Origin
performanceand risk report
COFFEE SNAPSHOT

BrazilIntroduction
Our “Coffee Snapshot” series provides stakeholders—from roasters to buyers—with a localized overview

of the key sustainability challenges in different
coffee producing origins. This “snapshot” report,

focused on Brazil during 2020-2022, summarizes

trends emerging from an analysis of our own internal
In other words, the insights and recommended
sustainability interventions highlighted here reflect
the collective “hive mind” of our ever-growing global
alliance.1

Photo credit: David Dudenhoefer

proprietary data, external research, and expert input.

KEY SUSTAINABILITY ISSUES2

COFFEE PRODUCTION ECONOMICS
CLIMATE CHANGE
AGROCHEMICAL HANDLINGGENDER EQUALITY

1

The report is not meant to highlight how Rainforest Alliance farms are performing compared to non-certified farms. The analysis firstlooks at priority issues within the value chain in the country of focus and then analyzes Rainforest Alliance farms’ performance amidst
the priority issues. More details on the data sources used and methodology can be found at the end of the report
2That is not to say that there are no other issues present, however, these are the key issues that research concludes are needing themost attention currently. Amongst other potential social issues, worker’s rights (e.g., contracts, accommodation, and safe usage ofchemicals), and gender equality (e.g., lower access to training and technologies compared to men) are worthy of mention in termsof social issues to monitor in Brazil (Rainforest Alliance 2022; Lopes-Ferreira 2022).

The Coffee
Sector in Brazil
Brazil Is one of the largest coffee producers in the world, but muchof this production comes at a great cost. Large scale industrialized

farming typical of the Brazilian coffee sector is becoming increasingly
vulnerable to climate change and market shocks linked to risingproduction costs.

330,000

8.4 MILLION

34%

58.1 MILLION
60-kg BAGS

78%

62%

Total coffee producers

Direct/indirect jobs across value chain

Smallholder coffee growers (<10 HA)

Coffee production 2021/2022

Share of global coffee production

Total production frommedium-large producers (>10 HA)

MAIN CROP HARVESTJAN

FEBMARAPR

MAYJUN

1ST LARGEST COFFEEEXPORTER GLOBALLYJULAUG

SEP7.5 HA

AVG farm size

OCTNOVDEC

29 60-KG
BAGS/HA
AVG yield

Sources: CNCAFE 2022; USDA 2022; USDA 2021; Sustain Coffee 2018; Gain 2021;

15%

8.5 MILLION

Of total country volume Rainforest Alliance Certified

60-kg bags Rainforest Alliance Certified coffee

1,863

30,968

Certified producers

Workers on certified farms, permanent and seasonal

Sources: Rainforest Alliance 2021/2022*, USDA 2022
* Certified figures are the sum of UTZ Certified and Rainforest Alliance 2020/2021 totals with multiple certification taken into consideration

ECONOMIC

65%

COFFEE PROFITABILITYWhile coffee yields are currently high overall,

28%

farmers are not pursuing practices that will make

COFFEE FARMERS’ %INCOME FROM COFFEENATIONAL
POVERTY RATE

(18-84 percent loss in land suitability is predicted

With an avg of
55%-77% of total
incomeMeaning 28% of thepopulation lives onless than USD 6.85/day

$ USD

$ USD

maintaining high yields possible in the long run
by 2050 without usage of regenerative agricultural
practices such as shade cover).

To adapt to climate change’s effects on yields, andrising production costs, farmers will need to adopt

practices such as renovation and rehabilitation(R&R) and reduce dependency on synthetic

fertilizers (which make up a large part of productioncosts). This is especially important for the 78 percent
of producers that have less than 10 HA of land andproduce 38 percent of the coffee in Brazil. Low or

6,128

AVG COFFEE FARMER
IN BRAZIL
Avg net householdincome

6,051

BENCHMARK NET
LIVING INCOME(Avg. during 2021)5

negative profitability would lead them to switch toother crops or out of agriculture entirely.3

Usage of good agricultural practices can morethan double average yields. Rainforest Alliancemonitoring data shows that farms with usage ofgood agricultural practices, such as proper usage offertilizers, herbicides and pesticides, irrigation, shadetrees and cover crops can result in production yields

as high as 72 60-kg bags/ha., more than double thecountry average.4

60-70%
56-72

60-KG BAGS/HA
AVG yield range of
farmers using bestpractices
2x increase in yields with bestpractices. As observed on
Rainforest Alliance monitored

COFFEE YIELDSTOTAL BRAZIL AVG

farms.

TOTAL PRODUCTION COST
INCREASE SINCE 2021

16%
FOR 2022/2023 CROPProduction decline
due to frosts related
to climate change*Yields, for comparison
purposes, are on average ofthe previous three years toaccount for crop fluctations

DRIVERS

Sources: Rainforest Alliance 2022; CCSD 2021; World Bank 2022; USDA 2022

RESTORATION &REJUVENATIONUSAGE OF BESTPRACTICESIRRIGATIONPROPER USAGE OFCHEMICAL INPUTSRECOMMENDED INTERVENTIONS“Maintaining optimized coffee production economics is a growing challenge for farmers, but one that canbe tackled through joint actions and interventions, such as assisting farmers in managing production costs(through technical guidance and training), providing guidance on low-input activities such as in integrated

weed and pest management, as well as improved access to organic pesticides, and supporting regenerative
practices that reduce farmer dependence on costly inputs”-Miguel Gamboa, Sector Lead Coffee, Rainforest
3

Rainforest Alliance 2022; CCSD 2021; Caldarelli 20194

Rainforest Alliance 2022; USDA/ATO/Sao Paulo 2022

5

“Responsible Coffee Sourcing: Towards a Living Income for Producers” by Kaitlin Y. Cordes, Margaret Sagan et al. (Columbia.edu)

SEVERE FROSTS IN JUNE/JULY 2021
ENVIRONMENTAL

16%

CLIMATE CHANGE

Without adaptation interventions, climate change
is expected to reduce the land suitable for coffee2021 DROUGHTLOWEST RAINFALL IN 90 YEARS

growing by 18-84 percent by 2050.

50%

Climate change is already affecting farmer

yields. In 2022, farmers faced extreme weather

related to climate change from severe droughts
to extreme hailstorms. The previous year several
regions were hit by the worst outbreak of frost inmore than 40 years. All told, this led to a 16 percent

Affected flowering and fruit setting,killed young trees. Leading to 16%
production decline for 2022/2023
crop.

Affected bean production,
overall tree health etc. Leading to50% production decline for someproducers, even up to 80% loss if
continues.

Sources: Rainforest Alliance 2022; Gomes et al. 2020; Coffee Intelligence 2022;
NRI 2012; Perfect Daily Grind 2021 ; Wall Street Journal 2022 ; DaMatta et al 2006

reduction in forecasted production for 2022/2023.
For some producers, drought led to a 50 percent

production decline. Climate change is expectedto make it difficult for farmers to maintain current

coffee production levels. Overall, temperatures areexpected to rise which could lead to an 18-84 percent

THESE CLIMATECHANGE RELATEDEFFECTS HAVECAUSED COFFEE
PRICES TO SPIKE.

ARABICA COFFEE FUTURESAs of Dec 14, 2022

decline in the area suitable for coffee production by

2050 in Brazil. The effects will likely impact unshaded
plantation in particular. The adoption of agroforestry

systems with 50 percent shade cover can help toreduce mean temperatures, especially at altitudes
between 600 and 800 m.6

Sources: FactSet 2022;
Wall Street Journal 2022

OBSERVED AND PREDICTED EFFECTS
OF CLIMATE CHANGE

KEY IMPACTS OF CLIMATE CHANGE
ON COFFEE PRODUCTION

LOSS OF LAND PRODUCTIVITY HINDRANCES ARE ALREADY HAPPENING

RISING TEMPERATURESCHANGING MANAGEMENTCHANGING SEASONALITY

DYING TREES/NET AREA LOSS

SEVERE FROSTS IN JUNE/JULY 2021
Affected flowering and fruit setting,killed young trees

CHANGING RAINFALL

POOR CHERRY DEVELOPMENTEXTREME WEATHER EVENTPOOR FLOWERING/FRUIT SETTING

2021 DROUGHT-LOWEST RAINFALL
Affected bean production, overalltree health, etc

RECOMMENDED INTERVENTIONSClimate change is already having a significant impact on coffee production in Brazil and globally. These

impacts are likely to intensify in the near future, unless adaptation measures are put in place. Suchmeasures include helping farmers make the shift from full sun, monocrop systems to biodiverse agroforests
where climate-smart farming practices—such as intercropping and establishing riparian buffers—areimplemented. Of course, the transition is only possible with increased technical support and trainings, andimproved access to finance mechanisms, such as weather-indexed crop insurance, so that farmers cancontinue to invest in climate-smart farming practices.
-Dr. Celia Harvey, Climate Lead, Rainforest

6Golmes et al 2020; Coffee Intelligence 2022; IIyun Koh et all 2020; USDA 2022; Venancio et al 2020

ENVIRONMENTAL

DEFORESTATION

Deforestation Occurrence in Brazil Since 2014

vs. Rainforest Alliance Certificate Holders. TheRainforest Alliance monitors potential deforestation
due to expansion of coffee production area.

Please note, deforestation data in the Cerrado andAtlantic Forest –where most coffee productionin Brazil occurs—is extremely limited. While ourmapping can give us some insight into possible
deforestation trends, it cannot be used toguarantee that deforestation is not occurring incoffee-producing regions.7

PROTECTED
AREAS

7Rainforest Alliance 2022; WorldBank 2021; UN Biodiversity Lab 2021

FOREST

DEFORESTATION

LICENSED FARMS

SOCIAL

GENDER EQUALITY

6,442*ESTIMATED NUMBER OF WOMEN TRAINED IN SAFE
WORKING PROCEDURES ACCORDING TO RACP DATA.
*This data provides only a snapshot of certificate holder
activities. Please note, that there could be double
counting within this data, and that the percentage offiles submitted by surveyed farmers is only 37% of what
was expected. More data will become available as
RACP continue to develop.

Sources: Rainforest Alliance 2022; Women in Coffee 2021

KEYISSUESLESS ACCESSTO TRAININGLESS ACCESSTO TECHNOLOGIESLESS ACCESSTO INTERNETCHEMICALEXPOSURE

LOW CONTRACT USAGE
SECURING RIGHTSSOCIAL

WORKER’S RIGHTS

50%11%KEY
ISSUES

ESTIMATED % OF COFFEE WORKERSWITH CONTRACTS IN BRAZIL% OF NON-COMPLIANCE ON USAGE
OF EMPLOYMENT CONTRACTS
Amongst Rainforest Allianceproducers

LOW ACCOMODATIONSTANDARDS

Sources: Rainforest Alliance 2022; Danwatch 2016

SOCIAL

AGROCHEMICALHANDLING

45%6%

and, as a result, it has become one of the biggest

1,012 PRODUCTS

131 PRODUCTSof these substances raises environmental and% of chemical products
are very dangerous forthe environment% of chemicalproducts are
considered extremely
toxic to human health88-98%

193

Every year, Brazil intensifies its activity in agriculture
consumers of pesticides in the world. The high rate
human health concerns. Nearly half of all approved
chemicals used in coffee production are hazardous.

In Brazil, 88-98 percent of farmers use some formof agrochemicals in their fields. Coffee is also andmainly produced as a monocrop (only 2 percent offarmers intercrop) and large fields and monocrops
tend to lead to more pests and, consequently, higher% OF FARMERSUSE SOME FORM OF
AGROCHEMICALS

pesticide use. Agrochemicals can pose a threat tobiodiversity and to water, especially when not used

EU BANNED PRODUCTS
FOUND IN BRAZILCOFFEE 2016-2019

correctly. For example, a study in Espirito Santo statefound that there is a 45 percent chance pesticidecontamination in surface water and a 25 percent

EU BANNED PESTICIDES
ARE LEGALLY PERMITTEDIN THE COUNTRY

chance of groundwater contamination. Unsafe
agrochemical handling in Brazil stands out as a key

issue impacting the environment, and negatively
affects access to safe drinking water and worker
safety. Employers regularly require workers to apply
toxic agrochemicals but rarely provide personal

protective equipment (PPE). As a result, pesticide
poisoning is widespread.8

Sources: Rainforest Alliance 2022; Ministry of Agriculture, Livestock and FoodSupply 2020; Díalogo China 2020; CNA 2018; GCP 2022

ENVIRONMENTAL IMPACTS OF
AGROCHEMICALS THREATEN

Biodiversity

Soil health

Waterways

AGROCHEMICAL HANDLING ISSUESREQUIRE MANAGEMENTStorage

PPEDisposal

HUMAN HEALTH IS AFFECTED THROUGH
POISONING, EVEN LEADING TO DEATH

Acute & chronic illness

RECOMMENDED INTERVENTIONS“Companies, governments, and civil society organizations should work together to increase awareness andunderstanding of the importance personal protection equipment, and the safe application and disposal ofagrochemicals among farmers. Supply chain actors should also promote and reward farmers for pursuing
low-input, regenerative practices and promote precision agriculture, including investing in machinery,risk-management tools, and supporting the development of technical knowledge for integrated pest
management with reduced application of chemical inputs.”-Kim Schoppink, Advocacy Lead Nature, Rainforest Alliance

8Rainforest Alliance 2022; Lopes-Ferreira 2022; CNA 2018; Queiroz et al 2018; Díalogo China 2020; Coffeelands 2016

SOCIAL

AGROCHEMICALHANDLING

10%

10%

9%

OF FARMS NOT STORINGAGROCHEMICAL & APPLICATIONEQUIPMENT PROPERLYOF FARMS NOT USING PROPERDISPOSAL METHODS OF EMPTYPESTICIDES CONTAINERS

OF FARMS NOT RECORDINGPESTICIDE APPLICATIONS

9%7%7%OF FARMS NOT UTILIZINGMECHANISMS TO AVOIDCONTAMINATION BY PESTICIDESOF FARMS WITH PERSONS NOTWASHING & CHANGING CLOTHESAFTER PESTICIDE APPLICATIONOF FARMS NOT PREPARING ANDAPPLYING PESTICIDES ACCORDING
TO THE LABEL

Sources: Rainforest Alliance 2022; Agrochemical Management Areas with the Highest Non-Conformance on the Rainforest Alliance Certification Platform.

Conclusions andRecommendations
While more data is needed to address several possible risks in Brazil–such as potential
deforestation in coffee producing regions—Rainforest Alliance research shows that Brazil’scoffee sector is not immune to rising production costs and climate change. To combat

declining yields, farmers may seek to increase their use of hazardous agrochemicals,
which is concerning given that non-compliance with safe agrochemical handling isalready prevalent. Therefore, interventions should be designed to help farmers adopt
low input, climate-smart practices that can simultaneously help reduce farmers’ costs
while increasing their climate resilience.

The Rainforest Alliance has worked with several companies, NGOs, and government
agencies to drive change in Brazil. Our recent and ongoing work includes:

Our currentwork includes
THE BUSINESS CASE FOR
COLLECTIVE LANDSCAPE ACTION
This five-year project aims to advance USAID’s Sustainable Landscapes Program goals by
reducing commodity-driven tropical deforestation and achieving large-scale restoration.
In addition to Brazil, the project covers Ecuador, Peru, Colombia, and Indonesia.

SCALING CLIMATE-SMART
REGENERATIVE COFFEE
Deforestation, pesticide use, and climate vulnerability are all pressing issues in Brazil.

That is why the Rainforest Alliance is working with Nespresso, Imaflora, and the FNC toequip Brazilian and Colombian coffee farmers with the skills and knowledge to pursue
regenerative agriculture.

Methodology
and Data Sources
This report draws upon a wide range of internal propriety data: certification data,internal risk maps, project monitoring and evaluation data, and expert opinions. It also

draws on various external sources, including coffee industry reports, project reports,country-specific legislation, and academic literature. While several sources are used,

there are limitations in the completeness of all the datasets used. Therefore, the weighingof risks is based on the frequency they are mentioned, focusing on the probability ofoccurrence, not necessarily on the severity of impacts.8

RISK MONITORING AND CERTIFICATION:ADVANCES IN OUR 2020 SUSTAINABLE
AGRICULTURE STANDARD
Our 2020 Sustainable Agriculture Standard includes many new indicators for certificate
holders to report on. The first set of these indicators will include:
HUMAN RIGHTS VIOLATION CASESSUSTAINABILITY INVESTMENT NEEDSPERCENT OF WOMEN PARTICIPATING IN TRAINING

LIVING WAGE DATAMANAGEMENT CAPACITY ASSESSMENTS*Data from 2021 and 2022 is being processed
9The data presented is accurate at the time of publication based on the information collected from the above sources. Rainforest

Alliance will not be liable for damage due to inaccuracies in the information. For more information about the method of analysis andsources, please contact us at tailoredservices@ra.org.

ABOUT THE
RAINFOREST
ALLIANCE

The Rainforest Alliance is creating a moresustainable world by using social and market
forces to protect people and nature. Our alliancespans 70 countries and includes farmers andforest communities, companies, governments,civil society, and millions of individuals. Together
we work to protect forests and biodiversity, takeaction on climate, and promote the rights andimprove the livelihoods of rural people.