Environment Sustainability Standards and Export Performance of Coffee among Co-operatives in Tanzania

Abstract

Tanzania, as with many other coffee-producing countries in the world, accesses niche export coffee markets is by complying with quality and standards set in these markets. However, the influence of environmental sustainability standards on export performance is not known. This study assessed environmental sustainability standards and their effects on the export performance of coffee among co-operatives in Tanzania. Employing mixed methods, the study utilized a sample of 384 respondents from nine cooperatives. Descriptive statistics and inferential analysis were employed for data analysis. It was concluded that the main certification schemes operating in Tanzania are Organic, Fairtrade, Rainforest Alliance, and C.A.F.E. Practices by Starbucks. Furthermore, the study found that export performance has fluctuated yearly, leading to mixed sentiments regarding adherence to these standards. Additionally, it was determined that environmental sustainability standards have a significant positive influence on export performance. The study recommends AMCOS to increase the use of recyclable packaging, minimize the use of agrochemical, control soil erosion and deforestation. This can be done by directing more efforts towards enabling sensitizing cooperatives to adhere to sustainability standards. Strategies such as enhancing information dissemination to address the disconnect between producing and consuming countries through a coherent, reformed, and supportive international policy agenda are suggested. Moreover, setting sustainability standards and creating an operating environment that aligns with the local realities of coffee production are recommended to ensure that the benefits of international coffee trade sufficiently reach the producers.

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