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DGAP-News: Chocoladefabriken Lindt & Sprüngli AG: Lindt & Sprüngli farming program to scale sustainable cocoa production

EQS Group-News: Chocoladefabriken Lindt & Sprüngli AG / Key word(s):
Miscellaneous
Chocoladefabriken Lindt & Sprüngli AG: Lindt & Sprüngli farming
program to scale sustainable cocoa production

21.11.2013 / 14:30

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Press Release

Lindt & Sprüngli farming program to scale sustainable cocoa production

Kilchberg, 21 November 2013 - Lindt & Sprüngli is substantially up-scaling
and extending its farming program in Ghana. Until 2016, more than 45'000
cocoa farmers in Ghana will receive additional support in improving their
agricultural, social and environmental farming practices aiming at more
than doubling productivity yield and increasing farm family income
considerably.

The Lindt & Sprüngli farming program will include the introduction of a
detailed farm mapping, a complete farmer professionalization training
package and improved planting material through farmer-led nurseries.
Demonstration plots support the farmer capacity building purpose. The
farmers will have access to credit for necessary planting appliances in
newly set up farm shops. In each district, if not already in place, a
Village Resource Centre will be installed. In 2012 already 8,000 farmers
benefited from a pilot program, followed by 15,000 farmers joining the
program in the season 2013/2014, with an additional 25,000 farmers to
follow over the three subsequent years. By 2016, Lindt & Sprüngli plans to
have the training program completed for all farmers in Ghana that deliver
cocoa in the framework of the special purchasing model of Lindt & Sprüngli.

Since 2008, Lindt & Sprüngli has been involved in very valuable pioneering
work in Ghana and has over the last years continuously built up a traceable
cocoa supply chain within an independent purchasing model. Lindt & Sprüngli
sources 100% of its West African cocoa bean supply from Ghana because of
the high quality of cocoa beans in the region. The purchasing model not
only guarantees a consistent volume of best quality cocoa beans for Lindt &
Sprüngli, but through traceability also the opportunity to positively
influence local development. Herewith, Lindt & Sprüngli provides a
fundamental contribution to establishing socially responsible and
economically fair conditions for cocoa farmers in Ghana.

Over 15 millions of premiums

By paying a voluntary premium per each ton cocoa beans sourced, Lindt &
Sprüngli has invested so far over USD 5 million in infrastructure and
social projects via the non-profit organization 'Source Trust'. Measures
included for example the reconstruction of a school, the provision of
mosquito nets, boreholes for access to clean drinking water, and the
installation of so called Village Resource Centers, which got equipped with
computers, a printer and internet access and are used by pupils and
teachers alike for education, and also by farmers for training purposes.

The project, resulting from the payment of another USD 10 million premiums
and initial set-up costs, will be further enhanced to increase young adults
and women farmers' access to services, while improving their knowledge and
leadership skills. This program is strengthened by an internal monitoring
system, which will assist in measuring progress with regards to good
agricultural, social, environmental and business practices of farmers,
while external audits will enable the progress made to be verified. Lindt &
Sprüngli confirms to have verified its entire Ghana cocoa beans supply
chain by 2016.

Significant income increases

The aim of the Lindt & Sprüngli farming program in Ghana is to improve the
livelihood of the farmers, their families and the communities they live in,
while assuring consistent high quality beans for Lindt & Sprüngli.

The program is supported by The Sustainable Trade Initiative (IDH), an
organization with the aim of up-scaling and accelerating sustainable trade.
IDH is funded at institutional level by  the Dutch and Danish government,
and by SECO, the Swiss State Secretariat for Economic Affairs. Improving
farmers' livelihoods through application of good agricultural practices and
improving productivity is fully in line with IDH's vision for the cocoa
sector. As explained by Joost Oorthuizen, the executive director of IDH,
'We are glad to co-fund the farming program of Lindt & Sprüngli as it
focusses on training but more importantly on access to planting appliances,
this makes the program deliver impact on cocoa production in Ghana'.
Hans-Peter Egler from SECO agrees: 'The Swiss State Secretariat for
Economic Affairs supports through the IDH the Lindt & Sprüngli Farming
Program in Ghana in the context of the economic development cooperation. We
are convinced that this program is another important step towards improving
the economic and social conditions in the Ghana cocoa farming sector'.

The up-scaling and extending of the Lindt & Sprüngli farming program is
done in partnership with the Ghana Cocoa Board (government partner), the
Cocoa Research Institute of Ghana (government partner) and Source Trust
Ghana (implementation partner).

Lindt & Sprüngli Sourcing Strategy

Lindt & Sprüngli is one of the few chocolate makers that have complete
control over every step of the production chain starting with the selection
of the finest cocoa varieties from the best growing areas in the world
right on through the careful and expert processing until ending with the
elegant packaging. To safeguard the uniform and consistently high quality
of all Lindt & Sprüngli chocolate products, all ingredients are thoroughly
tested in owned laboratories before and after purchase, so that their
quality constantly meets the highest standards. Prudent and conscientious
relations with the environment and with the communities in which we live
and work are important to Lindt & Sprüngli and anchored in the Company
Credo. In the procurement of Lindt & Sprüngli's raw materials, great
importance is therefore attached to compliance with the rules of
sustainable conduct. This includes respect for social aspects, such as
working conditions and incomes of farmers in the growing countries, support
and promotion of environmentally friendly production conditions, and
payment of fair prices for raw materials which satisfy Lindt & Sprüngli's
stringent quality criteria.

Pictures: www.photopress.ch ->Lindt & Sprüngli -> Farming Program Ghana

Video: The Sustainable Trade Initiative (IDH):
http://www.idhsustainabletrade.com/cacao-news/lindt--sprungli-and-idh

Relevant Links:  Lindt & Sprüngli Corporate Social Responsibility:
http://www.lindt.com/noswf/eng/company/social-responsibility/

Source Trust: http://www.sourcetrust.org/supporters/lindt/index.html

About Lindt & Sprüngli: Lindt & Sprüngli is the worldwide leader in the
premium chocolate segment and was founded more than 165 years ago in
Zurich. Lindt & Sprüngli quality chocolate is manufactured in eight own
production facilities in Europe and the US and is sold by 20 own
subsidiaries as well as a widespread network of independent distributors
around the world. The Lindt & Sprüngli Group employs more than 8100 people
and achieved sales of 2.67 billion Swiss francs in 2012.

contact: sustainability contact: media relations
Chocoladefabriken Lindt & Sprüngli AG Chocoladefabriken Lindt & Sprüngli AG
Piera Waibel, sustainability manager Nathalie Zagoda, Corp. Communications
Tel. +41 44 716 23 84 Tel. +41 44 716 24 86 
pwaibel@lindt.com  Mediarelations-in@lindt.com


End of Corporate News

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21.11.2013 This Corporate News was distributed by EQS Schweiz AG.
www.eqs.com - news archive: http://switzerland.eqs.com/de/News

The issuer is responsible for the contents of the release.

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Language:    English
Company:     Chocoladefabriken Lindt & Sprüngli AG
             Seestrasse 204
             8802 Kilchberg
             Switzerland
Phone:       + 41 44 716 25 37
Fax:         + 41 44 716 26 60
E-mail:       zdrozd@lindt.com
Internet: www.lindt.com
ISIN:        CH0010570759, CH0010570767
Valor:       1057075, 1057076
Listed:      Foreign Exchange(s) SIX


End of News    EQS Group News-Service
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