OMO FOREST RESERVE, Nigeria (AP) — Men in dusty workwear trudge through a thicket, making their way up a hill where sprawling plantations lay tucked in a Nigerian rainforest whose trees have been hacked away to make room for cocoa bound for places like Europe and the U.S.

Kehinde Kumayon and his assistant use machetes to cut down low bushes that are blocking sunlight for their cocoa trees. These trees have taken the place of the once thick and dense natural foliage. As they work, they are mindful of the ripening yellow pods that contain the beans used to make chocolate, a popular holiday treat.

During two separate visits and over multiple days, The Associated Press consistently observed farmers collecting cocoa beans in areas that are prohibited for such activities within the Omo Forest Reserve. This reserve is a protected rainforest located 135 kilometers (84 miles) northeast of the coastal city of Lagos in the southwestern region of Nigeria.

The trees in this area make noise as the small groups of African forest elephants, which are in danger of extinction, move through. Endangered pangolins, also known as armored anteaters, quickly climb on the branches. White-throated monkeys, previously thought to be extinct, jump from one tree to another. Omo is known for having the most butterflies in Africa and is one of the oldest and largest UNESCO Biosphere Reserves on the continent.

According to various sources, including company and trade records, as well as interviews with over 20 farmers, five authorized purchasing agents, and two brokers, major cocoa traders buy cocoa from the protected area.

According to reports, some of the traders involved in this situation are Olam Group, a food supplier based in Singapore, and Starlink Global and Ideal Limited from Nigeria. The latter has admitted to using cocoa sourced from the forest. A smaller group of workers in the forest have also mentioned Tulip Cocoa Processing Ltd., a subsidiary of the Dutch company Theobroma that trades and produces cocoa.

Those companies supply Nigerian cocoa to some of the world’s largest chocolate manufacturers including Mars Inc. and Ferrero, but because the chocolate supply chain is so complex and opaque, it’s not clear if cocoa from deforested parts of Omo Forest Reserve makes it into the sweets that they make, such as Snickers, M&Ms, Butterfinger and Nutella. Mars and Ferrero list farming sources on their websites that are close to or overlap with the forest but do not provide specific locations.

Officials from the government, park rangers, and the growers themselves have reported that cocoa plantations are expanding unlawfully into protected regions of the reserve. According to farmers, this is due to the declining productivity of their cocoa trees in other regions of the West African country.

Kumayon, in an interview with the AP, admitted to growing cocoa on an unauthorized plantation in the Eseke farming settlement. He acknowledged that the land is part of a forest reserve, but stated that it is also very fertile and a source of food for him. The plantation is located near a critical habitat for approximately 100 remaining elephants in the conservation zone, with only a muddy footpath separating the two areas.

Environmental advocates also mention the rising worldwide desire for chocolate. According to experts at Fortune Business Insights, the global market for cocoa and chocolate is predicted to expand from $48 billion in 2022 to approximately $68 billion by 2029.

The cocoa industry has a history of unethical treatment of workers, harmful impact on the environment, and legal consequences. As a result, there have been lawsuits, trade disputes, and court decisions. To address these issues, the chocolate industry has committed to sourcing cocoa that can be traced, is environmentally friendly, and does not involve exploitation.

Businesses claim to have implemented supply chain tracking through the use of GPS mapping and satellite technology, along with collaborating with external groups and third-party auditors who certify farms’ adherence to sustainability criteria.

However, forestry workers report that the necessary inspections are not being conducted by certain companies. Additionally, the Rainforest Alliance, a certification organization, cites a lack of regulations and incomplete data and mapping in Nigeria.

AP tracked a shipment of cocoa from farmers who collected it in the protected area to the storage facilities of purchasing agents within the reserve, and subsequently transported it to an Olam processing facility located outside the forest entrance.

Employees at the facilities of Olam and Tulip located near the reserve have stated, under the condition of anonymity due to lack of authorization, that their companies obtain cocoa from farmers within the conservation area.

The Associated Press (AP) also took pictures of cocoa bags marked with the names and symbols of Olam and Tulip in storage areas owned by farmers within the protected area.

The Omo reserve is divided into two zones: a strictly protected conservation zone and a partially protected outer region. Government licenses are granted to loggers for deforestation in the outer region, but no licenses are issued for cocoa farming in any part of the reserve. Agricultural activities are prohibited in the conservation zone, except for designated areas where up to 10 indigenous communities are allowed to farm for their own sustenance.

Nigeria is one of Africa’s biggest oil suppliers and largest economy; after petroleum, one of its top exports is cocoa. It’s the world’s fourth-largest producer of cocoa, accounting for more than 5% of global supply, according to the International Cocoa Organization. Yet it’s far behind the world’s largest producers, Ivory Coast and Ghana, which together supply more than half of the world’s demand and are often singled out in companies’ sustainability programs.

Based on trade information from the World Bank and the Nigerian Export Council, over 60% of Nigeria’s cocoa is exported to Europe, with approximately 8% going to the United States and Canada.

The process involves multiple individuals before reaching its destination: Farmers cultivate the cocoa beans, while brokers search for suitable farms to purchase them. Licensed buying agents buy the cocoa from brokers and resell it to major commodity trading companies such as Olam and Tulip, who then ship it to chocolate manufacturers.

In October, an AP reporter tracked a van with blue and white stripes that was carrying bags of cocoa beans down a muddy road in the conservation zone. The van eventually arrived at an Olam warehouse located outside the forest entrance. AP was able to take photos of the cocoa being unloaded from the van, which had the same registration number as the one seen in the forest.

Farmer Rasaq Kolawole and licensed purchasing agent Muraina Nasir accompanied the vehicle to sell the cocoa, and neither expressed any concerns about the deforestation.

“Illegal occupants of the forest, that’s what we are,” stated Kolawole, a college-educated individual who used to work in sales.

During the visit, AP went to four cocoa warehouses located in the forest which are owned by licensed buying agents: Kadet Agro Allied Investments Ltd., Bolnif Agro-allied Farms Nigeria Ltd., Almatem, and Askmana. According to the managers or owners, they procure cocoa from farmers who cultivate it in protected regions of the forest and later sell it to Olam. Three of the managers also mentioned that they supply to Tulip and Starlink.

“They do not differentiate between cocoa from local — that is farms outside the forest — and the reserve,” said Waheed Azeez, proprietor of Bolnif, describing how “big buyers like Olam, Tulip and Starlink” buy cocoa sourced from deforested lands. “They buy everything, and most of the cocoa is from the reserve.”

Although AP’s investigation revealed this information, Olam maintains that members of the “Ore Agbe Ijebu” farmer group are prohibited from obtaining resources from protected areas and vital natural ecosystems, such as forests. This particular group is listed as a sustainable supplier on Olam’s website and is reportedly located in Ijebu Ife, a community close to the reserve.

The company stated in an email to AP that any farmers who do not follow the code and unlawfully intrude on forest boundaries will be removed from our supply chain and expelled from the OAIJ farmer group.

According to Sunday Awoke, the manager of Askmana, Olam is not familiar with the farmers. The farmers sell directly to Olam through us, and no evaluation is done regarding deforestation.

Awoke, who used to work in conservation and fought against deforestation caused by farmers, spoke to AP while a group of motorcycles transported bags of cocoa from the conservation area to his warehouse in the reserve.

“I’m currently on the opposite side. Although I’d like to return, my priority is survival and this option pays better,” he stated.

Others agreed.

According to Ewulola Bolarinwa, a broker and leader of farmers at the Eseke settlement within the conservation zone, the area is not intended for cocoa farming but rather for elephants. Bolarinwa also mentioned that they have many major buyers who provide companies in the West, such as Olam and Tulip, among others.

According to its website, Italian company Ferrero sources its cocoa from Olam, supplied by a farming group near the forest. This cocoa is used in their products such as Ferrero Rocher, Nutella, Baby Ruth, Butterfinger, and Crunch.

Mars Inc., headquartered in McLean, Virginia, is a major consumer of cocoa worldwide, with well-known brands such as Snickers, M&Ms, Dove, Twix, and Milky Way. According to online documents from the company, they source Nigerian cocoa from both Olam and Tulip.

Ferrero, Mars, and Tulip have affirmed their dedication to their anti-deforestation protocols, employ GPS mapping to track farms, and ensure their suppliers meet independent certification standards.

Ferrero utilizes satellite monitoring to demonstrate that their cocoa procurement in Nigeria does not originate from protected forests. According to Mars’ initial research, none of the farms they have mapped overlap with the reserve.

In an email, Johan van der Merwe, the managing director of Tulip, stated that the company’s cocoa bags, captured in photos by AP inside farmers’ warehouses within the conservation zone, are recycled and distributed extensively, making it likely that they are present throughout Nigeria. He also mentioned that “field operatives” collect digital surveys about sourcing from all farmers and suppliers.

Farmers and licensed buying agents who supply Tulip have stated that they are not obligated to fill out a questionnaire before their cocoa is bought.

Farmer Saheed Arisekola, 43, who is also a college graduate, stated that although cocoa farmers rely on our cocoa, we do not directly sell it to exporters such as Olam and Tulip. Instead, middlemen handle the sales, and there are no concerns about deforestation. Saheed turned to farming due to lack of employment opportunities.

According to farmers, brokers, and purchasing agents, cocoa from the conservation area is being included in Olam’s supply for export. U.S. customs records reveal potential destinations for this cocoa.

According to ImportGenius trade data, Olam Americas Inc., which is the American division of Olam, received 18,790 bags of cocoa from its Nigerian subsidiary, Outspan Nigeria Limited, in the months of March and April 2022.

Both Olam and Tulip are authorized to conduct trade with Nigerian cocoa that has been certified by the Rainforest Alliance. However, Olam informed AP that their license does not extend to the Ijebu region where they obtain the cocoa that is then supplied to Ferrero. The Ijebu region is in close proximity to the Omo Forest Reserve. Ferrero claims that a third-party organization verifies Olam’s sustainability practices in this region.

According to farmers interviewed by AP, the cocoa they sell to Olam and Tulip is not certified by the Rainforest Alliance. Only one farm in Nigeria, as shown in the nonprofit’s database, has an active certification with Tulip.

The Rainforest Alliance confirms that farms use practices that prevent deforestation and other unsustainable actions. They require farmers to supply GPS coordinates and geographic boundaries for their plantations, which are compared to public forest maps and satellite information.

According to the Rainforest Alliance, Nigeria faces distinctive challenges in regulating its forests. These include incomplete or outdated data and maps, which can result in discrepancies when comparing forest information to actual on-the-ground conditions.

The organization stated that it is actively obtaining current information from Nigerian authorities and will revoke certification from any farms that are found to be operating unlawfully in conservation areas after conducting a thorough review. Additionally, the organization allows the companies it licenses to purchase cocoa that is certified by other agencies or not certified at all.

According to AP, Sambo Abubakar, the spokesperson for Starlink Global and Ideal Limited, a Nigerian cocoa exporting company, stated that the company does not have its own farmland in the reserve. Instead, they rely on suppliers from the reserve.

According to U.S. trade data, Starlink provides products to at least one company, New York-based General Cocoa Co., that makes sustainable sourcing claims. However, Starlink does not explicitly make these claims on its website.

During the months of March and April in 2023, Starlink transported a total of 70 containers, with each container carrying 4,000 bags of dried cocoa beans, to General Cocoa. This information was obtained from ImportGenius trade data.

According to documents found online, Sucden Group, based in Paris, is the owner of General Cocoa and supplies Mars.

Jean-Baptiste Lescop, the secretary general of Sucden Group, explains that the company mitigates the risk to forest conservation by obtaining cocoa from Rainforest Alliance certified sources, creating farm maps, and utilizing satellite imagery. However, due to the lack of official land ownership documents among Nigerian farmers, this is an ongoing effort.

Lescop stated that Sucden is currently investigating reports of issues and is actively addressing AP’s discoveries regarding Starlink.

The designated conservation area, covering approximately 650 square kilometers (250 square miles), is the last remaining critical rainforest in the southwestern region of Nigeria, according to conservation authorities. These forests play a significant role in sequestering carbon from the air and are essential for Nigeria to fulfill its commitments under the Paris climate accord.

In addition to aiding in the battle against climate change, the forest is recognized as an Important Bird and Biodiversity Area by BirdLife International, home to substantial numbers of at least 75 different bird species.

According to Emmanuel Olabode, a conservation manager overseeing the reserve’s rangers in protected areas, there are currently over 100 unauthorized settlements of cocoa farmers who migrated from other states due to the highly fertile land. However, in time, the land loses its productivity.

The farmers are aware of this.

Kaseem Olaniyi, who admits to illegally farming in the conservation zone since relocating from a nearby state in 2014, stated that they would either relocate to a different land or return to their previous homes to establish new businesses.

The Ogun state government, who is the owner of the forest, stated to AP that the issue of cocoa farming in the reserve has been ongoing for many years. In 2007, all illegal farmers were removed by force, but they have since returned.

The government’s statement mentioned plans to enlist the help of the Nigerian Police Force and the military to remove the individuals from the Forest Reserve.

According to Omolola Odutola, a representative for the government-controlled police, there are no official records of this plan.

Farmers have been instructed to refrain from establishing new farms. According to those who have spoken with AP, they are following these orders. However, forest guards claim that new farms are emerging in remote and hard-to-detect regions.

According to both Rangers and forest guards, who are employed by the nonprofit Nigerian Conservation Foundation and state government respectively, inadequate government enforcement has made it difficult to address the issue of cocoa expansion.

AP reported that past arrests have been ineffective in preventing the farmers from coming back, creating a feeling of hopelessness when they encounter illegal farming.

The state government stated that it has always maintained regulations, but recognized that farmers have still been using the forest despite their efforts. During visits to farming settlements by AP, it was observed that homes and other structures have been identified for demolition, including warehouses such as the one belonging to licensed buying agent Kadet, which is one of the largest in the area.

Rural households do not have access to basic amenities such as running water and toilets, resulting in women and children having to retrieve water from small streams for daily use while the men are occupied with work.

The displacement has not occurred due to reports from farmers and purchasing agents that government officials benefit financially from the cocoa industry in the forest. They express frustration over the challenging living conditions, including unpaved roads full of potholes that result in expensive transportation fees, further diminishing their already minimal earnings.

The state government refused to discuss the profits gained from illicit cocoa cultivation in the forest.

According to Azeez, the owner of buying agent Bolnif and chairman of a committee that monitors risks against cocoa business in the forest, the agents have created a lobby group that maintains a positive relationship with government officials. This is done in order to protect farmers from being forced out of the conservation zone.

The EU, which receives the most cocoa from West Africa, has implemented a new policy regarding deforestation-free goods. This policy mandates that companies selling commodities such as cocoa must demonstrate that they have not contributed to deforestation. Larger corporations must comply with this regulation by 2024.

The Cocoa Research Institute of Nigeria is initiating a “Trace Project” in six southern states to combat deforestation in cocoa production and prevent rejection of Nigeria’s cocoa in Europe. However, the project does not include Ogun state, where the Omo Forest Reserve is situated.

According to Rasheed Adedeji, leader of the institute’s research outreach, initial findings suggest that prominent exporters are involved in causing deforestation and it is up to them to make sure they adhere to regulations.

However, farmers assert that they will continue to discover locations to work at.

Olaniyi, one of the farmers, expressed that cocoa is essential for the world and also benefits the government through export taxes.

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Source: wral.com