Credibility beyond compliance: Uncertified smallholders in sustainable food systems

This article examines the phenomenon of uncertified producers of otherwise certifiable organic food embedded in value chains whose farm products conform to elevated environmental standards. Having embraced so called “beyond organic” cultivation approaches—including agroecology, biodynamic, and permaculture—producers undertaking restorative ecological practices on their farms are certification worthy, in principle, while remaining either unwilling or unable to pay to upgrade to premium markets, in practice. Confronted with the trade-off between allocating scarce resources to compliance and credibility—producers creating collective public goods may do so at the expense of being able to signal the credibility of their actions as environmental stewards along value chains, as through private, third party certification schemes. Drawing on insights from multiple waves of ethnographic fieldwork conducted in Nicaragua beginning in 2007, I show how this credibility dilemma exacerbates challenges already facing smallholders—including livelihood insecurity, political instability, and environmental degradation—demanding new institutional innovations that effectively lower the cost of credibility. In Nicaragua, peasant associations responded to this challenge by advancing an innovative institutional arrangement—the Grupo de Promocion de Agricultura Ecologica (GPAE) marca de confianza, Group for the Promotion of Ecological Agriculture's trademark of trust—to commercialize fresh produce destined for local consumption and new niche markets via networks of trusted producer communities.