Chocolate Crisis

The world’s appetite for chocolate has reached record levels. People ate 7.1 million tons of the sweet stuff in 2015 alone. We’re consuming chocolate faster than farmers can grow cocoa, chocolate’s key ingredient. In fact, while demand is up, supply is down. 

A labor- and time-intensive crop, cocoa is difficult to cultivate even in the best conditions. And now the cocoa industry in the West African nations of Côte d’Ivoire and Ghana—the world’s top cocoa producers—is facing serious threats, including diseased crops and drought. Prospects for cocoa farmers in these nations are so bleak that young adults there are abandoning cocoa farming altogether. This has raised concerns over who will grow cocoa in the future.

To keep the world supplied with the chocolate it craves, leading cocoa and chocolate companies, including Mars, Hershey, and Nestlé, recently agreed to invest $1 billion to improve cocoa farming practices. Through a plan called CocoaAction, they are working to help 300,000 cocoa farmers in Côte d’Ivoire (also known as Ivory Coast) and Ghana, teaching them new farming techniques and providing them with more modern equipment. They’re also aiming to improve life in 1,200 West African communities where many cocoa farmers live. 

The companies hope their efforts will help cocoa farmers and their families—and protect one of the world’s most beloved treats, explains Tim McCoy. He is a director at the World Cocoa Foundation, the group organizing CocoaAction. 

“If those farms in Ivory Coast and Ghana went away,” McCoy says, “there would not be enough cocoa in the world to satisfy the demand for chocolate.” 

The world’s appetite for chocolate has reached record levels. People ate 7.1 million tons of the sweet stuff in 2015 alone. We’re consuming chocolate faster than farmers can grow cocoa. That is chocolate’s key ingredient. In fact, while demand is up, supply is down. 

Cocoa is a labor- and time-­intensive crop. It is difficult to cultivate even in the best conditions. And now the cocoa industry in the West African nations of Côte d’Ivoire and Ghana—the world’s top cocoa producers—is facing serious threats, including diseased crops and drought. Prospects for cocoa farmers in these nations are so bleak that young adults there are abandoning cocoa farming altogether. This has raised concerns over who will grow cocoa in the future.

To keep the world supplied with chocolate, Mars, Hershey, Nestlé, and other leading chocolate companies recently agreed to invest $1 billion to improve cocoa farming practices. Through a plan called CocoaAction, they are working to help 300,000 cocoa farmers in Côte d’Ivoire (also known as Ivory Coast) and Ghana. The companies are teaching growers new farming ­techniques and providing them with more modern equipment. They’re also aiming to improve life in 1,200 West African communities where many cocoa farmers live. 

The companies hope their efforts will help cocoa farmers and their families, and protect one of the world’s most beloved treats, explains Tim McCoy. He is a director at the World Cocoa Foundation, the group organizing CocoaAction. 

“If those farms in Ivory Coast and Ghana went away,” McCoy says, “there would not be enough cocoa in the world to satisfy the demand for chocolate.” 

Cocoa is a powder or paste made from dried, crushed cocoa beans—the seeds of the cacao (kuh-KOW) tree. Cacao trees, which take about five years to reach peak production, grow in countries close to the equator—an imaginary line that circles the middle of the globe, where Earth is at its hottest. 

Each tree bears a few dozen fruit-like pods annually. Each pod holds up to 50 cocoa beans. It takes about 400 beans to make one pound of chocolate. So if a tree were to produce 48 pods, it would yield only up to six pounds of chocolate per year. 

Farmers harvest and dry the beans, which are then sold to chocolate manufacturers. The beans are cleaned, roasted, and ground into a paste. Manufacturers mix the paste with sugar, milk, and other ingredients to make chocolate. 

However, companies are using cocoa to produce more than just candy and other sweets. Today, cocoa is used in everything from potato chips to pasta. Some companies even use cocoa or chocolate in soaps, lotions, and toothpaste. 

Cocoa is a powder or paste made from dried, crushed cocoa beans, the seeds of the cacao (kuh-KOW) tree. Cacao trees take about five years to reach peak production. They grow in countries close to the equator. That’s an imaginary line that circles the middle of the globe where the Earth is at its hottest. 

Each tree bears a few dozen fruit-like pods annually. Each pod holds up to 50 cocoa beans. It takes about 400 beans to make one pound of chocolate. So if a tree were to produce 48 pods, it would only yield up to six pounds of chocolate per year. 

Farmers harvest and dry the beans, which are then sold to chocolate makers. The beans are cleaned, roasted, and ground into a paste. Manufacturers mix the paste with sugar, milk, and other ingredients to make chocolate. 

However, companies are using cocoa to produce more than just sweet treats. Today, cocoa is used in everything from potato chips to pasta. Some companies even use cocoa or chocolate in soaps, lotions, and toothpaste.

In recent years, as demand for chocolate has increased, maintaining the world’s cocoa supply has become difficult. One reason chocolate consumption is up is that people in China and India—the world’s two most populous countries—are eating more of it than ever before. Long considered a luxury in those nations, chocolate has become more affordable for many people as the economies of both countries have grown.

At the same time, cocoa is a really tough crop to grow. Farmers around the world—including in West Africa, Indonesia, Ecuador, and Brazil—face challenges. In West Africa, many use outdated planting methods. They also have little access to fertilizer to boost crop production. 

In recent years, demand for chocolate has increased. That has made maintaining the world’s cocoa supply difficult. One reason chocolate consumption is up is that people in China and India—the world’s two most populous countries—are eating more of it than ever before. Chocolate was long considered a luxury in those nations. But as the economies of both countries have grown, more people can afford to buy the sweet stuff.

At the same time, cocoa is a tough crop to grow. Farmers around the world, including in West Africa, Indonesia, Ecuador, and Brazil, face challenges. In West Africa, many use outdated planting methods. They also have little access to fertilizer to boost crop production. 

Aging trees—which produce fewer pods—and tree diseases are also problems. In Côte d’Ivoire and Ghana, insect-borne and fungal infections often destroy cacao trees or limit their production. Many farmers either don’t have access to or can’t afford pesticides that might keep infections at bay.

“Diseases steal about 30 to 40 percent of the crop every year,” estimates Mark Guiltinan, a cacao expert and biology professor at Pennsylvania State University. 

Weather is also taking a toll. Much of Africa has been facing its worst drought in three decades. Cacao trees need a consistent amount of rain to thrive. Many farmers have seen their production fall because of a lack of rainfall.

Aging trees, which produce fewer pods, and tree diseases are also problems. In Côte d’Ivoire and Ghana, insect-borne and fungal infections often destroy cacao trees or limit their production. Many farmers either don’t have access to or can’t afford pesticides that might keep infections at bay.

“Diseases steal about 30 to 40 percent of the crop every year,” estimates Mark Guiltinan. He’s a cacao expert and biology professor at Pennsylvania State University. 

Weather is also taking a toll. Much of Africa has been facing its worst drought in three decades. Cacao trees need a consistent amount of rain to thrive. Many farmers have seen crop production fall because of a lack of rainfall.

Cocoa farmers are also suffering. Some farmers earn as little as 50 cents a day, even though chocolate is a multibillion-dollar industry. They often live in areas with little infrastructure, so their families lack access to schools and health care. 

In the face of such a grim future, many young adults are heading to cities in search of better jobs, rather than continuing the family tradition of harvesting cocoa. The worker shortage—combined with the fact that many farmers cannot afford to pay a crew’s wages—has led some to resort to cheap child labor, which CocoaAction is working to stop.  

The problems have created a perfect storm that, if left unaddressed, could lead to a severe cocoa shortage—and soaring prices. The price of cocoa beans has already increased by nearly 40 percent from 2012 to 2016. To offset the rising costs, some chocolate companies are increasing prices. They’re also shrinking the size of their candy bars and may end up adding more ­fillings, such as nuts and caramel.

Cocoa farmers are also suffering. Some earn as little as 50 cents a day, even though chocolate is a multi­billion-dollar industry. Growers often live in areas with little infrastructure. That means their families may lack access to schools and health care. 

In the face of such a grim future, many young adults are giving up the family tradition of harvesting cocoa. Instead, they’re heading to cities in search of better jobs. The worker shortage, along with the fact that many farmers cannot afford to pay a crew’s wages, has led some to resort to cheap child labor.  

If these problems are left unaddressed, they could lead to a severe cocoa shortage—and soaring prices. The price of cocoa beans has already increased by nearly 40 percent from 2012 to 2016. To offset the rising costs, some chocolate companies are increasing prices. They’re also shrinking the size of their candy bars and may end up adding more fillings, such as nuts and caramel.

With the CocoaAction plan, the companies are trying to tackle these challenges head-on. They recently started sharing data on their farming practices and crop yields in an effort to increase cocoa production. 

The partnership has also sent teams of experts to West Africa to advise farmers on better ways to work. In Côte d’Ivoire, Mars is working to create farming centers where farmers can obtain the tools and training to boost their cocoa yields. 

In Ghana, Hershey has been text­ing farmers with tips, such as the best time to apply fertilizer. According to McCoy, cell phone use is fairly widespread there. Texting has been a successful way to reach farmers.

Still, even if methods improve, CocoaAction officials warn, cocoa farming will be sustainable only if the people who grow the crop benefit from it. To that end, Nestlé and other companies are helping to build better schools in farming communities to encourage families to stay. CocoaAction members are also working to change young people’s perceptions of the cocoa industry. 

“Our challenge is to show that if farmers apply the new agricultural practices, they can produce greater amounts of cocoa, and their income will be much higher,” McCoy says. “[Then] they will have the resources to feed their families, to pay school fees, to improve their houses.” 

With the CocoaAction plan, the companies are trying to tackle these challenges. They recently started sharing data on their farming practices and crop yields in an effort to increase cocoa production. 

The partnership has also sent teams of experts to West Africa to advise farmers on better ways to work. In Côte d’Ivoire, Mars is working to create farming centers where farmers can obtain the tools and training to boost their cocoa yields. 

In Ghana, Hershey has been texting farmers with tips, such as the best time to apply fertilizer. According to McCoy, cell phone use is fairly widespread there. Texting has been a successful way to reach farmers.

Still, even if methods improve, CocoaAction officials warn that cocoa farming will be sustainable only if the people who grow the crop benefit from it. To that end, Nestlé and other companies are helping to build better schools in farming communities. They hope that will encourage families to stay. Cocoa­Action members are also working to change young people’s perceptions of the cocoa industry. 

“Our challenge is to show that if farmers apply the new agricultural practices, they can produce greater amounts of cocoa, and their income will be much higher,” McCoy says. “[Then] they will have the resources to feed their families, to pay school fees, to improve their houses.” 

The CocoaAction initiative has shown some results. Côte d’Ivoire produced record cocoa crops the past two growing seasons. The teams in Ghana hope to achieve the same success there. 

However, even with Côte d’Ivoire’s increased crop, officials say both countries are producing just one-third of their total possible yield. It’s also unclear whether CocoaAction’s efforts will convince younger cocoa farmers to stay.

For now, experts remain optimistic. Guiltinan, the professor from Pennsylvania, hopes that more people will want to plant cacao trees as farming conditions in West Africa continue to improve.

Just don’t expect the price of chocolate to drop anytime soon. “These farmers work really hard in really difficult conditions,” Guiltinan says. “We owe it to them to pay a little bit more.”

The CocoaAction plan has shown some results. Côte d’Ivoire produced record cocoa crops the past two growing seasons. The teams in Ghana hope to achieve the same success there. 

However, even with Côte d’Ivoire’s increased crop, officials say both countries are producing just one-third of their total possible yield. It’s also unclear whether CocoaAction’s efforts will convince younger cocoa farmers to stay.

For now, experts remain optimistic. Guiltinan, the professor from Pennsylvania, hopes that more people will want to plant cacao trees as farming conditions in West Africa continue to improve.

Still, don’t expect the price of chocolate to drop anytime soon. “These farmers work really hard in really difficult conditions,” Guiltinan says. “We owe it to them to pay a little bit more.”