Impact on Organics and New Certification Strategies:

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Impact on Organics and New Certification
Strategies

• The Role and Characteristics of the
• Coffee Markets

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Why is coffee so important?

• the world's second biggest commodity
• grown in more than 60 countries 14 billion lbs
• 12 million hectares often in environmentally
  sensitive areas
• more than 20 million families depend on it

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How many TREES do you drink?

• 2 cups/day 34 gallons/year
• 18 coffee trees
• If you drink conventional, those trees were
  treated with as much as 11 pounds of chemical
  fertilizers and 8 ounces of pesticides.

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High potential to promote Organic systems

• Keystone crop
• people (consumer prod.)
• places
• economies
• Alliances
• NGOs
• government
• farmers

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North American Specialty Coffee Market

• the sustainable coffee survey
• In collaboration with The Summit Foundation,
• The Nature Conservancy, Commission for
  Environmental Cooperation, SCAA, CCC,
• World Bank/GEF

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Market Hurdles

• Consumer awareness the stimulations to buy
• yes to better flavor (94)
• yes to better health (pay more)
• yes (sort of) to better environment
• yes (sometimes) to social justice

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Responding to Market Demand

• Cause-related economic development initiatives
  can't afford to be just issue oriented. They must
  perform to market standards.
• horticultural products
• agro-tourism
• free range livestock
• coffee
• Quality is job 1

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What matters to coffee firms
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What is organic or sustainable?

• Survey indicates that
• both coffee industry and consumers are confused.
• How do you think the farmer feels?
• We are in danger of diluting the message!
• "sure it's natural man.yeah, sustainable too"

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Coffee monocrop
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coffee one of the few forms of agriculture that
can potentially conserve vital habitat,
biodiversity, and human health

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range of coffee growing conditions from sun
plantation to rustic jungle
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Why certification?

• marketplace credibility
• captures incentives of niche market (demand,
  competition, and price premiums)
• "glues" participants to dual objectives commerce
  and conservation, by linking economic success to
  monitored conservation principles

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Next Steps in the field

• lessons indicate there are 3 critical components
  to embed appropriate incentives into a
  sustainable framework
• Environment
• Social
• Economic

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Sustainable Coffee Definitions

• Shade criteria for conserving/creating
  biodiversity as well as soil and water
  conservation
• Organic criteria include soil health practices
  and absence of synthetic agrochemicals
• Fair Trade develops direct relationships between
  an importer and smallholder cooperatives that
  provides them with a guaranteed price and
  pre-financing

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Label Fatigue and the Super Seal
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Importance of Certification
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Sustainable Coffee Sales
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Conservation Principles for Coffee
Production

• Align coffee production with
• biodiversity conservation
• Ecosystem Soil, Water, and Wildlife Conservation
• Pest And Disease Management
• Waste Management and Energy Conservation
• Sustainable and Just Livelihoods - 1 challenge
  for coffee sector

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Building Strategic Alliances is Critical

• doing all of these things requires collaboration
• it can't be done all alone

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Industry Expectations for Sustainable Coffee