Issue No. 36

Cooperatives of coffee farmers invest USD 14.3 million in social programs in 2017

August, 2018

Sustainability that Matters

Cooperatives of coffee farmers invest USD 14.3 million in social programs in 2017

With their 536 points of purchase, the cooperatives affiliated to the Colombian Coffee Growers Federation (FNC) are in charge of applying the purchase guarantee, the public good most valued by coffee growers.


In 2017 the 33 cooperatives of coffee farmers in the country allocated 42.12 billion pesos ($14.3 million) to social investment in their associates (equivalent to paying an additional premium of COP 14,859/load), confirming the great role they play in sustainability of the coffee sector.

With their 536 points of purchase throughout the country, the cooperatives of coffee growers affiliated to the Colombian Coffee Growers Federation (FNC) are in charge of applying the purchase guarantee, the public good most valued by coffee farmers because it allows them to sell their coffee at the best possible base price, paid in cash and in places close to their farms.

“The cooperatives of coffee growers are the FNC’s great ally in application of the purchase guarantee, which benefits all producers, and in contributing to improve their income. In many cases, because of their great social contribution, they are the great buffer coffee growers have to move forward,” the FNC CEO, Roberto Vélez, said.

The coffee leader underscored that “in this way, it is confirmed that the FNC does its duty to coffee growers.”

Support for formal and non-formal education, for the scheme of voluntary contributions for retirement (BEPS), aid, insurance, healthcare, discounts in fertilizers and investment in the social, production and labor components of sustainability premium of the Fair Trade FLO standard are the main allocation items.

On the other hand, in 2017 the warehouses of cooperatives sold 4.8 million 50-kg bags of fertilizers, fulfilling their role of facilitating acquisition of production inputs to coffee growers.

In 2017, cooperatives paid the coffee load on average at COP 913,164

With the purchase of 354 million kg of dry parchment coffee (dpc) worth about 2.6 trillion pesos (almost $881 million), in 2017 the 33 cooperatives of coffee farmers in the country paid the coffee load on average at COP 913,164, which contributed to increase profitability of producers by 11.6% compared to the average base price of COP 818,148 per load.

“This confirms the key role that the cooperatives play in the great purpose of coffee institutions to improve profitability of coffee farmers, along with producers’ commitment to quality and the consequent payment of premiums, to improve coffee income,” Vélez noted.

With the equivalent purchase of 4.7 million 60-kg bags, the purchases of the 33 cooperatives sponsored by the FNC accounted for 33% of national production last year.

Of these purchases, differentiated coffee accounted for 207.9 million kg, i.e. 58.7% (mostly with FLO certification [21% of all differentiated coffee] and Nespresso [15%]), very tuned with commitment to production of specialty coffee to help coffee growers climb the value chain.

Of all coffee purchased, the cooperatives allocated 40.7% to sales to the National Coffee Fund (FoNC) and 31.6% to the exporting company of the cooperatives themselves, Expocafé.

In 2017, by type of coffee, 155.77 million kg of dpc (44%) were allocated to Excelso negotiations and 4.7 million kg of dpc (1.33%) to sales of 4,105 microlots (each of 13 bags on average), the latter being a high-value segment, of high demand by customers and consumers who bet on quality and differentiation, where there is still plenty of room to continue growing and increase profitability of producers.

You are invited to learn more about our coffee family and our products, visiting the COLOMBIAN COFFEE INSIGHTS sections on the top of this page.