Fair Trade Certification and Livelihoods: A Panel Data Analysis of Coffee-growing Households in India

Sabina Khatri Karki, Pradyot Ranjan Jena, Ulrike Grote
2016 Agricultural and Resource Economics Review  
This study analyzes the participation decision and income impacts of fair-trade coffee certification on small-scale coffee producers in the Araku valley in India using panel data for 183 households and endogenous-switching and quantile regression methods. The results show that fair trade certification has a positive effect on income; the income of certified farmers is 17 percent higher on average than the income of uncertified coffee producers. Furthermore, fair trade certification has a
more » ... cation has a "bottom of the pyramid" effect in that the largest income gains accrue to farmers in the poorer quantiles.
doi:10.1017/age.2016.3 fatcat:6nuqenmttjcnbmckorpzdqsjim