“‘Profoundly disappointing’: KitKat cuts ties with Fairtrade”, 23 June 2020

KitKat has severed its ties with Fairtrade, despite the organisation behind the scheme warning that thousands of farmers would be hit by the move. The Swiss-owned food giant said it would now source its cocoa for KitKat bars from farms on Rainforest Alliance terms instead of those working with Fairtrade accreditation.

The Fairtrade label guarantees that the farmers…get a set minimum price as well as a financial bonus. Michael Gidney, chief executive of the Fairtrade Foundation, said its cocoa farmers in Ivory Coast were “devastated” by the news. “It would never be good news, but to face this when the country is looking at one of the worst health crises imaginable makes things particularly difficult…Nestle’s relationship with farmers…has been able to make a huge difference to village communities. The decision is a huge blow.”

Simon Billington, global technical manager for Nestle Confectionery, said the firm was aware that “the move will have an impact on some farmers”, but said it was “working hard” to mitigate this. The company said it would provide financial support to help its farmers to certify with the Rainforest Alliance if they wished. Nestle said its decision had not been taken to save money and that it would spend the same amount on cocoa from its farmers over the next year. It said it would also invest in a series of initiatives to support farmers and communities.