Mondelēz to create world’s biggest sustainable cocoa farm

Mondelēz International, a global leader in “snacking made right” has joined in a joint venture with Olam Food Ingredients, a leading supplier of cocoa beans and cocoa ingredients.

Their new collaboration in Indonesia will create the world’s single largest sustainable commercial cocoa farm: 2,000-hectare cocoa farm on Seram, the largest island in Maluku province in Indonesia.

The Mondelēz International and Olam Food Ingredients joint venture

The project will use advanced climate smart and plant science technology and the model tests a modernised and professional blueprint for best practice cocoa farming, optimal land usage and farming community planning which will be explored as a potential model for replication across the region.

The partnership aims to deliver:

• The creation of 700 jobs for local residents in an area which has limited income opportunities due to its isolated location. Nearly half of these employment opportunities will go to women.
• 2,000 hectares of previously deforested brown field land, which will be planted with cocoa, shade trees, forest and fruit trees to promote biodiversity and carbon capture. More than 1,080 hectares have already been planted across the total plantation area of 3,380 hectares.
• An area of 47 hectares which has been identified as High Conservation Value forest and is being fully protected as a vital habitat for flora and fauna.
• A seedling nursery which can grow up to one million high-yielding cocoa seedlings each year.
• Access to healthcare and education for all employees and their families, as well as housing, electricity, water, day care for the 200 families who live on site.

Cocoa’s popularity increases in Asia

Demand for cocoa is growing across Asia, which is set to become the second largest consuming region of cocoa ingredients in the world. Indonesia is a key cocoa-producing country in the region, but farmers have struggled with rising temperatures, low yields and crop disease. 

Combining their respective expertise in cocoa growing research and development, sustainable cocoa farm management, and good agricultural practices, Mondelēz International and Olam will tackle these problems by improving the livelihoods of partner cocoa farmers, empowering communities and restoring the environmental productivity of a previously deforested landscape.

“As one of the world’s leading chocolate makers, we’re on a mission to make cocoa right and to secure a sustainable future for an ingredient essential to our business”, said Quentin Roach, SVP Supply Chain & Chief Procurement Officer, Mondelēz International. “With nine years of measurable impact demonstrating improved farmer’s livelihoods and reduced environmental impact of cocoa farming through our signature sustainable sourcing program, Cocoa Life, we’re excited to leverage our know-how in a collaborative approach to sustainable raw material sourcing with a geographically customised solution.”

“This could be truly game-changing for the future of cocoa in Indonesia and beyond”, said Gerard A. Manley, CEO of Olam Food Ingredients’s Cocoa Business. “Ever since we launched our first sustainability program in the country more than 16 years ago, we have been committed to supporting Indonesian cocoa farmers while also protecting the environment.