Balance the Challenge

The article discusses opportunities for chocolate manufacturers in emerging markets, the valuation of cocoa prices as well as the industry's aspiration to create a sustainable value chain. Read the article by clicking this link.

Sweets Processing published an article about CHOCVISION 2012 lately. It summarizes the information that was given during the presentations and speeches. Read the article.

The article touches the increasing demand for chocolate and the desire to create a sustainable value chain within the industry. It gives insights from CHOCOVISION 2012 and highlights the essentials of every speech. Read the article by clicking this link.

200 senior business leaders from around the world and other key stakeholders in the cocoa, chocolate and retail industry met in Davos this week to discuss issues facing the cocoa and chocolate industry going forward, as well as accomplishments made so far. The conference was held under the theme "Balance the Challenge: from cocoa to chocolate - strategy, sustainability and success" and drew top industry executives, governement representatives from origin countries in West Africa and Malaysia, NGOs and certification bodies as well as two illustrious keynote speakers.

Read the entire press release by clicking here.

Davos, June 7, 2012 - The third and final session of CHOCOVISION 2012 was characterized by case studies of companies that managed to turn challenges into opportunities.

Jim Goldman, President and CEO of Godiva Chocolatier, explained how Godiva manages to stay competitive in both developed and emerging chocolate markets. This is surely due to its strategy, which is to retain the prestige and luxury of the brand by reaching out to an increasing number of consumers, and also to its capability to adapt to local markets, as the example of the expansion in China shows.

Vinita Bali, Managing Director and CEO of Britannia Industries, started her presentation with an interesting introduction about India, its inhabitants and the different consumer categories, which have the form of a pyramid. Then she illustrated how the company collaborated with an Indian NGO, the Naandi Foundation, as well as how they made their biscuits healthier by adding iron and vitamins. This permitted them to reach a larger number of (smart) Indian people and to decrease both malnutrition and diseases.

Barry Parkin, Vice President Commercial and Sustainability, Mars Global Chocolate, showed the positive impact that industry programs can have on farmers in origin countries as well as the company's achievements in the last 5 years.

Prof. Claudio Ferri, MD, Full Professor of Internal Medicine at the University of L'Aquila, Italy, exposed the positive cardiometabolic effects of flavanol-rich products such as dark chocolate, which can decrease blood pressure and insulin resistance. According to him, it is evident that flavanols (and therefore cocoa) have health benefits. As a consequence, it is salutary and beneficial to eat chocolate in reasonable amounts. The fight against obesity is only a matter of lifestyle.

The fifth case study was presented by Alexandre Costa, Founder and Chairman of Cacau Show, Brazil. His very emotional speech showed a lot of passion for and commitment to its business and the industry as a whole, which was very well received and appreciated by the audience. Alexandre Costa shared the path to success of his company, from when it was founded in 1988 to today. A path that saw the opening of a new store every third day. He told that the history of his company is full of ingredients: commitment, intuition, intimacy from the beginning of the process to its end, the willingness to look for knowledge, innovation, a dedicated channel, design, and people - the most important ingredient. As he said, "at the end of the day we are talking about people, not chocolate."   

John P. Bilbrey, CEO of The Hershey Company, described how the company managed to reorient itself by investing in the process of building its brands. As the management of The Hershey Company thought about what their legacy was, they found out that the company their were running was not the company they actually wanted to run. They wanted to be a brand building company, that's why they invested in it. He then listed five factors to "keep it simple": focus on fundamentals, organization alignment, nourishing brands, building on capability and leveraging people. This helped them to accelerate global revenue growth. 

Juergen Steinemann, CEO of Barry Callebaut, closed the conference with a review of the different sessions and presentations. It was then Andreas Jacobs's turn to take the floor and encourage the delegates to unite forces and make a commitment. He urged them to start an initiative, at best with someone else present in the conference room, and to make a commitment on the ground, where cocoa is produced, and not in the office. He finished by saying: "We will be able to make a change only if we do it together."  

More details about this session are available on our blog. Look at some pictures of day 3 on Flickr and get some impressions of CHOCOVISION by watching the videos on YouTube. 

Davos, June 6, 2012 - The second session of the conference was divided into five interactive blocks in the form of panel discussions, interviews, debates and another keynote address.

Guillaume Le Cunff, International Marketing, Strategy & Sustainability Director at Nestlé Nespresso SA, and Juan Carlos Ardila, coffee and cocoa farmer in Colombia and Managing Director Colcocoa/Cafexport, started the session by presenting the lessons learned from their long-term collaboration. Nestle's AAA Sustainable Quality program, in partnership with Rainforest Alliance, was analyzed by both perspectives - that of the company initiating it and that of the farmers adopting it.

Ms Solange N'Guessan, Director of the Union des Coopératives Agricoles of San Pedro (UCAS), a farmer cooperative in Côte d'Ivoire, shared her experience in working with cocoa farmers. According to her, farmers should receive more education and have more decisional power. The new reforms in Côte d'Ivoire should guarantee them a minimum price; however, it will not allow them to determine their own destiny.

A panel discussion featuring experts from origin countries followed. The Minister of Agriculture and Rural Development of Cameroon, the Chief Executive of the Ghana Cocoa Board, the Director General of the Malaysian Cocoa Board and the Senior Policy Advisor of the Africa Cocoa Initiative examined the strengths and weaknesses of the supply chain models applied in different origin countries, the role of governments and cocoa authorities in promoting the sector and supporting farmers, as well as how cocoa can compete against more profitable commodities such as rubber or palm oil.

The debate that followed involved, among others, representatives of WWF International and of the Fairtrade Foundation. The emphasis of the discussion was on sustainability and on how cooperation between industry, NGOs and farmers could be improved in order to bring more benefits to all.

The keynote address by 2006 Nobel Peace Prize Laureate Prof. Muhammad Yunus closed this second session. He told the audience how he started to grant loans to the poorer people and how he founded the Grameen Bank. Today, Grameen Bank is having a huge success: 8.5 million people, mostly women, are profiting from it. In the meantime, Prof. Yunus has founded more than 50 companies based on "social business". According to him, poverty is rooted in the system and all companies could help eradicating poverty by starting their own social business.  

More details about this session are available on our blog. Look at some pictures of day 2 on Flickr and get some impressions of CHOCOVISION by watching the videos on YouTube.

Davos, June 6, 2012 - Six eminent speakers kicked off the first full day of CHOCOVISION 2012 by discussing strategy drivers and directions. The morning was opened by John Morris, Partner, Sector Head Consumer Markets at KPMG, who presented a report of the cocoa and chocolate industry of the future. He also explained some current drivers of growth for the chocolate market as well as what the chocolate bar of the future might look like.

The second speaker was Mr Bharat Puri, Senior Vice President, Global Chocolate, Kraft Foods, who started his presentation by stating that change is the only constant thing. He then identified five key trends: the aging of the global population, products created for the developed world being sold in developing economies, a hyperconnected planet, the increasing importance of "healthy food" to find a balance between hunger and obesity, and the commitment of the chocolate industry to the development of cocoa growing communities.

Jérôme Barra, Vice President Innovation & Design within the Flavor Division of Firmenich SA, introduced a tool, Trenz®, that the company uses to explore global megatrends and their link to consumers' emotions triggered by chocolate. Guests had the opportunity to sample different chocolates during the break.

David Bosshart, CEO Gottlieb Duttweiler Institute for economic and social studies, showed the participants how social media and new technologies have changed people's lifestyle and what impact they could have on shopping habits and food consumption in the future.

Joe M. Prendergast, Managing Director, Currency, Commodity and Alternative Investment Research at Credit Suisse, illustrated how supply and demand of the most important staple foods and cocoa have evolved over the years and the role that prices can play to meet the demand growth.

The morning ended with a keynote address by His Excellency Mamadou Sangafowa Coulibaly, Minister of Agriculture of the Republic of Côte d'Ivoire, who informed the audience about both the content and the current status of the reforms to the cocoa sector introduced by President Ouattara's government in early 2012.

More details about the speeches and this session in general are available on our blog. 

Davos, June 5, 2012 - CHOCOVISION 2012, the international conference for senior business leaders and key stakeholders in the cocoa, chocolate and retail industry, opened its doors to the 200 senior executives today at 6 pm, at the Steigenberger Grandhotel Belvédère in Davos. The guests were welcomed by Mr Andreas Jacobs, Chairman Barry Callebaut AG (main organizer of the conference), by Mr Urs Rohner, Chairman Credit Suisse AG (Premium partner) and by Barbara Janom Steiner, President of the Government of the host Canton of Grisons.

After this official welcome, it was Sir Bob Geldof's turn to take the floor. In his thought-provoking speech, he encouraged cooperation and constructive collaboration. "You, as an industry, have the possibility of altering things for millions in the coming 3 days," Sir Bob Geldof told the audience.

After Sir Bob Geldof's keynote address, the delegates had the opportunity to get together, network and share their first impressions during the so-called CHOCONNECTION buffet dinner.

For more details about Sir Bob Geldof's keynote address, read the article A call for Action by Bob Geldof on our blog. To get an impression of the opening night, see some pictures on Flickr and a few videos on YouTube. 

In addition to world-renowned guest speakers and senior corporate guest speakers, there will be also two Ministers from cocoa-growing countries present at CHOCOVISION 2012.

A keynote address by His Excellency Mamadou Sangafowa Coulibaly, Minister of Agriculture of the Republic of Côte d'Ivoire, will open the first session 'Strategy: Drivers and Directions'. In his speech about a new chapter for cocoa in Côte d'Ivoire, he will highlight the reforms announced for the cocoa sector in Côte d'Ivoire, the world's largest cocoa producing country.

In the session 'Sustainability: Joining forces to close the gap' the Minister of Agriculture and Rural Development of the Republic of Cameroon, His Excellency Lazare Essimi Menye, will take part in the panel discussion about 'Public Policies: How to secure and steer sustainable cocoa supplies?' In this debate, the strengths and weaknesses of the different cocoa supply chain models applied in various origin countries will be analyzed.

For an update of the program, click on this link.

The CHOCOVISION organizing team kindly asks all invitees interested in attending the conference to register online by clicking on the box "Register here" on the left hand side, rather than by fax or mail.

The CHOCOVISION organizing team would also like to inform that the conference package Morosani Schweizerhof Hotel 4* Standard is fully booked. Therefore, it invites all interested participants to choose one of the other three conference packages available (follow this link).

Thank you very much for your understanding and cooperation.

Many of the guest speakers attending CHOCOVISION 2012 have already shared their thoughts regarding the conference and the cocoa and chocolate industry. They reveal why they are so eager to attend the conference, what CHOCOVISION can offer them and which messages they will deliver to the participants. They also express their opinion on issues related to cocoa supply, supply chain management, consumer trends and sustainability.

If you would like to find out more about our guest speakers, their opinions and their experiences, click on this link.

Two months after the invitations for Chocovision – Balance the Challenge were sent to stakeholders along the cocoa value chain in the whole world, registrations are starting to accumulate.

By taking a closer look to the participants’ nationalities, it becomes immediately clear that Chocovision will, indeed, be an international conference with attendees coming from every corner of the world. We can already boast the presence of 15 different nationalities, and are certain there are more to come. So far, the following countries will be represented: Belgium, Germany, France, Italy, The Netherlands, Russia, Switzerland, United Kingdom, Dominican Republic, Mexico, Indonesia, Japan, Singapore, United Arab Emirates and the United States of America.

A good sign that forecasts a one-of-a-kind conference where to meet many interesting people and listen to intriguing speakers.  

Chocolate demand has increased steadily over the years. More and more consumers, especially in the emerging countries with a rising middle class, are discovering the sweet side of chocolate. This offers great business opportunities. However, the same stakeholders along the complex and fragmented supply chain from the cocoa bean to the chocolate bar are also facing key challenges. In addition to changing consumer needs and behavior, the industry must cope with economic uncertainties and volatile prices of the respective raw materials and is confronted with increasing regulation. In the cocoa growing countries, unsustainable agricultural practices and challenging conditions in regard to social and political systems and infrastructure are also among the issues the industry has to face.

Read the entire press release by clicking here.

CHOCOVISION is an international bi-annual conference for senior business leaders around the world and key stakeholders in the cocoa, chocolate and retail industry. The goal is to bring key stakeholders together to explore and initiate new approaches and solutions for securing a sustainable, successful chocolate future.

CHOCOVISION aims at providing a neutral platform for informed debate between business and politics, NGO’s and scientists, suppliers, farmers and consumers. In other words: between all stakeholders involved in the value chain from cocoa bean to chocolate bar.

The conference program will be structured around these three themes:


Strategy: Drivers and directions
Consumer behavior and trends are decisive for future success in the marketplace. How are the global consumer markets developing, what is the Next Big Thing? What are the chocolate consumption markets of the future? What are consumers’ expectations and taste preferences? What impact will demographic changes and health regulations have on (chocolate) eating habits? What is the outlook for demand given current growth rates of GDP and population? What is the role of prices? Where is the fair value for cocoa?


Sustainability: Joining forces to close the gap
While global demand for chocolate continues to increase, the supply of cocoa does not seem to be able to grow at the same rate, as a result of several social, environmental and sustainability issues. How could cooperation between industry, NGOs and farmers be improved to achieve more impact for the benefit of all?


Success: Proven progress (case studies)
Chocolate began to globalize at the turn of the millennium, moving increasingly to emerging markets such as Brazil, Russia, China, India and Turkey. Case studies will explore how challenges can be turned into opportunities. For example: What is the winning formula to satisfy consumers in these new chocolate markets? How can innovation help reduce obesity while satisfying consumers’ love for snacking; or to respond to rising material prices? What are the positive health aspects of cocoa? 

The detailed conference program is now available. If you want to register go to the online event registration.

If you have any questions, please contact:
info@chocovision.ch
phone: +41 43 204 04 60