Chocolatier-ing: The Heart of exploitative Embeddedness
Embeddedness Unveiled: Chocolatiers' Influence, Vertical Integration, and exploitative Partnerships in the Cocoa-Chocolate Value Chain
In the concluding part of our series on embeddedness within the cocoa-chocolate value chain, we delve into Chocolatier-ing' as a critical node, where the embeddedness dynamics take centre stage. This is the juncture where choices and decisions send ripples throughout the entire chain, impacting everyone from processors to farmers. However, unlike other stakeholders in the chain who possess a degree of adaptability, farmers frequently find themselves burdened with the repercussions of these choices. In this article, we will navigate chocolatiers' various strategies to embed themselves within the value chain, preserving their dominance, control, and the narrative they wish to present to stakeholders.
The Ripple Effect: Chocolatiers and Sustainability
Chocolatiers, predominantly rooted in the West, wield substantial influence over the cocoa-chocolate value chain. When sustainability concerns emerge, it is typically chocolatiers who respond first. However, the weight of these concerns often trickles upstream. Chocolatiers pass the sustainability burden onto processors, who, in turn, transfer it to farmers. Regrettably, farmers find themselves ill-equipped to distribute this burden further. A case in point is the mounting concern among Western environmentalists regarding cocoa farms contributing to deforestation.
In this scenario, chocolatiers, viewed as the primary buyers of cocoa beans, are tasked with ensuring that their chocolates are not produced from cocoa beans cultivated in areas linked to deforestation. The complex part is that chocolatiers are not the cocoa bean growers, but this nuance is often lost in the dialogue. Consequently, every environmental demand is shifted upstream to cocoa-producing countries, ultimately affecting smallholder cocoa farmers. Chocolatiers employ diplomatic channels to communicate these expectations, primarily through independent sustainability initiatives such as Fairtrade and Rainforest Alliance and corporate sustainability programs like Cargill's Cocoa Promise and Barry Callebaut's Cocoa Horizons.
As a countermove, Western governments adopt policies designed to combat deforestation concerns, frequently targeted at cocoa-producing nations. This intricate interplay of interests places cocoa farmers, particularly smallholders who comprise over 90% of global cocoa growers, in a precarious position. These farmers often live below the poverty line and lack the economic leverage to resist or oppose externally imposed sustainability initiatives. Unlike certain commodities, Cocoa is predominantly demanded by the West, which grants Western stakeholders significant leverage in shaping the industry's rules.
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