IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v17y2025i2p486-d1563885.html
   My bibliography  Save this article

Fairtrade in Peru: Challenges and Opportunities for Sustainable and Equitable Agricultural Development

Author

Listed:
  • Dina Lucila Lozano Paredes

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Hiromi Okada Saavedra

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Julio Ricardo Moscoso Cuaresma

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Carlos Alberto Azabache Moran

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Katherine Norma del Pilar Yesquén Delgado

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Mirella Esther Diaz Cruz

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Vania Lucia Salazar Seminario

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Jhosep Pastor Pinto

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

  • Tarek Amer Layseca

    (Facultad de Negocios, Universidad Peruana de Ciencias Aplicadas, Santiago de Surco 15023, Peru)

Abstract

Fairtrade, present in Peru since 1990, has been widely studied for its impact on agri-food production. This research, based on convenience surveys conducted with leaders and members of cooperatives and agri-exporting companies during the 2024 Peruvian Expoalimentaria fair, examines the benefits and challenges faced by producers in their pursuit of sustainable and equitable development. The results were statistically analysed using Cronbach’s alpha, factor analysis, and the ordinal logistic regression model. These methods revealed that not all the dimensions evaluated reached statistical significance. However, the dimensions of agricultural sustainability and social justice emerged as the most significant, driven by the adoption of sustainable technologies and democratic participation in cooperatives. Nonetheless, these dimensions require additional external conditions to ensure well-being, such as market incentives, which did not achieve statistical significance, suggesting the influence of contextual factors not accounted for in the study. This research not only enriches the existing literature but also provides recommendations for implementing Fairtrade initiatives in Peru to promote more equitable and sustainable agricultural development that improves the socio-economic and socio-political conditions of the most disadvantaged producers. Furthermore, this study highlights the need to expand the theoretical development of unexplored variables, such as association models, sustainable practices, and economic growth in rural communities. In this way, it serves as an exploratory foundation for future public policies and strategies in the agri-food sector.

Suggested Citation

  • Dina Lucila Lozano Paredes & Hiromi Okada Saavedra & Julio Ricardo Moscoso Cuaresma & Carlos Alberto Azabache Moran & Katherine Norma del Pilar Yesquén Delgado & Mirella Esther Diaz Cruz & Vania Lucia, 2025. "Fairtrade in Peru: Challenges and Opportunities for Sustainable and Equitable Agricultural Development," Sustainability, MDPI, vol. 17(2), pages 1-33, January.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:2:p:486-:d:1563885
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/17/2/486/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/17/2/486/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Muhammad Ibnu & Astrid Offermans & Pieter Glasbergen, 2018. "Certification and Farmer Organisation: Indonesian Smallholder Perceptions of Benefits," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 54(3), pages 387-415, September.
    2. María Camila Franco Ceballos & Fausto Orlando Maussa Pérez, 2022. "Appropriate Strategies for the Use of Fairtrade Certification to Improve the Organizational Climate in a Fairtrade Banana-Producing Company," Sustainability, MDPI, vol. 14(17), pages 1-23, August.
    3. Nesrine Merbah & Sonia Benito-Hernández, 2024. "Consumer Willingness-to-Pay for Sustainable Coffee: Evidence from a Choice Experiment on Fairtrade and UTZ Certification," Sustainability, MDPI, vol. 16(8), pages 1-12, April.
    4. Laura Raynolds & Douglas Murray & Andrew Heller, 2007. "Regulating sustainability in the coffee sector: A comparative analysis of third-party environmental and social certification initiatives," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 24(2), pages 147-163, June.
    5. Valéry Bezençon & Sam Blili, 2009. "Fair Trade Managerial Practices: Strategy, Organisation and Engagement," Journal of Business Ethics, Springer, vol. 90(1), pages 95-113, November.
    6. Thomas Dietz & Andrea Estrella Chong & Janina Grabs & Bernard Kilian, 2020. "How Effective is Multiple Certification in Improving the Economic Conditions of Smallholder Farmers? Evidence from an Impact Evaluation in Colombia’s Coffee Belt," Journal of Development Studies, Taylor & Francis Journals, vol. 56(6), pages 1141-1160, June.
    7. Laura Raynolds, 2014. "Fairtrade, certification, and labor: global and local tensions in improving conditions for agricultural workers," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 31(3), pages 499-511, September.
    8. Marie-Christine Renard, 2010. "In the Name of Conservation: CAFE Practices and Fair Trade in Mexico," Journal of Business Ethics, Springer, vol. 92(2), pages 287-299, April.
    9. Douglas L. Murray & Laura T. Raynolds & Peter L. Taylor, 2006. "The future of Fair Trade coffee: dilemmas facing Latin America's small-scale producers," Development in Practice, Taylor & Francis Journals, vol. 16(2), pages 179-192, April.
    10. Anne Mook & Christine Overdevest, 2018. "Does Fairtrade Certification Meet Producers' Expectations Related to Participating in Mainstream Markets? An Analysis of Advertised Benefits and Perceived Impact," Sustainable Development, John Wiley & Sons, Ltd., vol. 26(3), pages 269-280, May.
    11. Michał Dudek & Anna Rosa, 2023. "Regenerative Agriculture as a Sustainable System of Food Production: Concepts, Conditions, Perceptions and Initial Implementations in Poland, Czechia and Slovakia," Sustainability, MDPI, vol. 15(22), pages 1-17, November.
    12. van Rijsbergen, Bart & Elbers, Willem & Ruben, Ruerd & Njuguna, Samuel N., 2016. "The Ambivalent Impact of Coffee Certification on Farmers’ Welfare: A Matched Panel Approach for Cooperatives in Central Kenya," World Development, Elsevier, vol. 77(C), pages 277-292.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Daniel Jaffee & Philip H. Howard, 2016. "Who’s the fairest of them all? The fractured landscape of U.S. fair trade certification," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 33(4), pages 813-826, December.
    2. Giuliani, Elisa & Ciravegna, Luciano & Vezzulli, Andrea & Kilian, Bernard, 2017. "Decoupling Standards from Practice: The Impact of In-House Certifications on Coffee Farms’ Environmental and Social Conduct," World Development, Elsevier, vol. 96(C), pages 294-314.
    3. Jurjonas, Matthew & Crossman, Katie & Solomon, Jennifer & Baez, Walter Lopez, 2016. "Potential Links Between Certified Organic Coffee and Deforestation in a Protected Area in Chiapas, Mexico," World Development, Elsevier, vol. 78(C), pages 13-21.
    4. Karla Rubio‐Jovel, 2023. "The voluntary sustainability standards and their contribution towards the achievement of the Sustainable Development Goals: A systematic review on the coffee sector," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(6), pages 1013-1052, August.
    5. Anja Garbely & Elias Steiner, 2023. "Understanding compliance with voluntary sustainability standards: a machine learning approach," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(10), pages 11209-11239, October.
    6. Oya, Carlos & Schaefer, Florian & Skalidou, Dafni, 2018. "The effectiveness of agricultural certification in developing countries: A systematic review," World Development, Elsevier, vol. 112(C), pages 282-312.
    7. Dietz, Thomas & Biber-Freudenberger, Lisa & Deal, Laura & Börner, Jan, 2022. "Is private sustainability governance a myth? Evaluating major sustainability certifications in primary production: A mixed methods meta-study," Ecological Economics, Elsevier, vol. 201(C).
    8. Maja Tampe, 2018. "Leveraging the Vertical: The Contested Dynamics of Sustainability Standards and Labour in Global Production Networks," British Journal of Industrial Relations, London School of Economics, vol. 56(1), pages 43-74, March.
    9. Victoria A. Maguire-Rajpaul & Vinesh M. Rajpaul & Constance L. McDermott & Luís Fernando Guedes Pinto, 2020. "Coffee certification in Brazil: compliance with social standards and its implications for social equity," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(3), pages 2015-2044, March.
    10. Norma Schönherr, 2022. "Same Same but Different? A Quantitative Exploration of Voluntary Sustainability Standards in Agriculture," Sustainability, MDPI, vol. 14(9), pages 1-18, April.
    11. Oberlack, Christoph & Blare, Trent & Zambrino, Luca & Bruelisauer, Samuel & Solar, Jimena & Villar, Gesabel & Thomas, Evert & Ramírez, Marleni, 2023. "With and beyond sustainability certification: Exploring inclusive business and solidarity economy strategies in Peru and Switzerland," World Development, Elsevier, vol. 165(C).
    12. Simon L. Bager & Eric F. Lambin, 2020. "Sustainability strategies by companies in the global coffee sector," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3555-3570, December.
    13. Dietz, Thomas & Auffenberg, Jennie & Estrella Chong, Andrea & Grabs, Janina & Kilian, Bernard, 2018. "The Voluntary Coffee Standard Index (VOCSI). Developing a Composite Index to Assess and Compare the Strength of Mainstream Voluntary Sustainability Standards in the Global Coffee Industry," Ecological Economics, Elsevier, vol. 150(C), pages 72-87.
    14. Kelly Gerard, 2023. "Doing aid chains differently: Evaluating the potential of Multi‐Stakeholder Partnerships," Development Policy Review, Overseas Development Institute, vol. 41(1), January.
    15. Ghoshray, Atanu, 2021. "Are coffee farmers worse off in the long run?," 95th Annual Conference, March 29-30, 2021, Warwick, UK (Hybrid) 311084, Agricultural Economics Society - AES.
    16. Giannetti, B.F. & Ogura, Y. & Bonilla, S.H. & Almeida, C.M.V.B., 2011. "Accounting emergy flows to determine the best production model of a coffee plantation," Energy Policy, Elsevier, vol. 39(11), pages 7399-7407.
    17. Neilson, Jeff, 2008. "Global Private Regulation and Value-Chain Restructuring in Indonesian Smallholder Coffee Systems," World Development, Elsevier, vol. 36(9), pages 1607-1622, September.
    18. Jiri Hejkrlik & Johana Rondevaldova & Petra Chaloupkova, 2024. "Assessing Consumer Interest in Sustainable and Ethically Certified Tropical Fruits in the Central and Eastern European Region," Agriculture, MDPI, vol. 14(11), pages 1-28, November.
    19. Mei-Yin Kuan & Szu-Yung Wang & Jiun-Hao Wang, 2021. "Investigating the Association between Farmers’ Organizational Participation and Types of Agricultural Product Certifications: Empirical Evidence from a National Farm Households Survey in Taiwan," Sustainability, MDPI, vol. 13(16), pages 1-18, August.
    20. Ninon Sirdey & Sylvaine Lemeilleur, 2021. "Can fair trade resolve the “hungry farmer paradox”?," Review of Agricultural, Food and Environmental Studies, Springer, vol. 102(1), pages 81-106, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:17:y:2025:i:2:p:486-:d:1563885. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.