Modern Slavery in Global Supply Chains: The situation of Tea Workers in Bangladesh and Cocoa Farmers in Ivory Coast

OpenAI, Modern Slavery in Global Supply Chains: The situation of Tea Workers in Bangladesh and Cocoa Farmers in Ivory Coast, Digital image

Introduction:

How many times have we casually drank our morning tea or bitten into a piece of chocolate after unwrapping it without wondering about the farmers who produced it? Probably more frequently than we would like to think. Unfortunately, while tea and chocolate appear to be benign commodities intended for public consumption, the reality is far from perfect. There are untold tales of injustice and exploitation concealed behind these everyday indulgences. The production of tea and cocoa is supported by modern-day slavery as they involved child labour, wage inequities, and systematic human rights abuses in countries like Bangladesh and Ivory Coast. These industries, which are frequently idealised or taken for granted, are tightly regulated by a small number of strong businesses that make enormous profits, while the workers at the bottom of the supply chain continue to be ensnared in cycles of contemporary slavery. To combat the crisis faced by these two industries, government, international corporations and other non-state actors should step up and take initiative to address this global injustice.

The Plight of Tea Workers in Bangladesh:

Tea workers represent one of the most marginalized and vulnerable populations, possessing minimal access to the rights provided by the state. According to the latest gazette published by the Bangladeshi government, tea workers earn 170 taka per day, which is slightly more than $1. For category B and category C garden, the wage is 169 taka and 168 taka respectively. Workers on tea plantations are more vulnerable since they sometimes have to depend on their employers for housing, food, and education. Additionally, they face more difficult working conditions than in the past because of the rising temperatures and heavy rains, which make it harder for them to reach the daily quota.

In August 2022, tea workers went on strike, demanding Tk300 per day. In response to the tea workers' movement, the wage was increased by Tk50, to Tk168-170. But is 170 taka enough to support life in a country with a per capita income of $2784?

In an interview with Drik News, Khairun Akhter, a young woman who was at the center of the protest, described the problems experienced by tea workers due to low wages. They can only afford to eat rice and lentils once a day; the rest of their meals are dry items such as puffed rice or chira. They cannot afford nutritional foods and can only eat meat once or twice a year due to the expensive cost.

With the economy of Bangladesh experiencing steadily rising inflation, the initial demand of 300 taka is not met, hence the agreed upon amount of 170 taka is insufficient for the tea workers.

Ivory Coast’s Cocoa Industry - A Sweet Product with a Bitter Origin:

The biggest cocoa producer in the world, Ivory Coast's cocoa bean industry has a darker side that is not concealed by the shiny chocolate wrappers. When consumers eat chocolate, they often associate it with European premium goods from Belgium or Switzerland. However, the dreadful story of how cocoa beans are made is forgotten, despite the fact that the raw material is sourced from small, hard-working farms, many of which employ children.

The majority of the 2.1 million children who work on cocoa farms in Ghana and Ivory Coast are most likely exposed to the most extreme forms of child labour. Most of the youngsters that labour on cocoa fields are between the ages of twelve and sixteen, however some might be as young as five. Additionally, 40% of these children are girls who go on to work on cocoa plantations as adults. Shifting demand and downward pressure on prices put cocoa growers at peril of an uncertain income. In the 1970s, cocoa producers received half of the value of a chocolate bar. That percentage has since decreased to just 6%, though. In contrast, chocolate prices increased by 14% in 2023 reflecting a system where profits bypass the producers.

The Supply Chain Bottleneck:

While Bangladesh's middle-class and upper-middle-class citizens are able to share their workload over a hot cup of tea, the labourers who cultivate it rarely get to enjoy such comforts. Similar circumstances apply to cocoa farmers, the great majority of whom work their entire lives growing cocoa yet have never had a chocolate bar. This disparity raises critical questions about the ethical limitations of global supply chains in these industries, where structural inequalities make it nearly impossible for the producers to access the very products they help create.

In the Ivory Coast alone, there are about half a million tiny, family-run farms that are the starting point for the production of cocoa. Because things like breaking pods and fermenting beans are done by hand, the process is very labour-intensive. The story of chocolate resembles an hourglass: at the beginning, there are millions of small-scale farmers producing cocoa, and at the end, there are millions of consumers enjoying chocolate. But at the centre of this hourglass lies a bottleneck controlled by a handful of powerful corporations. Cargill, Barry Callebaut, and Ofi — these three companies dominate the industry, collectively purchasing and processing nearly 60% of the world’s cocoa. These companies then supply chocolate to major brands like MARS, Mondelez, Ferrero, Hershey, and Nestlé, which account for nearly half of global chocolate sales.

The story of Bangladesh's tea business is similar. For more than 180 years, tea has been grown throughout the nation as the second most important cash crop after jute. With 167 tea estates spanning roughly 279,507 acres, Bangladesh currently produces 67,400 tonnes of tea annually on average. Approximately 1.5 million people are actively employed in this sector, and many more are indirectly connected. Alongside an increase in imports, domestic tea consumption has skyrocketed, rising from 18,190 tonnes in 1990 to 67,031 tonnes in 2016. Tea makes up 1.89% of global production and contributes 1% to the GDP. However, the industry's success obscures the difficult conditions that tea workers must endure. Despite promises of benefits such as medical funds and retirement allowances, workers often live in dire conditions, receiving only 3 kilograms of rations per week, which leaves many perpetually undernourished. Additionally, 46% of adolescents in tea-growing communities face child marriage, and 15% of women suffer from cervical cancer.

In Bangladesh, well-known tea brands including James Finlay, Duncan Brothers, and Ispahani Mirzapore have a significant amount of market power. Only Ispahani controls 50% of the market for nationally branded tea and 80% of the branded tea bag market. The Ispahani Group, which has a 202-year history, has diversified into textiles, IT, and agricultural, bringing in Tk 20 billion annually. The enormous revenues have not been able to improve the lives of the tea workers who make this success possible, despite significant investments of Tk 1.3 billion in a state-of-the-art tea factory in Gazipur and Tk 2.5 billion in textile expansion in Chattogram.

Structural Similarities and Intergenerational Injustice:

The similarities between the exploitation of labour in the Ivory Coast’s cocoa plantations and Bangladesh’s tea plantations are stark. Both systems rely on systemic controls that strip workers of their agency, perpetuate economic dependency, and deny future generations the opportunity for upward mobility. In the Ivory Coast, farmers are trapped by global market structures that favour exporters and middlemen, while in Bangladesh, workers are confined by the plantation system’s rigid hierarchies.

In both cases, child labour emerges as a tragic consequence of systemic exploitation, with families prioritizing immediate survival over long-term prospects. These practices not only sustain economic inequality but also reinforce the generational cycles of poverty and marginalization that characterize modern slavery.

Conclusion:

As supply chains are based on structural inequality and labour exploitation, the tea and cocoa industries serve as a stark reminder of the negative aspects of globalisation Addressing these issues requires dismantling the structural inequalities that underpin these exploitative systems and providing workers with fair wages, access to education, and alternative opportunities for livelihood than merely making token gestures of corporate responsibility. To live with the respect, rights, and financial stability they deserve, governments must enforce stronger labour laws, companies must ensure fair pricing and wage structures, and international institutions must hold supply chains accountable.