Papua New Guinean specialty cocoa

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This study identifies barriers to market-entry for Papua New Guinean (PNG) specialty cocoa. Despite market interest, buyers have reservations resulting from uncoordinated supply, arduous and costly logistics, and extensive disconnects between local producers and international markets. The costs of exporting to European and US markets are prohibitive for smaller businesses, and producer groups do have insufficient language and business skills to communicate with prospective buyers. Perceptions of PNG as a dangerous and erratic place to do business, as well as the absence of reliable intermediaries, also hamper exports. It was discovered that NGOs have influence over the yield and quality of PNG cocoa, through their delivery of livelihoods projects. The report recommends three major actions: 1) exporters to provide fixed commission based export facilitation services to assist some small producers; 2) a visit by US and European buyers; 3) maintenance of a ‘cocoa directory’ to inform interested buyers.

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Australian Aid
New Zealand Ministry of Foreign Affairs and Trade Aid Programme