The system we use to follow our beans from bean to bar. This way we know exactly where the beans in our bars come from and where the beans that have been bought are in the chain. So, we know where our beans have been!
A certification mark shows that a product is of a particular quality and has a reliable origin. It makes it immediately obvious that the product meets the standards that have been set by an independent expert organization. The three main certification systems in the cocoa trade are Fairtrade, UTZ and Rainforest Alliance.
Illegal labor done by children. Labor that prevents children from actually living their life as a child (not as a miniature adult) and from going to school. The work can also damage them physically and mentally. Child Labor Monitoring and Remediation System (CLMRS): a system that helps identify and prevent child labor in cocoa communities in Ghana and the Ivory Coast. Choco friends: The percentage of people living in the Netherlands who bought one Tony’s chocolate bar no less than three months before the interview.
These are the three chocolate manufacturers that control approximately 70% of the world cocoa market: Barry Callebaut, Olam and Cargill. On top of that, the eight biggest traders and cocoa processors trade three-quarters of the world’s cocoa and the six largest chocolate companies have around 40% of the market share (Mars Inc, Mondelez International, Nestlé, Ferrero, Hershey, Lindt & Sprüngli).
Organizations of farmers who have joined forces to boost their economic power and due to strength in numbers.
Fairtrade minimum price
Fairtrade has set a minimum price for cocoa to protect certified farmers against drops in the global market price. This minimum price will be paid even if the global market price drops below the minimum price. In markets that aren’t regulated, this goes straight to the farmer. In Ghana and Ivory Coast (where the government regulates the market), things work a little differently. Here, cooperatives get compensation as soon as the free on board price (export price) falls below the minimum price. They get paid the difference.
All Fairtrade certified cooperatives get this premium on top of the price that the chocolate company pays them for their cocoa. The premium travels all the way through the chain and finally ends up at the cooperative. Part of it is paid straight to the farmers. The rest is spent on things like improving productivity, quality and infrastructure, as well as communal projects. To develop the business in general.
Farm gate price
The price farmers in Ghana and Ivory Coast receive for a kilo of cocoa. The local authorities determine this price every year.
FLO-Cert is Fairtrade’s independent audit body. This organization checks all the links in the chain to check that everyone actually sticks to the strict trading terms.
Free on board price
The export price of cocoa in Ghana and Ivory Coast. Every country decides this itself.
Global market price
The international cocoa price is determined by the trade centers of the LIFFE in London and the New York Board of Trade (Coffee, Sugar and Cocoa Exchange, AKA CSCE).
A program signed in 2001 by the big names in the international chocolate industry, who agreed to tackle the worst kinds of child labor. The program was launched by US Senators Harkin and Engel, hence the name.
Living income/living wage
A living wage or living income is an income that’s enough for someone to cover the basic costs of living. These include food, clothing, decent housing, medical care, education, transport and saving up a small financial buffer. It can also be used to pay for the cost of running a company (salaries, plants, fertilizer).
The guidelines for certification state that for cocoa, it is not required that the certified cocoa that has been bought actually ends up in the final product. When you buy a certified bar of chocolate, you can be sure that the right volume of certified beans was bought for the amount in the bar. Only.. they might not actually be in the bar. So, it’s possible that part of the purchased certified cocoa is used in non-certified bars. That’s because all certified and non-certified beans end up on one big heap.
Any form of forced labor or exploitation of adults or children (including the worst forms of child labor outside the immediate family, which are not acceptable under any circumstances).
The phenomenon that people who live in (relative) poverty hardly get any opportunities to improve their circumstances.
Tony’s additional premium
This is the premium Tony’s pays in addition to the Fairtrade premium. That’s because cocoa farmers can’t get above the poverty line if they only get paid the normal price, plus the Fairtrade premium. Tony's pays this premium straight to the cooperatives. The farmers can decide for themselves how to spend the premium.