Beyond Chocolate: Cacao farmers should also be able to be happy

INTERVIEW - If we want our chocolate to give our customers a moment of happiness, can we afford to let the cocoa farmers live in misery? Philippe de Selliers - chairman of the Beyond Chocolate steering committee and CEO of Leonidas - clearly doesn't think so. We talked with him about Beyond Chocolate, the initiative to make Belgian chocolate sustainable.

In December 2018, the Belgian chocolate sector made a commitment to make all its chocolate sustainable. That includes ensuring that cocoa farmers earn a living income, and ending deforestation and child labour.

But what exactly is the state of play of this Beyond Chocolate initiative? We asked Philippe de Selliers, chairman of the Beyond Chocolate steering committee. He is CEO of Leonidas and president of Choprabisco, the umbrella organisation of the Belgian chocolate, praline, biscuit and confectionery industry.
 

What is Beyond Chocolate anyway?

Back in 2018, when Alexander De Croo was Minister for Development Cooperation, he took the initiative to make Belgian chocolate sustainable by 2030. Beyond Chocolate is the partnership that aims to fulfil this ambition. All the Belgian players concerned are part of it, from chocolate companies to NGOs and universities to supermarkets. It is crucial that our sector takes social responsibility.

The Belgian chocolate sector clearly has strengths here. We are at the forefront of innovation and quality, and hugely respected worldwide. If we lead by example in the area of sustainability, we can certainly have a positive impact on chocolate makers in other countries.
 

What is the Belgian chocolate industry's interest in committing to sustainable cocoa?

First of all, consumers expect more social engagement. Not going along with that would be a strategic mistake. We would then run the risk of being left in the cold.

Then there is the human factor. Chocolate companies are run by people. We can't run successful businesses while turning a blind eye to the misery of cocoa farmers at the start of the supply chain.
 

So are the companies willing to pay more?

Consumers already want chocolate to be more sustainable, although that does not necessarily mean they are willing to pay more for it. That is something that companies need to take into account.

We have been 100% certified ourselves since October 2021. All the cocoa we buy has the Rainforest Alliance label. We pay a higher price for that. It adds up to several hundred thousand euros per year.

But we were determined not to raise our prices. In that regard, we remain faithful to the mission of the founder of Leonidas in 1913: to make the luxury of chocolate accessible to all. We want to be able to offer everyone an affordable moment of happiness.

By the way, we were already using 100% cocoa butter, fresh products, and no palm oil, and now we are also certified. And what's more, the switch to a sustainability label has had no effect on our sales figures.

As chairman of Choprabisco, I know that most if not all companies want to become more sustainable. This only contributes to the positive image of Belgian chocolate that is already so highly appreciated around the world.

But it would help if we could work together to ensure that the extra money ends up as much as possible in the hands of cocoa farmers. Consumers might also be willing to pay more if there was this guarantee.
 

What is your experience with Rainforest Alliance?

We purchase our Rainforest Alliance-labelled cocoa beans and pay a slightly higher price for them. The label aims to supply cocoa that does not destroy forests, introduces climate-smart practices among growers, avoids child labour as much as possible and ensures that farmers get a better income.

Does that actually make us sustainable? It's definitely a start. But sustainability is a journey that never ends, there is no final destination.

One thing I'm not so fond of is the substantial administrative burden that comes with it, especially for drafting reports. In fact, it's this administration that puts people off working sustainably.
 

What are the results of Beyond Chocolate so far?

As regards the chocolate sold in Belgium (B2C – business to consumer) in 2022, 90% was already certified and/or covered by a company-specific sustainability programme. But for chocolate produced in Belgium (B2B – business to business) - including chocolate that gets exported - the figure was only 68%. That's obviously not enough.

The share of traceable cocoa has risen to 47%. Traceability is essential, for example, to monitor the impact on deforestation.

But for the time being, it seems that poverty and deforestation have barely fallen in recent years.
 

How can we speed up the progress?

Thanks to Choprabisco and Beyond Chocolate - we work closely together - Belgian companies have already become reasonably well aware of the need to be sustainable. Nevertheless, we need to highlight the importance of a living income, deforestation and the issue of child labour etc., even more intensively.

Definitely as regards the living income, it remains difficult. We just don't have a direct impact there. At Leonidas, for example, we don't have any cocoa plantations, we have to work via the supply chain.

Nevertheless, SMEs need to keep investing in ready-made solutions such as certification or company-specific sustainability programmes. In this regard, they need to ensure that the strategy and impact of these support programmes for growers are improved. Furthermore, the authorities - both in Belgium and in the producing countries - must ensure that the rules of the game are clear and duly observed. For example, by setting up legislative frameworks, encouraging investment in sustainable supply chains, etc.
 

Beyond Chocolate is a partnership involving many players: the producers of couverture chocolate for professionals, the chocolate makers for consumers, supermarkets, certification mechanisms, universities, NGOs, the Directorate-General for Development Cooperation of our ministry... What is their added value?

Bringing all these players together is very interesting. Indeed, they represent very different segments. By sitting together around the table, we understand everyone's problems a bit better. Even though we all want a fair price, we see things differently. Some will just say "just pay more and it's solved," but others might counter that it's not that simple, supply and demand also comes into play and so on. As such, we try to arrive at the best option together.
 

Are you confident that we will achieve the goals of Beyond Chocolate?

As regards the certification of chocolate sold in Belgium, definitely. For chocolate sold abroad, it's probably also possible. But what is very difficult is ensuring a living income for all cocoa farmers.

Various factors are at play here, including the area of the land to be cultivated. The average area of a cocoa farmer's land is 2.3 hectares. From that he can harvest several hundred kilos of cocoa. The problem is, that's not enough to live on, even with a higher price! A plot that size only earns enough for 1.3 people, not enough for a family.

Although many families currently depend on cocoa, that does not mean it is a profitable business. These regions also need other economic opportunities. And that goes beyond the responsibility of chocolate companies.

Suppose we pay twice as much for cocoa, many farmers will want to grow cocoa because it's profitable, and they will therefore neglect other crops. But too much cocoa can be produced as a result, causing the market price to collapse. That may be an oversimplification, but the point is that it isn't so straightforward. Supply and demand also plays a role.

Despite its complexity, the Beyond Chocolate partnership has a strong commitment. We have a highly effective secretariat and the steering committee is also highly motivated, with a lot of expertise. We do actually have a big impact.
 

What do the stakeholders want from the government to achieve the goals of Beyond Chocolate?

The initiative in 2018 to launch Beyond Chocolate was very important in any event, and is also monitored by the government really well. We hope the partnership can count on funding beyond 2025, that hasn't been finalised yet.

There will also be new European legislation on deforestation and such like. That comes in very handy. But I don't want any additional administrative burden. Every euro must be well invested.
 

How do you see the future of chocolate in Belgium?

We want chocolate to give people a moment of happiness. That magical moment when you taste the chocolate, that's what we do it for. People will always want to enjoy that moment of happiness.

Given how appreciated it is, I see a fantastic future for Belgian chocolate in any case. We sell in 40 countries and I previously travelled a lot. Well, people in other countries are not always familiar with Leonidas, but for Belgian chocolate in general, all doors are literally thrown open.

Our country really has top-notch chocolatiers. There is an incredible amount of innovation and creativity here. And we also have formidable know-how in making chocolate. That know-how is in human resources; you can't just put it down on paper. It must be passed on by people.

That's why it's important to stimulate talent among young people, further highlighting our innovations and being an example to the world - the absolute benchmark - in terms of sustainable chocolate.
 

What are your expectations for the World Cocoa Congress in April?

I expect to see a clear joint statement that is both ambitious and achievable. One that is SMART: specific, measurable, achievable, relevant and time-bound.

The statement must be positive, not restrictive; inspiring and not off-putting, and also highly concrete. It must fire you up to get going.

We want to bring happiness to our customers. But that only works if the whole chain is happy. We have 1,300 stores - often franchised - in 40 countries. If the franchisees are not satisfied and don't serve customers with a smile, then we are not succeeding in our mission.

And that applies to the entire supply chain, and definitely also the cocoa farmers. They must have the possibility to send their children to school, they must have access to more land, they must have the health care they need, all those things. We can't just leave the world as it is, it's already in a dramatic enough state.