International Cocoa Organization

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The International Cocoa Organization (ICCO) is a global organization, composed of both cocoa producing and cocoa consuming countries with a membership. Located in London, ICCO was established in 1973 to put into effect the first International Cocoa Agreement which was negotiated in Geneva at a United Nations International Cocoa Conference. [1] There have since been seven Agreements. The Seventh International Cocoa Agreement was negotiated in Geneva in 2010 and came into force provisionally on 1 October 2012. [2]

The ICCO serves as a platform for stakeholders in the global cocoa industry to discuss topics relevant to international cocoa trade. It is a leading source of cocoa statistics globally, with data spanning nearly 70 years. Additionally, the ICCO offers expertise in cocoa market analysis and forecasting, project development and implementation, as well as capacity-building programs for its member countries. [3]

ICCO Member countries represent roughly 86% of world cocoa production and more than 72% of world cocoa consumption. All Members are represented in the International Cocoa Council, the highest governing body of the ICCO. [4]

The Consultative Board consists of fourteen international experts in the cocoa sector, all from the private sector (seven from cocoa producing Member countries and seven from cocoa consuming Member countries). However, the Board, whose mandate is as extensive as that of the International Cocoa Council and comprises all aspects of the world cocoa economy, only functions in an advisory capacity, as all final decisions are taken by the International Cocoa Council. The Consultative Board was established in recognition of the importance of the private sector in the world cocoa economy and of the increasingly important role that trade and industry have been playing in ICCO.

The ICCO also sets forth definitions within the cocoa industry to establish a common ground. Some notable terms include: Sustainable Cocoa Economy, Ethical Cocoa, Fine Flavour Cacao, and Cocoa year. [5]

International Cocoa Organization Members [6]
CountryStatusSignatureRatification/Approval/Acceptance
BrazilExporting Country7 June 2012–
CameroonExporting Country26 March 2012Provisional: 24 January 2013
Colombia [7] Exporting Country7 December 2021–
Congo (Democratic Republic)Exporting Country4 November 2011Provisional: 4 November 2011
Côte d'IvoireExporting Country20 September 2011Approval: 16 May 2012
Dominican RepublicExporting Country9 March 2012Provisional: 9 March 2012
EcuadorExporting Country25 September 2013–
GabonExporting Country18 January 2012Approval: 11 June 2013
GhanaExporting Country19 August 2011Ratification: 18 December 2012
GuineaExporting Country19 June 2012–
IndonesiaExporting Country12 September 2011Ratification: 13 November 2012
LiberiaExporting Country13 November 2012Acceptance: 17 January 2014
MadagascarExporting Country29 December 2015Provisional: 29 December 2015
MalaysiaExporting Country5 August 2013Ratification: 30 August 2013
NicaraguaExporting Country15 July 2013–
NigeriaExporting Country10 October 2018–
Papua New GuineaExporting Country21 April 2016–
PeruExporting Country4 March 2014Ratification: 12 May 2016
Sierra LeoneExporting Country1 October 2012–
TogoExporting Country19 September 2011Ratification: 22 June 2012
Trinidad and TobagoExporting Country24 September 2012–
Venezuela (Bolivarian Republic of)Exporting Country27 June 2016–
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Russian FederationImporting Country1 October 2014Ratification: 29 January 2016
SwitzerlandImporting Country22 December 2010Ratification: 12 May 2011

Overview

The International Cocoa Organization (ICCO) was established in 1973 to put into effect the first International Cocoa Agreement which was negotiated in Geneva Switzerland at a United Nations International Cocoa Conference [8] . The International Cocoa Organization is a global organization composed of both cocoa producing and cocoa consuming countries with a membership [9] Formerly, ICCO was headquartered in England London [10] but on September 25, 2015, the International Cocoa Council (ICC) which is the highest authority, unanimously approved the relocation of ICCO from London England together with its secretariat to Abidjan, Cote d'lvoire [11] . This was done in order to be closer to major Cocoa producing regions [12]

The reason why originally ICCO was headquartered in London lies in the fact that in the 19th century the Quaker businessmen entered the Cocoa business and used their skills to improve the living conditions for factory workers as well as making both chocolate and Cocoa inexpensive and available to the locals [13] . Since ICCO establishment in 1973, there have since been seven ICCO Agreements. The Seventh International Cocoa Agreement was negotiated in Geneva in 2010 and came into force provisionally on 1 October 2012. [14]

Governance

The ICCO Secretariat is the executive body tasked with the responsibility for implementation of the Organization's five year strategic plan based in the organization's headquarters in Abidjan Cote d'lvoire. The Secretariat reports to the International cocoa council while the Administration and Finance Committee, economic committee as well as the Private Sector (consultative) Board are all under the Secretariat according to the ICCO Structure [15]

Quarterly Bulletin of Cocoa Statistics (QBCS) provides reliable and up-to-date data analysis of Cocoa economy since 1960 on both Cocoa producing and Cocoa consuming countries According to ICCO QBCS most recent revised forecasts for the year 2023/2024 global productions and grindings declined by -11.7% to 4.461 million tonnes and by -4.3% to 4.855 million tonnes [16] Cote d'lvoire is the world's leading cocoa producing country followed by Ghana. Ghana produces the most quality Cocoa seeds by the help of Quality Control Company QCC which is a subsidiary of COCOBOD [17] . COCOBOD had played a significant role to tremendous increment in Cocoa production in Ghana as it gains its support measures from the Ghanaian government.

ICCO Challenges

Human slavery and child labor are some of the current challenges that ICCO is battling to solve in west Africa specifically Ivory Coast and Ghana. Young boys and girls as young as 12 to 16 years old are lured from their homes then sold to cacao plantation owners in Ivory Coast where they worked as field hands, domestic workers and even prostitutes. In 2001, 40% of Chocolate consumed in the developed world was produced by child slavery and up to 1 million children in both Ghana and Ivory Coast as young as 10 years old are estimated to have been working on harvesting farms of cacao beans who had never attended school. ICCO in partnership with the west African governments and other NGOS are working closely to end this child labor and slavery. [13]

Fortunately, the most recent relief to this child labor problem in Cocoa industry especially in west Africa came in November 27, 2024 when a new framework of action was signed in Abidjan Cote d'lvoire by the governments of Cote d'lvoire, Ghana, and the United States Department of Labor to coordinate and accelerate the prevention of this child labor in these major cocoa producing countries [18]

Related Research Articles

<span class="mw-page-title-main">Chocolate</span> Food produced from cacao seeds

Chocolate is a food made from roasted and ground cocoa beans that can be a liquid, solid, or paste, either on its own or as a flavoring in other foods. The cacao tree has been used as a source of food for at least 5,300 years, starting with the Mayo-Chinchipe culture in what is present-day Ecuador. Later, Mesoamerican civilizations consumed cacao beverages, of which one, chocolate, was introduced to Europe in the 16th century.

<span class="mw-page-title-main">Cocoa bean</span> Fatty seed of Theobroma cacao

The cocoa bean, also known simply as cocoa or cacao, is the dried and fully fermented seed of Theobroma cacao, the cacao tree, from which cocoa solids and cocoa butter can be extracted. Cacao trees are native to the Amazon rainforest. They are the basis of chocolate and Mesoamerican foods including tejate, an indigenous Mexican drink.

<span class="mw-page-title-main">Ivory Coast</span> Country in West Africa

Ivory Coast, also known as Côte d'Ivoire and officially the Republic of Côte d'Ivoire, is a country on the southern coast of West Africa. Its capital city of Yamoussoukro is located in the centre of the country, while its largest city and economic centre is the port city of Abidjan. It borders Guinea to the northwest, Liberia to the west, Mali to the northwest, Burkina Faso to the northeast, Ghana to the east, and the Atlantic Ocean's Gulf of Guinea to the south. With 30.9 million inhabitants in 2023, Ivory Coast is the third-most populous country in West Africa. Its official language is French, and indigenous languages are also widely used, including Bété, Baoulé, Dyula, Dan, Anyin, and Cebaara Senufo. In total, there are around 78 languages spoken in Ivory Coast. The country has a religiously diverse population, including numerous followers of Islam, Christianity, and traditional faiths often entailing animism.

<i>Theobroma cacao</i> Species of tree grown for its seeds

Theobroma cacao is a small evergreen tree in the family Malvaceae. Its seeds - cocoa beans - are used to make chocolate liquor, cocoa solids, cocoa butter and chocolate. Although the tree is native to the tropics of the Americas, the largest producer of cocoa beans in 2022 was Ivory Coast. The plant's leaves are alternate, entire, unlobed, 10–50 cm (4–20 in) long and 5–10 cm (2–4 in) broad.

<span class="mw-page-title-main">Harkin–Engel Protocol</span> 2001 international cocoa labour agreement

The Harkin–Engel Protocol, sometimes referred to as the Cocoa Protocol, is an international agreement aimed at ending the worst forms of child labor and forced labor in the production of cocoa, the main ingredient in chocolate. The protocol was negotiated by U.S. Senator Tom Harkin and U.S. Representative Eliot Engel in response to a documentary and multiple articles in 2000 and 2001 reporting widespread child slavery and child trafficking in the production of cocoa. The protocol was signed in September 2001. Joint Statements in 2001, 2005 and 2008 and a Joint Declaration in 2010 extended the commitment to address the problem.

<span class="mw-page-title-main">Child labour in cocoa production</span> Controversial use of children in the production of cacao beans

Child labour is a recurring issue in cocoa production. Ivory Coast and Ghana, together produce nearly 60% of the world's cocoa each year. During the 2018/19 cocoa-growing season, research commissioned by the U.S. Department of Labor was conducted by NORC at the University of Chicago in these two countries and found that 1.48 million children are engaged in hazardous work on cocoa farms including working with sharp tools and agricultural chemicals and carrying heavy loads. That number of children is significant, representing 43 percent of all children living in agricultural households in cocoa growing areas. During the same period cocoa production in Cote d’Ivoire and Ghana increased 62 percent while the prevalence of child labour in cocoa production among all agricultural households increased 14 percentage points. Attention on this subject has focused on West Africa, which collectively supplies 69% of the world's cocoa, and Côte d'Ivoire, supplying 35%, in particular.

Barry Callebaut AG is a Swiss-Belgian cocoa processor and chocolate manufacturer, with an average annual production of 2.3 million tonnes of cocoa & chocolate . It was created in 1996 through the merging of the French company Cacao Barry and the Belgian chocolate producer Callebaut. It is currently based in Zürich, Switzerland. It was created in its present form by Klaus Johann Jacobs. In 2019, the company had 61 production sites, located in Europe, Africa, America and Asia.

<span class="mw-page-title-main">Agriculture in Ghana</span> Agricultural activity in Ghana

Agriculture in Ghana consists of a variety of agricultural products and is an established economic sector, providing employment on a formal and informal basis. It is represented by the Ministry of Food and Agriculture. Ghana produces a variety of crops in various climatic zones which range from dry savanna to wet forest which run in east–west bands across Ghana. Agricultural crops, including yams, grains, cocoa, oil palms, kola nuts, and timber, form the base of agriculture in Ghana's economy. In 2013 agriculture employed 53.6% of the total labor force in Ghana.

<span class="mw-page-title-main">Cocoa production in Ivory Coast</span>

Ivory Coast leads the world in production and export of the cocoa beans used in the manufacture of chocolate, as of 2024 producing 45% of the world’s cocoa.

<span class="mw-page-title-main">Economy of Ivory Coast</span>

The economy of Ivory Coast is stable and currently growing, in the aftermath of political instability in recent decades. The Ivory Coast's economy is largely market-based and depends heavily on the agricultural sector. Almost 70% of the Ivorian people are engaged in some form of agricultural activity. The economy grew 82% in the 1960s, reaching a peak growth of 360% in the 1970s, but this proved unsustainable and it shrank by 28% in the 1980s and a further 22% in the 1990s. This decline, coupled with high population growth, resulted in a steady fall in living standards. The gross national product per capita, now rising again, was about US$727 in 1996. It was substantially higher two decades before. Real GDP growth is expected to average 6.5% in 2024–25.

<span class="mw-page-title-main">Ghana Cocoa Board</span> Price-regulating institution

The Ghana Cocoa Board (COCOBOD) is a Ghanaian government-controlled institution that fixes the buying price for cocoa in Ghana. Farmers are protected from the volatile prices on the world market through the price-fixing. Besides, the higher quality hybrid seeds are sold by the organization and some research on cocoa plant-related diseases are also carried out.

The environmental impact of cocoa production includes deforestation, soil contamination, and herbicide resistance. The majority of cocoa farms are now located in Ivory Coast and Ghana.

<span class="mw-page-title-main">Fair trade cocoa</span> Cocoa harvested under a certified process

Fair trade cocoa is an agricultural product harvested from a cocoa tree using a certified process which is followed by cocoa farmers, buyers, and chocolate manufacturers, and is designed to create sustainable incomes for farmers and their families. Companies that use fair trade certified cocoa to create products can advertise that they are contributing to social, economic, and environmental sustainability in agriculture.

<span class="mw-page-title-main">Cocoa production in Ghana</span>

Ghana is the second-largest exporter of cocoa beans in the world, after Côte d'Ivoire, which accounts for about one-third of the global supply. Ghana's cocoa cultivation, however, is noted within the developing world to be one of the most modelled commodities and valuables. The main factors that lead to Ghana being the second world Cocoa producer are government-owned support measures such as the COCOBOD.

The World Cocoa Foundation is a non-profit membership organization with more than 90 member companies striving to make the cocoa supply chain more sustainable. WCF and its members are criticized for doing too little to end child labor, deforestation and extreme poverty, with their efforts dismissed as greenwashing and “a remarkable failure”. WCF's membership includes chocolate manufacturers such as Mondelez International, Nestlé, The Hershey Company and Mars, Inc. cocoa producers and suppliers such as Barry Callebaut and Cargill, shipping companies and ports and retailers such as Starbucks.

<span class="mw-page-title-main">International Cocoa Initiative</span> Nonprofit organization

The International Cocoa Initiative (ICI) is a Geneva-based nonprofit funded by major chocolate makers that focuses on addressing child labour in cocoa production in West Africa. ICI works with communities, farmers, unions, the cocoa and chocolate industry, civil society and national governments in cocoa-producing countries to improve the lives of children involved in cocoa production. The secretariat of the International Cocoa Initiative is in Geneva, Switzerland. The organisation has two national offices in Abidjan and Accra.

Ivory Coast is a sub-Saharan nation in West Africa. It is a representative presidential democracy where rights are protected in the constitution, international law, and common law. As a member of the African Commission on Human and Peoples' Rights, it is a party to the African Charter on Human and Peoples' Rights and a signatory to major international human-rights agreements. In 2011, the Second Ivorian Civil War saw increases in violence and human-rights abuses. Although progress has been made towards reconciliation, the trial of former first lady Simone Gbagbo suggests that the root causes have not been addressed; no one has been convicted of crimes against humanity. According to a 2018 Human Rights Watch report, "Ongoing indiscipline by members of the security services and violent army mutinies demonstrated the precariousness of the country’s newfound stability."

<span class="mw-page-title-main">Crime in Ivory Coast</span>

Crime in Cote d'Ivoire is prevalent and versatile across the West African country. The most common forms of crime include child labour, arms trafficking, terrorism and human rights abuse. Other less common, but still evident types of crime include cannabis and synthetic drug trade, sex trafficking, fauna and flora crimes, cybercrime.

The Côte d'Ivoire–Ghana Cocoa Initiative (CIGCI) is an intergovernmental organisation of cocoa-producing countries. It was founded in 2018 by its two eponymous member countries, Côte d'Ivoire and Ghana, to jointly influence global cocoa prices and the chocolate market. Its proclaimed goal is to increase the revenues of cocoa farmers in its member countries in a sustainable manner. Critics have described the organisation as a "cocoa cartel" and nicknamed it "COPEC", a reference to the oil cartel OPEC.

<span class="mw-page-title-main">Cocoa smuggling</span> Illegal transportation of cocoa beans

Cocoa smuggling is the illegal transportation of cocoa beans across an international border, in contravention of local laws and regulations. It is particularly an issue in Côte d'Ivoire and Ghana, the world's largest and second largest cocoa producers, respectively. Cocoa prices are fixed and guaranteed in the two countries by their respective regulatory bodies, the Ivorian Coffee and Cocoa Board (CCC) and the Ghana Cocoa Board (COCOBOD). Cocoa farmers who smuggle their crop therefore do so in hopes of fetching higher market prices in countries where cocoa prices are not regulated. The destination countries of cocoa smuggled from Côte d'Ivoire and Ghana are Guinea, Liberia, and Togo.

References

  1. ↑ "Who We Are". International Cocoa Organization. Retrieved 23 April 2024.
  2. ↑ "Agreements". International Cocoa Organization. Retrieved 23 April 2024.
  3. ↑ "FAQ". International Cocoa Organization. Retrieved 23 April 2024.
  4. ↑ "Who We Are". International Cocoa Organization. Retrieved 23 April 2024.
  5. ↑ "Amended ICA 2010 (English)" (PDF). International Cocoa Organization. Retrieved 23 April 2024.
  6. ↑ "Membership". International Cocoa Organization. Retrieved 23 April 2024.
  7. ↑ "The International Cocoa Organization welcomes Colombia as its 52nd Member". International Cocoa Organization. 8 December 2021. Retrieved 23 April 2024.
  8. ↑ "Who We Are". International Cocoa Organization. Retrieved 23 April 2024.
  9. ↑ "Home". International Cocoa Organization. 1 November 2024. Retrieved 5 November 2024.
  10. ↑ "London", Wikipedia, 2 November 2024, retrieved 5 November 2024
  11. ↑ "International Cocoa Organization | UIA Yearbook Profile | Union of International Associations". uia.org. Retrieved 7 December 2024.
  12. ↑ Follana, Carlos (29 September 2015). "ICCO HQ to move to Abidjan following Council decision". International Cocoa Organization. Retrieved 22 October 2024.
  13. 1 2 Levetin, Estelle (2015). Plants and Society [English] (7nd ed.). The University of Tulsa: McGraw Hill Education (published 2023). p. 273. ISBN   9780078023033.
  14. ↑ "Agreements". International Cocoa Organization. Retrieved 23 April 2024.
  15. ↑ "International Cocoa Organization (ICCO) – Ministero degli Affari Esteri e della Cooperazione Internazionale". www.esteri.it. Retrieved 5 December 2024.
  16. ↑ "ICCO - International Cocoa Organization (via Public) / May 2024 Quarterly Bulletin of Cocoa Statistics". www.publicnow.com. Retrieved 7 December 2024.
  17. ↑ "Cocobod - [News Article Title]". cocobod.gh. Retrieved 7 December 2024.
  18. ↑ "Cocobod - [News Article Title]". cocobod.gh. Retrieved 7 December 2024.
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