Fair Trade USA™ Coffee Program Updates

Updates

Fair Trade USA is grateful for the opportunity that the Specialty Coffee Expo provided in Portland, OR to gather with so many leaders in the industry. It was wonderful to connect with friends, colleagues, and partners from across the sector. From our Fair Trade Producer Forum, educational sessions, to the tradeshow floor, we were able to discuss the current state of the industry and collect important feedback regarding the new Fair Trade Minimum price announced by Fairtrade International in late March.

We heard great enthusiasm and solidarity among the industry around the needs of producers and the hopes for a higher price for their coffee that fully covers the high costs of production. We also heard a considerable amount of confusion and nervousness regarding the timing of the announcement as well as feelings of limited engagement in advance of such a large and rapid adjustment to the model. The main concern expressed by multiple stakeholders is that this adjustment could cause a reduction in market demand that could threaten the impact of a higher price.

We received positive feedback for our decision to launch our own consultation with the North American coffee industry allowing producers to better understand the possible repercussions of a significant increase in the price for Fair Trade Certified coffee. This will allow the 700+ importers and roasters that work with our seal in this market the opportunity to have their voices and perspectives heard in the process. We believe it is important to take the necessary time for such a consultation. Details on the formats and options for consultation will be coming in the next few weeks.

Following this consultation, we will convene roundtable-style dialogue opportunities to enable direct conversation between producers and industry. This will allow all parties to share perspectives and reach positions that are viable for both, aimed at ensuring growing impact for producers in the years ahead. Fair trade is an alliance based on shared interest and mutual benefit. We believe it is crucial to open space for dialogue, mutual understanding and innovative solutions before arriving at any determination.

In the meantime, we will honor all Fair Trade Certified coffee contracts at the current price and premium levels. We will also make sure that our partners have access to timely information on any potential changes in our program. We will be providing updates regularly over the coming weeks.

For additional questions, please reach out to your Fair Trade USA account manager or email coffee@fairtradeusa.org.

Media inquiries can be sent to pr@fairtradeusa.org

April 7, 2023

Fair Trade USA has reviewed the coffee price increases Fairtrade International announced on March 30, 2023. While we were not included as part of the formal consultation process, we know that it was executed with the intention of positive impact for coffee producers around the world.

Over the last 25 years, as the leading third-party certifier of fair trade products in North America, we believe the fair trade model is most successful when industry and producers are fully and strategically aligned. At its best, fair trade certification is a win-win partnership in which farmers, cooperatives, companies, and consumers all thrive together. Therefore, important changes to fair trade standards are best made through multi-stakeholder engagement and meaningful dialogue in which parties can co-create their shared future.

Fair Trade USA is launching its own coffee industry stakeholder consultation. The objective is to fully include and engage companies and producers operating in the North American market under the Fair Trade Certified seal. This consultation will address not only coffee prices but more broadly how fair trade certification can continue to innovate for greater impact in the future. We are eager to listen and learn.

Our commitment to the fair trade community is to share rich and informative feedback with trust and transparency. In the coming months, we will convene a multi-stakeholder review of the consultation results and create a genuine dialogue between the U.S. coffee industry and the producers selling into this market. This discussion will directly inform Fair Trade USA’s decisions regarding any changes to the standards for coffee sold under the Fair Trade Certified seal.

In the meantime, we will honor all Fair Trade Certified coffee contracts at the current price and premium levels. We will also make sure that our partners have access to timely information on any potential changes in our program. We will be providing updates regularly over the coming weeks.

For additional questions, please reach out to your Fair Trade USA account manager or email coffee@fairtradeusa.org.

Media inquiries can be sent to pr@fairtradeusa.org.

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Last updated: April 11, 2023