Krakakoa

Krakakoa is an Indonesian “farmer to bar” chocolate company which seeks to increase the income of small-holder cocoa farmers and promote sustainable cocoa production and conservation.

By

Krakakoa

This is member exclusive
content. Click here to unlock

Social causes

Beneficiaries

SDGs covered

Endorsed by

LGT Venture Philanthropy

LGT Impact Ventures is a global impact investor focusing on private equity investments in developing and emerging countries.

Market of Implementation

  • Indonesia

Problem

Most of Indonesian cocoa farmers are living below US$ 3/day. The poor knowledge and lack of incentives to improve the cocoa bean’s quality are some factors that lead to lesser quality of Indonesia’s cocoa beans. Export practices of raw beans also gives little value addition to the cocoa product itself. Most of these farmers around the Bukit Barisan Selatan National Park, home to some of the last Sumatran tigers, elephants and rhinos left in the wild, also lack training.

Solution

Krakakoa brings “bean-to-bar” high quality chocolate that invests in farmers development, conducts direct sourcing from small-holder cocoa farmers and produces/distributes retail-ready premium chocolate bars. The company purchases cocoa beans from farmers at about double the market price. By increasing the capacity of farmers and paying high premiums for high quality, sustainably-produced cocoa, Krakakoa increases the income of farmers while providing them with an economic incentive to stop encroachment into the national park. Krakakoa also keeps the entire chocolate manufacturing process within Indonesia, thereby maximizing on economic value creation and employment.

Unlock this content

This is member exclusive content. Join us as an AVPN member and unlock more insightful content

Stay updated. Sign up for the #1 newsletter on social investment in Asia.

This field is for validation purposes and should be left unchanged.

©2021 Asian Venture Philanthropy Network | AVPN is registered in Singapore as a charity (UEN 201016116M)