Image: Didier Gentilhomme
FEATURE Fairtrade
Fairtrade International has increased its Minimum Price for coffee to lower price risks for farmers.
A fair price FAIRTR ADE INTERNATIONAL SENIOR MANAGER FOR COFFEE MONIKA FIRL EXPLAINS WHAT THE INCREASE IN THE FAIRTR ADE MINIMUM PRICE MEANS FOR THE GLOBAL COFFEE INDUSTRY. n today’s world of economic and environmental uncertainty, it’s common to hear coffee consumer concern over raising prices. But considering the other end of the supply chain, increasing production costs, runaway inflation and ever-changing climatic conditions, puts the brunt of income instability on the shoulders of coffee farmers. To assist with this challenge, Fairtrade is raising its Minimum Price for coffee, considered the “safety net” for farmers against extreme drops in the market price, to be paid by buyers to producers in order for a product to become certified against the Fairtrade Standards. As Senior Manager for Coffee at Fairtrade International Monika Firl explains, this increase is intended to lower the price risks for coffee farmers and supply risks for roasters. She says the increase assures that resources are available in order to make trade happen, despite the intensifying impacts of climate change and price fluctuations in the market. 18
GCR | JULY/AUGUST 2023
“The coffee industry has evolved incredibly in last decade, with improved qualities and increased expectations on traceability,” Firl says. “In order to supply the demand for these diversified coffees, farmers face an ever-growing list of expectations for sustainable production practices, highly selective harvesting, processing and drying practices, as well as for data collection, verification and timely communication, all of which adds time and costs to the end product.” “The truth is that industry players and final