The partnership has been welcomed by Fairtrade America as a sign that Guylian is ready to help participating West African cocoa farmers achieve a fair living wage. Fairtrade America points out that the global cocoa and chocolate industry is worth USD 48.29 bn and is expected to grow. In contrast, cocoa farmers in Ghana and Ivory Coast – the world’s two leading cocoa producers – earn less than USD 1 per day, well below the UN extreme poverty line.
To make matters worse, the value of the local currency has fallen due to inflation, while production costs (e. g. for fertilizer) have risen dramatically. Nothing has changed in the already low prices paid to farmers.
The Guylian development is a positive step in the right direction and will result in cocoa farmers in the company’s supply chain receiving the Fairtrade minimum price. In addition, the agreement is expected to generate an additional USD 500,000 in Fairtrade premiums.