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Fairtrade's Living Income Program

A practical path to living incomes in cocoa

Boer aan het werk
Boer aan het werk

Fairtrade standards and certification are among the most trusted systems for social and environmental sustainability. Through the Fairtrade Minimum Price and Premium, farmers can cover production costs and invest in their farms and communities. A key strength of Fairtrade is partnership with cooperatives. This strengthens governance, decision-making and financial management, enabling producer organizations to lead their own sustainable development.

Certification is an important foundation. On its own, it does not guarantee a living income. In 2018, Fairtrade introduced the Living Income Reference Price (LIRP) for West African cocoa, a tool to support farmer households to reach a living income. Since then, our approach has evolved, generating measurable results and deeper insights into the challenges farmers face.

Retailers and brands that want more positive impact in their supply chains can join our Living Income Program for business partners. The program integrates Fairtrade principles with impact driven strategies. We are actively developing our programmatic approach in cocoa for regulated markets and in coffee.

This approach aligns with the goals of national initiatives on Sustainable Cocoa (ISCOs), including DISCO in the Netherlands, GISCO in Germany, SWISSCO in Switzerland, FRISCO in France and Belgium’s Beyond Chocolate. Companies that signed these initiatives have committed to achieving goals on living income, deforestation risk management and child labour prevention and remediation.

Our Living Income Program for cocoa is designed to enable farmers to build lasting, sustainable impact for themselves and their communities. It is built on six interconnected pillars:

  • Fairtrade Certification: the Foundation

  • Living Income Reference Price (LIRP)

  • Improved Productivity

  • Long-term Commitments

  • Direct Impact with Cooperatives

  • Child Labour Prevention and Education Support

Cocoa Partners

In cocoa, we are honored to work with business partners willing to pioneer and test new programs like our first launching partner, Action, committed to better incomes and child wellbeing in cocoa communities.

Superunie, a procurement organization for multiple supermarket chains, has also joined the program. PLUS, which already sources 100% Fairtrade certified cocoa, is part of this network. Both PLUS and Dirk have matched Superunie's commitment for the additional cocoa volumes they source themselves.

Custom Program Development

If your business is interested in participating in this program, we work with you to create company specific program modules based on the needs determined by cocoa farmers in the cooperative. This ensures that investments directly address the priorities identified by the communities themselves, creating meaningful and sustainable impact. Interested in learning more about our cocoa Living Impact Program for Business Partners? Contact your Fairtrade account manager for more information on how your business can participate in creating sustainable change for cocoa farming communities. To learn more about our pilot program for coffee, visit Fairtrade Living Income Leader Product.

Fairtrade Living Income Leader Product