An analysis of the conventional, sustainable and fair trade cocoa chains.
By BASIC (Bureau for the Appraisal of Societal Impacts and Costs), for the French Fair trade Platform.
"Based on the available studies, Basic's analysis shows that there are at least two necessary conditions for kickstarting virtuous circles for producers and their communities:
• A sufficiently solid cooperative dynamic that is rooted in the communities and supported by the members;
• A price that is sufficient to allow producers to meet the needs of their families, and a collective premium that is sufficient to strengthen the cooperative and allow it to invest in local services.
However, the positive effects documented in these ‘virtuous’ cases may be jeopardised in the long term by the diminishment of forest resources, the main – or even only – alternative being to introduce agroforestry practices."