"As a farmer and father, I have to maintain my farm, pay the workers, buy the farm inputs and take care of my family. When income does not keep up with the level of expenses, every decision becomes a difficult choice."

Sanogo Nabaga, a cocoa farmer from central Côte d’Ivoire, expresses the challenge for many farmers facing high costs and low income right now.

For farmers like Sanogo that are part of a Fairtrade certified cooperative, there is some good news.

With the start of a new main harvest season in West Africa, Fairtrade’s new prices are taking effect, and providing a safety net and additional resources to bolster incomes.

In Côte d’Ivoire, the new Fairtrade Minimum Price is higher than the recently announced government export price. In these situations, Fairtrade calculates the difference between the two prices, known as the “Fairtrade Minimum Price differential.” This differential must be paid on top of the government’s price.

The differential for the new harvest season, which runs from September 2026 through February 2027, is €349.39 per metric tonne, and comes on top of the government price equivalent of €2,850.61 at FOB level. Fairtrade Standards require cooperatives to pay 100 percent of the differential in cash to their farmer members.

In addition, Fairtrade sales include payment of the Fairtrade Premium, which in Côte d’Ivoire is now €250 per tonne. New rules also require cooperatives to pay 40 percent of Premium funds directly to farmers to support improved incomes, and another minimum 10 percent each on cooperative operations, farm services, and community projects, as chosen democratically by the cooperative.

The context: volatile prices and low yields impact farmer resilience

The Fairtrade price safety net plays an important role to buffer price volatility and provide some income stability, which cocoa farmers have needed in recent years.

Global cocoa prices rose dramatically in 2024, and just 20 months ago reached US$12,000 per tonne. They plunged below $3,000 per tonne in February this year, and have climbed back to around $6,000 per tonne in September. (Fairtrade sets cocoa prices for Côte d’Ivoire in euros to reduce the effect of exchange rate fluctuations between US dollars and the local currency.)

This volatility is extremely challenging for the cocoa sector, especially for farmers who typically have little financial cushion.

While high global market prices may seem like a benefit for farmers, the reason behind them was poor harvests in West Africa – which produces two-thirds of the world’s cocoa – attributed to effects of climate change. This meant that any gains from higher prices were limited by low yields plus higher production costs. In the coming season, El Niño may result in further production challenges in many cocoa-producing countries, with knock-on effect on global prices.

Without resources to invest in farm renovation and diversification – such as replacing aging cocoa trees and setting up other farm or non-farm businesses – farmers struggle to build resilient livelihoods that can survive difficult cocoa seasons.

The importance of price in supporting more sustainable farms and livelihoods

A Fairtrade study published last year found that higher cocoa prices have direct positive effects on farmers’ incomes. This is why the Fairtrade Minimum Price is so important, especially in times of price volatility where it provides a safety net during price drops, but farmers earn market prices when these are higher.

The Fairtrade Minimum Price helps in managing yield, ensuring access to bonuses, and providing support for small expenses. In the study, farmers also reported that the Fairtrade Premium – the amount earned on top of the selling price for each Fairtrade sale – “contributed significantly to income stability by supporting community-level infrastructure improvements and improving access of households to better education, housing, and healthcare.” The Premium can also be used to fund cooperatives’ investments in meeting market regulatory demands, such as the geolocation data collection that is part of the upcoming EU Deforestation Regulation.

Thanks to services and trainings provided through the Fairtrade West Africa Cocoa Programme, cooperatives are also able to educate farmer members on best practices and subsidise services and materials such as pruning or fertiliser. One study participant associated the positive income trend found in the study with farmers’ knowledge and action: “This awareness has helped them understand the importance of investing in their farms and following good agricultural practices to ensure better productivity and future profitability.”

Looking ahead: supporting Fairtrade farmers

Today, West African farmers are again facing uncertainty and the potential for further  reduced yields in the coming months, which is their main harvest of the year.

Fairtrade support – including the price differential, Fairtrade Premium, Living Income Reference Prices, and technical support – makes a difference for farmers as they look to the future for their farms and families. A living income and the ability to invest in sustainable, climate-resilient farming practices are the foundation every farmer deserves.

As farmer Konaté Fatou puts it, “We hope that the evolution of producers' incomes can continue to better accompany the reality of production costs and daily life.”

For more details, read the official communication.