Coffee Certifications – What are they all about?

In the world of coffee certifications, there’s so much to understand. When you’re trying to run a business, a confusing list of names and stats can be overwhelming.

Learn all about coffee certifications, which ones there are and what you need to know, with our handy guide. Or, get in touch and we’d be happy to help untangle the world of coffee certifications with you.

At Ringtons, 60% of our Central American purchasing is Fairtrade certified. And we’re proud to represent coffee certifications through products like our Triple Impact Coffee.

What are coffee certifications?

Certifications are a standardised way of checking that ethics, sustainability or production processes of coffee are verified. Usually, this is done through audits from third party organisations.

They’re used to help customers make ethical choices when purchasing. Certifications can also demonstrate corporate commitment toward sustainable sourcing, improving livelihoods of communities where coffee is sourced, and mitigating negative environmental impacts.

Academic studies have found certifications have ‘positive effects’¹ on the livelihood of coffee farmers, increasing coffee prices during periods of low pricing, improving standards and helping to support producers gain access to markets. Not only that, they can help build trust between roasters and suppliers.

However, coffee certifications aren’t all the same – different certifications have different criteria and different goals, so there’s more to think about.

Why certifications matter

Along with helping consumers and companies recognise and showcase commitment, certifications have other benefits for companies.

They can:
• Reduce regulatory risks, like modern slavery, food fraud or traceability
• Meet customer expectations for sustainability
• Protect and improve brand reputation
• Act as differentiators against competitors
• Help companies achieve environmental, social and sustainability goals

But there can still be concerns around certifications and the degree to which they positively impact the lives of those in value chains².

Certification problems

Certifications are voluntary for companies and are sometimes used to ‘tick boxes’. With a certification, companies can claim their commitment to sustainability without taking further action. And companies can choose how much of their supply chain to certify, meaning the certification may not be fully representative.

Furthermore, farmers certified income can be limited based on how much coffee is purchased by roasters as certified. As the diagram below shows, only half of the potential certified volume in 2019 was actually sold as certified – the remainder was sold uncertified or as “conventional” coffee.

Image: The dark green bar here represents the total volume of coffee certified by each scheme. The remainder is conventional or uncertified coffee.

Additionally, higher prices from certifications don’t always lead to higher incomes for producers as certified pricing structures are not linked to the cost of production. These costs, such as fertiliser or labour, can increase significantly and reduce the profitability of a farm from year to year. Certifications can also be expensive and complicated for coffee producers to implement. Organic conversion, for example, takes three years – which means it is three years before farmers see the increased financial benefit of growing organically.

Also, if there’s any negative publicity, it can impact all the companies certified.

Fairtrade

Fairtrade is one of the most heavily recognised certifications in the UK, with 93% of UK consumers recognising the Fairtrade mark and 83% of them trusting it when shopping.

Fairtrade’s three pillars focus on economic, social and environmental factors of coffee production. They aim to improve wages and don’t allow for bonded or child labour.

Fairtrade – pros
• Minimum pricing for Arabica and Robusta coffee provides a safety net for producers if coffee prices dip
• Highly recognised
• Protect their workforce and the communities they work with
• Support gender equity
• 100% of the bag of coffee must be certified to use the badge

Fairtrade – cons
• It can be more expensive than non-certified alternatives, both for customers and companies buying raw materials
• Fairtrade doesn’t take into accountfor coffee quality
• There’s lots of time needed for complex and demanding administration across all levels of the value chain
• They focus on working with small producers grouped into cooperatives, which can be restrictive

Rainforest Alliance

Rainforest Alliance work with coffee farmers and communities to train them in good agricultural practices, improving crop yields and income while protecting the environment. Their criteria include protecting the environment and biodiversity through managing fertiliser or pesticide usage and shade cover.

They provide a framework for sustainable agriculture that they audit against, as well as reviewing social, economic and managerial requirements. Rather than setting a minimum price, they use sustainability differentials agreed between buyers and sellers.

Rainforest Alliance – pros
• They focus on protecting the environment, biodiversity and sustainable business practices
• Audit requirements are transparent and easy to understand
• Rainforest Alliance certification promotes continuous improvement and works with growers to meet certification elements
• Producers are incentivised to improve quality, which can improve sale prices in a sustainable way

Rainforest Alliance – cons
• A lack of minimum pricing leaves producers vulnerable to price changes and exposed to market fluctuations
• They’ve been criticised for failing to protect workers, and for weak reinforcement of their standards
• Only 30% of the bag of coffee must be certified to use the badge

Organic (Soil Association)

The Soil Association are a UK certification body for organic products being sold into the UK1. Their regulations ban the use of synthetic pesticides, herbicides or fertiliser and promotes shade tree canopies . In order to maintain organics status, organic coffee must be processed separately to non-organic lots and kept separate throughout its entire journey until packed. This includes at the destination warehouse and roastery. This means that roasteries also must meet strict organic regulation criteria too.
Organic coffee farms have to undergo a three-year conversion following approved plans for organic management.

Organic – pros
• Premiums are paid to growers
• They protect the environment and support regenerative agriculture
• 100% of the bag of coffee must be certified to use the badge
• Not using pesticides creates safer environments for farmers

Organic – cons
• It’s expensive to produce and even more expensive to buy
• There’s little to no flexibility
• Organic farming makes producing high yields difficult
• It’s labour intensive
• The three year conversion period is challenging for farmers, as they don’t receive organic premiums during this time

Selling certified coffee

Generally, buying certified coffee is a great way to add credibility to your supply chain. But how do you know if it’s the right move for your business?

You may find certified coffee will support your brand and message if you’re doing some of these things;
• Sourcing or using organic food, or promoting it in your café
• Supplying local produce
• Targeting certain markets, such as the eco-conscious consumer
• Supporting local communities
• Stocking vegan or eco-friendly food and drink alternatives
• Promoting charities or sustainable projects in your area

Now, before you decide to stock something certified, we’ve got all the info on the different certifications available.

Of course, this is not an exhaustive list of certifications – you can get in touch with our team of experts for bespoke information and guidance to help you make the right choices for your business, with all areas of certification.

Additional references
Nelson, V., J. Haggar, A. Martin, J. Donovan, E. Borasino, W. Hasyim, N. Mhando, M. Senga, J. Mgumia, E. Quintanar Guadarrama, Z. Kendar, J. Valdez, D. Morales. (2016) ‘Fairtrade coffee: A study to assess the impact of Fairtrade for coffee smallholders and producer organisations in Indonesia, Mexico, Peru and Tanzania’. Natural Resources Institute, University of Greenwich, Chatham, UK.
Valetto, P., Nagel T.K., Moreno, H., Milis, J. (2021) ‘Systematic Literature Review on the effect of fair-trade certification on rural coffee farmers’ earnings and educational outcomes’. University of Bocconi, Italy.