When the food company Blue Stripes first began developing recipes in 2018, its CEO and co-founder, Oded Brenner, whirled through the company’s kitchen, tasting everything. Blue Stripes makes snacks out of every part of the cacao fruit — not just the beans, which are the essential ingredient in chocolate, but also the surrounding pulp and husks. From trays of granola to whole-cacao chocolate bars, “he could not walk by his product without breaking off a piece,” said Ben Stone, a former merchandising manager with the company. 

“It’s obviously cliché to say that he’s like Willy Wonka because of the chocolate stuff,” he added. “But he really is.” 

“The chocolate stuff” refers to Brenner’s previous venture. In the ’90s, he co-founded Max Brenner, an international chain of chocolate-themed restaurants. There, his decor choices (like factory piping that evoked a chocolate river) and kitschy culinary creations (like a liquid-centered chocolate egg) earned him a reputation as a real-life Willy Wonka. The media ate it up. “I was this chocolate celebrity, doing all these crazy things,” Brenner said. Paula Deen once licked ganache off his head while he was whipping up a recipe on one of her Food Network shows. 

That chapter ended in 2012 when the conglomerate to which he’d earlier sold the Max Brenner chain sued him for breach of a noncompete agreement. Brenner has said the situation was more complicated than it looked, claiming he was given verbal permission to start the chocolate-centric coffee shop at the heart of the complaint. The resulting settlement prohibited him from selling or marketing chocolate for five years. 

Blue Stripes is Brenner’s return to cacao, now without the over-the-top decadence, and instead with a focus on addressing food waste. “I’m totally harnessed to the mission,” he told me. The company, which he co-founded with food-industry entrepreneur Aviv Schwietzer, is one of a growing number seeking to find culinary uses for the parts of the cacao plant that are typically discarded. Blue Stripes sells juice drinks and fruit snacks made of the fruit’s pulp, and whole-cacao trail mixes, granolas, and chocolate products, on Amazon and in premium grocery stores like Whole Foods and Sprouts. 

“I see the impact,” Brenner said about the company’s approach. “I know it can be something that is pivotal and a huge change to the industry.”

In Ecuador, where the company buys its cacao, Blue Stripes claims to be boosting the local economy and paring down some of the environmental impacts associated with waste. After raising $20 million last fall from a slate of investors that included The Hershey Company and Whole Foods, the company has its eye on reaching more customers. But will it be able to popularize cacao beyond the bean in a country that largely has no clue chocolate comes from a fruit? And would turning the fruit into a bestseller really make the chocolate industry more sustainable? 

Every chocolate bar starts with the seeds (or beans) found inside cacao fruits, which sprout from trees in equatorial regions of Africa, Asia, and South America in shades ranging from yellow to burgundy. 

The pithy pods are split open to access the beans, which are surrounded by a layer of pale pulp that makes them look remarkably like a clutch of alien eggs. These “wet beans” are removed and piled in heaps or in containers so they can dry as the pulp ferments, spurring important flavor changes in the beans. Typically all the pulp is left on the beans, where it then drips away, though a portion is sometimes removed first and discarded. Once all the pulp has dripped off, the beans are roasted, ground, and combined with other ingredients to make all manner of sweets.

The fibrous husks that surround the pulp and beans are also often treated as waste, leading to planet-warming emissions. Many farmers heap these empty pods in moist, methane-producing piles; in Ghana, this practice creates the equivalent emissions of powering more than 2 million U.S. homes a year. Other farmers let the husks decay in the fields, which acts as a natural mulch but creates emissions, too. Turning husks into a soil-enriching compost sharply decreases emissions and can also replace emissions-intensive fertilizers, but cacao farmers don’t often compost. Molly Leavens, the agriculture and development program manager at Sustainable Food Lab, a nonprofit that works with farmers and food companies to improve farmer livelihoods and advance sustainable agriculture, said it’s “really hard to get farmers to compost because it is a lot of work with relatively little financial return.”

Although these emissions are sizable, waste generally contributes a smaller part of cacao’s carbon footprint than deforestation. Farmers often clear-cut jungles to make space for their crops, and this practice is responsible for over 90 percent of cacao’s carbon footprint in Ivory Coast, the world’s top cacao-producing country. But experts consulted for this story said the relative impacts of deforestation and waste vary widely from region to region.

Chocolate is a more than $100 billion global industry, but selling the beans to intermediaries and traders — who in turn sell them to exporters, processors, or chocolate buyers — is far from lucrative for cacao farmers, most of whom are smallholders. Cacao growers earn, on average, just 6.6 percent of the proceeds from a chocolate bar, which makes any prospect of increasing their revenues compelling.

Although waste is common on cacao farms, it’s not inevitable. Indigenous peoples in South and Central America have been drinking the sweet-and-sour juice that results from fermenting cacao pulp for thousands of years. Today, chefs in cacao-growing regions across the world turn the pulp, which ranges in flavor from lychee to green apple with a hint of cucumber, into sorbet, jam, fancy Jell-O, sugar, honey, and more. In Ecuador, this kind of local cacao-upcycling know-how helped Blue Stripes get started. 

Brenner was at a Los Angeles cafe when he first learned the cacao plant could do more than just make chocolate. He ordered a smoothie bowl made with the pulp, which has a texture similar to pawpaw. “I was like, ‘Wow,’” he said. “Twenty years I’m making chocolate, and I obviously knew about the cacao fruit, but I didn’t know you can really use the cacao fruit and make almost like an acai-[like] product.”

He’d been wanting to start a chocolate business with a healthier feel than Max Brenner, and the cacao plant’s fruity potential felt like the missing piece. He envisioned cacao being used in all sorts of foods, just as different parts of coconut palms are converted into drinks, flakes, sugar, and more.

But first, he had to find cacao to use. “It was very hard,” Brenner said. He found small bags of frozen pulp at a Brazilian grocery store in Queens but didn’t think the quality was up to snuff. Eventually, he got connected to a cacao farmer and entrepreneur in Ecuador who Brenner said had by that point been working on cacao processing techniques and machinery for a couple years.

In 2018, Blue Stripes started working with the entrepreneur, who today is a key partner and owns the processing and some of the manufacturing facilities the company uses in Ecuador. (Blue Stripes said he declined to be named or interviewed in this story, and he did not respond to my request for comment through other channels.)

Blue Stripes now sources cacao pods from around two dozen farms in Ecuador, Brenner told me. At a factory on the entrepreneur’s cacao farm, a machine slices the pods open and workers remove the pulp-covered beans. Another machine separates most of the pulp, leaving around 10 to 20 percent of it on the beans to ferment. The pulp, which Blue Stripes currently uses far more of than beans or husk, is then bottled into cacao water or turned into dried fruit. The husks are ground and dried to a fibrous flour that gets transported to separate facilities to be incorporated into chocolate bars and other snacks. 

Brenner shared a graphic on LinkedIn claiming that Blue Stripes’ purchase of the forgotten parts of the cacao pod — 968 tons of them, to be exact — increased farmers’ revenue by $1.5 million between mid-2022 and late 2024. He told me that while the revenue benefit for farmers is small today, the downstream economic impact will grow as the company grows, because “it’s just built into the supply chain.” 

Blue Stripes pays farmers for final ingredients rather than whole pods. Brenner said that before the cost of cacao beans tripled last year, Blue Stripes paid around $3,000 for every metric ton of beans, pulp, and husk flour, offering the same rate for the parts of the plant that are usually tossed aside as for the beans. Now, he added, Blue Stripes pays a fluctuating rate for beans between $9,000 and $12,000 per metric ton, while the original rates for pulp and husk flour are unchanged. The company declined to put me in touch with one of the farmers it works with, saying the farmers requested not to have their names or information about their farms used in the media.

Experts on the chocolate industry who aren’t affiliated with Blue Stripes told me that the company’s business model sounds promising. 

Blue Stripes’s ideas and technology could set a valuable example for countries that are focused on improving cocoa farmer livelihoods, said Amourlaye Touré, senior advisor for Africa at the environmental advocacy organization Mighty Earth. “What they are doing in Ecuador will be useful … to show to other parts of the world,” he said.

Leavens at Sustainable Food Lab said that localizing processing and manufacturing in the region where cacao is grown is “building out the local economy, and that is really important.” Chocolate manufacturing is generally done in consuming countries, depriving producing countries of those potential jobs and profits. It’s also notable that Blue Stripes says it buys cacao from farmers rather than from an intermediary, since this “direct trade” practice keeps the full earnings from the crop with farmers. Leavens said what Blue Stripes says it’s paying for beans today is about what she’d expect for high-end beans in Ecuador, where she noted that farmers bring home a larger share of the market price than in West Africa, because Ecuador’s government doesn’t regulate the price.

Will Lydgate, owner of the cacao farm Lydgate Farms in Kaua‘i, Hawai‘i, said that while he wasn’t familiar enough with how Blue Stripes works with farmers to comment on its approach, he supports any model that improves farmer livelihoods. “Anything we can do to get more money in the hands of farmers is a good thing, especially cacao farmers,” he said.

Reducing the environmental impact associated with cacao waste is another reason Leavens said she “very much support[s]” what Blue Stripes is doing. In addition to reducing greenhouse gas emissions, waste prevention also conserves the water, energy, and other resources used to grow the husk and pulp. The environmental impact of Blue Stripes’s method is hard to quantify without a detailed study like a life-cycle assessment, which Brenner said he hopes to eventually undertake. Such a study would also detail any emissions saved or created during later stages like processing and transport.

Beyond limiting the ecological impact of waste, cacao upcycling ventures like Blue Stripes could also help prevent deforestation once they reach sufficient scale, though certain conditions would have to be met in the cocoa-producing region for that to happen. Touré explained that if cacao farmers earn more money from the same crop, they’ll be less pressured to clear additional land for farming. He added that there is a risk, however, that if the crop is more valuable, it could paradoxically drive more deforestation, so protections like forest monitoring by local governments and watchdog groups must be in place to make higher earnings work as a deforestation deterrent rather than an accelerant.

The experts I spoke to for this story said they couldn’t comment on whether those conditions are met in Ecuador, though cacao farming has historically driven very little deforestation there compared to other producing countries. Blue Stripes also recently had all its products certified by Rainforest Alliance, whose labeling scheme prohibits sourcing from farms on lands that have been deforested since 2014. The label is well known for indicating social and environmental responsibility at a glance but, like other voluntary certification schemes, has faced criticisms, such as for only conducting in-person certifications of farms considered medium- or high-risk.

Whether Blue Stripes can scale up further will depend in part on whether it can get people onboard with eating whole cacao, which is no small task, since the fruit is still mostly unfamiliar in the United States.  

The company’s strategy to draw in new customers leans heavily into health messaging, with language like “superfood” and “clean ingredients” prominent in its promotional videos and on its product labels. Brenner also cited the flavor and versatility of whole cacao as reasons people might become whole-cacao converts. “It tastes like heaven,” he said, and “there’s so many things you can do with it.” 

Blue Stripes sent me a box of their drinks and snacks to try for this story, and I thought most were tasty, though many of the chocolate bars were unremarkable. I especially liked the company’s cacao-fruit snacks and cacao-water drinks, the latter of which tasted like zingier versions of lychee. Two friends with whom I shared the drinks liked them too and said they’d drink them again, but that a whole bottle would be too much. “It’s a sipper,” said one friend. I couldn’t detect the fibrous cacao husk flour in the products it featured in, like granola and trail mix, which is probably a success, all things considered. 

Just how widely Blue Stripes will be able to popularize whole cacao remains to be seen. But Lydgate, whose cacao farm sells small-batch chocolates and teaches people about the fruit, said he’s glad to see Blue Stripes reaching for the mass market. The company “is drawing awareness to cacao as an ingredient,” he said. “And I’m really happy that Blue Stripes is doing that.”