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All Journal Indonesian Journal of Business and Entrepreneurship (IJBE) Jurnal Organisasi Dan Manajemen Business Review and Case Studies Sustainability Science and Resources

Bustanul Arifin

University of Lampung

Author-ID : 2818166

Agriculture, Biological Sciences & Forestry Computer Science & IT Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science Social Sciences

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Partnership for Sustainable Coffee Certification: Linking Up Smallholder Farmers to Global Coffee Market Bustanul Arifin; Michael Reed; Novi Rosanti; Hanung Ismono; Slamet Budiyuwono
Sustainability Science and Resources Vol. 2 (2022): Sustainability Science and Resources
Publisher : The Indonesian Forestry Certification Cooperation

This study examines the impacts of partnerships for sustainability certifications in coffee value chains on farm income in Lampung Province, Sumatra-Indonesia. We conducted farm-household surveys, interviewing 171 samples in West Lampung and Tanggamus Districts, consisting of 98 farmers joining partnership and 73 farmers not joining. A probit model is used to determine decisions to join the partnership; ordinary least square (OLS) is used to analyze the determinants of farm income; and Heckman selection-correction model is used to reduce the selection bias in partnership participation. We find some selection in partnerships for sustainability certifications, driven by the age and education of household head, land holding size of coffee farm and the proximity to rural cooperatives-KUBE. The partnership farmers earn higher farm income than those not joining, due to a higher proportion of productive family members. After employing the treatment-effect model, we find that the partnership for sustainability certifications raises farm income, mostly due to higher coffee yield and farm-gate prices. These results reveal the need for policies to support the establishment and encouragement of partnerships for sustainability certifications. The internal control system (ICS) initiated by coffee corporations in implementing the sustainability certifications have improved the trust level between smallholders and global corporations.

Impacts of Coffee Agroforestry and Sustainability Certification on Farmers' Livelihood in Sumatra-Indonesia Hanung Ismono; Bustanul Arifin; Katsuya Tanaka; Ryohei Kada
Sustainability Science and Resources Vol. 2 (2022): Sustainability Science and Resources
Publisher : The Indonesian Forestry Certification Cooperation

This study examines the impacts of coffee agroforestry system and sustainability certification on farmers’ livelihood in Sumatra-Indonesia. The study applies farm-income analysis and quasi-experimental impact evaluations by interviewing 408 coffee farm-households in Lampung Province. Propensity score matching (PSM) adopted here compares some matching characteristics of adopters of coffee agroforestry system and sustainability certification and the control groups. The results show that both coffee agroforestry systems and sustainability certification have positive significant impacts in improving economic benefits and environmental benefits, although the magnitudes slightly differ. Future policy shall provide better alternatives for farmers’ land-use systems that could ensure a better livelihood.

Co-Authors Anis Erma Wulandari Asep Taryana Erliza Noor Fitri Kinasih Husnul Khotimah Harianto Harianto Harianto Heny K Suwarsinah Katsuya Tanaka Michael Reed Mukhamad Najib Novi Rosanti R Hanung Ismono Ryohei Kada Slamet Budiyuwono

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Journal : Sustainability Science and Resources