Swiss chocolate manufacturer Lindt & Sprüngli is facing renewed legal scrutiny over alleged child labour in its West African cocoa supply chain, adding to mounting pressure on multinational food companies to demonstrate greater transparency and accountability in sourcing practices. The lawsuit, filed in the United States by public-interest litigation firm International Rights Advocates (IRA), accuses the company of misleading consumers about its efforts to eliminate child labour from cocoa sourced in Ghana and Côte d’Ivoire, the world’s two largest cocoa-producing countries.
The case, reported by Reuters, does not seek financial damages. Instead, it asks the court to prevent what the plaintiffs describe as deceptive consumer practices, arguing that Lindt’s public sustainability commitments create an impression that its cocoa is produced without widespread child labour despite longstanding evidence of labour risks within the sector.
The legal action represents the latest challenge facing the global chocolate industry, which has spent more than two decades attempting to address child labour concerns across West African cocoa production. Companies including Nestlé, Cargill, Barry Callebaut and Hershey have previously faced lawsuits and increasing regulatory scrutiny as governments, investors and consumers demand stronger environmental, social and governance (ESG) performance throughout agricultural supply chains.
For Africa, the case highlights the continuing tension between sustainability commitments made by global consumer brands and the structural economic realities confronting millions of smallholder cocoa farmers whose livelihoods depend on one of the continent’s most valuable agricultural exports.
According to the International Cocoa Organization (ICCO), Côte d’Ivoire and Ghana together account for approximately 60% of global cocoa production, making cocoa one of West Africa’s most strategically important export commodities. The industry generates billions of dollars in export earnings annually and supports the livelihoods of millions of farming households across both countries.
However, despite cocoa’s global economic significance, persistent challenges including rural poverty, volatile commodity prices, low farm incomes and limited access to education continue to contribute to child labour risks in cocoa-growing communities.
According to the complaint, Lindt has publicly stated that it is committed to eliminating child labour from its supply chain and protecting children’s rights through responsible business practices. International Rights Advocates argues that these statements mislead consumers because child labour remains widespread in cocoa production areas supplying global chocolate manufacturers.
“A reasonable consumer would not expect a company that is committed to respecting human rights and conducting business ethically, legally and in an environmentally and socially responsible manner to rely on widespread child labour in its cocoa supply chain,” the complaint states, according to Reuters.
The litigation does not challenge the existence of corporate sustainability programmes themselves. Rather, it questions whether public representations regarding their effectiveness accurately reflect conditions on the ground.
Lindt has strongly rejected the allegations.
In response, the company said it takes child labour “very seriously” and has implemented comprehensive measures to identify, monitor and remediate child labour risks throughout its cocoa sourcing operations.
The company pointed to its Lindt & Sprüngli Farming Program, established in 2008, which operates across seven cocoa-producing countries and currently covers approximately 131,000 cocoa farmers. According to Lindt, the programme combines farmer training, traceability, sustainability standards and community support with the implementation of a Child Labor Monitoring and Remediation System (CLMRS).
The CLMRS model has become one of the principal approaches adopted by major cocoa companies to identify children engaged in hazardous work, remove them from dangerous activities and address the underlying socio-economic conditions contributing to child labour.
Lindt stated that where suppliers are not enrolled in its Farming Program, cocoa sourcing relies on verification standards established through the Rainforest Alliance certification programme.
“We recognise that we do not have all the answers to prevent violations of children’s rights in our supply chains. However, we remain fully committed to continuously improving the effectiveness of our measures to address this risk in our cocoa supply chain and beyond,”the company said in its sustainability reporting.
According to Lindt, approximately 66.1% of cocoa sourced in countries identified as presenting child labour risks originated from supply chains where CLMRS mechanisms were operating during 2023.
The lawsuit comes as regulatory expectations surrounding supply chain due diligence continue to tighten globally.
The European Union has adopted the Corporate Sustainability Due Diligence Directive (CSDDD), requiring large companies to identify, prevent and address adverse human rights and environmental impacts across their global value chains. Similarly, the EU Deforestation Regulation introduces stricter traceability requirements for cocoa and other agricultural commodities entering European markets.
These evolving regulations are expected to increase compliance obligations for chocolate manufacturers while encouraging greater investment in traceability technologies, farmer support programmes and independent monitoring systems.
For cocoa-producing African countries, these developments present both opportunities and challenges.
Governments in Ghana and Côte d’Ivoire have made significant investments in sustainability programmes, farm traceability and sector reforms aimed at improving farmer incomes and strengthening compliance with international market requirements. Both countries have also collaborated through the Côte d’Ivoire-Ghana Cocoa Initiative to improve price stability and enhance the long-term sustainability of cocoa production.
Nevertheless, international organisations continue to emphasise that child labour cannot be addressed solely through corporate monitoring systems.
According to the International Labour Organization (ILO) and UNICEF, child labour in agriculture is closely linked to household poverty, limited educational opportunities, inadequate rural infrastructure and low agricultural productivity. Sustainable progress therefore requires integrated approaches combining higher farmer incomes, improved education, stronger social protection systems and effective enforcement of labour standards.
The World Bank has similarly argued that increasing smallholder productivity and improving market access remain essential to reducing poverty among cocoa-producing communities, thereby addressing one of the underlying drivers of child labour.
ESG performance has also become increasingly material for investors.
Institutional investors are paying greater attention to supply chain governance, human rights performance and responsible sourcing practices when assessing long-term corporate risk. Legal disputes involving sustainability claims may therefore carry implications beyond reputational management, potentially influencing investment decisions, financing conditions and corporate disclosure requirements.
The Lindt case also reflects a broader evolution in sustainability litigation.
Where earlier lawsuits frequently sought compensation for alleged human rights violations, recent cases increasingly focus on consumer protection laws and corporate sustainability communications. Courts are being asked not only to assess conditions within supply chains but also whether companies accurately communicate the effectiveness of their sustainability programmes.
For Africa’s cocoa sector, the implications extend beyond one company.
Global demand for ethically sourced cocoa continues to grow as consumers, regulators and investors place greater emphasis on responsible supply chains. Maintaining access to premium international markets will increasingly depend on demonstrating measurable improvements in labour standards, traceability and sustainability performance while ensuring that cocoa farming remains economically viable for millions of smallholder producers.
The outcome of the litigation remains uncertain, and Lindt continues to reject the allegations. However, the case reinforces a broader shift underway across global agricultural value chains, where sustainability commitments are increasingly subject to legal scrutiny alongside financial and operational performance. For cocoa-producing countries in West Africa, strengthening governance, improving farmer livelihoods and enhancing supply chain transparency are likely to remain central to preserving the competitiveness of one of the continent’s most important export industries.
