Navigating coffee labels: honest, fair trade, and organic explained

Fair trade promotes sustainable development in international coffee trading, with a particular focus on exports from poor countries to wealthy Western countries. Honest trade means that farmers, in this case, coffee farmers, receive a fair price for their export products. This price is proportionate to the actual production costs, not determined by the fluctuations on the international commodities market.

For a coffee roaster, working with a fair-trade label can seem simple at first. The consumer can see directly that the roaster opts for honest coffee without having to ask further questions. Unfortunately, the concept is still focused on mass production, and the guaranteed fair-trade price is still extremely low. This low price makes it challenging for a coffee farmer to produce true specialty coffee.

The standard fair trade system is counterproductive where quality is concerned, especially when the term "specialty coffee" comes into play. This market segment is one where the price is based on quality. Choosing to become a specialty coffee farmer is often an easy decision, free from the administrative hassle associated with a fair-trade certificate. A direct deal with a coffee farmer becomes a better option, guaranteeing both a fair price and real quality control.

In a direct deal, the coffee roaster agrees on a specific price directly with the grower. This price is much higher than offered by other options to guarantee honest coffee. For this higher price, the roaster can require that only the ripe, red berries are picked, a more labor-intensive process that results in a higher-quality product. Direct communication with the grower enhances transparency, a crucial factor missing in traditional trade networks.

Acquiring an organic label is unattainable for many growers due to the high associated costs. Small farmers often cannot afford the start-up costs. Choosing an organic coffee is a philosophical decision for consumers. Interestingly, many Ethiopian coffees grow organically, yet the majority of their beans lack an organic label simply because growers can't afford it. While these labels have positively influenced consumer awareness, they need updating to adapt to the specialty coffee market's unique challenges.