Both Mars and Fairtrade believe that empowering farmers to drive change is the most effective way to achieve true sustainability. Fairtrade is working with tens of thousands of cocoa farmers in West Africa and, with the additional income from the Fairtrade Premium, Fairtrade farmers’ groups have hired agronomists, invested in farm-level productivity and built warehousing and processing facilities. They are funding community development by providing clean water, free health insurance and scholarships for children.
Mars is guided by its principle of creating “mutual benefits” for partners throughout the supply chain, including farmers. Apart from committing to sourcing only certified cocoa by 2020, Mars has also released an annotated map of the cocoa genome into the public domain and will invest heavily in Côte d’Ivoire and other major cocoa producing countries over the next decade to provide hundreds of thousands farmers with the tools, material and training necessary to dramatically increase yield and, by extension, farmer income.
Michael Nkonu, Director of Fairtrade Africa, which represents farmers and producers across Africa, says: “We’ve been working hard to support and strengthen our networks of Fairtrade certified cocoa farmers in West Africa. Many farmers in the Ivory Coast region are still struggling to re-establish their lives and build up their farms following the recent troubles. This agreement couldn’t be more timely, and will help enable a better future for farmers.”
Fairtrade is a global movement and product certification with a people first approach to trade. Fairtrade offers farmers and workers a better deal and an opportunity to improve their lives and invest in their future. Over 6 million people (farmers, workers and their family members) in 60 countries directly benefit from the international Fairtrade system. Local/national Fairtrade organizations promote Fairtrade to consumers in 25 countries across Europe, North America, Asia, Africa and Australia/New Zealand.
Fairtrade International is a global non-profit organization that works with farmers and workers to improve lives through fairer trade. We lead the Fairtrade system, develop the Fairtrade Standards and support producers. Fairtrade International owns the FAIRTRADE Certification Mark, a registered trademark recognized around the world.
For more information see www.fairtrade.net.
About Mars, Incorporated
In 1911, Frank C. Mars made the first Mars candies in his Tacoma, Washington kitchen and established Mars’ first roots as a confectionery company. In the 1920s, Forrest E. Mars, Sr. joined his father in business and together they launched the MILKY WAY® bar. In 1932, Forrest, Sr. moved to the United Kingdom with a dream of building a business based on the philosophy of a “mutuality of benefits” for all stakeholders – this vision serves as the foundation of the Mars, Incorporated we are today. Based in McLean, Virginia, Mars has net sales of more than $30 billion and six business segments including Petcare, Chocolate, Wrigley, Food, Drinks and Symbioscience. More than 65,000 Associates worldwide are putting our Mars Principles in action every day to make a difference for people and the planet through our performance.
Mars brands include: Chocolate – M&M’S®, SNICKERS®, DOVE®, GALAXY®, MARS®, MILKY WAY® and TWIX®; Petcare – PEDIGREE®, WHISKAS®, SHEBA®, CESAR® and ROYAL CANIN®; Wrigley – ORBIT®, EXTRA®, STARBURST®, DOUBLEMINT® and SKITTLES®; Food – UNCLE BEN’S®, DOLMIO®, EBLY®, MASTERFOODS® and SEEDS OF CHANGE®; Drinks – ALTERRA COFFEE ROASTERS™, THE BRIGHT TEA CO.™, KLIX® and FLAVIA®; Symbioscience –SERAMIS®, CIRKU™ and COCOAVIA™.
For more information, please visit: http://www.cacaogenomedb.org/ or www.mars.com/cocoasustainability.
Fairtrade and Mars: Putting Farmers First
Fairtrade is the latest partner to join our effort to certify 100% of our cocoa as sustainably produced by 2020. When we announced our commitment in 2009, we became the first major chocolate manufacturer to do so, and since then more of our industry peers have stepped up to make similar commitments.
Today, we are now also the first major chocolate manufacturer to buy cocoa from all three major certifiers, and we’re excited to do more with UTZ, Rainforest Alliance and Fairtrade in the future. UTZ has already worked with us to introduce an UTZ certified BALISTO® bar in Germany and France, and Rainforest Alliance has supported us in certifying GALAXY® in the UK, MARS® Bar in Australia, and, most recently, DOVE® Dark in the U.S. Getting to 100% by 2020 is an ambitious goal, and we’re fortunate to have had partners like Rainforest Alliance and UTZ to help us create more impact at a larger scale. We remain committed to buying 100,000 metric tons of cocoa annually from each by 2020.
While we’re encouraged by our progress so far, we know that we can never be successful alone. To have a meaningful impact on the many millions of cocoa farmers in the world, we will need the support of the whole industry, both to increase the amount of certified cocoa that is purchased as well as to ensure that everything we do focuses on improving the farmers’ livelihood over the long term. This is why we are excited to work with Fairtrade, UTZ and Rainforest Alliance to encourage broader industry adoption of credible third party certification for cocoa as well as to explore the most effective ways to increase farmer productivity, and, by extension, income.
Like our work in Africa through the Vision for Change initiative, certification supports our overall strategy to put farmers first by emphasizing building sustainable livelihoods for farmers through increased productivity and income. In all our cocoa sustainability work, our primary goal, in support of bringing our Frive Principles to life, is to create a world in which cocoa farmers are able to prosper and enjoy mutual benefits along with Mars and the many other groups within the cocoa supply chain.