How to Create a Sustainable Supply of Goods - NPOs´Impact on Peruvian Cocoa Farmers´Quality of Life

University essay from Göteborgs universitet/Företagsekonomiska institutionen

Abstract: In order to create a sustainable supply of goods, there is a need for improving the producers’ quality of life. Within cocoa production in Peru, one of the major challenges for securing a future supply is that the next generation of cocoa farmers leave the farms for a more qualitative life in the cities. Therefore, the aim of this study is to investigate how the work of non-profit organisations (NPOs), especially third-party certifying NPOs, might improve the quality of life of Peruvian cocoa farmers in order to ensure a sufficient future supply of cocoa. This study presents theories about quality of life, NPOs as well as how a qualitative life can be achieved. Data was mainly gathered through semistructured interviews. Most interviews were conducted during a field study in Peru with different actors within the Peruvian cocoa industry. In contrast to other studies, this study analyses the work of NPOs by comparing the actions made by NPOs with the true challenges faced by farmers in their strive for a more qualitative life. The empirical findings show that the main challenges for the farmers lie within the areas education and health. Despite this, actions taken by NPOs are focused within economic areas, creating a gap between the true challenges and actions. This contradicts earlier theories that NPOs should produce public goods, such as education and health, which are not sufficiently provided by the government. Discussion is made on the reasons for this discrepancy arguing that further actions within education and health are needed for achieving increased quality of life for the farmers, and that NPOs will not serve as a sole contributor to the solution. Instead, increased collaboration between all actors, including the farmers, is needed. This will erase the information barrier to the farmers and make the NPOs, corporations, and governments act in accordance with the true challenges, thus increase quality of life for the farmers, and create a future sustainable supply of cocoa.

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