Production models for the future Exploring the possibilities Philippe BASTIDE Amsterdam, February 2016, 5 th

What are the challenges for the producers ?

To cope with an increasing demand To save en to enrich human, cultural heritages and hereditament. To live decently with incomes and revenues from sustainable cocoa farms. To intensify and to innovate in new technologies to make cocoa cultivation for youth more attractive and more competitive and economically sustainable. Challenges for the producers

What are the challenges for the consumers ? 29th CB_2014/09/15_PB

Challenges for cocoa Consumers Industrials - Chocolatiers - final Consumers : 3 major pilars  To comply with cocoa health-quality requirements and regulations : natural contaminants (mycotoxins, heavy metals) or chemicals (pesticides, herbicides, mineral oils and hydrocarbons, acrylamide…).  To cope with product ethics increasing demand with a growing insistence on socially- and environmentally- sound farming systems;  To increase and to secure cocoa product traceability and information from origins.

Indonesia Côte d’Ivoire Ghana Vanuatu

Exemples d’assossiations CameroonHaïti BrazilEcuador

Brazilian Cabruca Agro-industrial Estate with fertigation Traditional West African farmModel of Extractivism

VanuatuBrésil Ecuador Colombia Intercropping and Agroforestry models

Productivity, Inputs, Costs What are the good responses, the right keywords? Sustainable development, Agroforestry, environmental services and biodiversity, Livelihood conditions, secured revenues. Two « opposite ways » yields gaps from 1 to 50 Conservative Produce better to get more money Innovative Produce more to get more money

It is now time to go deeply into a Cocoa-Based Farms Models knowledge By the end, these two models and all their intermediates have rarely been compared. It is feasible? It is very difficult to achieve a clear vision of how to move from one model to the other, particularly since they are often viewed in highly subjective terms. A number of tested and scientifically-validated solutions have been developed but they cannot be compared.

What we know from the fields 90 % of production come from smallholders but from the last years, many big companies and investors are interested in cocoa From 3 to 200 pods per tree Farms from 0.5 ha to more than 3,000 ha Yields and Production Costs are very variable from 80 kg/ha to 4,000 kg/ha De 100 à 4000 USD/ha/year Word Average: ± 400 kg dry cacao/ha Technical knowledge very variable Empiricism, paradigm(s) and reality From picking pods to tree crop management

Farming System A Environmental Performance Technical practices Management Socio-Economical Environment Biotic constraints Pests & diseases Abiotic Constraints Soil - climate Social and economical Performance Revenues and Livelihood conditions How to compare cocoa farming systems ? 1 st step: identify the key factors that characterize farms Assumption : Faced with a given reference model, it is the farmer – entrepreneur must take the final decision; the farmer remains the key factor governing the final technical/economic choice. He decide on any technical solution.

Major criteria (not an exhaustive list)  Agronomic criteria detailed description of environment and management of cocoa- based farming system in terms of land, soil and climate, activities, … descriptors such as planting material, surface area, density, yield, presence of shade, pests and diseases, associated crops, …  Social criteria description of the structure and organisation of the business/farm  Economical criteria Data to quantify input – output flows including information on land tenure, costs – benefits and conditions of heritage transmission. Co-variables: Public institutions and their policies, key stakeholders, Professional bodies, main private investors, funders and donors, … How to compare cocoa farming systems ? 2 nd step: build a matrix based on common criteria

Marzin J., Daviron B., Rafflegeau S Family farming and other forms of agriculture. In : Sourisseau Jean-Michel (ed.). Family farming and the Worlds to come. Dordrecht : Springer [Pays-Bas], p Smallholders AgroIndustries 1 st phase: characterize a generic cacao farms typology

Productivity (Profitability ?) Farming System 1 Farming System 2 Farming System 3 Farming System 4 Strategies Evolution to higher yields (and Incomes ?) ? Evolution to a new system ? 2 nd phase: Build business models and evaluate the key elements that allow to change –upgrade- or not the models.

Expected Results and Outcomes Implementation of an ICCO study to produce a multi- entry matrix table. This will allow cocoa based farming systems to be “compared” with each other on the basis of previously-defined key criteria. The final idea is not to identify which is the best model but to evaluate what are the key elements to characterize farms and the ways to improve their sustainability and profitability. 5 millions farmers, 4 millions mt/year 8 millions hectares: is it sustainable … and ethical? (today, farm gate price = 2400 USD*/ mt)

Thank you for your attention