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Fairtrade coffee is coffee grown by small-scale farmers’ cooperatives that are certified against Fairtrade standards. Buyers must pay them at least the Fairtrade Minimum Price (or the market price, if that’s higher) plus a Fairtrade Premium, which the farmers invest in projects they choose. In return the cooperatives meet rules on democratic organisation, working conditions and environmental care. The FAIRTRADE Mark on a pack tells you the coffee was bought on those terms.
That’s the short version. Below we explain how the prices work, what the Premium pays for, how Fairtrade compares with Rainforest Alliance and direct trade, and where the critics have a point.
Coffee is grown mostly in lower-income countries by families farming a few hectares, and the price they receive swings with a global commodity market they have no control over. Fairtrade was set up to give those farmers a fairer deal and more control over their futures: a price floor that protects them when the market crashes, extra money for their communities, and the strength that comes from selling together as a cooperative.
For coffee, only small producer organisations can be certified (unlike tea or bananas, where plantations can be too). The farmers join a cooperative, the cooperative is audited against the standards, and traders and roasters who buy from it are audited too, so the Fairtrade terms are honoured along the chain.
The first Fairtrade label, Max Havelaar, was launched in the Netherlands in 1988 on coffee from Mexican smallholders. Similar labels followed across Europe, and in 2002 they were brought together under a single international FAIRTRADE Mark. Fairtrade International sets the standards, and an independent body, FLOCERT, carries out the audits. In the UK, the Fairtrade Foundation licenses the Mark.
The Mark is the familiar blue, green and black symbol of a figure with one arm raised. On a bag of coffee it means the beans came from Fairtrade certified producers, that the buyer paid at least the Minimum Price and the Premium, and that the supply chain has been audited. Any coffee that’s genuinely Fairtrade certified will carry it.
Two labels are often confused with it:
The Minimum Price is a safety net, not a fixed price. When the world market price is lower, buyers must pay the Minimum; when the market is higher, as it has been recently, they pay the market price. Either way the Premium is paid on top.
Fairtrade International made a big increase in 2023, raising the Minimum Price for washed arabica by 40 cents to US$1.80 per pound for contracts signed from 1 August 2023, and the organic differential from 30 to 40 cents. In July 2026 it announced a further rise for contracts signed from 1 December 2026.
| Fairtrade coffee prices (US$ per lb, green coffee) | Contracts from 1 August 2023 | Contracts from 1 December 2026 |
|---|---|---|
| Washed arabica, Minimum Price | 1.80 | 2.00 |
| Natural arabica, Minimum Price | 1.75 | 1.95 |
| Washed robusta, Minimum Price | 1.25 | 1.35 |
| Natural robusta, Minimum Price | 1.20 | 1.30 |
| Fairtrade Premium (all coffee) | 0.20 | 0.20 |
| Organic differential | 0.40 | 0.40 |
Sources: Fairtrade Foundation (2023) and Fairtrade International (2026). Prices are per pound of green (unroasted) coffee at export, which is why they look small next to the price of a bag in the shops.
How often does the floor actually matter? According to Fairtrade Australia and New Zealand, between 2011 and 2023 the Minimum Price was above the market price 52% of the time. In 2019, when the benchmark arabica price fell to 87 cents a pound, well below what it costs most farmers to grow coffee, the Minimum was 52 cents higher. That’s the protection farmers are paying certification fees for.
The Premium is an extra 20 cents per pound paid on all Fairtrade coffee, on top of the selling price. It belongs to the cooperative, and the members decide together, through an elected committee and a vote at their general assembly, how to spend it.
It adds up. Fairtrade coffee cooperatives earned €82.4 million in Premium in 2023, and €437 million over five years.
Typical uses fall into three groups:
The point is that the farmers choose, not a charity or a buyer. Investing in better farming can lead to better yields, more consistent quality and more resilience to drought and disease, which helps the whole community over time.
Coffee prices are notoriously volatile. A guaranteed floor means farmers can plan, borrow and invest in their farms with less fear that a market slump will wipe them out. Selling through a cooperative also gives them more bargaining power, access to technical support and a share in processing and export, rather than selling cherries to whoever turns up.
Fairtrade standards prohibit forced labour and exploitative child labour, and require cooperatives to be democratic and open to members regardless of background. Audits check that this happens in practice.
Certified farmers must follow rules on the environment, including a list of hazardous pesticides that are banned or restricted, and requirements to protect soil, water and biodiversity. Many Fairtrade coffees are also shade grown or organic, though those are separate commitments. We look at the wider picture in making the coffee industry more sustainable.
Every Fairtrade purchase supports businesses that put people and the environment alongside profit, and makes it easier for others to follow. Demand for ethically sourced coffee has grown steadily, and that pressure has pushed more of the industry to think about where its coffee comes from and who grows it.
Fairtrade coffee is grown across Latin America, Africa and Asia. According to Fairtrade’s latest impact figures, there are 775,709 Fairtrade coffee farmers in 592 producer organisations. Two thirds of the farmers are in Africa and the Middle East, many of them with very small plots, but Latin America and the Caribbean have 74% of the producer organisations and sold 87% of the Fairtrade coffee by volume in 2023. Peru, Colombia, Honduras, Brazil, Guatemala, Ethiopia and Uganda are among the countries with large numbers of certified cooperatives.
As with any coffee, flavour comes from where and how it is grown. Altitude, rainfall, soil, variety and processing all matter: high-grown Ethiopian and Kenyan coffees tend to be bright and complex, while Brazilian coffees are usually softer and nuttier. Our piece on altitude and coffee explains why height makes such a difference.
These three approaches overlap, but they aren’t the same thing. Fairtrade is built around farmers’ income and organisation. Rainforest Alliance, which merged with UTZ in 2018, focuses more on farm practices, forests and the environment, alongside social standards. Direct trade isn’t a certification at all, but a relationship between a roaster and a farm.
| Fairtrade | Rainforest Alliance | Direct trade | |
|---|---|---|---|
| Main focus | Farmer income, cooperatives, rights | Environment, farm management, workers | Quality and long-term relationships |
| Minimum price | Yes | No | No set minimum; agreed between roaster and farm |
| Extra payment | Fixed Premium, 20 cents per lb | Sustainability Differential (cash, amount agreed with buyer) plus Sustainability Investments | Whatever is agreed, often a quality premium |
| Who can be certified (coffee) | Small producer organisations only | Farms of any size, including large estates | Not certified |
| Independent audit | Yes (FLOCERT) | Yes | No; relies on the roaster’s transparency |
| On the pack | FAIRTRADE Mark | Green frog seal | Roaster’s own description |
Rainforest Alliance doesn’t guarantee a minimum price; instead its 2020 programme requires buyers to pay farms a Sustainability Differential in cash and to invest in improvements the farm identifies. Direct trade can be excellent, with roasters paying well above market for quality, but it depends entirely on the roaster, so look for published prices or farm details. We use more than one approach: our Fairtrade Brazil is Fairtrade certified, while 20% of our Espresso Grin blend is Rainforest Alliance certified coffee from Daterra in Brazil.
Fairtrade has done a lot of good, but it has critics, and some of their points are fair.
Our view: Fairtrade isn’t the whole answer, but it’s a real, audited safety net for smallholders, and it does what it says on the pack. Fairtrade keeps reviewing its prices and standards, as the 2023 and 2026 increases show. The best thing a drinker can do is buy from roasters who are open about where their coffee comes from and what they pay for it, whichever system they use.
Usually a little, yes. The buyer pays at least the Minimum Price plus the Premium, and there are certification and audit costs along the chain. Fairtrade coffee is rarely cheaper than standard supermarket coffee, though the difference on a single bag is often smaller than people expect. What you are paying for is the guarantee that the farmers were paid on fair terms and that part of the price went back to their community.
Not because of the certification. Fairtrade is about how coffee is traded, not how it tastes. Flavour depends on origin, variety, processing, roasting and brewing, just as it does for any coffee. There’s plenty of very good Fairtrade coffee and some ordinary stuff too, so taste notes and origin details on the bag are a better guide to what will be in your cup than the label alone.
Our Fairtrade Brazil is a single origin coffee from COOCAFE, the Cooperative of the Coffee Region of Lajinha. It was founded in 1979 in the town of Lajinha in Minas Gerais and has been Fairtrade certified since 2006. Its members, around 5,000 small and larger-scale farmers, grow coffee between the forests of eastern Minas Gerais and the mountains of Espírito Santo, where the climate is humid and rainfall is plentiful. The cooperative gives its members technical assistance and secure buying for their coffee.
The coffee is natural process and medium roasted to bring out its smooth, delicate character. It’s clean, mild and medium bodied, with the sweetness of ripe fruit. It makes a lovely espresso and is just as good in a cafetière, filter or moka pot. You can find it, along with anything else we add, in our Fairtrade coffee collection.
Coffee from certified farmer cooperatives that were paid at least a guaranteed minimum price, plus an extra Premium for their community, and that meet standards on working conditions and the environment.
US$1.80 per pound for washed arabica and US$1.75 for natural arabica, rising to US$2.00 and US$1.95 for contracts signed from 1 December 2026. The Premium of 20 cents per pound is paid on top.
No. Fair Trade Certified is the label of Fair Trade USA, a separate organisation with its own standards. In the UK and Europe you will mostly see the FAIRTRADE Mark.
Not necessarily. Fairtrade and organic are separate certifications; a coffee can be one, both or neither. Organic Fairtrade coffee earns farmers an extra 40 cents per pound. Check the pack for both marks.
They do different jobs. Fairtrade is stronger on guaranteed prices for smallholders; Rainforest Alliance is stronger on farm environmental practices and covers farms of all sizes. Both are independently audited, and both are better than knowing nothing about where your coffee came from.
If you would like to taste Fairtrade coffee next to a Colombian smallholder coffee, our South American Starter Kit pairs Fairtrade Brazil with Colombian Huila. Make a pot of each and see which you reach for first.
