Coffee Barometer 2012

Page 7

2 Coffee standards systems

5

The growing market share of sustainable coffee and

published static overviews of the strengths and

the stricter regulation of the coffee industry can be

weaknesses of various coffee standards systems, a new

viewed as a direct consequence of NGO pressures. The

and better tool has been developed by the International

Fairtrade movement set the example by challenging the

Trade Center (ITC, 2011a). The ITC has taken the initiative

conventional trade system with a viable alternative. By

to develop a web-based database, which is constantly

encouraging agendas for corporate social responsibility,

updated and enables users to compare many different

the Oxfam Make Trade Fair coffee campaign and the lobby

standards systems on every aspect of their specific

of the Coffee Coalition in the Netherlands, prompted

thematic qualities >> www.standardsmap.org

regulation of the supply chain. Figure 3a presents a summary of the critical issues for both smallholdings

In the coffee sector, there are seven key initiatives.

and estates. Standards systems should address issues

Independent monitoring and certification are central to

pertaining to both categories. International development

the four major coffee production standards: Fairtrade

donors, NGOs and labour unions are pushing for

Labelling Organisation (FLO), Organic (IFOAM), Rainforest

innovations (see Figure 3b - future challenges). With

Alliance (RA) and UTZ Certified (UTZ). The Common Code

certification as the starting point, new challenges like

for the Coffee Community (4C) relies on self-assessment

climate change mitigation and adaptation, payment of a

and a three-year external verification cycle. Starbucks

living wage and promotion of gender equality are being

has its own private standard for quality and sustainable

added on. A crucial factor in measuring any success is

coffee production, termed Starbucks’ Coffee and Farmer

to ensure that information about sustainable coffee is

Equity Practices (CAFE Practices). Nespresso’s private AAA

accessible and comparable. Since publishing the last Coffee

guidelines have a similar approach and focus on quality

Barometer (2009), various organizations (see BTC 2010, FAO

aspects like origin and taste. Like 4C, these company

2009, IISD and IIED 2010, ITC 2010), have made an attempt

systems seek to verify farm practices.

to increase transparency in the sector by collecting and verifying information related to production and trading

The stated objectives of these major coffee standards

practices. In reviewing market shares and trends, all

systems suggest a broad, but often loosely defined, notion

research reports underline the need to improve access

of sustainability. All of them attempt to address the

to information. This is paramount in determining the

economic, social and environmental conditions relating to

credibility of any coffee sustainability initiative.

coffee production. A look at the scope of these standards reveals some general trends and commonalities. Most

Coffee certification and verification have come a long way,

economic criteria revolve around product quality and

allowing coffee producers who meet certain requirements

minimum wage requirements. Living wages, price

to differentiate their sustainable coffee in the market.

premiums (only explicitly included in Fairtrade standards)

However, with the rapid growth new challenges arise.

and written contract requirements are rare. On the

Standards systems are defined by their specifications for

environmental front, all systems either require integrated

monitoring and enforcement of sustainable production

pest management or compliance with a prohibited

and trade practices. Whereas past TCC Barometers

chemicals list. Surprisingly, none of the systems address


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