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Divine Chocolate: A Fairtrade company co-owned by cocoa farmers

Divine Chocolate: A Fairtrade company co-owned by cocoa farmers. What is Divine’s Social Mission? Improving the lives of cocoa farmers.

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Divine Chocolate: A Fairtrade company co-owned by cocoa farmers

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  1. Divine Chocolate: A Fairtrade company co-owned by cocoa farmers

  2. What is Divine’s Social Mission? Improving the lives of cocoa farmers To grow a successful, global, farmer-owned chocolate company, using the amazing power of chocolate to delight and engage, and bring people together to create dignified trading relations, thereby empowering producers and consumers.

  3. Divine is a 100% fairtrade company • All Divine Chocolate’s products carry the Fairtrade Mark. • The Fairtrade Mark is an independent guarantee that producers in developing countries get a fair deal. • That means farmers get a fair price for their products and their communities receive a Fairtrade premium.

  4. The Divine StoryBegins with cocoa farmers in Africa . . . • Ghanaian cocoa farmers typically earn about £1 each day • Farmers have little control over the price they receive for their cocoa beans • Wanting to gain more control, farmers pooled resources to create a co-operative of cocoa farmers, known as the KuapaKokoo Farmers Union • KuapaKokoo means ‘good cocoa farmer’ in Twi, the language of the cocoa farmers

  5. The Divine StoryKuapa Kokoo • Together the farmers of KuapaKokoo provide over 1% of world cocoa output • The Fairtrade market is not yet large enough for them to be able to sell all of their beans on Fairtrade terms • As demand for Fairtrade products rise farmers are able to sell more of their crop through Fairtrade channels The Kuapa Kokoo slogan, Pa Pa Paa, means “best of the best” In 1997 Kuapa Kokoo made the major and innovative decision to set up a chocolate company in the UK in order to get more value from their cocoa.

  6. The Divine Story …Then moves to the UK where Divine is created Divine produces and sells chocolate made from Fairtrade cocoa beans bought from Kuapa Kokoo The better Divine performs the more it can spend on improving the supply chain, paying dividends to its farmer-shareholders, and on education The more Fairtrade beans are sold the more the farmers income increases and the more social premium is earned to the benefit of the community Farmers sell Fairtrade cocoa beans to Divine Chocolate

  7. Global Market Part of the huge confectionary market. Global chocolate market worth £60.36 billion Global cocoa market worth £5 billion The Divine Storythe chocolate market UK market • Three companies control 67% of the £4.1bn UK confectionary market • The average UK family spends more in a year on chocolate in a year than a cocoa farmer earns in a year

  8. Cadbury CadburyDairy Milk, the UK’s favourite chocolate bar, went Fairtrade in 2009, tripling KuapaKokoo’s Fairtrade cocoa sales. In 2016, Mondelēz, the multinational that owns Cadbury, replaced the Fairtrade Mark with their ‘in-house’ fair trade scheme, Cocoa Life. Mars In 2012 Mars’ Maltesers became Fairtrade.certified. In 2015 Mars Bars carried the new Fairtrade Cocoa Program Mark, sourcing Fairtrade cocoa but not Fairtrade sugar. Nestlé In 2010, the UK’s favourite chocolate biscuit bar, Kit Kat, went Fairtrade. The Divine StoryBig companies join Fairtrade … but commitment is half hearted

  9. Divine BrandingAdinkra symbols

  10. What Success looks Likefor divine chocolate Divine Chocolate Ltd is profitable with good sales growth and has been able to pay dividends to shareholders But sales and profits are only one measure of success

  11. What Success looks LikeSocial objectives “It has always been our aim to source as many Fairtrade ingredients as possible for our products, thereby delivering benefits to an increasing number of farmers.” Sophi Tranchell, Divine Group CEO, 2017 • Divine sources Fairtrade ingredients from seven different countries worldwide • If the Fairtrade Mark is on a product it means that any ingredient that can be Fairtrade must be Fairtrade

  12. What Success looks LikeDivine income to Kuapa Kokoo “For us, farmer ownership always made Divine Chocolate special. For the first time our members benefit as owners of a wonderful chocolate brand, and not only as suppliers of excellent fairly traded cocoa.” Mr Ohemeng Tinyase, MD of Kuapa Kokoo Ltd until 2009 • Kuapa Kokoo sold 882 tonnes of Fairtrade cocoa beans to Divine Chocolate in 2015/16 • There are four different income streams from Divine Chocolate to Kuapa Kokoo

  13. What Success looks Likefor the community – water wells

  14. What Success looks Likefor the farmers’ children - schools

  15. What Success looks LikeFor women - empowerment Fatima Ali President of Kuapa Kokoo

  16. What Success looks Likefor the cocoa farmers themselves Tangible benefits for farmers Move up value chain Sit on the Divine Board Part of decision-making process Profit share Access to capital Intangible benefits for farmers Pride Respect Status Reputation Inclusion Knowledge A ‘seat at the table’ Ownership in Divine

  17. Divine Chocolate Limited has shown that it is possible for smallholder farmers from Africa to co-own a successful company in one of the most competitive and mature markets in the world. in Summary

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