Fairtrade Coffee: Effects & Impact

Introduction

Fairtrade coffee is transforming lives and the coffee industry.

Millions of UK consumers now seek ethically sourced beans.

This article explores the effects and impact of fair trade coffee on farmers, markets, and society.

Why Fair Trade Coffee Matters & Helps Farmers

Fair trade ensures farmers receive fair pay for their work.

It protects against exploitation and supports sustainable farming.

The UK is a leading market for fair trade products, with nearly 25% of coffee sales certified as Fairtrade (Corner Coffee Store, 2025: CBI, 2025).

Consumers increasingly demand transparency and ethical sourcing.

Fair trade offers a minimum price guarantee.

This protects farmers from market fluctuations.

For example, the Fairtrade Minimum Price for washed Arabica is now $1.80 per pound (Fairtrade, 2025).

Farmers also receive an extra premium for community projects.

This supports education, healthcare, and infrastructure.

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The Global Coffee Market

The coffee market is worth nearly $500 billion globally (Corner Coffee Store, 2025).

Brazil leads as the world’s largest coffee exporter.

Over 50 countries produce coffee, but farmers often earn less than $1 per pound (Corner Coffee Store, 2025).

Fair trade schemes aim to address these income gaps.

UK Market Trends and Consumer Habits

The UK coffee market is booming.

In-home coffee consumption is expected to reach 68.82 million kg by 2025 (Statista, 2025).

Out-of-home coffee will hit 27.75 million kg (Statista, 2025) while consumers are willing to pay more for fair trade coffee.

Nearly three-quarters of fair trade shoppers support higher prices for fair pay (Corner Coffee Store, 2025).

The UK coffee market continues to evolve.

UK Consumers are drinking more coffee at home and in cafes.

In-home coffee consumption is expected to reach 68.82 million kg by 2025 (Statista, 2025).

Out-of-home coffee will hit 27.75 million kg (Statista, 2025).

This growth is driven by changing lifestyles.

More people now work from home. Hybrid working has increased demand for quality coffee.

Retailers and coffee shops are responding.

Many now offer fair trade options. Sainsbury’s, Waitrose, and Marks & Spencer have converted their own-label coffee to 100% Fairtrade (CBI, 2025).

Greggs, the UK’s largest bakery chain, also supports fair trade coffee.

This has boosted sales in the out-of-home segment.

Consumers are increasingly aware of ethical issues.

About 25% of UK shoppers consider sustainability when buying coffee (CBI, 2025).

Many are willing to pay more for fair trade products.

Nearly three-quarters of fair trade shoppers support higher prices to ensure fair pay for farmers (Corner Coffee Store, 2025).

This shows a strong demand for ethical coffee.

The branded coffee shop market is growing.

The number of outlets is expected to exceed 10,500 by 2026 (CBI, 2025).

Independent coffee shops are also thriving.

Their value is set to reach £1.6 billion in 2022 (CBI, 2025).

These shops often highlight fair trade and organic options.

This appeals to conscious consumers.

Challenges in the Coffee Industry

Coffee farmers face many challenges. Most earn only 7–10% of the retail price (Corner Coffee Store, 2025).

In Uganda, farmers make just $88 per year from coffee (Corner Coffee Store, 2025).

Price volatility and climate change threaten livelihoods.

Fair trade helps, but more action is needed.

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Gender Inequality in Coffee Farming

Women provide 70% of farm labour but run only 25% of farms (Corner Coffee Store, 2025).

Female farmers earn 40% less than men (Corner Coffee Store, 2025).

Fair trade promotes gender equality and empowers women.

This leads to stronger communities and better coffee.

The Role of Consumers

About 25% of UK consumers make buying decisions based on sustainability (Corner Coffee Store, 2025: CBI, 2025).

Many are willing to pay 35% more for fair trade coffee (Corner Coffee Store, 2025).

Retailers like Sainsbury’s and Waitrose offer 100% Fairtrade coffee (CBI, 2025).

This drives positive change.

Environmental Impact of Fair Trade Coffee

Fair trade standards protect the environment.

They promote organic farming and reduce chemical use.

This preserves soil, water, and biodiversity.

Consumers support these practices through their purchases.

The Future of Fair Trade Coffee

The fair trade coffee market is growing.

The UK organic coffee market will expand at 11% annually through 2030 (Grand View Research, 2024).

More brands are committing to ethical sourcing.

This trend benefits farmers and the planet.

Conclusion

Fair trade coffee makes a real difference.

It ensures fair pay, supports communities, and protects the environment.

UK consumers play a vital role.

By choosing fair trade, they help create a better future for coffee farmers.


Reference List

Corner Coffee Store (2024) 17 Fair Trade Coffee Statistics To Know In 2025: Market & Trends. Available at: https://cornercoffeestore.com/fair-trade-coffee-statistics/ (Accessed: 7 June 2025).

Fairtrade Foundation (2024) About coffee. Available at: https://www.fairtrade.org.uk/farmers-and-workers/coffee/about-coffee/ (Accessed: 7 June 2025).

Statista (2025) Coffee – United Kingdom. Available at: https://www.statista.com/outlook/cmo/hot-drinks/coffee/united-kingdom (Accessed: 7 June 2025).

CBI (2024) The United Kingdom’s market potential for coffee. Available at: https://www.cbi.eu/market-information/coffee/united-kingdom/market-potential (Accessed: 7 June 2025).

Grand View Research (2024) UK Organic Coffee Market Size & Outlook, 2024-2030. Available at: https://www.grandviewresearch.com/horizon/outlook/organic-coffee-market/uk (Accessed: 7 June 2025).

The Business Research Company (2025) Organic Coffee Global Market Report 2025. Available at: https://www.thebusinessresearchcompany.com/report/organic-coffee-global-market-report (Accessed: 7 June 2025).

GlobeNewswire (2025) Coffee Market Global Report 2025-2033. Available at: https://www.globenewswire.com/news-release/2025/01/21/3012853/0/en/Coffee-Market-Global-Report-2025-2033-Focus-on-United-States-China-United-Kingdom-UAE-Instant-Coffee-Dominates-Due-to-Unmatched-Convenience-Fast-Preparation-and-Affordability.html (Accessed: 7 June 2025).

Yahoo Finance (2025) Coffee Beans Industry Report 2025. Available at: https://uk.finance.yahoo.com/news/coffee-beans-industry-report-2025-110400596.html (Accessed: 7 June 2025).

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