Tony's Open Chain Impact Report 2024/25

Our progress In 2024/25, using our updated living income analysis model, and covering all members of 3 of our longest-term partner cooperatives, we found that 40.6% of cocoa farmers reached or exceeded the living income benchmark for Côte d’Ivoire. Our 2023/24 living income analysis, which looked at a sample from the same 3 partner cooperatives, showed that 19.1% 43 of cocoa farmers were earning at or above the living income benchmark, as set by the Anker Institute. This substantial increase was driven by higher farmgate prices (which in recent seasons have risen above the LIRP) as well as additional premiums paid. Still, 59.4% of cocoa farmers remain below the benchmark, with most earning between 61 and 99% of a living income. A targeted approach and realistic goals are needed for cocoa farmers to reach (and sustain) a living income.

RESULTS

40.6% of cocoa farmers at our 3 longest-term partner cooperatives are earning at or above the living income benchmark. 44

This substantial increase in farmers crossing the living income benchmark compared with last year (in 2023/24 this number was 19.1%) can be explained by the higher farmgate prices and additional premiums paid. Fairtrade noted similar results in a 2024 study assessing cocoa farmer income. 45

59.4% of farmers at our 3 longest-term partner cooperatives are earning below the living income benchmark. Of these...

24.9% earned 81-99.9% of a living income 27.9% earned 61-80% of a living income 6.4% earned 41-60% of a living income

Promising progress. This shows how higher farmgate prices can significantly shift the needle on living income.

Clear opportunity. This group stands to benefit from targeted interventions, especially through our new productivity scheme (see p. 70). Inclusive impact. We believe it’s essential that our approach strengthens leverage for change across the full spectrum of farmers and farm conditions (see p. 71) . Favourable circumstances. This segment of farmers may rise again if cocoa prices drop, which highlights the importance of long-term commitments to safeguard progress and stability.

0.2% earned less than 40% of a living income.

The median household across our longest-term partner cooperatives fell 9% below the benchmark. 46

43. We updated our living income analysis methodology this year, as described in this chapter, as a result of which these numbers are not directly comparable. 44. Out of a total of 9,241 cocoa farmers. 45. Fairtrade International. “More Cocoa Farmers Earning Closer to Living Incomes in Côte d’Ivoire.” Fairtrade, 2024. 46. We report the median gap rather than the mean because it better represents the majority and minimises the influence of outliers. See: The Committee on Sustainability Assessment (COSA) and KIT Royal Tropical Institute, Guidance manual on calculating and visualizing the income gap to a Living Income Benchmark, July 2020.

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Ending exploitation in cocoa together

Living income

Climate, environment & productivity

Human rights

Governance & finances

Interesting appendices

Scaling for change

Introduction

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