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From farm to consumer: Regional dialogue to strengthen sustainable and deforestation-free cocoa value chains

Blog | Tue, 28 Apr, 2026 · 13 min read
SSS

Introduction

On March 27, 2026, the regional workshop “From Farm to Consumer: Articulation for Resilient, Sustainable and Forest-Friendly Agri-food Value Chains” was held, focusing on the cocoa value chain in Latin America and the Caribbean, as part of the webinar series organized by the UN-REDD Programme.

The event brought together key stakeholders across the sector—including producers, associations, the private sector, governments, and international cooperation—with the objective of analyzing the challenges and opportunities facing the cocoa value chain in a changing global context, as well as identifying mechanisms to strengthen its resilience, sustainability, and competitiveness.


Latin America and the Caribbean hold a strategic position in the global cocoa market, producing between 15% and 17% of the world’s cocoa. Notably, the region is the leading supplier of fine-flavor cocoa, accounting for 76% of global supply in this premium segment, and even exceeding 80% of global exports of this type of cocoa.


The social importance of cocoa production is significant: cocoa cultivation in the region is carried out by more than 350,000 producer families, and it is estimated that at least 1,750,000 people depend on or benefit directly from its production. Additionally, 90% of regional production is in the hands of small and medium-sized family farmers, whose production units are typically smaller than five hectares.

From an environmental perspective, cocoa systems under agroforestry approaches represent a critical solution. These systems not only provide an alternative for reforesting degraded agricultural lands and sequestering carbon dioxide, but also act as buffers against extreme climate variability by regulating temperature and humidity. Various studies indicate that cocoa systems, particularly under agroforestry approaches, can contribute to more sustainable production landscapes when supported by adequate enabling conditions.

In this context, the webinar aimed to open a regional dialogue space to reflect on how to strengthen coordination among the different actors in the value chain—from producers to consumers—and advance towards more resilient, inclusive, and deforestation-free cocoa value chains.

Key Messages and Conclusions

The regional dialogue highlighted several key messages regarding the present and future of the cocoa value chain in Latin America and the Caribbean:

  • The cocoa value chain is undergoing profound changes driven by climate factors, evolving market demands, and increasingly stringent regulatory frameworks, which are reshaping its competitiveness.
  • The region holds a strategic position in the production of differentiated cocoa—such as fine-flavor and organic cocoa—under sustainable, deforestation-free, and agroecological production systems. This represents a key opportunity to position sustainable production models as a value-added differentiator in international markets, responding to growing demand for traceable, responsible, and high-quality products.
  • Cocoa production under agroforestry systems emerges as a concrete pathway to advance forest-positive value chains, promoting conservation, climate resilience, and rural development.
  • The transition toward sustainable value chains entails costs and challenges that should not be borne solely by producers, particularly smallholders, and requires coordinated action across all actors in the value chain.
  • International cooperation plays a key role in strengthening capacities, building trust in markets, and supporting producers in addressing challenges such as traceability and geolocation.
  • National and local governments are essential to facilitate coordination across sectors by promoting technification, digitalization, and inclusion along the value chain.
  • Strengthening connections among producers, cooperatives, companies, governments, and the financial sector is essential to build resilient and sustainable cocoa value chains in the long term.

 

A changing context: regional perspective



Florence Bernard (FAO / UN-REDD Programme) opened the event with a regional perspective on the ongoing transformation of the cocoa value chain in Latin America, driven by climate pressures, new international regulations, and rapidly evolving market demands. She emphasized that competitiveness in the cocoa sector no longer depends solely on volume, but increasingly on the ability to meet growing requirements in traceability, sustainability, and due diligence.


In this context, international markets are demanding greater transparency down to the plot level, deforestation-free production, and compliance with stricter environmental and social standards.

She also highlighted that, beyond the challenges, this transformation represents an opportunity to reposition Latin American cocoa by leveraging its leadership in fine-flavor cocoa, the widespread presence of agroforestry systems, and its potential to generate higher value-added at origin. However, she noted that achieving this will require advancing towards more resilient production systems, strengthening coordination among actors, and ensuring that smallholders—who form the backbone of the sector—have the incentives, capacities, and enabling conditions needed to adapt to this new context.

Experiences from the field


Experiences from Ecuador (government perspective) and Colombia (producer perspective) illustrated how different actors across the value chain are responding to these challenges.

From the producer perspective, progress was highlighted in the adoption of agroforestry systems, organizational strengthening, and improvements in traceability and collective marketing processes. These experiences reflect concrete efforts to meet international standards while generating added value and accessing differentiated markets.

From the private sector perspective, key lessons were shared regarding engagement with smallholders, the integration of sustainability criteria into business models, and the challenges associated with positioning in international markets.

Multi-stakeholder dialogue: challenges, solutions and articulation


The panel discussion highlighted a convergence of perspectives among producers, the private sector, and government institutions regarding the main challenges and opportunities facing the cocoa value chain in a context of global transformation.

From the producers’ perspective, concerns were raised about the high volatility of international prices, which creates income uncertainty and limits investment capacity. This is compounded by the growing impacts of climate change, which affect productivity, bean quality, and increase risks related to pests and diseases. In this context, the importance of transitioning towards more resilient systems—such as agroforestry—was recognized, alongside the need for technical and financial support to enable this shift.

From the private sector perspective, it was emphasized that markets are rapidly evolving towards stricter requirements in traceability, sustainability, and regulatory compliance. Traceability is no longer a value-added feature, but a market entry requirement. However, it was also noted that these processes entail additional costs that are not yet fully internalized along the value chain, raising questions about how to distribute these costs more equitably.

From the governmental perspective, the critical role of institutions in creating enabling conditions for this transition was highlighted. This includes developing national traceability systems, establishing clear regulatory frameworks, strengthening technical capacities, and enhancing linkages with international markets. The importance of strengthening public–private coordination to ensure compliance with standards without excluding smallholders was also underscored.

A cross-cutting point in the discussion was the recognition that transitioning to sustainable and traceable cocoa value chains entails additional costs—related to technology, certification, and monitoring—and that there is still no clear agreement on how these costs should be distributed among stakeholders. In this regard, the need for innovative financing mechanisms—such as green credit, incentives, price premiums, and climate finance—was highlighted to support an inclusive transition.


Finally, the panel underscored a shared vision: advancing towards a sustainable, traceable, and resilient cocoa model is not only a response to market requirements, but also a strategic opportunity to reposition Latin American cocoa in higher-value segments, provided that effective coordination among producers, governments, and the private sector is achieved.



 

Event Resources

The presentation used during the webinar is available for consultation: 

Presentation used during the event

 

Event in Numbers

  • 98 participants
  • 23 countries represented, including Germany, Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica, Cuba, Ecuador, El Salvador, Spain, the United States, France, Guatemala, Honduras, Mexico, Panama, Peru, Portugal, the United Kingdom, the Dominican Republic, Switzerland, and Venezuela
  • 48% women
  • 31% men
  • 21% preferred not to respond