Tag Archives: Harkin-Engel Protocol

Taza Sets the (Chocolate) Bar for Direct Trade and Ethical Sourcing

Taza Chocolate is a bean-to-bar chocolate company that launched in Somerville, Massachusetts in 2005. Priding themselves on their unique stone-ground processing technique, which grinds organic cacao beans into “perfectly unrefined, minimally processed chocolate,” (Taza Website) Taza strives to provide a special blend of bold flavor and texture through their chocolate products. However, perhaps their most noteworthy trademark as a chocolate company is their commitment to ethical cacao sourcing that features the relationships with the farmers from whom they obtain their cacao beans. Specifically, Taza has formed Direct Trade relationships with five cacao producers around South America and the Caribbean. As documented through their groundbreaking annual cacao sourcing transparency reports, Taza contributes to the global problems facing the cacao-chocolate supply chain by keying in on each level within their supply chain- both the farmers who cultivate the product and the partners who source the cacao. Through their unique methodology and commitment, Taza achieves paying premium prices that reach their partners and promoting fair labor practices.

TazaPartners

For chocolate companies, forming strong, healthy relationships with both the farmers and companies from which they source their cacao seems like an obvious solution to the problematic cacao-producing industry, but it is more difficult and less observed in practice. While conventional practice for firms to promote fair labor practices features obtaining a Fair Trade certification, Taza has done an effective job of this using the alternative Direct Trade model. While Fair Trade aims to more justly compensate marginalized producers, it creates unintended consequences. For example, little of the extra money produced by a Fair Trade agreement reaches the developing countries, and of that, less reaches the farmers (Sylla, 2014). One reason for this is the cost to obtain a Fair Trade certification, shouldered by the producers, is the same everywhere, meaning that the poorest countries have the most difficulty obtaining the certification (Sylla, 2014; Martin, 2018, Lecture 9). Conversely, Direct Trade circumvents any fees required for certification and privatizes the contractual relationship so that the producers do not bear unnecessary costs. Taza was the first chocolate maker in the United States to establish a third-party certified Direct Trade Cacao sourcing program (Taza Website). Direct trade is “a form of sourcing practiced by some coffee roasters and chocolate companies with standards varying between produces” (Martin, 2018, Lecture 5). While relationships are often fragile and temporary between chocolate companies and cacao farmers that participate in Direct Trade (Martin, 2018, Lecture 9), Taza has taken notable steps to ensure a healthy relationship that truly benefits everyone, from the cacao farmer to the consumer.

Specifically, as one part of their relationships with their partners through the Direct Trade model, Taza physically visits each partner at least once per year to build trust and compassion. As seen on Taza’s Facebook page through founder Alex Whitmore’s trip to partner PISA in Haiti, Taza places an emphasis on connecting with both their partners and the farmers from whom their partners receive cacao to create a truly interconnected supply chain. Whitmore and company are seen sharing their Taza product with Haitian farmers, a gesture that is representative of their close relationship. By connecting with PISA, Taza, as Whitmore describes, has highlighted the strengths of two entities and brought them together to make something great. While Haiti’s cacao beans are comparable to those found in the Dominican Republic, failure to properly dry and ferment these beans left their exquisite taste to go unrecognized and their cacao to be sold at a heavily discounted price.  PISA specializes in these processes (Leissle, 2013). This relationship has led to Taza sourcing the first ever Certified USDA Organic Cacao from Haiti and PISA and the farmers being paid a premium price for the cacao that they have been able to provide (Taza Website).

Taza’s 2016 Transparency Report features their combating another major influential factor facing the global cacao-chocolate supply chain: the price of cacao. Daunted by unstable cacao market prices, government control of purchasing and distributing, and supply chain intermediaries squeezing profits, cacao farmers fall victim to extremely low incomes. (Sylla, 2014). In the agricultural crisis in the 1970’s, West African governments used marketing boards and caisse systems to force cacao farmers to sell at prices below the world price and use the proceeds towards industrialization (Martin, 2018, Lecture 7). Today, intermediaries have inserted themselves in the supply chain of these cacao-dependent communities, squeezing profits throughout the supply chain and leaving cacao farmers with the bare minimum. Specifically, they have garnered strong market power through horizontal and vertical integration. At each level of the supply chain, competition has driven many players out, allowing these intermediaries to accomplish horizontal integration. By broadening their responsibilities within the supply chain, they have also achieved vertical integration (Sylla, 2014).

By ensuring a share of the premium prices they pay their sourcing partners reaches the farmers themselves, Taza plays their part in combatting the global lack of cacao farmer compensation. Taza’s Direct Trade relationship with their partners contributes to their communities through paying premium prices for the cacao to the processors and ensuring that the said premium reaches the farmers themselves. Analyzed in their 2016 Transparency Report here, Taza pays their partners at least $500 above the market price- a 15-20% premium, and never less than $2,800 per metric ton for cacao, protecting their partners against extremely low world market prices. For Jesse Last, Taza’s Chocolate Cocoa Sourcing Manager, knowing what they pay their cacao sourcing partners wasn’t enough. In 2016, Last took steps to ensure that cacao farmers were getting a slice of the cake too. Specifically, he updated Taza’s Direct Trade agreement to include a commitment by their partners to “provide documentation demonstrating the compensation paid to farmers and/or employees, as well as facilitate conversation between farmers and Taza” (Taza Website).

When Last visited these farms ensure their shares were received, he found no discrepancies between their reports and the payments documented by their own partners. Furthermore, Last provided an in-depth analysis (5 Steps Towards Understanding Price) within the transparency report that contextualizes farmer compensations received from their origin partners, and found that all but one of their partners is paying above the world market average per metric ton of cacao and “some” by almost twice as much (Taza Website). The extensive effort displayed by Jesse Last and Taza sets the standard that not just bean-to-bar, but all chocolate companies around the world should strive to meet in regard to paying the cacao farmers a reasonable salary. While obstacles, like those previously mentioned, often intervene with guaranteed fair wages for farmers, Taza has taken a uniquely ethical path not only to ensure this but also to strengthen the relationship between their partners and the farmers and to spread this methodology through the transparency report for the world to see. Their effort to affect others in an ethical fashion does not end with their suppliers- it extends all the way to their consumers.

As further part of their Direct trade Commitment, Taza requires all their cacao be USDA Certified Organic and Non-GMO Project Verified, as can be seen on one of their chocolate bars below, providing a healthy blend of ingredients in their chocolate for their consumers. While every Taza chocolate product contains the seal of Certified USDA Organic and Non-GMO Project Verified, they are also Kosher, soy-free, dairy-free, and vegan. Taza’s effort to source organic sugar is especially noteworthy. They have partnered with The Native Green Cane Project, recognized by The World Economic Forum, the Boston Consulting Group, the Union for Ethical BioTrade, and other organizations “as one of the world’s leading examples of innovative agriculture and sustainability’ (Taza Website). The traditional cultivation method of burning sugar cane unavoidably releases toxic gases and substantially contributes to biodiversity loss. The Native Green Cane Project has made a positive environmental impact by designing a mechanical harvester that eliminates toxic gas emissions and saves water that would otherwise be used to clean burnt cane. Furthermore, this practice eliminates the use of synthetic fertilizers, genetically modified organisms, and pesticides, making for a safer labor environment. Through these organic methodologies, Taza not only provides healthier products for their consumers but also contributes to a cleaner environment while promoting safer working conditions.

TazaBar

TazaCertifications

 

To guarantee the integrity of their Direct Trade program, Taza has had Quality Certification Services, a USDA-accredited organic certifier out of Gainesville, Florida independently verify the upholding of five Direct Trade claims, outlined on their website. To verify annual visits to their partners, Taza provides flight receipts or e-tickets. To verify paying their cacao producers a premium rate, they provide annual invoices completed by their Sourcing Manager and the cacao-producing partner. To ensure the exclusive usage of USDA certified cacao, they provide proper certification documentation from their partners and farmers. Taza’s commitment to diminish the problems that have plagued much of the cacao industry for centuries, specifically its producers, can be seen by their initiative to hold themselves accountable in the continuation of these practices that benefit the producers, consumers, and everyone in between.

While Taza has contributed immensely by enhancing their relationships with their origin partners, one way they could improve their outreach is by expanding to West Africa. West Africa produces 75 percent of the world’s cacao, but they have an extensive and continued history of child labor exploitation. Evidence of child slavery in Cote d’Ivore has been recorded as recently as the early 2000’s (Off, 2008). In other countries such as Ghana, children have limited freedom to choose to go into labor (Berlan, 2013). This undeniable evidence highlights deep internal roots that drive these continued unethical labor practices and the need for intervention from outside parties- specifically from local government, international entities, and corporations. However, these entities have had limited effect on changing the scope of West African cacao production over the years. U.S. Representative Eliot Engel drafted a bill proposing the implementation a detailing a labeling system, classifying goods as “slave free” if it could be proved that slavery was not used in their production. However, significant pushback from industry giants like Hershey’s and Mars gave themselves more time to investigate and improve the labor practices behind the production of their chocolate (Off, 208). The Harkin-Engel protocol was then passed in 2001 to eliminate the worst forms of child labor in Cote d’Ivore and Ghana, but the extent of its impact remains in question today (Ryan, 2011).

Taza could potentially break the stigma that West Africa is a poor investment for these artisan chocolate makers. However, considering the obstacles in play, Taza would need to stumble upon a perfect situation- one that might not exist now. Ghana’s Cocoa Board controls exports, limiting the ability of artisan chocolate makers to source cacao from farmers. Taza would likely need to look to other countries, such as the Ivory Coast. The Ivory Coast completely deregulated its market, meaning Taza could directly contact farmers and cooperatives as they do with their five current partners. The problem then would be the quality of cacao. Cacao beans emit varying flavors and textures depending on strain and terroir, and Taza, like most bean-to-bar companies, prides itself on the unique tastes produced by the terroir of the regions from which they source their cacao. Despite being the biggest producer in the world, West Africa is known for producing very few single origin bars. In Christian’s Chocolate Census, the most comprehensive online database for chocolate, 3.8% of 1500 chocolate products contain beans exclusively from West Africa. U.S. chocolate artisan companies like Taza cite bean strain and scale of production for their avoiding West African cacao to source single origin chocolates. Farmers in West Africa predominantly grow direct-sun-tolerant, pest- and disease-resistant hybrid cacao beans, which are usually weak in flavor or bitter (Leissle, 2013). Furthermore, these regions operate on a large scale, making it difficult for small artisan companies to buy beans in smaller quantities. These regions typically will not sell in small quantities even if Taza offered a high premium for their beans. If Taza could somehow find a way into the small community of the Ivory Coast with quality cacao, they could impact that community through their commitment to relationships and premium prices. More importantly, they might open the door for other artisan – specifically bean-to-bar- chocolate companies By showing that it is possible to ethically source quality cacao from West Africa.

Overall, Taza sets a notable example for the chocolate industry by doing their part to combat the global problems facing cacao producers. Specifically, the Direct Trade method of sourcing cacao that Taza has adopted has allowed them to form strong relationships with their partners by connecting face-to-face at least once per year. By circumventing profit-squeezing middlemen present in the more widely practice Fair Trade method, Taza ensures that both their cacao-sourcing partners and the farmers get a fair share of the profits that their cacao generates. Furthermore, their awareness and commitment to uphold these practices is obvious as displayed through their unique transparency reports and third-party certifier. While Taza could up the ante by seeking to take on the most corrupt cacao-producing region in the world, West Africa, they would face many challenges- namely finding a Direct Trade partner and flavorful cacao-beans- that would danger upholding their current model of ethical sourcing. Taza, while only a small bean-to-bar chocolate company, must continue their commitment to ethical partnerships with cacao-producers and to transparency of these partnerships. They set the bar high (100% cacao…just kidding) for other bean-to-bar companies and show bigger conglomerates the potential to contribute to cacao producers around the world.

 

 

 

Works Cited:

Berlan, A. (2013). Social Sustainability in Agriculture: An Anthropological Perspective on Child Labour in Cocoa Production in Ghana. The Journal of Development Studies, 49(8), 1088-1100.

Leissle, K. (2013). Invisible West Africa. The Politics of Single Origin Chocolate. Gastronomica: The Journal of Food and Culture, 13(3), 22-31.

Martin, C. (2018). (Lectures 5, 8, 9).

Off, C. (2008). Bitter chocolate : The dark side of the world’s most seductive sweet. New York: New Press.

Ryan, Órla, International African Institute, Royal African Society, & Social Science Research Council. (2011). Chocolate Nations (African arguments.). Zed Books.

Sylla, N., & Leye, David Clément. (2014). The fair trade scandal: Marketing poverty to benefit the rich. Athens, Ohio: Ohio University Press.

“Taza Direct Trade.” Taza Chocolate, http://www.tazachocolate.com/pages/taza-direct-trade.

Two Sides Of The Chocolate Coin

While American and European consumers associate chocolate with romance, desserts, and luxury, the disparity between end product consumer and cacao producer is significant. One perspective is that northern consumers provide self-agency and opportunity through a free market economic exchange in an environment that provides few opportunities. While western Africa currently provides 75% of the world’s cacao (Coe &Coe, 2013) the African cacao grower has to rely solely on northern purchasers as they lack the economic resources to purchase, manufacture, or market their product. With labor as their only agency, the African cacao grower is in a disadvantaged position in the food production paradigm despite their high product yield. Corporate complicity in unethical labor, slave legacy that has left southern producers turning to raw materials for economic survival, and consumer apathy created by distance from the food supply chain have culminated in producing very opposing experiences for the cacao supplier and the chocolate consumer.

Success in Cacao

With the steady increase of cacao prices, the cacao-growing region of western Africa has seen steady socioeconomic growth in the industry for decades. According to “CNN Freedom Project,” an organization focused on labor practices worldwide, in 2008-2009 western Africa supplied more than 75% of the world’s chocolate, while Europeans and North Americans were consuming a roughly equal amount (2012). In their book Cocoa in Ghana: Shaping the Success of An Economy, Shashi Kolavalli, and Marcella Vigneri observe the steady increase of cacao prices have allowed for significant improvement via more investment in production yields through transport and infrastructure. (2012). Kolavalli and Vigneri further observe that so lucrative is the cacao production in Ghana  that positive socioeconomic influences of the crop, and improvement in western Africa’s poverty, have been significant by stating,

“economic growth has been solid, averaging more than 5 percent since 2001 and reaching 6 percent in 2005–06. Coupled with the effects of greater access to education, health services, and land ownership (World Bank 2008), this rate of growth has contributed to the near halving of the national poverty rate since the beginning of the 1990s, from 51.7 percent in 1991/92 to 28.5 percent in 2005/06” (p. 205).

For cacao growing countries in Africa, maintaining this resource is critical to prevent sliding backward economically in an already impoverished environment.

Who is Eating All the Chocolate?

According to CNN’s freedom project, northern countries are driving the demand for chocolate. In this breakdown for 2008-09, Europeans and North Americans were responsible for eating an equal amount of western Africa’s entire production, which is 75% annually of the world supply. In simple terms, if you live in the northern hemisphere there is a good chance you are consuming on average between 9 to 24 lbs. of chocolate per year. (Satioquia-Tan, J. 2015)

hershey27s_chocolates_in_store
The Swiss eat 24 lbs. of chocolate per person, per year. That’s roughly equivalent to eating half of a Hershey bar every day for one year (Maxim75, 2016)

World consumption of cocoa: 2008/09
Europe – 49.32%
North America – 24.22% (United States only – 20.19%)
Asia and Oceania – 14.49%
South America – 8.68%
Africa – 3.28%

The demand from northern consumers continues to increase steadily. In his paper, Cocoa production in West Africa, a review and analysis of recent developments, Marius Wessel projects necessary agricultural growth for western Africa to maintain its current supply when he states, “The International Cocoa Organization (ICCO) forecasts a 10 percent increase in the world cocoa production and a 25 percent increase of the cocoa price in the next decade. … If West Africa wishes to maintain its present world market share a 10 percent increase in production is needed in the next decade” (Wessel, M., 2015). This is significant in that considerable investment will be required to meet the growing demand, which in turn will offer more employment from land developing to harvesting; boosting the economy even further. The staggering contrast of chocolate consumption between northern consumers and southern producers however, in relation to race and geography is no accident.

A History of Disconnection

After the chocolate drink of Mesoamericans made it to Europe via Spanish colonists in the 16th century, popularity of the drink in Europe began to rise. When Spanish colonists exhausted the Mesoamerican population as a resource for labor, they turned to the middle passage across the Atlantic to Africa for labor to meet the demand (Coe & Coe, 2013). On a continent that functioned tribally with no formal governments, it was quite easy to enslave people into labor for the remainder of their life, which on average due to hard labor and dismal living conditions was about 7 to 8 years after enslavement (Coe & Coe, 2013). This of course, required massive quantities of slaves, which Africa had in abundance. In his book Sweetness and Power Sidney Mintz observes that by the 18th century, the European lower proletariat was adopting the culinary habits of the aristocracy as a way of establishing equality for people in lower social stations (p.181, 1986). The biggest promoter of chocolate consumption for the masses According to Coe & Coe in their book A True History of Chocolate was the industrial revolution when they state,

menier_chocolate_factory
The Menier Chocolate factory in Paris, France. Mechanized in 1830, and shortly after became France’s largest chocolate supplier. (Expressing Yourself, 2009)

“The Industrial Revolution, which changed chocolate from a costly drink to cheap food, [was] the driving force in this metamorphosis” (Coe & Coe, p. 232, 2013).

Before the industrial revolution the use of people from southern countries as a commodity for labor separated them from society and cultural habits of northern countries. Even had they wished to adopt the habits of their masters, there was no means or opportunity as a consumer base. Having never been ‘folded in” to European culture, they were completely disenfranchised as a chocolate consumer base. The exclusion of southern laborers and slaves from society as citizens, also found them ignored by the industrial revolution; leaving them to lag behind economically and industrially, unable to participate as consumers of chocolate.

State of Labor Today

After northern consumers developed a social conscience for disenfranchised populations and impoverished nations, one might be tempted to think everything has changed, but it has not. Still lagging from being on the outside of the industrial revolution, Cacao farming practices have changed little in the last hundred years. In villages of working adults there is a complete disconnect to their labor once it leaves the village. In her book Bitter Chocolate, Carol Off  tells of a village where all but the chief were ignorant of where the cacao went, none knew how it was used, and only one had ever tasted chocolate. Micheal and Sophie Coe argue that it is not only adults and families working, but that millions of children are trafficked and forced into slavery from neighboring countries (Coe & Coe, 2013). Off supports this claim by observing that slavery is alive and well  particularly in the Ivory Coast where child slavery is so common, it is a sub-industry of cacao with its own economy, as farmers finance networks to traffic children for forced labor who then suffer from starvation, disease and physical abuse while working on cacao farms (Off, C. 2006). While numbers of child slavery are at times sketchy and often disputed, no one denies it exists (Off, C. 2006).

flickr_-_dfid_-_uk_department_for_international_development_-_children_pictured_at_a_unhcr_food_distribution_point_in_liberia
Children from the Ivory Coast. Due to extreme poverty many children seek out work in cacao only to be abducted and worked as slaves. (DFID, 2011)

Consumers Grow Distant

sweets_vending_machine_window
The consumer vending machine selling prepacked processed chocolate adding a further degree of separation from labor to consumer. (Whitehouse, P. 2007)

While slaves grow cacao, consumers grow distant. Though southern laborers have not advanced industrially, this is not the case for northern consumers. The industrialization of food completely changed northern food culture. Through mechanization, transport, and refrigeration, the distance between consumer and food source has grown. Mechanization produced food en mass cheaply, allowing access to goods that were more accommodating to lower budgets, while transport and refrigeration allowed food to travel further than it had before. (Counihan & Van Esterik, 2013) The biggest game changer in food culture was the mechanization of canning and preservation. With better preservation, food sources began to change, ingredients began change, and soon we had processed and prepackaged food embraced by women everywhere for freeing their time and labor (Counihan & Van Esterik, 81-82, 2013). After two or three generations of eating processed food transported from faraway places, with lists of ingredients that are rarely inspected, consumers today know very little about their food, or even what it contains. They are not unlike their southern counterparts in this way who do not know where cacao goes, or what its use is after it leaves the village.

 

Distance Creates Apathy

Capitalist consumerism breeds competition, creating incentive to keep the consumer

cocoa_farming_in_ghana
Cacao farmer in Ghana with his crop before it is prepared and bagged to be sent to manufacturers to make chocolate. (Rberchie, 2014)

happy. As modern chocolate consumers in the north are far more concerned with inclusiveness, fair treatment, and food activism than previous generations, the power of the purchase is seemingly an easy solution to the poor working conditions and poverty that are still prevalent in the cacao industry despite its economic growth. Far removed from the supply chain, unaware consumers continue to purchase due to lack of transparency in food product, and manufacturers remain complicit in the absence of financial threat. Manufacturers however also have limited power. Even with strict purchasing policies, and government regulation it is still difficult to know if a supplier is using slaves without constant physical inspections (Martin, C. 2017), and blame shifts all along the supply chain making it easy for manufacturers to be complicit, and consumers to remain uninformed.  Lack of transparency in food sourcing, blame shifting in the industry, and distance from food sources, culminate to create a culture of apathetic food consumers.

How It All Comes Together

The dichotomy between cacao consumer and producer today began with early Europeans and European colonists who failed to view southern peoples as sovereign and instead as a voiceless labor resource. Excluded from global interaction, Southern populations failed to participate in cultural trends, shifts, and innovations that were transforming society and industry elsewhere. Non-participation in the industrial revolution left southern continents behind in what would become a global economy with no agency for economic competition; turning to natural resources and labor for economic survival in a state somewhere between hunting and gathering and industry with little opportunity for growth. While mechanization followed by technology has created decadence in northern populations as compared to southern countries, northern consumers are today ignorant of their food supply chain because of these advancements, and unaware of the poverty and labor practices of those supplying it. Lack of transparency in food products add to this distance, and northern Chocolate manufactures as well as governments are complicit in unethical labor practices, shifting blame along the food supply chain leaving those who are aware unsure of who to even hold accountable (Martin, C. 2017). While northern consumers today have more of a social conscience than their ancestors, the opposing lifestyles of the chocolate consumer and the cacao laborer have failed to come closer together over the last several hundred years due to a legacy of “othering,” and complicit corporate interests protecting their revenue stream that has created an apathetic northern food culture.

Where We Go From Here

Consumer awareness is growing. Projects like Fair Trade, CNN Project Freedom, End Slavery Now, Slave Free Chocolate etc., have been working hard to inform the public. Many consumers now seek out fair trade products when available, and appear willing to pay more for ethical practices. In their paper, Consumer Demand for the Fair Trade Label: Evidence from a Multi-Store Field Experiment ,  Hainmueller, Hiscox, & Seguiera state,

“Total sales of Fair Trade goods in the United States in 2011 amounted to roughly $1.4 billion (FLO 2012) … But the average annual rate of growth in U.S. sales of Fair Trade certified goods was close to 40% between 1999 and 2008” (2014).

Fair Trade is not without its problems, as certification can be costly and marginalizes the poorest producers, but it is a start, and one of few ways to access transparency of the food supply chain in a consumer market that provides no source-to-store product information. Legislators are also working to intervene in child slavery practices. Senator Tom Harkin and Representative Eliot Engen introduced a protocol to reduce trafficking in the cacao industry, agreed to by manufacturers and legislators from Ghana and the Ivory Coast as stated by the ILO, “that aims to reduce the worst forms of child labor by 70 percent across the cocoa sectors of Ghana and Cote d’Ivoire by 2020” (ILO, 2017). Currently Fair Trade and other transparent and ethical alternatives have not achieved mainstream mass production, making it difficult for a consumer to use the power of the dollar against corporate complicity even when they choose to. Raising awareness and creating a demand for ethical products can aid in ending consumer apathy by closing the information gap, and denting corporate revenue streams that, with some work, will promote less disparity between southern suppliers and northern purchasers.

 

Works Cited

 

Coe, S. D., & Coe, M. D. (2013). The true history of chocolate (3rd ed.) London, ENG.Thames & Hudson Ltd.

Counihan, C., Van Esterik, P., (Eds.). (2013). Food and culture a reader New York NY. Routledge, Taylor & Francis Group.

CNN Freedom Project (2012) Who eats the most chocolate?. Retrieved from:                          http://thecnnfreedomproject.blogs.cnn.com/2012/01/17/who-consumes-the-most-chocolate/

DFID, (2011) Children of the Ivory Coast [digital image].  Retrieved from Wikimiedia Commons Website: https://upload.wikimedia.org/wikipedia/commons/7/77/Flickr_-_DFID_-_UK_Department_for_International_Development_-_Children_pictured_at_a_UNHCR_food_distribution_point_in_Liberia

Expressing Yourself (2009) Menier Chocolate Factory. [digital media]. Retrieved from: https://commons.wikimedia.org/wiki/File:Menier_Chocolate_Factory

Hainmueller, j., Hiscox, M., Sequeira, S., (2014) Consumer Demand for the Fair Trade Label: Evidence from a Multi-Store Field Experiment. Retrieved from: http://www.hbs.edu/faculty/conferences/2014-launching-the-star-lab/Documents/FT_final_2_20.pdf

ILO, (2017) Africa: Child Labor in Cocoa Fields/ Harkin-Engel Protocol. Retrieved from:     http://www.ilo.org/washington/areas/elimination-of-the-worst-forms-of-child-    labor/WCMS_159486/lang–en/index.htm

Kolivalli, S., Vigneri, M. (2014) Cocoa in ghana: Shaping the success of an economy. Retrieved from http://siteresources.worldbank.org/AFRICAEXT/Resources/258643-1271798012256/Ghana-cocoa.pdf

Martin, C. (2017) Modern Day Slavery. Harvard Extension School. [Mar 22, 2017 Lecture].

Maxim75 (2016) Hershey Bars. [digital media] Retrieved from Wikimiedia Commons Website: https://commons.wikimedia.org/wiki/File:Hershey%27s_chocolates_in_store.

Mintz, S.W. (1986) Sweetness and Power. NY, NY. Penguin Books 1986

Off, C., (2006) Bitter Chocolate: The Dark Side of the World’s Most Seductive Sweet. New   York: The New Press.

Rberchie (2014). Cacao farmer [digital media] Retrieved from Wikimiedia Commons Website: https://commons.wikimedia.org/wiki/File:Cocoa_farming_in_Ghana

Satiodqua-Tan, J (Jul, 2015) Americans eat how much chocolate?. Retrieved from:             http://www.cnbc.com/2015/07/23/americans-eat-how-much-chocolate.html

Wessel, Marius (Dec, 2015). Cocoa production in west Africa, a review and analysis of recent developments. NJAS-Wageningen Journal of Life Sciences, 74-75, 1-7. doi:                 https://doi.org/10.1016/j.njas.2015.09.001

Whitehouse, P.  (2007). Vending machine [digital image]. Retrieved from Wikimedia Commons Website: https://commons.wikimedia.org/wiki/Category:Mars_Bar

 

Shortening the Supply Chain: How Taza Chocolate’s Direct Trade Benefits the Chocolate Industry

The supply chain which governs the production of chocolate is full of complex relationships, blind spots, and middle men.  With these issues, inefficiencies and exploitative practices run their course throughout the chain.  Fixing these problems is not a one man or company job, but a change that must start with a small step.  This step has come with Taza Chocolate.  With Taza’s certifications, specifically its one concerning Direct Trade, and its “Bean to Bar” philosophy, they have shrunk the cacao/chocolate supply chain to take out these inefficiencies and harmful, exploitative practices in order to benefit both the growers and the consumers.

Launched in 2005 in Somerville, Massachusetts by founder Alex Whitmore, Taza strives to create “unrefined, minimally processed chocolate” with an incredible flavor (About Taza, 2015). Not only does their chocolate taste great, but it is ethically sourced.  This means they partner directly with the cacao farmers they buy from and pay a premium above the Fair Trade price for their cacao (About Taza, 2015).  Additionally, they only partner with farmers who “respect the rights of workers and the environment” (About Taza, 2015).  Taza uses a “Bean to Bar” philosophy, which utilizes their Direct Trade certification.  The video below gives you a sense of what “Bean to Bar” means to Taza, its partners, and workers.

Direct Trade ensures that Taza workers partner directly with the growers and maintain a face-to-face relationship with their farmers.  Additionally, Taza pays well above the market price for cacao beans, which currently stands around $1800 per metric ton. (Nasdaq: Cocoa, 2017).  To showcase how this buying works, Taza puts out an annual Transparency Report that highlights their program, prices, and key statistics.  Click here to view their 2016 report.  As you navigate this page, be sure to examine particular partner reports as they emphasize this program’s price benefits, stability, and room for farm improvement.

Their “Bean to Bar” and Direct Trade practice has shrunk the supply chain significantly.  The only non Taza or grower related dealer is the import company, which ships the cacao beans to Taza.  A typical supply chain for Taza can be seen below.

Screen Shot 2017-05-03 at 11.49.44 AM
Typical Taza Chocolate Supply Chain

This chain comes specifically from Taza’s partnership with the Alto Beni Cacao Company from Bolivia.  As you can see, Taza uses Atlantic Cacao as their importer and has developed a relationship with them such that they are used for all imports coming from the Caribbean and Central American region.

So, how does the chocolate supply chain look for a chocolate producer or retailer that does not operate as Taza does?  The answer is it is a lot longer with more independent players.  Below is an image depicting what this supply chain might look like.

Screen Shot 2017-05-03 at 12.18.26 PM
Typical Chocolate Supply Chain*

Throughout this chain, there are many actors with varying roles and profit margins.  The proportion of a final bar price for some individuals in the supply chain is as follows: farmers receive 3%, cocoa buyers receive 5%, manufactures receive 20%, and retailers receive 43% (Martin, Lecture 1).  This highlights a major inefficiency and exploitation that occurs during chocolate growing and production.  With little pay received by the growers, there is essentially no money left after operating expenses have been paid.  This means less money is put into the farm to improve the crop and harvesting process.  Additionally, apart from the growing and harvesting itself, no money is left to improve the lives of the farmers and their families.

This lack of money feeds into an even larger problem, which has become a topic covered extensively by media and activists, child labor.  There is certainly a negative side to this sort of labor, but it is very much a part of the African culture.  It is very typical for a young son or daughter to accompany his or her parent to the farm and help with simple tasks such as carrying food or lesser manual labor (Ryan 45-46).  This is generally deemed acceptable if the child does not miss out on schooling that will help him or her with their long-term career.  This is often not the case.  With the poverty and small income that come with being a grower, there is a benefit to having one’s child work on the farm.  With fewer employees to pay, there is a lower cost associated with family labor (Berlan 1093).  However, this mentality breeds an even worse form of child labor, trafficking and debt bondage.

Child trafficking has become an all too familiar phenomena on cocoa farms.  In 1998, UNICEF wrote a report that described how the transactions of children work out.  “Recruiters” will seek out children at bus stops of busy cities who have left home seeking work that will bring in more money for them and their family (Off 130).  The transporter then receives money from the farmer who uses this fee as overhead for the child’s contribution on the farm; thus, the child receives no money from working (Off 130-131).  Conditions for the worst kind of child labor are quite grim as they may work at gunpoint, eat little, sleep in bunkhouses that are locked at night, and are subject to horrible sores on their backs from carrying heavy bags of cacao beans and from being beaten (Off 121).  The image below showcases how grueling this labor can be and the types of dangerous tools children use while working.

Child Labor
Child Cutting Cacao Pod

One area of tension that arises when chocolate producers and organizations talk about exposing and ending child labor is the possibility of a boycott from a growing area.  For many African countries, a boycott on their cacao beans would be devastating to the economy as most depend on jobs in the cacao industry (Off 142).  Firms and larger chocolate companies and producers have attempted to eradicate this problem, but their efforts have been mostly ineffective.  Put in place in September of 2001, the Harkin-Engel Protocol was an attempt to solve this problem:

Cocoa beans and their derivative products should be grown and processed in a manner that complies with International Labor Organization (ILO) Convention 182 Concerning the Prohibition and Immediate Action for the Elimination of the Worst Forms of Child Labor (Harkin-Engel Protocol).

This objective would be accomplished with the help of governments, global industry, cocoa producers, organized labor, non-government organizations, and consumers (Harkin-Engel Protocol).  Many big chocolate companies such as Hershey’s, Mars, and Nestle supported this protocol and hoped to solve the problem of child labor in cocoa farms by 2005 (Martin, Lecture 8).  While having big companies backing this program promises a source of funds, they have continued to push back the deadline and now have it stand in the year 2020 (Martin, Lecture 8).  So, perhaps a large-scale, top-down approach is not the best solution to the problems plaguing the chocolate supply chain.  While I have digressed from Taza, now is great time to return to their company approach, as they work a more effective grass-roots style.

As seen in the diagram above highlighting Taza’s supply chain, there are fewer players at work in the production of their chocolate.  To tackle how their process is more efficient and beneficial compared to that of a larger company with a longer, more complex supply chain, we shall examine the benefits and even some of the drawbacks seen within the growers, in the production process, and with the consumers when Taza chocolate hits the shelves.

Starting with the grower, the benefits seen with Taza’s partnered farmers compared to the conditions seen on farms of those who supply to larger companies all stem from Direct Trade.  With Direct Trade, Taza can form a long-lasting relationship with farmers.  By traveling directly to the farms, Taza buyers can see who they are buying from and the conditions of the workers and those living on or near the farm.  This eliminates the poor labor practices that may take place on farms that supply larger companies, as these big companies are unable to see the conditions of their cacao growers.  In fact, Taza is so in touch with their partners that they share on their website profiles of these farms and their workers to showcase this relationship and the benefits it provides.  Here is a link to a profile on Maya Mountain Cacao that tells you a bit about their farm and the fermentation and drying facility built by Taza.

In addition to the relationships formed with the farmers, as published in their report, Taza pays a premium for the beans purchased from suppliers.  It has been noted by many scholars that the key problem the chocolate industry faces is poverty among primary producers, yet no large-scale programs have been implemented to address this issue (Off 146).  By paying a premium for their cacao beans, Taza is attempting to address this economic issue.

Apart from these benefits, there are some faults with Taza’s model.  The first is the small scale and limited reach of direct trade.  In 2016, Taza purchased only 233 metric tons of beans (Taza: 2016 Transparency Report).  This pales in compassion to the millions of metric tons purchased by the chocolate industry each year.  A second issue can be identified in the types of farms Taza partners with.  The beans that Taza purchases are high quality, fine cacao beans, which tend to be more expensive to grow.  Therefore, some of these farms are more wealthy, and Taza is in fact not benefitting the farms in dire need.  Of course, these negatives do not outweigh the positive work Taza does in the chocolate industry.  To start a change, small steps must be made, and Taza’s Direct Trade is a step in the right direction.

Turning to the production of Taza chocolate, their process is vastly different than those of larger companies and this difference is directly influenced by Direct Trade.  There is a high degree of care and precision that goes into crafting each bar of chocolate.  Taza strives to limit the amount of processing involved in production to “let the bold flavors of (their) organic, Direct Trade cacao shout loud and proud” (Our Process, 2015).  A diagram of their production process is presented below and highlights the easy to follow and minimalistic process used by Taza.

Screen Shot 2017-05-04 at 5.14.15 PM
Taza Chocolate Making Process

Lastly, in regards to their process, ingredients used are source known, which is a direct benefit of Direct Trade.  When you flip over the wrapper to read your bar’s ingredients, there are simple, organic ingredients that can be easily traced back to their origin.  This allows for confidence in consumption and in knowing ingredients come from a sustainable, humane farm.

The last component of the supply chain involves the consumer.  Taza certainly plays on a feel-good sensation seen by a consumer when they purchase a bar of Taza chocolate.  This feeling stems from the smart, ethical sourcing associated with Direct Trade.  When a consumer picks up a bar and sees the Direct Trade certification, they feel that they are helping tackle many of the problems in the chocolate industry.  Is this an ethical practice for Taza or are they preying on the gullible emotions of consumers?  With Taza’s small-scale production relative to the chocolate industry, it is acceptable to question whether you are actually making a difference when you buy a bar of Taza chocolate.  However, you are contributing to their mission.  Taza has ambitious goals, but is also thinking about the well-being of all cacao farmers.  They may not be helping all of them, but they are trying to make a difference.

In conclusion, Taza’s Direct Trade does mean something and is making a difference. By shrinking the supply chain seen with larger chocolate companies, Taza is eliminating many of the exploitative labor practices and economic inefficiencies seen in a typical supply chain.  So, next time you are craving some chocolate, head to the store and grab that Taza bar.

 

* Process information found on http://businesscasestudies.co.uk/bccca/creating-a-sustainable-chocolate-industry/the-supply-chain-for-chocolate.html; image made in PowerPoint

Works Cited:

“About Taza.” Taza Chocolate, 2015, https://www.tazachocolate.com/pages/about-taza. Accessed 3 May, 2017.

Berlan, Amanda. “Social Sustainability in Agriculture: An Anthropological Perspective on Child Labour in Cocoa Production in Ghana.” The Journal of Development Studies, vol. 49, no. 8, 2013, pp. 1088-1100.

“Cocoa: Latest Price & Chart for Cocoa.” Nasdaq, 2017, http://www.nasdaq.com/markets/cocoa.aspx. Accessed 3 May, 2017.

“Harkin-Engel Protocol.” Chocolate Manufacturers Association. 19 September, 2001, http://www.globalexchange.org/sites/default/files/HarkinEngelProtocol.pdf. Accessed 3 May, 2017.

Martin, Carla D. “Lecture 1: Mesoamerica and the “food of the gods”.” Aframer 199x. CGIS, Cambridge, MA. 01 Feb., 2017. Lecture.

Martin, Carla D. “Lecture 8: Modern day Slavery.” Aframer 199x. CGIS, Cambridge, MA. 22 Mar., 2017. Lecture.

Off, Carol. Bitter Chocolate: The Dark Side of the World’s Most Seductive Sweet. The New Press, 2006.

“Our Process.” Taza Chocolate, 2015, https://www.tazachocolate.com/pages/our-process. Accessed 3 May, 2017.

Ryan, Órla. Chocolate Nations: Living and Dying for Cocoa in West Africa. Zed Books, 2011.

“2016 Transparency Report.” Taza Chocolate, 2015, https://www.tazachocolate.com/pages/2016-transparency-report. Accessed 3 May, 2017.

Picture and Video Source:

“Boy Cutting Cacao Bean.” Google Images, Accessed 3 May, 2017.

“Creating a Sustainable Chocolate Industry.” Business Case Studies, 2017, http://businesscasestudies.co.uk/bccca/creating-a-sustainable-chocolate-industry/the-supply-chain-for-chocolate.html. Accessed 3 May, 2017.

“Taza Chocolate Making Process.” Taza Chocolate, 2012, https://cdn.shopify.com/s/files/1/0974/7668/files/Taza_Chocolate_Making_Process.pdf?10043542871181577895. Accessed 3 May, 2017.

“Taza Chocolate “Bean to Bar”.” Taza Chocolate, 2012, https://vimeo.com/33380451.

“2016 Partner Report.” Taza Chocolate, 2015, https://www.tazachocolate.com/pages/2016-partner-report-alto-beni-cacao-company. Accessed 3 May, 2017.

 

 

 

 

Unethical Practices: Hershey Corruption Domestically & Internationally

The United States of America is one of the most powerful countries in the world: we have an established democracy protected by a series of checks and balances, a burgeoning universal health care system, social services aimed at helping the impoverished, and we rank among the wealthiest countries in the world. Our success and that of other first-world countries has lead to global partnerships aimed at reducing extreme poverty and its many dimensions. Corporate America plays a unique role in this philanthropic commitment, on one hand providing international support to various civil rights groups and on the other lobbying in Washington to ensure their businesses secure the most advantageous positions possible. These contradictory positions collide cataclysmically in the chocolate industry.

Hershey’s public image is inspiring: founded in 1894 on Mennonite ideals by Milton Hershey, the company is now “controlled by a multi-billion-dollar child-care charity for the poor” (Fernandez). In reality, however, the company’s economic power has allowed them to use the Trust how they please, with no concern for the orphans, as the Pennsylvania attorney general looks the other way. Hershey’s web page is covered in links relating to their philanthropic endeavors, with titles like “A World of Good: Our Vision for the Future,” “Nourishing 1 Million Minds by 2020,” and “1.7 Million Gallons and 10,500 Acres Saved.” But behind this calculated presentation lies a history of corruption traversing the Atlantic. Over the past two decades, countless reports have been published credibly documenting the widespread use of child labor in the countries from which the chocolate industries, including Hershey, source their cacao. Gubernatorial action, such as the Harkin-Engel Protocol, have proven useless in motivating Hershey to divest from its unethical supply chain and will continue to be ineffective until the government is able to successfully escape the grasp of Corporate America. By allowing Hershey’s domestic and international transgressions to go unnoticed by the public eye, the government has indirectly enabled the chocolate industry’s continued abuse of human rights.

Milton Hershey: History & (Intended) Legacy

3438658687_1ea28ffc63_o
Milton      &     Kitty     Hershey,     1910. Source: Hershey Community Archives

Milton Hershey was a man of humble beginnings. Born in 1857 to a poor family in rural Pennsylvania, Hershey dropped out of school after the fourth grade to apprentice in a confectionary shop. His first two candy businesses failed before he successfully founded Lancaster Caramel Company (D’Antonio). After attending the 1893 World’s Columbian Exposition in Chicago, Hershey became fascinated by chocolate-making and bought two chocolate making machines. After much trial and error, he was able to create a unique recipe using skim milk that allowed him to mass-produce chocolate, selling bars at prices afforded by all. Hershey sold the Lancaster Caramel Company in 1900 and used the proceeds to buy farmland near Derry, Pennsylvania where Hershey began constructing his empire, building a state-of-the-art chocolate manufacturing factory, houses, businesses and churches.

Hershey was particularly devoted to his wife, Kitty, who suffered from an unknown disease that left her chronically sick and in pain. Due to her disease, the couple were unable to have children, prompting the foundation of the Hershey Industrial School (D’Antonio). In an interview with the New York Times, Hershey is quoted explaining his decision to found the school: “Well, I have no heirs – that is, no children. So I decided to make the orphan boys of the United States my heirs” (Fernandez). The Deed of Trust created by the Hershey family specified that the boys attending the orphanage had to be “fatherless, white, healthy, between the ages of four and eight, and good companions”. The boys would live in group home and attend school while performing age-appropriate chores on the farms and in the houses.

2468086269_dc796f1716_o
Milton    Hershey    &    Milton    Hershey        School       students.  Source: Hershey Community Archives

In 1930, “Hershey put the entire assets of the Hershey company – along with the Hershey mansion, Cuban sugar plantation, thousands of acres of Pennsylvania and the town of Hershey itself – into the huge and sophisticated legal trust ‘exclusively devoted’ to his orphanage, that was to exist into perpetuity” (Fernandez). The Trust came to have the controlling share in the company and the board of the Trust was meant to ensure the legal stipulations specified by Hershey in the Trust were upheld.

Domestic Corruption

After Hershey’s death, profit at the Hershey company soared and by 1962 the total value of Hershey’s orphans’ fund was over $395 million. Many recommendations in accordance with the Deed were made to use the profit to improve the lives of orphans, including admitting more types of students (i.e. races, genders) and modernizing the tuition-free Junior College or converting it to a low-cost four-year university. However, the president of the board, Sam Hinkle, an alumni of Penn State, pushed for the funds to be used to build a medical university for the state college. This technically violated the Deed and would not have received the approval needed had the board not found a loophole. The attorney general at the time, Alessandroni, was looking to make a run for governor and the board privately presented their idea to him, emphasizing the thousands of jobs the medical center would create. Ultimately, the money was given to fund the medical university but the board did not follow official channels with no taken appeal, written opinion, or official reports (Fernandez). Throughout the next few decades, the board would repeatedly find backroom ways to use the Trust, that was to be exclusively devoted to the orphanage, to support the failing Hershey Entertainment and Resort Company. These purchases include the controversial Hershey Links Golf Course, purchased in the early 2000s for nearly three times its independently appraised value (Miller).

The board of the Hershey Trust all but neglected the orphanage, failing to update practices as new studies and research were done in child psychology. No members of the board were child-care experts and school enrollment began to fall. In a recent decade, more poor children dropped out or were kicked out for misbehavior than graduated (Fernandez). The Milton Hershey School has also failed to protect the wellbeing of its students: by 2013, the school had suspended at least thirteen children diagnosed with depression, including Abbie Bartels who was barred from her eighth grade graduation; Abbie later committed suicide (Eisenberg). In 2012, the school denied admission to a boy with HIV, violating the Americans with Disabilities Act of 1990 (CBS News). The school later settled out of court, paying the family $700,000. Despite being the wealthiest secondary school in the nation with an endowment of over twelve-billion-dollars AND a founding mission to assist the impoverished population with limited resources, the school felt they were unable to help these children.

Picture1
Hershey Links Golf Course & Rear of Clubhouse. Source: Dan Gleiter

Attorney General Kathleen Kane began to investigate the board’s actions in allocating the Trust’s dividends but ultimately ruled publicly that they had not violated their fiduciary duty (Malawskey). The board did make minor changes before this statement was published, closing the golf course to build student homes on the land just eight years after declaring their plan to run a “championship-caliber golf course” in a press release. A spokeswoman of the Trust has said that the five-million-dollar restaurant and bar was build with the intention of repurposing it in the future for the poor students, although remains vague about what exactly those intentions are. It is interesting to note that Kane’s top aide is the brother-in-law of one of the Trust’s board members. The announcement of these modifications right before the ultimate decision of Kane’s two-year judicial review of the board is oddly coincidental.

Trouble in Africa

In the early 2000s, the documentary Slavery: A Global Investigation was released and the world began to take notice of the unethical practices of the chocolate industry. The film explores cacao plantations in Côte d’Ivoire, interviewing young workers who vividly explain the “beatings, starvation diets and foul living conditions” they are forced to endure to make the delectable treat so often taken for granted in the developed world (Off 134). One of the people interviewed, “Diabe Demeble, president of the Malian Association of Daloa, a major city in western Côte d’Ivoire in the heart of cocoa land, made the controversial (though not provable) statement that ninety per cent of the cocoa farms probably used child labor or slaves” (Off 134). The scenario presented in Côte d’Ivoire sounded eerily similar to the São Tomé and Principe scandal of the early 20th century, when the major chocolate manufacturers disregarded reports of forced labor that were ultimately verified.

Trailer for another documentary about child trafficking and labor, The Dark Side of Chocolate, released in 2010: https://www.youtube.com/watch?v=y882AajKo1s

Screen Shot 2016-05-03 at 2.07.58 PM
The Big 5 Chocolate Companies Source: Wikimedia Commons

A similar series of articles about the cacao plantations in West Africa, Knight Ridder, reached the desk of Congressman Eliot Engel in 2001. Concerned, Engel added a rider to an agricultural appropriations bill about to be voted on in the House of Representatives that proposed a “labelling system for chocolate that would proclaim the candy to be ‘slave free’ if it could be documented that the product hadn’t involved the work of exploited children” (Off 139). The rider passed easily in the House of Representatives but the chocolate industry quickly enlisted the help of lobbyists before it reached the Senate. On the behalf of the Big 5 chocolate companies, the lobbyists argued that the cocoa chain was outside of their control and that it was the government of Côte d’Ivoire’s responsibility to guarantee ethical cacao. Ultimately, Congress and the Big 5 settled on what is now known as the Harkin-Engel Protocol, a voluntary “six-point program designed to eliminate child slave labor in the cocoa chain by 2005” (Off 144). Congress warned that if “the industry failed to eradicate ‘the worst forms of child labor’ on cocoa farmers within that time,” they would reevaluate the the previously proposed ‘slave free’ labelling system (Off 145). Timing played an interesting role in this compromise: elections of 2002 were less than a year away and candidates needed money to finance their elections, much of which comes from big corporations. Tom Harkin, chairman of the Senate’s Agricultural Committee who championed the bill in the Senate, received sizeable donations from Archer Daniels Midland, sugar companies, and the dairy industry, all of whom would have suffered with the passage of the originally proposed labelling system.

engel
“Their attitude surprised me… I thought they would say ‘We don’t think this is a problem but we’ll investigate.’ Instead it was all    about    the   bottom   line.” – Congressman Eliot Engel  Source: Off; US Congress

The chocolate industry had not met all of the requirements of the Harkin-Engel Protocol by the deadline in 2005 and the U.S. Department of Labor awarded a contract to the Payson Center for International Development at Tulane University to evaluate the cacao supply chain in 2008/2009 and again in 2013/2014. Between these periods, the amount of children working in hazardous work in cocoa production in Côte d’Ivoire and Ghana combined increased almost 20% to 2.03 million: Côte d’Ivoire individually saw a 46% increase in children working in hazardous work in cocoa production (School of Public Health and Tropical Medicine). Progress was made and lost in various hazardous activities in cocoa agriculture, with less children participating in land clearing, down 29% in both countries combined, but more children children working with agro-chemicals, up 44% in both countries combined. The Payson Center found a 51% increase in the overall number of children working in the cocoa industry and that 1.1 million children were living in slave-like conditions, a 10% increase from the 2009/2008 report.

Over a decade after the original deadline of the Harkin-Engel Protocol, the chocolate industry is still using unethically sourced cacao beans in their production. Hershey has made a commitment to source 100% certified cocoa by 2020 and is expected to hit 50% this year, a year ahead of schedule (Gunther). This commitment may not be enough to put an end to child labor and hazardous working conditions: certification must be attained by individual farmers and is very expensive. There is corruption in the system and a failure to monitor standards (Martin).

Moving Forward

How can we expect to eliminate unethical practices in the chocolate industry if Corporate America continually avoids accountability and the government constantly makes exceptions for them? Isn’t it ironic that even Hershey, a company ‘controlled’ by a twelve-billion-dollar child-care charity for poor kids, is unable to make a real commitment to an ethical supply chain?

This is not an easy problem to solve: there are many actors, internationally and domestically, enabling the unethical use of child labor in the chocolate industry. Holding these corporations responsible for their transgressions will not solve the problem overnight but it is a step in the right direction. Government, both federal and state, need to commit to their oath of office and let the law and morality dictate their decisions, not the checkbooks of Corporate America. These corporations are ‘bottom line driven,’ and protecting them not only allows them to evade monetary consequences in the form of fines but also prevents the public from becoming aware of the situation and possibly altering their buying habits away from dirty chocolate.

References

D’Antonio, Michael. Hershey. New York: Simon & Schuster, 2006. Print.

Eisenberg, Pablo. “Suicide Of An Expelled Student Raises New Questions About Hershey Trust”. Huffington Post, 2014. Print.

Fernandez, Bob. The Chocolate Trust: Deception, Indenture And Secrets At The $12 Billion Milton Hershey School. Philadelphia: Camino Books, Inc., 2015. Print.

“File:Cadbury.svg”. Wikimedia Commons, 2008. Web. 2016.

“File:Logo Ferrero.svg”. Wikimedia Commons, 2008. Web. 2016.

“File:Nestle textlogo blue.svg.” Wikimedia Commons, 2014. Web. 2016.

Gleiter, Dan. The Hershey Links Clubhouse Seen From The Back.. 2010. Print.

Gunther, Marc. “Hershey’s Uses More Certified Sustainable Cocoa, But Farmers May Not Be Seeing The Benefits”. The Guardian, 2015. Print.

Hershey Co. “File:Hershey logo.svg”. Wikimedia Commons, 2014. Web. 2016

Hershey Community Archives. Milton And Catherine Hershey, 1910. 2011. Web. 2 May 2016.

Hershey Community Archives. Milton Hershey And Milton Hershey School Students, 1923. 2011. Web. 2 May 2016.

Malawskey, Nick. “Attorney General Kathleen Kane On Hershey Trust Reforms: ‘A Great Step Forward'”. Penn Live, 2013. Print.

Mars. “Datei:Mars-Chocolate-Deutschland.jpg”. Wikimedia Commons, 2010. Web. 2016.

Martin, Carla. “Lecture 10: Alternative Trade And Virtuous Localization/Globalization”. 2016. Presentation.

Miller, Barbara. “Golf Course Rezoning For Milton Hershey School Homes Approved In South Hanover Twp.”. Penn Live, 2013. Print.

Off, Carol. “Bitter Chocolate: The Dark Side of the World’s Most Seductive Sweet”. New York: The New Press, 2008. Print.

School of Public Health and Tropical Medicine. Survey Research On Child Labor In West African Cocoa Growing Areas. New Orleans: Tulane University, 2015. Web. 3 May 2016.

United States Congress. “File:Eliot Engel, official photo portrait.jpg”. Wikimedia Commons. Web. 2016.