Albert Heijn has made a significant commitment to enhancing the sustainability of its own-brand products by sourcing cocoa exclusively through Tony’s Open Chain. This initiative, which aims to revolutionize cocoa sourcing practices, is part of a broader trend in the food and beverage industry toward more responsible supply chains.
Over the next three years, the Dutch retailer plans to transition over 600 of its own-label products that contain cocoa to this innovative scheme developed by Tony’s Chocolonely. The Open Chain, launched in 2019, is based on a shared costing and sourcing model. Its main objective is to promote “justice and equality” within cocoa supply chains in Ghana and Côte d’Ivoire.
Albert Heijn’s collaboration with Tony’s Open Chain dates back to 2018 with the introduction of its Delicata brand. This strategic shift to utilize the Open Chain framework for all of its cocoa-containing products is expected to at least triple the volume of cocoa that Albert Heijn sources through this program.
“We are proud of this next step in the chain in terms of making our own brand chocolate range more sustainable,” stated Jan Willem Balk, director of sourcing at Albert Heijn. He emphasized the desire to inspire others in the market, showcasing that fair and sustainable cocoa sourcing is achievable for all products.
In a recent interview, Ben Greensmith, UK and Ireland country manager for Tony’s Chocolonely, highlighted the pressing issue of insufficient payments to cocoa farmers, which has hindered investments in sustainability and modernization practices on farms.
Tony’s Chocolonely currently holds a fifth of the market for large chocolate bars in the Benelux region and is actively expanding into Germany, Austria, and the Nordic countries, which it refers to as its “golden markets.” Notably, Greensmith indicated that Tony’s Chocolonely accounts for approximately 0.5% of the cocoa sourced from West Africa, with an ambitious target to increase this to 10% within the next decade.
Achieving this goal involves sharing best practices with other companies. “There’s two ways that we’ll do that: one is growing Tony’s brands; the other way is encouraging companies to adopt our methods,” Greensmith explained. “We pay a premium that allows the farmers we work with to earn a living wage, thereby helping to lift them out of poverty.” Currently, the company pays about 70% above the market price for cocoa, which is a voluntary initiative aimed at ensuring farmers can make a sustainable livelihood.
Greensmith also stressed the importance of a fully traceable supply chain. “All of our cocoa is tracked and verified. We conduct annual visits to each farm to ensure responsible sourcing.” This approach also includes entering long-term agreements that enable farmers to plan effectively for the future and enhance their capabilities through diversification.
The continued focus on fair trade practices and equitable cocoa sourcing signifies a pivotal shift within the food and drink business ecosystem towards sustainability. By embracing transparency and equity in its sourcing strategy, Albert Heijn, alongside Tony’s Chocolonely, is setting a powerful example within the food and drink consumer trends landscape.
As a part of this endeavor, industries involved in agriculture and responsible sourcing may benefit significantly by recognizing the link between consumer preferences for sustainable products and their own supply chain practices. The initiative serves as a reminder that ethical sourcing is not only beneficial for producers but also aligns with the values of today’s conscious consumers.
In summary, as Albert Heijn streamlines its cocoa sourcing through Tony’s Open Chain, it is pushing the envelope on what is possible in the realm of sustainable practices within the food and beverage industry. This forward-thinking approach not only addresses ethical concerns but also caters to the growing demand for responsibly sourced products among consumers.
