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Fairtrade Coffee

What social impact does Fairtrade coffee have on rural communities

Sabrina Wong

on 14 October 2013

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Transcript of Fairtrade Coffee

Fairtrade Coffee
Where does the extra money go?
Main Idea
To what extent does Fairtrade coffee provide a positive social impact on rural communities.
What are the limitations of this research article?
What are the key findings and results?
How does this peer reviewed journal practically contribute to society?
What is Fairtrade?
What did Jena, Chichaibelu, Stellmacher and Grote do?
Community well-being
Increased visibility along the supply chain
Certification scheme
Social equality
Facilitates local community projects
Jimma zone of South Western Ethiopia
Quantitative methods
2009 empirical study
Structured interviews
Four Fair trade local coffee cooperatives
Semi-structured focus groups
Propensity score matching
Expert interviews
Ordinary least squares regression
Qualitative methods
Two conventional cooperatives
Proposed Research Question...
The Impact of Coffee Certification on Small-Scale Producers' Livelihoods: A Case Study from the Jimma Zone, Ethiopia
Brought to you by: Kyle Meakin and Sabrina Wong
Empowering rural communities
Reducing poverty
Shorten linkage between producer and consumer
Pradyot Ranjan Jena, Bezawit Beyene Chichaibelu, Till Stellmacher, Ulrike Grote
Econometric Results
No significant impact on income
Qualitative Results
Weak support from coffee cooperatives
Descriptive Results
Low level of public services and infrastructure
Adams , M. & Raisborough, J., 2008. What can sociology say about Fairtrade? Class, reflexivity and ethical consumption. Sociology, 42(6), pp. 1165-1182.
Bacon, C., 2005. Confronting the coffee crisis: Can fair trade, organic, and specialty coffees reduce small-scale farmer vulnerability in Northern Nicaragua? World Develop, 33(3), pp. 497-511.
Bryant, R. & Goodman, M., 2004. Consuming narratives: The political ecology of "alternative" consumption. Transactions of the Institute of British Geographers, 29(3), pp. 344-366.
Dorr, A. C., 2009. Economic Analysis of Certification in the Brazilian Fruit Chain, Cuvillier Publisher, Gottingen.
Giovannucci, D., & Potts, J., 2008. Seeking Sustainability: COSA Preliminary Analysis of Sustainability Initiatives in the Coffee Sector, IISD, Winnipeg.
Guptill, A. E., Copelton, D. A. & Lucal, B., 2013. Food and social change: The value of values. In: Food and society: Principles and paradoxes. Cambridge: Polity Press, pp. 160-181.
Jena, P. R., Chichaibelu, B. B., Stellmacher, T. & Grote, U., 2012. The impact of coffee certification on small-scale producers' livelihoods: A case study from the Jimma Zone, Ethiopia. Agricultural Economics, Volume 43, pp. 429-440.
Lyon, S., 2006. Evaluating Fairtrade consumption: Politics, defetishization and producer participation. International Journal of Consumer Studies, 30(5), pp. 452-464.
Nicholls, A., 2005. Fairtrade: Market-driven ethical consumption. London: Sage.
Parrilli, M. D., 2000. Subsector analysis in the Mexican craftwork: the role of Fair Trade and Xochiquetzal and Chapala, Jalisco, and Olinala, Guerrero, Culemborg, The Netherlands, Fair Trade Assistance.
Philpott, S., Bichier, P., Rice, R., & Greenberg, R., 2007. Field-testing ecological and economic benefits of coffee certification programs. Conserv. Biol, 21(4), pp. 975-985
Poncelet, M., 2005. A fair and sustainable trade, between market and solidarity: diagnosis and prospects. University of Liege, Liege, Belgium.
Raynolds, L., 2002. Consumer/producer links in FairTrade coffee networks. Sociologia Ruralis, 42(4), pp. 535-541.
...What is the societal impact of Fairtrade certification on developing communities
How does this peer reviewed journal contribute to further research?
Indication of the practical limitations of certification
Importance of certified cooperatives
Contradicts pre-existing literature
Deep-rooted economic poverty
Complex supply chain with Fairtrade coffee
Does not consider impact on gender equality
Does not consider effects on social structure of participating communities
Does not consider the impact of external factors on the interaction between consumers and producers
Does not consider developed communities or countries
Proposed Research
Ontology: Constructivism

Epistemology: Interpretivism

Methodology: Mixed Methods

Field: Australia

Ethics: Confidentiality and prior knowledge to withdraw without any consequences
Australian coffee producers
Focus group discussions
In-depth interviews
Econometric data collection
External institutions: government and not-for-profit organisations
Focus group discussion
In-depth interviews
What benefits do participating Australian coffee producers derive from Fairtrade certification?
To what extent does external institutions impact Fairtrade certification and its efficiency?
Do gender roles or social pressures play a role in participating communities, and are these social aspects emphasised due to the Fairtrade infrastructure?
Lack of investment in production method education
No statistical difference in payments
No significant effect on poverty reduction
No significant difference on income
Vulnerable to external shocks
Lack of provision in improving livelihoods
Impacts of Fairtrade certification on developed communities
Consider gender roles and social structures in participating communities
Integrate sociological theories and frameworks
Particular focus in developing countries (Latin America and Africa)
Little to no consideration of social structure
Lacks sociological imagination
Key limitations in the general literature include...
This study will consider...
Full transcript