ofi to launch first cocoa biochar project with LOTTE, Fuji Oil Co, and MC Agri Alliance

Farmer holding cocoa pod husk which will be turned into biochar
  • Biochar is a regenerative farming practice that locks up carbon removed from the atmosphere into soils, contributing to improved soil health and reducing the carbon footprint of cocoa. 
  • The partnership aims to implement the cocoa biochar project in the 2024/25 crop season. 
  • This is the latest circular biomass initiative from ofi, aligned with its Cocoa Compass ambition, and complements the installation of biomass boilers in many of its cocoa factories, most recently in Mannheim, Germany.

 

ofi (olam food ingredients), a leading supplier of naturally good food and beverage ingredients, in collaboration with LOTTE, Fuji Oil, and MC Agri Alliance, is launching its first cocoa biochar pilot in Dankwa County in the Central Province of Ghana.  

 

The circular biomass initiative will turn discarded cocoa pod husks into biochar through combustion in biochar cone machines. Biochar will lock in the carbon from the cocoa crop residues, which would otherwise be released back into the atmosphere by decomposition and should also benefit the soil where the cocoa is grown. Applying biochar on cocoa farms can help improve soil fertility and structure, to help stop erosion and the loss of soil nutrients into ground and surface waters.

Andrew Brooks, Global Head of Cocoa Sustainability, ofi, said:

“Together with LOTTE and partners, we plan to implement a biochar pilot that aims to reduce carbon footprint of the cocoa crop and waste on the farm by using the residual cocoa pods. This circular biomass initiative is one way we’re supporting our customers to take climate action as well as restoring natural capital, which is aligned with our own Cocoa Compass ambition and ofi’s 2050 Net Zero target."

 

Cocoa Compass, ofi’s dedicated cocoa ambition, helps to address specific challenges in the cocoa supply chain and feeds into its company-wide sustainability strategy - Choices for Change. It builds on its years of expertise and experience in farming communities to collaborate with its customers and stakeholders to partner for positive change.

Keiji Miyano, Executive Officer, (Corporate Strategy / Sustainability), LOTTE CO., LTD said:  “Sustainable procuring of cocoa is one of our material business strategies. Recent crop failures in West Africa have underscored its importance. We are convinced this initiative can create a significant environmental impact through collaboration by cocoa-related companies in non-competitive areas. We aim to continue leading the chocolate industry in Japan and Asia with our sustainability efforts.”

 

The partnership aims to start implementing the biochar project during the 2024/25 crop season and will monitor its impact on soil health and carbon reduction.

Hidehito Nibu, Division General Manager (Procurement & Logistics Division), Fuji Oil Co.,Ltd. said:  “We, Fuji Oil, are building our sustainable value chain globally, and the cocoa sustainable activity is one of the key drivers to co-create a sustainable food future. We have a good opportunity to approach this new initiative with participating companies at this time.  We will continue to take leadership to achieve a sustainable society in the world”.

This project complements ofi’s global cocoa biomass projects, consisting of a network of six circular biomass boilers in its cocoa factories in Brazil, Côte d’Ivoire, Germany , Indonesia, The Netherlands, and Singapore. The biomass boilers use cocoa shells, a by-product of the production process, as fuel to generate steam to power the crafting of its cocoa ingredients.

About ofi

ofi (olam food ingredients) is a new operating group born out of Olam Group. ofi offers sustainable, natural, value-added food products and ingredients so that consumers can enjoy the healthy and indulgent products they love. It consists of industry-leading businesses of cocoa, coffee, dairy, nuts, and spices. ofi has built a unique global value chain presence including its own farming operations, farm-gate origination, and manufacturing facilities. ofi partners with customers, leveraging its complementary and differentiated portfolio of ‘on-trend’ food products, to co-create solutions that anticipate and meet changing consumer preferences as demand increases for healthier food that’s traceable and sustainable. To subscribe to the ofi newsroom, please visit www.ofi.com/news-and-events (privacy statement here). If you do not wish to receive information from ofi please contact media@ofi.com. Follow @ofi-group on LinkedIn.

 

 

About Olam Group

Olam Group is a leading food and agri-business supplying food, ingredients, feed and fibre to 22,000 customers worldwide. Our value chain spans over 60 countries and includes farming, processing and distribution operations, as well as a global network of farmers. Headquartered and listed in Singapore, Olam Group currently ranks among the top 30 largest primary listed companies in terms of market capitalisation on SGX-ST. 

Since June 2020, Olam Group has been included in the FTSE4Good Index Series, a global sustainable investment index series developed by FTSE Russell, following a rigorous assessment of Olam’s supply chain activities, impact on the environment and governance transparency.  

More information on Olam can be found at www.olamgroup.com

Follow @olam on LinkedIn and Follow @olam on X.

Olam is located at 7 Straits View, Marina One East Tower #20-01, Singapore 018936.

Telephone: +65 63394100, Facsimile: +65 63399755.

Contacts for ofi communications

Jemma Ralphs

Cocoa Communications Specialist

Jemma.ralphs@ofi.com

Issued on behalf of ofi by Teneo

+44 20 7260 2700

oficocoa@teneo.com