RESEARCH NEEDS FOR SUSTAINABLE COCOA PRODUCTION IN GHANA

Over the past years, NGOs increasingly started turning to the private sector for support, which is especially relevant when there is a shared interest. Private sector involvement requires a more business-like approach to the project, since these companies are mostly interested in making a profit. Besides financial support, the private sector can also provide technical support for the project interventions (Anon., personal communication). This does not necessarily only relate to cocoa cultivation, but the private sector could also play a role in market access for the products that can be derived from livelihood diversification (e.g. timber, fruits).

Especially when certification is a part of the project design, it is vital to actively involve the private sector to ensure a market for the certified cocoa beans. When the private sector sees an added value in the project, this can set up a sustainable funding structure. However, as long as the link between biodiversity and cocoa production is not clear, the private sector will not be inclined to invest in biodiversity conservation and instead focus their efforts on productivity. It is only when the financial benefits of biodiversity-friendly cocoa production are shown, for example because the market is willing to pay more for these beans, that the private sector will genuinely be interested in conservation efforts. This would require a market for “super-sustainable” cocoa, which is what Touton is currently focusing on (Anon., personal communication).

With regards to cocoa production (without specific focus on biodiversity), the recent years have shown a large increase in private sector participation in development projects. Cocoa grinders and confectionary industries are concerned about the future supply of cocoa beans for their businesses, which has led to efforts to increase cocoa production. However, there are some concerns that the approach that is favoured by the private sector will not necessarily lead to sustainable improvement of the cocoa production. The focus is often on increasing the quality and quantity of cocoa beans available to them, without addressing the underlying factors that cause problems in the cocoa sector such as unstable prices and the fact that only a fraction of the world market price of cocoa beans reaches the producer (Fairtrade International, 2011). It is also thought that private sector involvement can reduce the inclusion of local communities in decision making. Moreover, studies of the environmental and socioeconomic impacts of business-NGO partnerships on the production level, show mixed results. Indeed, Bitzer and Glasbergen (2015) state that “they solve certain problems in global value chains, but also create new problems”. One of the possible explanations is that there is not a lot of experience in these partnerships which makes it “an exploratory experience with uncertain outcomes”. However, knowledge on how to effectively manage these partnerships is increasingly becoming available through scientific studies but might not always reach the relevant organizations (Bitzer & Glasbergen, 2015).