21/22 MID-YEAR REVIEW*

Bringing you news and updates about the Cocoa Horizons Program from around the world.

The Cocoa Horizons Foundation aims to improve the livelihoods of cocoa farmers while protecting
children and nature. The program is currently present in Côte d’Ivoire, Ghana, Cameroon, Brazil,Indonesia, Ecuador and in Nigeria. As of last year in addition to Barry Callebaut as our primary
program implementer, Cocoa Horizons is also partnering with third party implementers in Côted’Ivoire.

We support the Sustainable Development Goals
https://www.un.org/sustainabledevelopment*Activities from September 2021 through February 2022; interim results only, year-end performance will be third party verified by PwC

SCALING IMPACT AND DRIVING CHANGE THROUGHPRODUCTIVITY, COMMUNITY AND ENVIRONMENTAL
ACTIVITIESTHE COCOA HORIZONSPROGRAM COVERS:●Farmer Group and Group Member requirements●

Traceability of cocoa from farmer to Barry Callebaut or third party
implementer buying site

●Farmer graduations and capacity building of Farmer Groups●

Targeted cocoa productivity and income generating activities●

Targeted community activities with a focus on child protection●Targeted environmental activities●Transparency of premium flows

FARMER GROUP AND GROUPMEMBER REQUIREMENTS:
100% of farmer groups respect and sign:

FARMER GROUPSThe Supplier CodePARTICIPATING FARMERS& FARMER GROUPSThe Cocoa Horizons
Convention*• Globally 218 farmer groups delivered Horizons cocoa. An increaseof 10% vs prior year
• This represents 247,062 farmers registered in the program, a 12%
increase vs prior year

120,756 in Ghana

2,251 in Indonesia

100.961 in Côte d’Ivoire

1,015 in Brazil

19,356 in Cameroon

1,036 in Ecuador

1,687 in Nigeria*including the Child Labor Charter andthe Declaration on Protected Forests• 123,981 MT of Horizons cocoa beans purchased since thestart of the fiscal year. An increase of 21% vs prior year

TRACEABILITY OF
COCOA BEANS

58,177 MT in Côte d’Ivoire

902 MT in Indonesia

36,069 MT in Ghana

3,479 MT in Ecuador

24,930 MT in Cameroon

424 MT in Nigeria• The majority of Horizons cocoa follows the mass balance principle.
This means it is traced from farmer to first program implementerwarehouse.
• Cocoa Horizons products also include fully segregated cocoa mass:
Cocoa Horizons Inside.

COCOA HORIZONSACADEMYCocoa Horizons continues the roll out of a farmer
graduation system. It allows the evaluation of farmer
knowledge, training outcome and gaps. In this way,
the program is able to refocus resources from Farmer
Field schools to more individual coaching.
Good Agricultural Practices, Social and Environmental
aspects are covered in the graduation test.
Total number of farmers graduated until Feb is106,793 an increase of 37% vs prior year.

PROSPERINGFARMERS
Improving productivity of cocoa farms is a key area of focus. TheFarm Business Plan is the cornerstone of the process to improve
the livelihoods of farmers and their communities.
•64,994 farmers had access to a Farm Business Plan. This
represents 51% of the total farmers delivering volume:
31,657 in Côte d’Ivoire

228 in Brazil

32,669 in Ghana

440 in Indonesia• 11,544 farmers received productivity packages until end of Feb.

To address the poverty challenge, in addition to innovative farm services
and individual coaching, farmers are supported with non-cocoa income
diversification activities. Some examples include poultry, rabbit orvegetable farming and soap production. In the first 6 months 1,282
farmers or community members were supported with income
diversification activities

Innovative pre-harvest approach
Based on data we have gathered over the last few years, we know that
farmers spend 70% of the time in post-harvest and only 30% in pre-harvest
with little to no investment. Pre-harvest investment is critical to improve
productivity. Therefore, as of this year, through the funds of the program, wewill support farmers with pre-harvest labor. We have identified 7,500
farmers in Côte d’Ivoire and Ghana that have started to benefit from thisapproach this year.

Eradicating Child Labor - Risk Based Approach
Cocoa Horizons is applying a risk based approach. This consists ofcategorizing cocoa farming communities as low, medium or highrisk based on socio-economic census data and an algorithm(leveraging knowledge from CLMRS activities) to determine priorityof implementation. The interventions will then be planned andprioritized in accordance with the risk identified and the needs of thechild and community.
With this approach, the resources are deployed in the mostefficient way in order to eradicate child labor.

COMMUNITY●

164 farmer groups covered by Child Labor Systems
representing 75% of the total (+131% vs prior year)●

36,754 households surveyed (+556% vs prior year)●

66,924 children surveyed identifying 12,563 cases. This means
81% of children interviewed were not involved in Child Labor.

●

16,485 cases identified from prior years are under remediation

Eradicating Child Labor - Community Engagement
While individual remediation is critical, prevention activities are needed to tackle the root causes of child labor in thelong term.
• In Cameroon sensitization of farmers and their communities via radio programs has started.
• Due to COVID restrictions, the Cocoa Horizons truck was still not able to reach communities in the first six months

Women’s Empowerment & Child Protection
The program continues to invest in women’s empowerment, which has apositive impact on preventing child labor and improving household income.
This year 51,101 women are registered Cocoa Horizons farmers, an increaseof 42% vs prior year.
A key element to empowering women has been the creation and strengtheningof the Village Savings and Loan Associations (VSLAs). This activity helps,
among other things, to promote a child-centered approach, build
self-confidence in women and offer financing solutions for farmers.
493 VSLAs have been established since the start of the fiscal year mainly
across Côte d’Ivoire, Ghana and Cameroon (up 144% vs prior year) and thetarget is to continue strengthening and expanding them in the years to come.

In addition to farm mapping to ensure the cocoa is not coming fromprotected areas, multiple activities are implemented with the cocoafarming communities: environmental protection sensitization,agroforestry, cookstoves and shade tree distribution.

ENVIRONMENTOUTLOOK●

4,200,000 shade trees are
currently under production andexpected to be distributed in thenext months●

2,800 cookstoves are expected tobe distributed in the next 6months

We will continue to focus the resources on supporting pre-harvest work and implementing agroforestry, which should help
to improve the overall productivity and income of the farmers.
The Foundation’s focus will remain on:● Ensuring 100% full data to promote higher efficiency on execution of activities;●

Embedding increased due diligence on child labor and forced labor across origins;●Supporting farmers with innovative pre-harvest approach to accelerate yield increase and income;●Putting a stronger focus on agroforestry, climate smart agriculture and driving activities towards carbon neutrality;●

Expanding the program to third party implementers and strengthening in existing origins.

FARMERTESTIMONIALSCÔTE D’IVOIREGHANAEBENEZER«Our Cocoa Horizons coaches taught us the essence of pruningand how it actually contributes to disease control because the sunseeps through. Pruning is probably the most important lesson I
have learnt about farming. When a cocoa tree is properly pruned
you will be surprised by the abundance of fruits you get. In thepast, I used to get few bags from my farm but now I get almost 30bags.»

ALPHONSE«To me, the most important benefit our communities have gained fromCocoa Horizons is that all our children go to school, and stay in school.
Sensitizing farmers against Child Labor has really paid off. My father diedwhen I was young and my mother did very well for me but I still dropped
out of school just when I was about to go to university because she justcouldn’t afford it. I want all my children to go as far as they canacademically so they can become whatever they want. I want to give them
what I couldn’t have.»

CAMEROONJENNIFER (Cocoa Horizons coach and farmer)« When I finished high school at 18 years old, I
decided to become an agronomist in order to help
my father who, looking for a way to make something
productive out of his land, decided to plant cocoa.
We have a cocoa plot of 3 hectares. The cocoa
plantation is 11 years old. I was responsible for thecocoa plantation for 10 years.
I implemented an irrigation system, a phytosanitarypruning, and a tailored fertilization plan. Our farm isin a stage of change, but the yield is improving andthis is reflected in our family finances.»

ATEBA« I’m very thankful for this [Cocoa Horizons] sweet cocoa radio
program which educates us on how to take good care of our farms.
I’m always anxious to participate and I’m so happy for performing
well in the quiz and winning a prize. The boots wilL protect me when
I go to the farm.»

ECUADOR