Calculations conducted by the Food and Agriculture Organization (FAO) in 2021 showed that cocoa is one of the other agricultural products that causes 90% of global deforestation. On the other hand, Indonesia is a major exporter of cocoa, especially after the climate crisis hit producing African countries. However, amidst increasing demand, we face significant challenges related to sustainable governance of the cocoa industry. One of them is the European Union Deforestation-Free Regulation (EUDR) policy initiated by the European Union, which demands traceability and responsibility in production practices to avoid deforestation and environmental damage.
The policy brief “The Sweet and Bitter Fate of Indonesian Cocoa Farmers: Seizing Opportunities to Strengthen Farmers Through the EUDR” is expected to provide comprehensive insight into the importance of governance reform to meet international sustainability standards while taking advantage of the EUDR opportunity to strengthen Indonesian cocoa farmers. In this context, we need to focus on increasing transparency, supply chain traceability, and enhancing the capacity of smallholder farmers. This policy should guide cocoa commodity business actors in adopting sustainable practices that align with the EUDR principles without sacrificing the welfare of farmers and local communities.
