Fairtrade International introduces Living Income Reference Price in Honduras

Fairtrade minimum prices

Fairtrade International has introduced a Living Income Reference Price for coffee from Honduras, designed to help farmers earn decent livelihoods and businesses operate sustainably.

The Living Income Reference Price for Honduras has been set at US$3.89 per kilogram of dried parchment at farmgate.

The price is within the range of what Honduras coffee farmers have been selling their coffee for over the past harvest season. However, these prices were exceptionally high, and farmers are not able to count on the volatile coffee futures market when they make decisions about investing in farm improvements.

For each reference price, data collected by Fairtrade is reviewed with a country-based technical roundtable in order to check feasibility and align with any other national initiatives in the coffee sector.

Fairtrade International Senior Advisor for Sustainable Livelihoods Carla Veldhuyzen van Zanten is attending the Let’s Talk Coffee conference in Honduras, hosted by Sustainable Harvest, to discuss the importance of sustainable prices and the need to keep living incomes squarely in focus.

“There is still a lot to be learned about how all components work together and how all the right pieces can be put in place, but it all starts with listening to farmers. For the farmers of today and tomorrow one thing is blatantly clear: a stable, high-enough price is a precondition for improving their livelihoods in a sustainable manner,” says Veldhuyzen van Zanten.

Honduras is the fourth country Fairtrade International has developed a living-income reference price for, following Uganda, Indonesia, and Colombia.

While the reference price is voluntary, the Fairtrade Minimum Price and Premium remain mandatory for all Fairtrade coffee sales and provide a safety net for farmers.

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