Cocoa with a purpose
The first phase of Preferred by Nature’s project, developed in collaboration with the Sustainable Agriculture for Forest Ecosystems (SAFE) Ecuador project of German Development Cooperation (GIZ) has delivered the results. This initiative has focused on strengthening local capacity to align with EUDR requirements and implementing Due Diligence Systems within associations of small-scale cocoa producers in Ecuador.
This initial stage supported ten associative organisations and their 1,300+ small producers across five provinces, on the Pacific Coast and in the Ecuadorian Amazon, in strengthening their understanding of the EU Deforestation Regulation (EUDR). Working with public and private sector stakeholders, Preferred by Nature conducted training activities to guide the associations on how to do risk analyses to identify gaps against EUDR requirements. Based on these findings, we developed potential measures to mitigate identified risks and strengthen evaluation and validation mechanisms – key steps to guide the implementation of effective actions within the framework of Due Diligence Systems.
Cocoa is the country’s fourth-largest economic sector, involving a diverse network of producers, from smallholder farmers to larger enterprises from different regions of the country. Approximately 85% of Ecuadorian cocoa is produced by smallholder farmers within the Family Farming model. In 2024, Ecuador exported 432,268 tonnes of cocoa beans, and 38,889 tonnes of processed and semi-processed cocoa, making it Latin America’s leading exporter of cocoa beans, according to the Asociación Nacional de Exportadores de Cacao (ANECACAO) and the Ministerio de Agricultura y Ganadería (MAG).
Due to Ecuador's strong position in the global cocoa sector, strengthening Ecuador’s small producers is crucial. This focus will facilitate their adaptation and compliance with the standards demanded by the European market, a requirement that is intensifying with the entry into force and prompt application of the EUDR.
However, the responsibility for compliance cannot fall solely on producers. Achieving meaningful impact requires coordinated efforts and support from both public and private institutions to strengthen DDS implementation across cocoa supply chains.
This project has been implemented in Ecuador by Preferred by Nature since November 2023. Our team is led by Freddy Peña, Regional Director for LATAM, and Rolyn Medina, Forestry Manager.
Explore the full results in the publication: Responsible Cocoa: Building systems for Due Diligence alongside smallholder cocoa farmers and producers.