Nestlé
The allegations in this report misrepresent the nature of our work in the coffee supply chain in Mexico.
We strongly believe that coffee farmers should earn a sufficient income to maintain a decent standard of living for them and their families. In Mexico, the price we paid to the coffee mills (our direct suppliers) in the 2024/2025 buying season is historically the highest we have ever paid, reflecting the high global market price for Robusta beans.
Nestlé does not buy coffee through middlemen. We buy coffee from our suppliers (coffee mills) aligned with the global market price and we pay premiums for the quality specifications we require for our coffee. We maintain ongoing communication with our suppliers to help ensure that farmers get fair prices and premiums for their coffee.
Over the past decades, the new Robusta coffee growing areas have been converted from other crops such as sugar cane or pastures (e.g. for cattle) not because of deforestation. In addition, some areas were converted to Robusta coffee farming because the land at a lower altitude is less suitable for growing Arabica coffee beans.
As set out in our Responsible Sourcing Core Requirements, we require our direct suppliers to demonstrate evidence of Free, Prior and Informed Consent (FPIC) from affected local communities for the raw materials we source. We also require that workers are treated with respect and dignity and are not discriminated against. Where there are claims that our standards have not been met, we work with our suppliers to investigate immediately and take action as necessary.
Additional information
Through our sustainability programs, we provide on-the-ground training and technical assistance to help coffee farmers (most of whom are smallholders) achieve efficiencies, reduce input costs (e.g. fertilizers), and provide them with new coffee plantlets to help increase yields. We also encourage them to grow other crops to boost their income. Farmers continue to voluntarily adhere and remain in our sustainability programs as they see good outcomes on productivity, reduced cost of production and income diversification.
4C
4C is an independent, third-party certification system. This means that 4C sets and maintains a rigorous sustainability standard but does not directly implement or enforce it. Instead, compliance with the 4C standard is assessed by independent, accredited certification bodies, which conduct thorough audits and verifications, alongside oversight by 4C system users. This structure ensures impartiality, credibility, and global applicability, in line with internationally recognised third-party certification principles. 4C operates independently and is not a iliated with any other organisation.
1. The report claims that 4C certification favors large producers and corporations while marginalizing small farmers who struggle to meet certification requirements. How does 4C respond to this criticism, and what measures are being taken to include and support small producers within the certification system?
The claim that 4C certification marginalizes small farmers is inaccurate. 4C certification is designed to be inclusive, with over 93% of certified producers being smallholders. Certified units actively support smallholder farmers through internal management systems, making certification more accessible. 4C continuously works to ensure smallholders benefit from sustainability improvements via trainings, capacity building, and tailored sustainability projects to improve livelihoods.
2. The report states that 4C does not guarantee a minimum price for producers, leaving them vulnerable to market fluctuations. Why does 4C not adopt a minimum price system or similar mechanisms to ensure better financial stability for farmers?
Setting a fixed minimum price is not a viable solution due to the diverse economic realities in different coffee-producing regions. Instead of intervening in market mechanisms, the 4C standard focuses on strengthening the economic resilience of farmers through sustainability standards that promote better agricultural practices, long-term productivity, and access to premium markets. This approach empowers farmers to navigate market fluctuations more effectively. While 4C does not set a fixed price, buyers of 4C-certified coffee typically pay a premium, reflecting the added value of sustainable production.
3. Concerns have been raised about the reliability of 4C audits, which allegedly rely heavily on self-reported data from producers without independent verification. How does 4C ensure the accuracy of the information provided and the effectiveness of its field audits? What measures are in place to verify that labor and environmental conditions meet certification standards?
4C audits are not based on self-reported data. Certified units must first implement an internal management system to ensure compliance with the 4C Code of Conduct. Independent, accredited Certification Bodies then conduct rigorous on-site audits before a unit can be certified. Beyond the initial audit, the 4C standard defines further regular surveillance audits through independent certification bodies and the 4C Integrity Program, which further assesses the effectiveness of certification bodies and on-the-ground compliance.
4. The report questions the effectiveness of 4C regarding product traceability. How does 4C guarantee full traceability of certified coffee throughout the supply chain, from farms to the final consumer?
Traceability in 4C means that 4C certified co ee can be tracked and traced every step of the supply chain, from the producers to Final Buyers. Within 4C units, full traceability must be ensured and verified during 4C audits. Outside 4C units, traceability is ensured through mandatory annual reporting of all transactions via the 4C Portal. These mechanisms enable tracking of certified co ee from farms through the supply chain, aligning with globally recognized traceability frameworks such as ISO 22095 and EU deforestation-free supply chain regulations. The 4C standard’s traceability system exceeds many industry standards by requiring strict documentation and verification at each stage.
5. The investigation states that 4C allows the use of hazardous pesticides and does not prevent the expansion of robusta coffee cultivation, which contributes to deforestation and environmental degradation. How does 4C justify its approach to pesticide use and robusta cultivation within its sustainability criteria? What measures are in place to monitor and mitigate the environmental impact of certified co(ee production?
The 4C standard upholds strict sustainability criteria that prohibit hazardous pesticides listed under international agreements such as the Stockholm and Rotterdam Conventions. Certified units must comply with the 4C Pesticide List as well as national pesticide regulations and implement measures to minimize environmental impact. Furthermore, the 4C standard explicitly prevents deforestation and mandates the protection of primary forests and high conservation value areas, ensuring that sustainable coffee production does not contribute to environmental degradation.
All of 4C’s commitments and standards are reinforced by its recognition at the SAI Silver and Gold level, ISEAL membership, and active participation in global sustainability initiatives, such as the UN Global Compact. Furthermore, 4C is independently benchmarked within the International Trade Centre’s Standards Map, further demonstrating its alignment with internationally recognised best practices.
Starbucks
We take allegations like these extremely seriously and require all of our suppliers to pledge compliance with our Supplier Code of Conduct. We are actively engaged with farms to ensure they adhere to our standards and each supply chain is required to undergo reverification regularly. We remain committed to working with our business partners to meet our expectations.
The cornerstone of our ethical sourcing approach to buying coffee is Coffee and Farmer Equity (C.A.F.E.) Practices, which was one of the coffee industry’s first set of ethical sourcing standards when it launched in 2004. Developed in collaboration with Conservation International, C.A.F.E. Practices is a verification program that measures farms against economic, social and environmental criteria, all designed to promote transparent, profitable and sustainable coffee growing practices while also protecting the well-being of coffee farmers and workers their families and their communities.
With its public release, we are now able to review the full report and are committed to investigating specific allegations based on the available information