- Certifications are one of the most effective ways to communicate ethical, sustainable, and quality standards in the coffee industry.
- Consumers are often willing to pay more for certified coffee – research from the SCA found that people paid up to US$1.36/lb more for organic coffee.
- Producers can showcase a dedication to maintaining quality, sustainability, and fair labour practices to strengthen their branding, differentiate from competitors, and gain access to new markets.
- But not all certifications are equal, especially as more flood the market. To truly support producers and command higher prices, they need to generate tangible value.
Consumers are paying closer attention to the environmental and ethical footprints of their purchases, especially coffee. Many rely on certifications to help guide their decisions, seeking out more sustainable coffee options – and research shows they’re often willing to pay premium prices for them.
For producers, this means certified coffee can be a viable means of entering new markets, increasing prices, and investing in long-term growth. Moreover, they also present opportunities to market coffee more effectively, demonstrating verifiably higher social, economic, and environmental standards.
However, not all certifications are equally beneficial for coffee producers. While some can guarantee higher prices and long-term buyers, others can carry costly administrative burdens that minimise impact.
I spoke to Ítalo Henrique, Bruna Costa, and Farlla Cristina Gomes Vieira at the Brazilian cooperative Expocacer to learn how they are addressing these challenges.
You may also likeour article on what regenerative agriculture actually means.
The role of certifications in coffee
Certifications have long been an effective means of establishing higher social, economic, and environmental standards in the coffee industry. These principles aim to achieve goals such as protecting biodiversity in coffee-growing regions and helping producers earn a living wage – two factors that are more important than ever as the climate crisis worsens and price volatility persists.
Some examples of prominent certifications in the coffee industry include Fairtrade, UTZ (now part of Rainforest Alliance), country-level organic certifications such as USDA Organic, 4C (the Common Code for the Coffee Community), and Regenerative Organic Certified – a new scheme that supports regenerative agricultural practices.
In an ideal scenario, certification can guarantee a price premium and a better income for producers compared to selling coffee at low commodity prices in an increasingly volatile C market.
“Certification transforms coffee from a commodity to a product with a history and a purpose, and this creates added value in the supply chain,” says Ítalo Henrique, the Commercial Director at Expocacer, the Cerrado Coffee Growers’ Cooperative.
From an ecological perspective, certifications serve as a strategy to combat climate change and address the growing list of environmental challenges in coffee-growing regions.
“Sustainably produced coffees are the only way to keep coffee production viable in the future,” says Bruna Costa, the director of Bossa Coffee Company, which represents Expocacer’s UK logistics hub. “The implementation of sustainable techniques helps mitigate issues related to climate change, which causes severe droughts in coffee-producing regions. For the past five years, especially, these have been severely challenging for farmers.”
Certifications are also effective marketing tools, as they offer producers a universal way to communicate their ethical and sustainable practices to roasters and consumers.
In some cases, sustainability labelling increases the value of coffee products and gives them a competitive edge in meeting the demand of more eco-conscious consumers. Studies have shown that certifications have helped increase retail prices for Fairtrade coffee in Italy by 30%, in Germany by 55%, and in the US by 15% to 30%.
This offers producers and cooperatives opportunities to enter new markets, particularly in Europe – the world’s largest market for certified coffee – that help them command higher prices.
But there are challenges to address with coffee certifications
There are clear benefits to certifications in the coffee industry, but there are also hurdles to navigate.
First and foremost, adhering to certifications is often costly for producers, many of whom find it increasingly difficult to justify the investment. Some programmes pose financial barriers in many coffee-growing regions, limiting farmer participation, especially among smallholders.
Certifications can cost farmers hundreds or thousands of dollars per year, depending on farm size, coffee volume, and country-level criteria. Growing certified coffee can also be logistically challenging, as verification processes commonly require extensive documentation, regular audits, and inspection fees.
This administrative burden can divert farmers’ attention away from caring for their crops and deplete resources from limited funds. Some cooperatives and supply chain partners will bear these administrative and financial costs, but farmers are still responsible for transitioning their farms to meet certification requirements. This can be a years-long process in which farmers may experience lower yields and higher operational costs before earning any price premiums.
Farmers who successfully obtain certification may also face a reality in which they are not paid enough to cover the cost of the extra labour and certification fees. With a weaker negotiating position against larger green coffee buyers, some producers can struggle to sell their certified coffee and may have to settle for lower prices closer to market rates.
Contributing to this problem is that green coffee buyers can pick and choose which of the growing number of certifications they want to label their coffee with.
An oversaturation of sustainability and ethical labels means the impact of certification programmes can quickly become diluted. Both producers and consumers struggle to keep up with what each label means and which ones hold more value.
Potential consumer confusion around certifications can exacerbate their “label fatigue” and “decision paralysis,” and possibly disincentivise them from buying certified coffee altogether. Many studies emphasise the importance of comprehensive consumer education regarding the meaning and value behind various certifications.
In order for certification schemes to be expanded and sustained meaningfully, they must be beneficial and financially sustainable for producers. This entails lower participation costs, providing adequate support when applying for and adhering to certification schemes, and guaranteeing that returns exceed the costs of transitioning farming practices and potential yield declines.
Supply chain actors, such as Expocacer, are working to offer these solutions. In 2023, the cooperative introduced ECO, a self-verification system that enables producers to comply with environmental, social, and governance (ESG) standards.
“The platform was created as an accessible certification, adding credibility supporting the continuous improvement and positioning the producers competitively in the global market,” Ítalo says. The cooperative currently works with 700 producers in Brazil, exporting to more than 30 countries across five continents.
“ECO highlights the best practices and progress in the sustainable management of producers in the Cerrado Mineiro region through continuous improvement,” says Farlla Cristina Gomes Vieira, the Technical and Sustainability Manager at Expocacer. “This way, we reach the largest number of producers, as the protocol focuses on promoting innovative coffee production.”
How producers can use certifications to sell their coffee for more
Certifications are one of many tools producers can use to market their coffees more effectively to the growing customer base that demands traceable and verifiable sustainable coffee.
“Consumers are more conscious of the social and environmental impact of their purchases, especially coffee,” Ítalo says.
Multiple studies have found that increased transparency in environmentally sustainable coffee production significantly increases consumers’ likelihood of purchasing. Furthermore, consumers are willing to pay more for coffee with certifications that align with their values and provide credibility.
“Buyers are increasingly seeking transparency and traceability in their supply chains, so certifications like ECO reassure that the coffee is produced with respect for the people and the environment,” Ítalo explains.
Bruna highlights the Brazilian farm AgroBeloni as an example of the producers that Expocacer works closely with: “Fernando and Elessandra Beloni, who pioneered regenerative agriculture, produce sustainable coffees and high-quality specialty-grade lots.”
However, no matter how skilled and successful producers are in their sustainable coffee farming, they still need more support in accessing certifications that reward their efforts.
One solution is to empower producers through self-verification systems, like ECO, which also takes into account region-specific capacity.
“By creating these local standards, we give the producers more autonomy, reduce costs, and bring them closer to global consumers who care about responsibility and traceability,” Ítalo says.
Credible coffee certifications must also undergo independent verification to confirm authenticity and ensure adherence to strict quality standards.
In addition to internal audits conducted by Expocacer, the ECO programme includes second-party audits carried out by an independent company, and the results are publicly disclosed in ESG reports.
“The use of external auditors provided a level of independence and rigour comparable to that of a third-party audit,” Farlla says. “Our sustainability department works alongside coffee growers, offering support and training so they can adopt and demonstrate these necessary practices, strengthening our production chain.”
In 2024, the ECO protocol was validated by the Global Coffee Platform (GCP), a multi-stakeholder membership association that differentiates and vets coffee verification and certification schemes. The GCP developed a Coffee Sustainability Reference Code, which outlines principles of sustainability for coffee production and primary processing, including the elimination of child and forced labour, no deforestation, and no use of prohibited pesticides.
Certifications will continue to play a key role in the marketing of coffee – especially as consumers take more interest in sustainable, ethical, and environmentally-responsible products.
The opportunities for producers to receive higher prices and enter new markets through certified programmes are growing, but offering the right kind of support is a prerequisite for their success. By lowering barriers to entry and providing assistance with the transition to growing certified coffee, the responsibility of upholding strict – but necessary – standards is shared.
Enjoyed this? Then readour article on why soil health and regenerative agriculture became trends in specialty coffee.
Photo credits: Expocacer
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