Living Standard

Voluntary standards are gaining in importance in global markets for high-value foods. We analyze and compare impacts of three sustainability-oriented standards - Fairtrade, Organic, and UTZ - on the livelihoods of smallholder coffee farmers in Uganda. Using survey data and propensity score matching with multiple treatments, we find that Fairtrade certification increases household living standards by 30% and reduces the prevalence and depth of poverty. For the other two certification schemes, no significant impacts are found. Several factors that can explain differential impacts are discussed.