The Italian confectioner will purchase 40,000 metric tons (MT) of Fairtrade cocoa over the next three years.
It also plans to source 20,000 MT of Fairtrade cane sugar between mid-2016 and 2019.
100% sustainable cocoa and sugar by 2020
Ferrero will source the new cocoa volumes under Fairtrade’s Cocoa Program, which allows manufacturers to bulk buy a single commodity as Fairtrade, such as 10% or 30%, using a special program mark.
Previously only the full Fairtrade mark existed and forced companies to source all ingredients for a brand on Fairtrade terms.
Aldo Cristiano, head of Ferrero’s sustainability programs, said: “The Fairtrade cocoa program is a key component of reaching our objective of 100% certified sustainable cocoa by 2020”
“We also pursue the same objective for cane sugar, and our experience from the collaboration over the last few years shows that we have found a good partner in Fairtrade,” he continued.
Ferrero plans to source 100% refined cane sugar from what it calls “sustainable sources” by 2020.
Ferrero committed to sourcing 100% certified cocoa by 2020 in April 2014.
The firm has sourced cocoa from Fairtrade cooperatives in Cote D’Ivoire since 2014.
It is sourcing certified cocoa via UTZ Certified, Rainforest Alliance and Source Trust.
In March 2014, the company committed to buying 20,000 MT of certified cocoa over three years soon after Fairtrade International launched its Cocoa Program.
According to Ferrero’s latest CSR report, it sourced 40% of its cocoa as certified during fiscal year 2013/14.
Fairtrade International said farmers supplying Ferrero its Fairtrade sugar and cocoa will benefit from price premiums, training programs and projects to prevent child labor.