Rising Global Poverty Line Exposes Deep Inequities in Chocolate Supply Chains
Most cocoa farmers in Côte d’Ivoire and Ghana continue to earn well below $1 per day per household member. Image: ACM
Chocolate industry leaders urged to address structural income disparities as new World Bank poverty data reveals moral and market risk.
This isn’t just a statistical update. It’s a recalibration of global moral responsibility. If chocolate companies are serious about sustainability, farmer income cannot remain an afterthought.”
PARIS, FRANCE, June 16, 2025 /EINPresswire.com/ -- The World Bank’s recent decision to raise the international poverty line for low-income countries—from $2.15 to $2.35 per person per day (in 2017 PPP terms)—has sharpened the spotlight on the financial precarity of cocoa farmers in West Africa, home to over 70% of the world’s cocoa supply.— Anthony Myers, Editor, CocoaRadar.com.
According to CocoaRadar analysis, most cocoa farmers in Côte d’Ivoire and Ghana continue to earn well below $1 per day per household member—often between $0.40 and $0.80—placing them far beneath both the revised poverty line and established living income benchmarks.
“This isn’t just a statistical update. It’s a recalibration of global moral responsibility,” said Anthony Myers, Editor of CocoaRadar.com. “If chocolate companies are serious about sustainability, farmer income cannot remain an afterthought.”
Implications for the Chocolate Industry
As millions of cocoa growers now officially fall deeper into poverty, CocoaRadar warns that chocolate companies must urgently confront the disconnect between ethical sourcing claims and farmer realities.
Key takeaways from the CocoaRadar briefing include:
📉 Brand Risk: Ethical sourcing claims may ring hollow as income benchmarks shift, exposing reputational vulnerabilities.
📈 Investor & Regulatory Pressures: EU regulations like the Corporate Sustainability Due Diligence Directive (CSDDD) and Deforestation Regulation (EUDR) will require companies to demonstrate poverty mitigation in their supply chains.
⚖️ Value Chain Imbalance: Cocoa farmers receive less than 7% of a chocolate bar’s retail price—down from 40–50% in the 1970s.
🌱 Strategic Opportunity: Companies that lead on living income innovations may gain ESG advantage and secure market trust.
Regional Impact Snapshot
The revised poverty benchmark places nearly 180 million West Africans—or about 40% of the region’s population—below the poverty line.
What’s Next?
CocoaRadar highlights several industry responses underway:
A new farmer income gap tool developed by TRACT and ofi to inform sector-wide action.
Nestlé’s forthcoming Income Accelerator Programme progress update on June 25.
Fairtrade International’s commitment to strengthen its Living Income Reference Price (LIRP) framework after recent stakeholder consultation.
About CocoaRadar
CocoaRadar is an independent platform providing news, analysis, and commentary on the global cocoa and chocolate value chain. From industry giants to grassroots producers, CocoaRadar tracks developments shaping the future of ethical, sustainable, and economically just cocoa production.
🔗 Visit: www.cocoaradar.com
📬 Media Inquiries: press@cocoaradar.com
ENDS
Anthony Myers
CocoaRadar.com
tony@cocoaradar.com
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