Coffee cooperatives employ certification systems, in part, to structure their relations with growers and buyers, and generate income for business operations and investments. In Central America, development agencies have targeted certified coffee cooperatives for support, based on the assumption that cooperatives are uniquely positioned to deliver benefits to poor coffee farmers. Research on certification systems has focused on the benefits obtained by smallholders from participation in a single system, often Fairtrade. This research examines cooperatives and how they engage with certification systems and the implications of this engagement for building their business. Data was collected in 2018 from four cooperatives in Nicaragua and Honduras. Fairtrade certification and related coffee sales formed the bedrock of their business strategy, but Fairtrade alone was insufficient to sustain operations, even when combined with organic certification, due to insufficient demand. Additional systems, such as UTZ Certified, C.A.F.E. Practices, and Rainforest Alliance were employed. These additional systems allowed cooperatives to sell excess coffee on relatively favourable terms – coffee which otherwise would have been sold as non-certified coffee. Results suggest that engagement in multiple certification systems is critical for sustaining cooperatives in the region, but they also dampen expectations that certification systems can provide a framework for driving long-term systemic change.

Avelino, J., Cristancho, M., Georgiou, S., Imbach, P., Auilar, L., Bornemann, G., Laderach, P., Anzueto, F., Hruska, A. and Morales, C. (2015) ‘The coffee rust crises in Colombia and Central America (2008–2013): impacts, plausible causes and proposed solutions’, Food Security 7(2): 303–21 <http://dx.doi.org/10.1007/s12571-015-0446-9>.

Bacon, C. (2004) ‘Confronting the coffee crisis: can Fairtrade, organic, and specialty coffees reduce small-scale farmer vulnerability in Northern Nicaragua?’ World Development 33(3): 497–511 <http://dx.doi.org/10.1016/j.worlddev.2004.10.002>.

Bacon, C., Mendez, V., Gomez, M., Stuart, D. and Flores, S. (2008) ‘Are sustainable coffee certifications enough to secure farmer livelihoods? The millennium development goals and Nicaragua’s Fairtrade cooperatives’, Globalizations 5(2): 259–74 <http://dx.doi.org/10.1080/14747730802057688>.

Barham, B., Callenes, M., Gitter, S., Lewis, J. and Weber, J. (2011) ‘Fair trade/organic coffee, rural livelihoods, and the “agrarian question”: Southern Mexican coffee families in transition’, World Development 39(1): 134–45 <http://dx.doi.org/10.1016/j.worlddev.2010.08.005>.

Beuchelt, T. and Zeller, M. (2011) ‘Profits and poverty: certification’s troubled link for Nicaragua’s organic and fair trade coffee producers’, Ecological Economics 79(7): 1316–24 <http://dx.doi.org/10.1016/j.ecolecon.2011.01.005>.

Blackman, A. and Naranjo, M. (2012) ‘Does eco-certification have environmental benefits? Organic coffee in Costa Rica’, Ecological Economics 83(2012): 58–66 <http://dx.doi.org/10.1016/j.ecolecon.2012.08.001>.

Boiral, O. and Gendron, Y. (2010) ‘Sustainable development and certification practices: lessons learned and prospects’, Business Strategy and the Environment 20(5): 331–47 <http://dx.doi.org/10.1002/bse.701>.

Carlson, K., Heilmayr, R., Gibbs, H., Noojipady, P., Burns, D., Morton, D., Walker, N., Paoli, G. and Kremen, C. (2017) ‘Effect of oil palm sustainability certification on deforestation and fire in Indonesia’, Proceedings of the National Academy of Sciences [online] <http://dx.doi.org/10.1073/pnas.1704728114>.

Donovan, J. and Poole, N. (2014) ‘Changing asset endowments and smallholder participation in higher value markets: evidence from certified coffee producers in Nicaragua’, Food Policy 44: 1–13 <http://dx.doi.org/10.1016/j.foodpol.2013.09.010>.

Foundjem, D., Donovan, J., Stoian, D. and Degrande, A. (2016) Baseline for Assessing the Performance of Fairtrade Cocoa in Ghana, Nairobi: World Agroforestry Centre.

Lernoud, J., Potts, J., Sampson, G., Voora, V., Willer, H. and Wozniak, J. (2018) The State of Sustainable Markets 2018: Statistics and Emerging Trends, Geneva, Switzerland: International Trade Centre.

Minten, B., Dereje, M., Engida, E. and Tamru, S. (2018) ‘Tracking the quality premium of certified coffee: evidence from Ethiopia’, World Development 101: 119–32 <http://dx.doi.org/10.1016/j.worlddev.2017.08.010>.

Poole, N. and Donovan, J. (2014) ‘Building cooperative capacity: the specialty coffee sector in Nicaragua’, Journal of Agribusiness in Developing and Emerging Economies 4(2): 133–56 <http://dx.doi.org/10.1108/JADEE-01-2013-0002>.

Raynolds, L. (2016) ‘Fairtrade labour certification: the contested incorporation of plantation and workers’, Third World Quarterly 28(7): 1473–92 <http://dx.doi.org/10.1080/01436597.2016.1272408>.

Reinecke, J., Manning, S. and Von Hagen, O. (2012) ‘The emergence of a standards market: multiplicity of sustainability standards in the global coffee industry’, Organization Studies 33(5/6): 789–812 <http://dx.doi.org/10.1177/0170840612443629>.

Ruben, R. and Fort, R. (2011) ‘The impact of Fairtrade certification for coffee farmers in Peru’, World Development 49(3): 570–82 <http://dx.doi.org/10.1016/j.worlddev.2011.07.030>.

Ruben, R. and Hoebink, P. (2015) Coffee Certification in East Africa: Impact on Farmers, Families and Cooperatives, Wageningen, Netherlands: Wageningen Academic Publishers.

Tayleur, C., Balmford, A., Buchanan, G., Butchart, S., Ducharme, H., Green, R., Milder, J., Sanderson, F., Thomas, A., Vickery, J. and Phalan, B. (2016) ‘Global coverage of agricultural sustainability standards and their role in conserving biodiversity’, Conservation Letters 10(5): 610–8 <http://dx.doi.org/10.1111/conl.12314>.

Trafialek, J. and Kolanowski, W. (2017) ‘Implementation and functioning of HACCP principles in certified and non-certified food businesses: a preliminary study’, British Food Journal 119(4): 710–28 <http://dx.doi.org/10.1108/BFJ-07-2016-0313>.

Tulet, J.C. (2010) ‘Peru as a new major actor in Latin American coffee production’, Latin American Perspectives 37(2): 133–41 <http://dx.doi.org/10.1177/0094582X09356962>.

Valkila, J. and Nygren, A. (2010) ‘Impacts of Fairtrade certification on coffee farmers, cooperatives, and laborers in Nicaragua’, Agricultural and Human Values 27(3): 3211–333 <http://dx.doi.org/10.1007/s10460-009-9208-7>.

Van Rijsbergen, B., Elbers, W., Ruben, R. and Njuguna, S. (2016) ‘The ambivalent impact of coffee certification on farmers’ welfare: a matched panel approach for cooperatives in central Kenya’, World Development 77: 277–92 <http://dx.doi.org/10.1016/j.worlddev.2015.08.021>.

Vellema, W., Casanova, A.B., Gonzalez, C. and D’Haese, M. (2015) ‘The effect of specialty coffee certification on household livelihood strategies and specialization’, Food Policy 57: 13–25 <http://dx.doi.org/10.1016/j.foodpol.2015.07.003>.

Weber, J. (2011) ‘How much more do growers receive for Fair Trade-organic coffee?’ Food Policy 36: 678–85 <https://doi.org/10.1016/j.foodpol.2011.05.007>.

Wilson, B. (2010) ‘Indebted to Fairtrade: coffee and crisis in Nicaragua’, Geoforum 41(1): 84–92 <http://dx.doi.org/10.1016/j.geoforum.2009.06.008>.

Avelino, J., Cristancho, M., Georgiou, S., Imbach, P., Auilar, L., Bornemann, G., Laderach, P., Anzueto, F., Hruska, A. and Morales, C. (2015) ‘The coffee rust crises in Colombia and Central America (2008–2013): impacts, plausible causes and proposed solutions’, Food Security 7(2): 303–21 <http://dx.doi.org/10.1007/s12571-015-0446-9>.

Bacon, C. (2004) ‘Confronting the coffee crisis: can Fairtrade, organic, and specialty coffees reduce small-scale farmer vulnerability in Northern Nicaragua?’ World Development 33(3): 497–511 <http://dx.doi.org/10.1016/j.worlddev.2004.10.002>.

Bacon, C., Mendez, V., Gomez, M., Stuart, D. and Flores, S. (2008) ‘Are sustainable coffee certifications enough to secure farmer livelihoods? The millennium development goals and Nicaragua’s Fairtrade cooperatives’, Globalizations 5(2): 259–74 <http://dx.doi.org/10.1080/14747730802057688>.

Barham, B., Callenes, M., Gitter, S., Lewis, J. and Weber, J. (2011) ‘Fair trade/organic coffee, rural livelihoods, and the “agrarian question”: Southern Mexican coffee families in transition’, World Development 39(1): 134–45 <http://dx.doi.org/10.1016/j.worlddev.2010.08.005>.

Beuchelt, T. and Zeller, M. (2011) ‘Profits and poverty: certification’s troubled link for Nicaragua’s organic and fair trade coffee producers’, Ecological Economics 79(7): 1316–24 <http://dx.doi.org/10.1016/j.ecolecon.2011.01.005>.

Blackman, A. and Naranjo, M. (2012) ‘Does eco-certification have environmental benefits? Organic coffee in Costa Rica’, Ecological Economics 83(2012): 58–66 <http://dx.doi.org/10.1016/j.ecolecon.2012.08.001>.

Boiral, O. and Gendron, Y. (2010) ‘Sustainable development and certification practices: lessons learned and prospects’, Business Strategy and the Environment 20(5): 331–47 <http://dx.doi.org/10.1002/bse.701>.

Carlson, K., Heilmayr, R., Gibbs, H., Noojipady, P., Burns, D., Morton, D., Walker, N., Paoli, G. and Kremen, C. (2017) ‘Effect of oil palm sustainability certification on deforestation and fire in Indonesia’, Proceedings of the National Academy of Sciences [online] <http://dx.doi.org/10.1073/pnas.1704728114>.

Donovan, J. and Poole, N. (2014) ‘Changing asset endowments and smallholder participation in higher value markets: evidence from certified coffee producers in Nicaragua’, Food Policy 44: 1–13 <http://dx.doi.org/10.1016/j.foodpol.2013.09.010>.

Foundjem, D., Donovan, J., Stoian, D. and Degrande, A. (2016) Baseline for Assessing the Performance of Fairtrade Cocoa in Ghana, Nairobi: World Agroforestry Centre.

Lernoud, J., Potts, J., Sampson, G., Voora, V., Willer, H. and Wozniak, J. (2018) The State of Sustainable Markets 2018: Statistics and Emerging Trends, Geneva, Switzerland: International Trade Centre.

Minten, B., Dereje, M., Engida, E. and Tamru, S. (2018) ‘Tracking the quality premium of certified coffee: evidence from Ethiopia’, World Development 101: 119–32 <http://dx.doi.org/10.1016/j.worlddev.2017.08.010>.

Poole, N. and Donovan, J. (2014) ‘Building cooperative capacity: the specialty coffee sector in Nicaragua’, Journal of Agribusiness in Developing and Emerging Economies 4(2): 133–56 <http://dx.doi.org/10.1108/JADEE-01-2013-0002>.

Raynolds, L. (2016) ‘Fairtrade labour certification: the contested incorporation of plantation and workers’, Third World Quarterly 28(7): 1473–92 <http://dx.doi.org/10.1080/01436597.2016.1272408>.

Reinecke, J., Manning, S. and Von Hagen, O. (2012) ‘The emergence of a standards market: multiplicity of sustainability standards in the global coffee industry’, Organization Studies 33(5/6): 789–812 <http://dx.doi.org/10.1177/0170840612443629>.

Ruben, R. and Fort, R. (2011) ‘The impact of Fairtrade certification for coffee farmers in Peru’, World Development 49(3): 570–82 <http://dx.doi.org/10.1016/j.worlddev.2011.07.030>.

Ruben, R. and Hoebink, P. (2015) Coffee Certification in East Africa: Impact on Farmers, Families and Cooperatives, Wageningen, Netherlands: Wageningen Academic Publishers.

Tayleur, C., Balmford, A., Buchanan, G., Butchart, S., Ducharme, H., Green, R., Milder, J., Sanderson, F., Thomas, A., Vickery, J. and Phalan, B. (2016) ‘Global coverage of agricultural sustainability standards and their role in conserving biodiversity’, Conservation Letters 10(5): 610–8 <http://dx.doi.org/10.1111/conl.12314>.

Trafialek, J. and Kolanowski, W. (2017) ‘Implementation and functioning of HACCP principles in certified and non-certified food businesses: a preliminary study’, British Food Journal 119(4): 710–28 <http://dx.doi.org/10.1108/BFJ-07-2016-0313>.

Tulet, J.C. (2010) ‘Peru as a new major actor in Latin American coffee production’, Latin American Perspectives 37(2): 133–41 <http://dx.doi.org/10.1177/0094582X09356962>.

Valkila, J. and Nygren, A. (2010) ‘Impacts of Fairtrade certification on coffee farmers, cooperatives, and laborers in Nicaragua’, Agricultural and Human Values 27(3): 3211–333 <http://dx.doi.org/10.1007/s10460-009-9208-7>.

Van Rijsbergen, B., Elbers, W., Ruben, R. and Njuguna, S. (2016) ‘The ambivalent impact of coffee certification on farmers’ welfare: a matched panel approach for cooperatives in central Kenya’, World Development 77: 277–92 <http://dx.doi.org/10.1016/j.worlddev.2015.08.021>.

Vellema, W., Casanova, A.B., Gonzalez, C. and D’Haese, M. (2015) ‘The effect of specialty coffee certification on household livelihood strategies and specialization’, Food Policy 57: 13–25 <http://dx.doi.org/10.1016/j.foodpol.2015.07.003>.

Weber, J. (2011) ‘How much more do growers receive for Fair Trade-organic coffee?’ Food Policy 36: 678–85 <https://doi.org/10.1016/j.foodpol.2011.05.007>.

Wilson, B. (2010) ‘Indebted to Fairtrade: coffee and crisis in Nicaragua’, Geoforum 41(1): 84–92 <http://dx.doi.org/10.1016/j.geoforum.2009.06.008>.