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Certification and Farmer Organisation: Indonesian Smallholder Perceptions of Benefits

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  • Muhammad Ibnu
  • Astrid Offermans
  • Pieter Glasbergen

Abstract

Certification and participation in farmer organisations are associated with economic and social benefits for farmers. However, knowledge about the differences in the perceived benefits of participation in different organisations and certification schemes is limited. In this paper, we distinguish between three types of farmer organisations in the Indonesian coffee sector: farmer groups, cooperatives, and KUBEs. We compare the benefits farmers perceive from participating in these forms of organisations, including the benefits for unorganised farmers and farmers in different certification schemes (Fair Trade, UTZ, the Rainforest Alliance, and 4C). We find that certified farmers perceive higher benefits than uncertified farmers, and that organised farmers perceive higher benefits than unorganised smallholders. Farmers who hold dual membership (in a farmer group and a KUBE or cooperative) perceive greater benefits than farmers who participate in farmer groups. Although farmers in different certification schemes significantly differ in the benefits they perceive, we could not identify clear patterns based on the schemes. We conclude that integration of the different organisational forms, as well as a more concentrated collaboration between the ministries underlying each organisational form, may improve the benefits perceived by farmers in the Indonesian coffee sector.

Suggested Citation

  • 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.
  • Handle: RePEc:taf:bindes:v:54:y:2018:i:3:p:387-415
    DOI: 10.1080/00074918.2018.1506093
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    Cited by:

    1. de Vos, Rosanne E. & Suwarno, Aritta & Slingerland, Maja & van der Meer, Peter J. & Lucey, Jennifer M., 2023. "Pre-certification conditions of independent oil palm smallholders in Indonesia. Assessing prospects for RSPO certification," Land Use Policy, Elsevier, vol. 130(C).
    2. Chrisendo, Daniel & Siregar, Hermanto & Qaim, Matin, 2022. "Oil palm cultivation improves living standards and human capital formation in smallholder farm households," World Development, Elsevier, vol. 159(C).
    3. Shinya Ikeda & Ronnie S. Natawidjaja, 2022. "The Sustainability of Contract Farming with Specialized Suppliers to Modern Retailers: Insights from Vegetable Marketing in Indonesia," Agriculture, MDPI, vol. 12(3), pages 1-11, March.
    4. 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.
    5. Confidence Ndlovu & Mfundo M. Masuku, 2021. "The Efficacy of Agricultural Cooperatives Towards Enhancing Food Security in Rural Areas: Mbombela Local Municipality, Mpumalanga Province," Technium Social Sciences Journal, Technium Science, vol. 21(1), pages 661-674, July.
    6. Chrisendo, Daniel & Siregar, Hermanto & Qaim, Matin, 2021. "Oil Palm Cultivation Improves the Long-Term Wellbeing of Smallholder Farm Households," 2021 Conference, August 17-31, 2021, Virtual 315061, International Association of Agricultural Economists.
    7. Iddrisu, Mubarak & Aidoo, Robert & Abawiera Wongnaa, Camillus, 2020. "Participation in UTZ-RA voluntary cocoa certification scheme and its impact on smallholder welfare: Evidence from Ghana," World Development Perspectives, Elsevier, vol. 20(C).
    8. Marije Schaafsma & Ilda Dreoni & Lacour Mody Ayompe & Benis Egoh & Dewa Putu Ekayana & Arilson Favareto & Sonny Mumbunan & Louise Nakagawa & Jonas Ngouhouo‐poufoun & Marieke Sassen & Thiago Kanashiro , 2023. "A framework to understand the social impacts of agricultural trade," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(1), pages 138-150, February.
    9. Watts, John D. & Pasaribu, Katryn & Irawan, Silvia & Tacconi, Luca & Martanila, Heni & Wiratama, Cokorda Gde Wisnu & Musthofa, Fauzan Kemal & Sugiarto, Bernadinus Steni & Manvi, Utami Putri, 2021. "Challenges faced by smallholders in achieving sustainable palm oil certification in Indonesia," World Development, Elsevier, vol. 146(C).

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