Arbeitspapier
Where does the fairtrade money go? How much consumers pay extra for fairtrade coffee and how this value is split along the value chain
Fairtrade certification aims at transferring wealth from the consumer to the farmer; however, coffee passes through many hands before reaching final consumers. Bringing together retail, wholesale, and stock market data, this study estimates how much more consumers are paying for Fairtrade-certified coffee in US supermarkets and finds estimates around $1 per lb. I then assess how this price premium is split between the different stages of the value chain: most of the premium goes to the roaster's profit margin, while the retailer surprisingly makes smaller absolute profits on Fairtrade-certified coffee, compared to conventional coffee. The coffee farmer receives about a fifth of the price premium paid by the consumer, but it is unclear how much of this (quantity-dependent) benefit goes toward the payment of (quantity-independent) license fees.
- Sprache
-
Englisch
- Erschienen in
-
Series: DIW Discussion Papers ; No. 1783
- Klassifikation
-
Wirtschaft
Information and Product Quality; Standardization and Compatibility
Nonprofit Institutions; NGOs; Social Entrepreneurship
Food; Beverages; Cosmetics; Tobacco; Wine and Spirits
Economic Development: Agriculture; Natural Resources; Energy; Environment; Other Primary Products
Sustainable Development
- Thema
-
Coffee
Fairtrade
Price premium
Value chain
Voluntary sustainability standards
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Naegele, Helene
- Ereignis
-
Veröffentlichung
- (wer)
-
Deutsches Institut für Wirtschaftsforschung (DIW)
- (wo)
-
Berlin
- (wann)
-
2019
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:42 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Naegele, Helene
- Deutsches Institut für Wirtschaftsforschung (DIW)
Entstanden
- 2019
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Applying computational intelligence : how to create value
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