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Eco-certified contract choice among coffee farmers in Brazil

Lemeilleur S., Subervie J., Presoto A.E., De Castro Souza R., Macchionne Saes M.S.. 2016. Montpellier : INRA, 35 p.. (Document de recherche UMR LAMETA, 2016-09).

We survey Brazilian coffee farmers' preferences for attributes of voluntary sustainability standards using a choice experiment. We collected original data from 250 coffee farmers who live in the state of Minas Gerais who were asked to choose from several hypothetical buying contracts for eco-certified coffee. Our results suggest that both cash and non-cash payments may motivate farmers to participate in sustainability standard certification schemes that require improved agricultural practices. Preferences for non-cash rewards such as long-term formal contracts or technical assistance, however, appear highly heterogeneous. Results moreover show that the minimum willingness-to-accept for the adoption of composting is twice as high as the average price premium for certified coffee in the current context, which may partly explain why most coffee farmers continue to be reluctant to enter the most stringent eco-certification schemes such as the organic standard.

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