International Cocoa Agreement 2010

2010/0343(NLE) 01/12/2010

PURPOSE: to conclude, by the European Union, the International Cocoa Agreement 2010.

PROPOSED ACT: Council Decision.

IMPACT ASSESSMENT: no impact assessment was carried out.

LEGAL BASE: Article 207(3) and (4) in conjunction with Article 218(6) of the Treaty on the Functioning of the European Union (TFEU).

CONTENT: on 25 June 2010 the United Nations Cocoa Conference 2010 formally closed following the consensus reached by the delegations on the negotiated text of the new 2010 International Cocoa Agreement, which will replace the International Cocoa Agreement 2001, as extended.

In view of the outcome of the talks and the substance of the new instrument, which reflects the position it put forward, the Commission considers the instrument of conclusion should now be deposited with the Treaty Section of the United Nations Office of Legal Affairs in New York, having already presented the Agreement to the Council for signature and provisional application.

The Council is therefore asked to approve the International Cocoa Agreement 2010.

Objectives: with a view to strengthening the global cocoa sector, supporting its sustainable development and increasing the benefits to all stakeholders, the objectives of the Seventh International Cocoa Agreement are:

to promote international cooperation in the world cocoa economy;
to provide an appropriate framework for discussion on all cocoa matters among governments, and with the private sector;
to contribute to the strengthening of the national cocoa economies of Member countries, through the preparation, development and evaluation of appropriate projects to be submitted to the relevant institutions for financing and implementation and seeking finance for projects that benefit Members and the world cocoa economy;
to strive towards obtaining fair prices leading to equitable economic returns to both producers and consumers in the cocoa value chain, and to contribute to a balanced development of the world cocoa economy in the interest of all Members;
to promote a sustainable cocoa economy in economic, social and environmental terms;
to encourage research and the implementation of its findings through the promotion of training and information programmes leading to the transfer to Members of technologies suitable for cocoa;
to promote transparency in the world cocoa economy, and in particular in the cocoa trade, through the collection, analysis and dissemination of relevant statistics and the undertaking of appropriate studies, as well as to promote the elimination of trade barriers;
to promote and to encourage consumption of chocolate and cocoa-based products in order to increase demand for cocoa, inter alia through the promotion of the positive attributes of cocoa, including health benefits, in close cooperation with the private sector;
to encourage Members to promote cocoa quality and to develop appropriate food safety procedures in the cocoa sector;
to encourage Members to develop and implement strategies to enhance the capacity of local communities and small-scale farmers to benefit from cocoa production and thereby contribute to poverty alleviation.

BUDGETARY IMPLICATION: this proposal has no implication for the Union’s budget.

Preparatory document