Context:

Indonesia is one of the world's top cocoa producers, primarily located in Sulawesi. In recent years, the industry had been grappling with issues such as aging cocoa trees, declining yields, and concerns about sustainability practices. Efforts were being made to rejuvenate cocoa plantations, introduce better farming techniques, and promote sustainable cocoa production to meet global demand for high-quality cocoa beans. Additionally, there were ongoing initiatives to improve farmer livelihoods through better pricing mechanisms and education on sustainable farming practices.

Cocoa Working Group is  a dynamic consortium of private sector leaders, government agencies, non-profit organizations, and cocoa farmers, passionately dedicated to elevating the productivity and livelihoods of smallholders within the cocoa industry through the lens of sustainability. Cocoa WG’s unwavering commitment to sustainable practices encompasses improved farming techniques, access to high-quality planting materials, training in ethical and eco-friendly cocoa production, and equitable access to global markets. By empowering smallholder cocoa farmers with the knowledge and resources needed to enhance their yields and income, while preserving the delicate ecosystems in which they operate, Cocoa WG embodies the potential for multi-sector partnerships to drive positive change, ensuring the long-term viability of cocoa farming and the well-being of rural communities.

Activities :

• - Collaborating with the Ministry of Agriculture to develop high-quality seeds.
• - Delivering professional farmer packages, which include agri-inputs, planting material, and knowledge.
• - Improving access to savings, loans, other financial services, as well as financial literacy trainings.
• - Increasing awareness of environmental issues in the cocoa sector by educating and training farmers in environmentally friendly practices.
• - Building training programs to improve the communities’ access to nutrition and other basic services.
• - Promoting the inclusivity of marginalized groups like women and youths.
• - Scaling CocoaTrace, a cloud-based software developed by Koltiva to enable the industry to improve traceability across the cocoa value chain.

Impact :

• - 472.906 farmers participating
• - 429.259 ha of land
• - 45% smallholders has access to off-taker
• - 44% smallholders has access to capacity building
• - Average income Around IDR 4.527.271 / month
• - Productivity around 663Kg/Ha

Cocoa for Generations adalah strategi Mars untuk melangkah dalam upaya perubahan dan mengundang pelaku sektor kakao lainnya untuk bermitra bersama dalam pengembangan solusi yang efektif, terukur, serta inovatif, dan pendekatan baru untuk melindungi anak-anak, melestarikan hutan, dan meningkatkan pendapatan petani saat ini, sembari berupaya menemukan model baru untuk pertanian kakao yang inklusif, modern, dan berkelanjutan untuk hari esok. Strategi ini diluncurkan sejak tahun 2018 dengan investasi lebih dari 1 miliar dollar untuk jangka waktu 10 tahun. Program Inklusif Kakao disebut dengan Cocoa Village Centre (CVC) yang dikelola oleh Cocoa Doctor, yakni perusahaan mandiri yang secara ekonomi berhubungan erat dengan desa dan berfokus pada produksi, penjualan input, serta pengawasan keterampilan berkualitas tinggi. Cocoa Doctor sendiri adalah individu yang terlatih dengan kemampuan teknis pengelolaan kebun kakao dan bisnis terkait perkebunan kakao yang mendapatkan pelatihan dan pendidikan melalui Cocoa Academy.

BEFORE AND AFTER
INCLUSIVE CLOSED LOOP IMPLEMENTATION

ECONOMIC GROWTH LIVEHOODS INNOVATION AND SUSTAINABILITY

Inclusive Closed Loop Inisiatives :

- Inputs: MARS partnered with inputs company to provide input material in agriculture (quality seeds, fertilizers, pesticide)
- Financing:
- Technology:
- Government/Regulatory: MARS are closely partnered with government to gain the support on the program to train more farmers
- Market Access: MARS connected farmers with offtakers to ensure the market stability and availability
- Knowledge: MARS provided capacity building for farmers to train them about preserving forest and preventing deforestation while still maintaining on producitivty