Unlocking Ethiopia’s cocoa potential through sustainable agro-ecological practices
Ethiopia’s rich, tropical climate has long been an asset for the nation’s agriculture, supporting the cultivation of a variety of crops crucial for both food security and economic development. The country’s fertile lands, with favorable temperatures and ample rainfall, allow for the successful growth of crops such as rice, coffee, and floriculture. Among the emerging high-value crops attracting the attention of local farmers and international markets is cocoa, a key raw material in the booming chocolate industry.
The market for cocoa and chocolate is expanding globally. The global cocoa beans market was valued at USD 16 billion in 2023 and is expected to grow by almost 7% per year, reaching over USD 22 billion by 2028. The global industrial chocolate market is projected to grow at an average annual rate of 4.4% from 2022 to 2030, according to CBI.
The role of research in cocoa development
Ethiopia’s agricultural research system plays a crucial role in enhancing crop productivity and performance. By collaborating with global institutions like the Consultative Group on International Agricultural Research (CGIAR), national and regional agricultural research centers in Ethiopia have been able to introduce and test high-performing crop varieties.
The Ethiopian Institute of Agricultural Research (EIAR), through its Tepi National Spices Research Centre, has introduced a Forastero-type cocoa variety, which has been tested for adaptation, performance, and bean quality in the southwestern part of Ethiopia. The results indicated that the dry bean yield of the variety ranged between 0.4 to 0.78 t/ha, with an average of 0.58 t/ha. Compared to the global average of 0.4 t/ha, the registered variety has a yield advantage of 45%. This development marked a significant milestone as the first cocoa variety was officially registered in Ethiopia, opening up opportunities for the country to enter the global cocoa market.
Currently, cocoa production in Ethiopia is limited to experimental production at the Tepi Agricultural Research Centre. However, in the past decade, several domestic chocolate producers have begun operations in the Ethiopian market. Most chocolate manufacturers produce compound chocolate, which is made using imported cocoa powder and locally produced vegetable oil.
Challenges and opportunities in cocoa production
Despite this progress, cocoa farming presents a unique set of challenges, from pollination inefficiency to the plant’s self-incompatibility, making it an outcrossing crop. The quality of the cocoa bean, which directly impacts its market value, is influenced by various factors, including genetic traits, soil type, plant age, and, most important, postharvest handling.
In addition to these biological challenges, the growth of cocoa farming in Ethiopia faces several environmental hurdles. A major concern is the environmental impact of cocoa production, which has often been associated with deforestation, land degradation, and loss of biodiversity. These challenges are not unique to Ethiopia but are prevalent across many cocoa-producing regions worldwide. In recent years, there has been increasing pressure on the global cocoa industry to adopt more sustainable practices, especially in response to the environmental and social impacts of conventional cocoa farming.
In Ethiopia, however, there is an opportunity to avoid these pitfalls by promoting sustainable cocoa cultivation from the outset. The country’s tropical agro-ecology offers an ideal setting for cocoa production, with the right climate, rainfall, and soil conditions for high-quality yields. Through ongoing research and a commitment to sustainable agricultural practices, Ethiopia can position itself as a key player in the global cocoa market while safeguarding its natural resources.
The potential for cocoa sector development in Ethiopia is significant, considering:
- the availability of suitable agro-ecology and access to services,
- the availability of cocoa technologies and ongoing research efforts,
- the potential for local processing, and
- the expected positive impact on rural livelihoods and income.
Strategic measures and the way forward for cocoa sector development in Ethiopia
To fully unlock its potential, Ethiopia needs to review experiences from other countries and adopt a strategic approach with sequenced interventions. This will ensure that cocoa sector development in the country does not negatively affect the diverse aspects of existing production systems, forest cover, and biodiversity. These strategic interventions should include:
- capacitating and/or establishing a center of excellence for cocoa research and extension promotion
- establishing cocoa demonstration sites in the most suitable target woredas
- scaling cocoa innovations
- developing the cocoa value chain
- promoting international investment in cocoa production and processing, and
- enhancing the governance and enabling environment of the sector.
For cocoa production to thrive in Ethiopia without contributing to deforestation or land degradation, it is crucial to adopt additional strategic measures that prioritize environmental sustainability. These include promoting agroforestry systems, where cocoa can be grown alongside other crops and trees, reducing the need for large-scale deforestation. Furthermore, there is a growing emphasis on using sustainable farming practices such as organic farming, soil conservation techniques, improved postharvest handling, and water-efficient irrigation systems. By investing in these methods and empowering local farmers to adopt best practices, Ethiopia can meet the increasing global demand for cocoa without sacrificing its environmental integrity.
More information
You can get more information on the report: "Cocoa sector development in Ethiopia: Potential for impact and provisional road map"
If you have any questions about the cocoa sector in Ethiopia, please contuct us via ADD-lvvn@minbuza.nl.