The essential distinction between “single origin” and “single variety” cacao

04 May 2020 --- Purchases of single origin cacao are most often driven by label-oriented connotations of sustainability and traceability. In terms of a product’s organoleptic properties, however, this common on-pack attribute can sometimes be mistaken as a primary influencer over chocolate’s quality and craveability. FoodIngredientsFirst speaks to Honduras-headquartered Xoco Gourmet to examine the important distinction between single origin and single variety chocolate.

“By paying attention solely to the single origin label, people neglect the fact that cocoa trees and their varieties, have significant differences in biology, chemistry and thus flavor,” says Thomas Heilmann, Sales and Marketing Officer at Xoco Gourmet. “At this moment, suppliers of conventional cocoa only differentiate between the three generic varieties forastero, criollo and trinitario, but in reality these are not really indicative of the taste of the cocoa – only its ancestry. However, digging deeper into it, cocoa is much more complex, but the industry is yet to understand this, and we want to drive this change.”

A 25 percent rise was noted in chocolate launches with a “single origin” claim, according to Innova Market Insights data (CAGR 2015 to 2019).Indeed, a 25 percent rise was noted in chocolate launches with a “single origin” claim, according to Innova Market Insights data (CAGR 2015 to 2019). Further analysis shows that seven in ten consumers eat chocolate every day, while the fastest-growing claims tracked on global chocolate launches were 12 percent for vegan, 41 percent with low sugar and 32 percent with a high source of fiber claim.

“Just like people have done in wine for years – separating varieties on each their fields and optimizing every step of the art of making a high-quality wine – we select the best varieties, separate them and optimize all of our activities and post-harvest processes to that specific variety. Although conventional chocolate is delicious, it is a much inferior product to what it can become if you adopt the single variety approach instead,” notes Heilmann.

“If you were to mix several grapes of wine, you would probably still get a decent product, such a table wine, but it would be far from the gastronomical experience you can achieve when winemakers dedicate their skills to specific grapes. The same goes for chocolate! We consider ourselves a pilot-project for this approach and we are starting to reap the benefits with the industry slowly adopting this practice,” he explains.

Complexities in the cocoa value chain
From an economic perspective, the cacao industry is mired in complexities. “Few buyers account for the vast majority of cocoa production. Cocoa is a commoditized product traded as such with little attention to differentiation, and also has a long complex value chain, among other challenges,” Heilmann tells FoodIngredientsFirst.

The economic conditions of cocoa farmers are very bad in most cases because they have very limited ability to specialize and create an added value. “Therefore, we see a race to the bottom, where the only profit-optimizing activity farmers can do is to cut costs, which leads to many unfortunate situations and harming externalities,” he explains.

Xoco Gourmet’s approach involves empowering farmers, rather than relying on philanthropic CSR initiatives and industry-sponsored NGO initiatives and approvals.Xoco Gourmet’s approach involves empowering farmers, rather than relying on philanthropic CSR initiatives and industry-sponsored NGO initiatives and approvals. “Although we do pay them significantly above the fair-trade price per kg and provide extensive training and assistance to our more than 250 farmers in Central America, we improve their producer power in economic terms even more. We enable cocoa farmers to specialize their production, create an added value and differentiate themselves from the commoditized cocoa industry, leaving them with more leverage against cocoa buyers,” says Heilmann.

Apart from all this, Xoco Gourmet also provides its clients and consumers with full transparency, so they can see exactly which farmers contributed to every batch. “This means that our clients can put QR codes on the products, allowing the consumers to get to know the exact farmers that did the initial hard work of the chocolate bar the consumer is holding in their hand and is about to consume,” he further adds.

Cocoa sector developments
A multitude of factors are known to affect a chocolate’s flavor, including its processing and unique chemical make-up. In the US, researchers are currently developing a precision authentication testing method to map the “chemical fingerprint of chocolate” to ensure that it has not been adulterated with inferior ingredients and is as sustainable as the label suggests. 

Moving ahead, as consumers growingly focus on chocolate’s provenance, Innova Market Insights’ “Storytelling: Winning with Words” Top Trend for 2020 is expected to further propel marketing strategies in this space. In February, at ISM 2020 in Cologne, Germany, FoodIngredientsFirst spoke with a direct Cadbury descendant on the subject of leveraging this marketing tool to raise consumer engagement.

Meanwhile, as the COVID-19 pandemic continues to wreak havoc across global sectors and markets, suppliers have flagged a host of challenges within the cocoa supply chain. It is now critical to minimize potential disruptions as the delivery of some ingredients are at risk of being stunted by lockdowns and quarantine measures, which could leave the cocoa sector in turmoil.

By Benjamin Ferrer