Glossary

Blend

A chocolate made with more than one flavor of cocoa beans.

Child Labor Monitoring and Remediation System (CLMRS)

A CLMRS is a means of targeting prevention, mitigation, and remediation assistance to children involved in, or at risk of, child labor, as well as to their families and communities. At Lindt & Sprüngli, the implementation of the CLMRS as part of the Farming Program is defined by its CLMRS Implementation Guidance, which we share with our suppliers. The CLMRS offers a framework for child labor risk assessments, preventive interventions for protecting children’s rights, child labor identification, child labor remediation, and activity tracking and reporting.

Child labor risk countries

Lindt & Sprüngli assesses child labor risk using credible and independent sources, such as ILO reports, the UNICEF Children’s Rights in the Workplace Index, and the US Department of Labor List of Goods Produced by Child Labor or Forced Labor. The most relevant suspicion of child labor is the indirect (tier-2+) supply chain of raw materials. This includes the sourcing of cocoa from Cameroon, Côte d’Ivoire, Ghana, Papua New Guinea, and Madagascar.

Climate risks

Transition risk: Business impacts that arise from societal and economic shifts towards a world where climate change is reduced.
Physical risk: Impacts of climate hazards on physical assets, operations, and broader value chain.

Cocoa bean

Cocoa beans are the seeds of the cocoa tree. They are the basis for making chocolate; they are used to make cocoa powder, cocoa butter, cocoa mass, and finally chocolate. There are generally 40 to 60 beans in each cocoa fruit pod.

Cocoa fruit

The cocoa fruit grows on the trunks of the cocoa tree and takes four to five months to grow and another month to ripen. Altogether, it takes five to eight months from bud to ripe fruit.

The pod is green while maturing and turns yellow, orange, red, or purple when ripe.

The cocoa fruit pods can vary significantly in size, from 10 to 40cm in length.

Cocoa mass

Cocoa mass is a thick, chewy, and dark brown paste that forms the basis for all chocolate products.

Cocoa nibs

Cocoa nibs are cocoa bean fragments that have been separated from their shells, broken into smaller pieces, and roasted.

Cocoa tree (Theobroma Cacao)

The tropical tree that produces cocoa beans. Theobroma means "food of the gods".

The cocoa tree is very demanding when it comes to climatic conditions, which are only found in countries in the latitudes between 20 degrees north to 20 degrees south of the equator.

The plant is a moisture-loving evergreen tropical tree that needs shade. Cocoa seeds germinate and produce robust trees when they come from pods that are no more than 15 days green. Hybrid varieties can be harvested three to four years after planting. Criollo and Forastero cocoa trees take longer to produce fruit.

Factors such as farm management, soil type, diversity of cocoa trees, climate, diseases, or pests have a huge impact on productivity, i.e., the amount of pods a cocoa tree produces. 30 years after planting, the yield of cocoa trees begins to decline. Then, rehabilitation in the form of replanting or grafting is necessary to restore the tree’s original condition.

Cocoa varieties

As with grapes or coffee, there are different cocoa varieties. The main varieties are Criollo, Trinitario (fine-flavor cocoa) and Forastero (consumer cocoa). The varieties also have sub-varieties which are often of regional origin (through mutations, etc.). In the case of Criollo, for example, there is Porcelana, which is only grown in Venezuela and Colombia.

Conche

The name of a machine and process of stirring, aerating, and heating chocolate in a certain way, in order to make it particularly smooth. Invented by Rodolphe Lindt, one of Lindt & Sprüngli’s founding fathers, in 1879.

Consumer cocoa

Cocoa with robust flavors (usually of the Forastero variety). Consumer cocoa accounts for the largest share, about 90-95%, of the world's total cocoa production. Ghana, the second-largest cocoa producer in the world after Côte d’Ivoire. Ghana is Lindt & Sprüngli's major cocoa bean origin and therefore also the first country in which our Lindt & Sprüngli Farming Program was established in 2008.

Criollo

A fine flavor cocoa bean variety and one of the three main cocoa bean varieties. Criollo is the rarest, most disease-prone, and therefore most expensive of the three main varieties Criollo, Forastero, and Trinitario. It grows in milder climates in South America and requires very fertile soil. The beans are very aromatic and have a low acidity, which is an advantage in the production of fine chocolate products.

Deforestation

Loss of natural forest as a result of: (i) conversion to agriculture or other non-forest land use; (ii) conversion to a tree plantation; or (iii) severe and sustained forest degradation.

Deforestation-free

Raw materials sourced without contributing to any deforestation event which took place prior to 31 December 2020.

Drying

Careful drying of the cocoa beans is an important step in the production of good chocolate. The best results are achieved by natural sun drying. Drying is done differently depending on the country of cultivation (sun, gas, fire, etc.). As the cocoa trees prefer humid areas, drying is a stressful affair for the farmers, as they always have to keep a close eye on the weather and, if necessary, protect the beans from rain. In addition, they have to turn them over so that the beans can dry evenly. If they are dried incorrectly, the cocoa beans are damaged and unpleasant aromas may develop. Depending on the variety and climatic conditions, drying takes 3 to 8 days. At the end of the drying process, the beans’ moisture content should not exceed 6.5%. If it is higher, the beans can start to mold during transport.

Fermentation

Process through which the flavors of the cocoa beans unfold. Fermentation is a natural process used after harvesting in the country of origin. During this process, the sugar in raw cocoa beans is converted into alcohol, which eliminates germs and develops the necessary elements that change the composition of the beans so that the characteristic taste and aroma of the chocolate develop during roasting.

Fine Cocoa

The varieties Criollo and Trinitario are usually called "fine or flavor cocoa". They are more valuable than the consumer cocoa Forastero, as they are less productive and more susceptible to pests but have a much more complex and interesting taste. Fine-flavor cocoa is a high-quality cocoa with nuanced, subtle flavors. It is mainly grown in Latin America and the Caribbean. However, fine-flavor cocoa varieties account for only about 5–10% of the world's cocoa production.

FLAG and non-FLAG

The Science Based Targets initiative (SBTi) recognizes FLAG (Forest, Land, and Agriculture) and non-FLAG targets. FLAG relates to science-based GHG reduction targets for land-intensive sectors, focusing on emissions from land-use change (e.g., deforestation) and land management (e.g., fertilizer use, livestock). Non-FLAG targets cover traditional industrial, energy, and transportation emissions. For further information, see SBTi FLAG Guidance.

Forastero

Forastero is one of the three main cocoa bean varieties and the most widely grown worldwide, accounting for 90-95% of the world's harvest. It is highly productive and resistant to diseases. Its fat content is higher, and its breakage is lower than other varieties. Ghana is a major producer, known for its high-quality Forastero cocoa. The variety is also referred to as consumer cocoa (see our definition of consumer cocoa in this glossary).

Good Agricultural Practices

Lindt & Sprüngli applies the Food and Agriculture Organization’s definition of Good Agricultural Practices.

Good Farming Practices

Good Farming Practices may include:

Applying Good Agricultural Practices (GAP): these are agricultural methods that include pruning, pest and disease management, weed management, shade management, and harvest management that are intended to improve cocoa tree health and cocoa production while maintaining ecosystem services such as soil health
Agroforestry
Increasing the efficiency of production methods, including labor allocation, input management, and supporting the adherence to rules and guidance concerning the use of potentially harmful chemicals
Diversifying the farming system by cultivating more than cocoa to enhance resilience of the farmer
Working towards production that does not involve the clearing of forests

Living-Income Differential (LID)

At the beginning of July 2019, the governments of Côte d'Ivoire and Ghana announced the introduction of a new pricing mechanism that provides for a price premium (differential) of 400 US dollars per ton of raw cocoa to benefit cocoa producers. This differential is to be paid in addition to the prevailing cocoa market price. It is intended to enable cocoa producers in both countries to obtain a better cocoa price.

Nacional

Nacional cocoa grows only in Ecuador and is often counted as the fourth cocoa variety but actually belongs to the Forastero variety. Its special position is related to its distinctive aroma.

Origins

The cocoa tree is very demanding when it comes to climatic conditions. It only grows in countries in the latitudes between 20 degrees north and 20 degrees south of the equator – the so-called cocoa belt. Cocoa trees tolerate relatively high temperatures with a maximum annual average of 30 to 32 degrees Celsius and a minimum average of 18 to 21 degrees Celsius.

Lindt & Sprüngli sources its high-quality cocoa beans from the world's best-known cocoa origins, such as Côte d’Ivoire, Ghana, Ecuador, the Dominican Republic, Madagascar, and Papua New Guinea.

Price / in-kind premium

Lindt & Sprüngli pays market prices per ton of cocoa to suppliers, plus a "differential", which depends on the country of origin and the cocoa variety (see also Living-Income Differential (LID)). In addition, we pay a price premium per ton of cocoa into our own Responsible Sourcing Standard, the Lindt & Sprüngli Farming Program.

The price premium can be paid out directly or the cocoa farmers can benefit from it in the form of products (e.g., work clothes, tools) or services (e.g., tree pruning service). Depending on the country and the preferences of the farmers, we adapt our in-kind premium.

Production

The production of chocolate is a complex process. It begins in the country of origin, where the cocoa is harvested, fermented, and dried. The chocolate maker then crushes the beans, roasts, and mixes them with the other ingredients – which vary according to the desired chocolate recipe – and grinds the mass very finely. Finally, the chocolate mass is conched and further processed with various ingredients.

Pulp

The mass surrounding the cocoa beans within the fresh cocoa fruit. The pulp of the fruit is pale lavender in color and slippery in texture. It is edible and tastes sweet and fresh. The taste is described as vaguely lemony.

Rainforest Alliance Certified

To obtain the Rainforest Alliance certification, cocoa farms must comply with the Sustainable Agriculture Standard Farm Requirements. The standard sets requirements for the following topics: Management, Traceability, Premium, Farming, Social, and Environment. For the full list of requirements, please refer to the Sustainable Agriculture Standard.

Responsible Sourcing Approach

The Lindt & Sprüngli Responsible Sourcing Approach includes supplier-based and material-based social and environmental expectations, audits, engagement and Responsible Sourcing Standards.

Responsible Sourcing Standard

Responsible Sourcing Standards refer to certifications, assessments, programs, or specifications which consider social or environmental criteria for raw and packaging materials.

Sustainability Plan

The Lindt & Sprüngli 2030 Sustainability Plan sets out how we will care for people and the environment by contributing to cocoa excellence, reduced emissions, and a safe workplace. . It reflects our core company values of Excellence, Innovation, Entrepreneurship, Responsibility, and Collaboration. Our Sustainability Plan centers around Lindt & Sprüngli’s priority focus areas, grouped under three pillars:

Value people
Care for the environment
Source with purpose

Traceability types

The following supply chain traceability types defined by the Rainforest Alliance are used in our cocoa sourcing:

Identity Preserved (IP)

This is the strictest traceability type, where the certified product can be traced back to the farm Certificate Holder. There is no mixing of certified product with non-certified product, or with certified product from different sources.

If a certified product is from different certified sources/farms, but their identity is preserved, the subtype Mixed Identity Preserved (Mixed IP) can be applied.

Segregation (SG)

For this traceability type, certified product is kept separate from non-certified product, both physically and in documentation. Segregation occurs during all stages of the supply chain (receiving, processing, packaging, storage, and transportation). This means that the product is fully certified, even though the identity of its source(s) is not known.

Mass Balance (MB)

Mass Balance is an administrative traceability type where certified and non-certified product can be mixed. However, the volume sold as certified cannot exceed the volume initially purchased as certified. The supply chain Certificate Holder (CH) must document all certified and non-certified inputs and outputs and ensure that sales of certified volumes are accurately reflected in the traceability platform.

Trinitario

Fine flavor cocoa beans and one of the three main cocoa bean varieties. A hybrid of the Criollo and Forastero varieties, named after Trinidad and Tobago, its place of origin. Grows in South America, on various Caribbean islands and a few other places.

Village Savings and Loan Associations (VSLAs)

According to the World Cocoa Foundation, VSLA is a type of Accumulating Savings and Credit Association formed as a group of 15–30 people, mainly women, who choose to work together and pool their savings. Members can then borrow the money with interest (5–10%) over an agreed period. At the end of a predetermined term, the overall fund (which is made up of the savings and the interest payments) is paid out to the group members based on their percentage of contribution to the savings pool. At that point, members can decide whether to start a new cycle or to disband. Crucial activities that benefit VSLA members include:

creating and maintaining a group dynamic to grow self-esteem and self-confidence;
providing access to basic financial services (savings and credit);
unlocking entrepreneurial potential by learning to identify, create, and manage an income-generating activity and;
providing leadership skills and promoting gender-based dialogues to increase women’s empowerment and participation in decision-making in their household and community.

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