Cocoa Production in West Africa

A significant portion of the Ivory Coast’s protected forests have been chopped down over the past few years to make room for illegal cocoa farms. (Doc D) [Ohio State University Professor W. Scott] McGraw and his fellow researchers surveyed 23 protected areas...All told, more than 74 percent of the supposedly protected forests the researchers surveyed had been taken over by cocoa farms. (Doc D) The Ivory Coast also underwent two civil wars between 2002 and 2011 which heavily affected the production of cocoa by about 247,000 metric tons. (Background Essay) The wars disrupted the planting of trees causing cocoa farmers to face less productivity to grow cocoa beans. Many of the cocoa trees are reaching the end of their productivity putting the productivity of cocoa beans at a slower rate. Even though the farmers are planting new trees, it takes three to five years for a cocoa tree to produce pods with the cocoa beans. (Background Essay) This deforestation along with hunting have heavily affected the Ivory Coast. Especially their agriculture and animals

Human trafficking and child abuse are major problems along the west coast of Africa. Cocoa plantations are so notorious for the use of forced child labor (and forced adult labor) that U.S. Representative Eliot Engel and Senator Tom Harkin created a protocol to end child slavery and initiate labeling for products that are produced “slave free.” A joint committee was formed and called the International Cocoa Initiative, with the aim to have a

There is a high bargaining power of suppliers because of the need of the key ingredients required for chocolate manufacturing and limited number of suppliers for this industry. Since cocoa trees require tropical climate, it forces the main producers in the west to import them from countries in West Africa or other hot places

While Europe and the United States account for most chocolate consumption, the confection is growing in popularity in Asia and market forecasts are optimistic about the prospects in China and India (Nieburg, 2013, para 9). According to the CNN Freedom Project, the chocolate industry rakes in $83 billion a year, surpassing the Gross Domestic Product of over a hundred nations (“Who consumes the most chocolate,” 2012, para 3).

In West Africa, the savanna provided a long distance trade site before the use of Atlantic slave trade. Its surplus of gold makes Africa rich and rivaling with Europe's power

Although human trafficking is the fastest growing process by which a person is enslaved, it is also the fastest growing international crime and one of the largest growing incomes for organised crime. It is estimated that at least 12.3 million people are victims of forced labour worldwide. Of these 2.4 million are as a result of human trafficking. Consequently it 1.2 million children are trafficked every year.(STOP THE TRAFFIK 2014) Six hundred thousand to eight hundred thousand men, women and children are trafficked across international borders each year. Approximately eighty percent are women and children and up to half of them are minors. Predominantly the vast majority of trafficked people come from the poorest countries and the poorest strata of the national people. Human trafficking is the second largest source of illegal income, being surpassed by drugs trafficking. Some trafficking groups have been reported to be switching their cargo from drugs to human beings, in a search of high profits at a lower risk. (STOP THE TRAFFIK 2014)

The DRC is located in Central Africa, is about one fourth the size of the United States, and has the potential to be a rich country as a result of its excellent farm land and abundant natural resources. Coffee beans, potatoes, tomatoes, yams, and leeks are among the many crops that grow well; the land is also rich in diamonds, gold, copper, cobalt, zinc, etc.

“Colombia is well endowed with minerals and energy resources. It has the largest coal reserves in Latin America and is second to Brazil in hydroelectric potential. The country's oil reserves total about 2.6 billion barrels. However, these are estimated to represent less than 20% of the country's actual oil potential.” This site also discusses how Colombia’s unique climate and topography allow for success in production of natural goods such as the aforementioned coffee, flowers, tropical fruits, and livestock to name a few (“Colombia Trade News”).

Hershey has bought and produced tons of chocolate for over 50 years that has had the blood, sweat and tears of the not only the children on the Ivory Coast, but the adults as well. The way that Hershey has been able to sell to their consumers with very low prices on all their products is because they buy from the cocoa farms that have child slaves. Many of which were taken from their homes, sold or needed to provide for their families. They would come work for cocoa farmers and get paid little to nothing. Children who work on the Ivory Coast usually are between ages 12 and 16,

The economy of the Ivory Coast functions primarily on agricultural exports, representing nearly a third of the gross domestic product. The primary exports of the nation are cocoa beans, coffee, cotton, palm oil, and bananas. The economy is currently severely threatened by the violent state of the nation, which discourages foreign traders thereby limiting exportation. An additional 20% of the GDP is comprised by industrial services, including food and beverage manufacturing, wood products, oil refining, automotive assembly, and textile production. The labor force accounts for the remainder of the economy, with over 60% of the population providing physical labor to support the large agricultural industries.

In 2007, the U.S. state Department reported, “600,000 to 800,000 people are trafficked across international borders every year,” “1 million is the number of children exploited by the global commercial sex trade every year,” and “161 countries identified as affected by human trafficking” (Polaris Project, DoSomething.org).

This is because of the economy of sale and product differentiation that is considered as the entry barriers of the industry. It is not easy for a new entrant to enter the industry because it should need to produce a large quantity at the same low price to compete with a cost disadvantage. It is so risky if they will push themselves to enter in the industry without the assurance that they will gain a high profit. Another reason of having the cacao industry a low threat of new entrants are the competitors in the industry such as Heshey Foods Corporation, Farley Candy Company, World's Finest Chocolate, Inc., Merckens Chocolate Company, and Ghirardelli Chocolate Company which have established brand names and customer loyalty. Another is the government agency, Foods and Drug Administration (FDA) that sets the guidelines and regulations. The distribution channels can also be an entry barrier for a new entrant for a company must acquire it which is time and money intensive. There is really a low threats of new entrants in the cacao industry because of the existence of the big companies, the need of large capitals, the regulations that are placed for food manufacturers and the lack of access to distribution

Ghana is suffering from human trafficking since the country is a source, transit, and destination for numerous Ghanaians and refugees from its neighboring developing nations. Children are often forced to work in fishing, domestic service, street hawking, begging, portering, mining, quarrying, herding, and agriculture and even are forced into prostitution. Sometimes, men and women are trafficked out of Ghana enticed with legitimate job offers in more prosperous countries around the world only to be forced into labor or prostitution. Women and girls from Vietnam, China, and neighboring West African countries are also sex-trafficked in Ghana, in which the country is also a transit point for sex-trafficking from West Africa.

Different age groups fall victim to trafficking as well. Not only adults, but also children, are trafficked worldwide. Child trafficking is defined as "the recruitment, transportation, transfer, harbouring, or receipt of children for the purpose of exploitation" (Child Protection from Violence, Exploitation and Abuse). Children make up almost twenty percent of trafficking victims around the world. "However, in some parts of Africa and the Mekong region, children are the majority (up to 100% in parts of West

The natural environment involves Cocoa beans that are needed by Whittaker’s to produce their chocolate products. Over the next few years, the world is expected to face a chocolate ‘drought’, leading to soaring prices of cocoa beans due to insufficient consumable cocoa to chocolate manufacturers. (Western farm press, 2011)