What is the economic situation of small farmers in the coffee industry?
Coffee is produced both on large plantations and by small farmers. Typically, Fair Trade farmers cultivate less than 3 hectares of coffee and harvest 1,000-3,000 pounds of unroasted coffee a year. Small farmers are perhaps more aptly defined by those farmers who rely principally on their own families’ labor. This makes Fair Trade potentially representative of an estimated 75% of all coffee farmers. Many coffee farmers receive prices for their harvest that can be less than the costs of production, forcing them into a cycle of poverty and debt. They are often forced to sell to middlemen who pay them half the market price, generally between $.30-.50 per pound. Family farmers usually bring in a cash income of $500-$1,000 a year for their coffee.
