Tracing sustainability in the cocoa value chain: integrating a multi-approach economic assessment and regulatory compliance

The TRACE-IT project, part of the FOODITY initiative under Horizon Europe, aims to enhance trasparency andsustainability in cocoa supply chain through a blockchain-based traceability platform. Cocoa production, mainly inWest Africa and Latin America, faces significant environmental and social challenges, including deforestation,biodiversity loss, and economic inequalities. New EU regulations, such as the EUDR and CSDDD, require strictercompliance, while evolving consumer preferences demand greater transparency and sustainability in food sourcing.TRACE-IT integrates Life Cycle Assessment (LCA) to measure environmental impacts on agricultural phase.Additionally, an hedonic pricing analysis to quantify the premium price recognized on market sales for sustainabilityattributes, while a Discrete Choice Experiment (DCE), incorporating previous insights, could assess consumerbehavior in European markets. The method can quantify the specific willingness to pay (WTP) for sustainability andtraceability attributes, especially through blockchain technology. Preliminary results highlight blockchain’s potential toimprove transparency, strengthen sustainability communication, and create economic incentives for responsiblecocoa production. TRACE-IT offers a scalable model for digital innovation in agri-food supply chains, fostering amore sustainable and equitable global cocoa market.