Now Cadbury’s US owners will drop Fairtrade

It cut jobs and changed the Creme Egg recipe

THE American owner of Cadbury has been accused of backtracking on another promise after pulling out of ethical Fairtrade rules and replacing them with its own scheme.

Mondelez claims its new £ 322m ‘ Cocoa Life’ programme will secure the future of 200,000 farmers and will ensure all of its chocolate is sourced sustainably.

But fellow chocolatiers fear replacing Fairtrade will encourage other global brands to follow suit and could undermine the future of the foundation, which has become a symbol for ethical sourcing and ensuring farmers get a good deal.

David Marshall, chief executive of the Fairtrade-certified Meaningful Chocolate Company, said: ‘We are shocked by this move.

‘The Fairtrade movement grew out of pressure by churches, church schools and other consumers, who wanted to see justice for growers and accountability for manufacturers.

‘The big firms resisted this pressure for decades, but have gradually started to come over. This action will confuse the consumer and many now believe that this puts the Fairtrade scheme at risk.’

Dairy Milk and other chocolate bars will soon carry Cadbury’s own Cocoa Life logo, which will signify sustainable sourcing and a programme to help farmers.

But alongside its own mark, it will continue to hold the Fairtrade name on the back of its packets – even though the chocolate will not be.

Fairtrade guarantees farmers earn at least £1,600 per ton for cocoa and ensures decent working conditions. The Cocoa Life programme has not set a minimum price, but Cadbury has offered assurances that farmers will be paid the same or more than they were before.

Its commitment in 2009 to using Fairtrade chocolate in its flagship brand was seen as a nod to the ideals of Cadbury’s Quaker roots. It prompted many of its rivals to follow suit and was hailed as the start of a movement towards more ethical sourcing.

But whether the switch to Cocoa Life ensures a better future for farmers or not, the criticism weighed at Cadbury comes after a string of unpopular moves.

The decision on Fairtrade is the latest backtrack from Cadbury since it was bought by US giant Kraft in 2010 for £11.5bn.

The firm promised that Cadbury’s factory near Bristol would stay open and jobs would be saved. Just days after completing the deal, new boss Irene Rosenfeld provoked fury by announcing production would move to Poland, with the loss of 400 jobs. Later, it put a stop to chocolate Christmas gifts for retired employees – a tradition which also harked back to Quaker roots.

It also infuriated British chocolate-lovers by shrinking some Cadbury products, including Dairy Milk bars and multi-packs of Curly Wurlys and Creme Eggs – but not cutting prices.

In a further insult, it was revealed Mondelez, which was spun off from Kraft in 2012, paid no UK corporation tax last year despite generating more than £1.7bn in sales.

Cadbury’s says Cocoa Life will mean five times more UK chocolate will be sustainable and farmers will be given more help on the ground.