Building a Shared Future in the Gayo Highlands
The Fairtrade Premium story from the Koperasi Produsen Bumi Arabika Gayo (FLO ID: 47916), a young arabica cooperative in Aceh, Indonesia, where 217 farmers are taking their first steps with Fairtrade.
About Cooperative
In the highlands of Aceh, Indonesia, coffee is more than a crop. It is a livelihood shaped by generations of farming and a future that depends on working together. For the 217 smallholder farmers of the Koperasi Produsen Bumi Arabika Gayo (BAG), spread across four hamlets of Daling village, that future began to take shape when they came together with a shared ambition to grow high-quality coffee while building stronger livelihoods for their families and communities.
Founded in 2022, BAG achieved Fairtrade certification in 2025, marking an important milestone in its journey. For this young cooperative, the achievement represents more than access to new markets. It opens the door to collective investment, shared learning and more resilient farming practices. Through their first Fairtrade Premium investments, members are beginning to translate that shared ambition into practical action, strengthening their farms, supporting one another and laying the foundations for a more sustainable future.
Founded in 2022, BAG achieved Fairtrade certification in 2025, marking an important milestone in its journey. For this young cooperative, the achievement represents more than access to new markets. It opens the door to collective investment, shared learning and more resilient farming practices. Through their first Fairtrade Premium investments, members are beginning to translate that shared ambition into practical action, strengthening their farms, supporting one another and laying the foundations for a more sustainable future.
BAG was established at the initiative of farmer groups in Daling village seeking better market opportunities for their coffee. Islamudin took the lead in forming the cooperative and was appointed chairperson by the groups. In 2023, following discussions on the potential social and economic benefits of Fairtrade certification, members voted to pursue certification to strengthen their livelihoods.
Women account for nearly one-fifth of BAG's membership, with representation in its leadership and oversight structures. The cooperative holds an annual members' meeting and conducts management meetings at least twice a year. Women currently hold the secretary's position, one of three supervisory positions, and one of four delegate positions.
Investing Fair Trade Premiums
BAG’s first Fairtrade Premium investments have focused on agricultural productivity, members’ livelihoods and climate resilience. Between March and December 2025, the cooperative received a reported Premium of IDR 787,869,657 from six lots or containers, alongside additional funds from cooperative surplus and trading profits to support member-approved activities.
Economic investment and livelihoods
Fairtrade Premium funds have supported the distribution of staple foods, pruning shears, saws and pest traps to farmer members. These resources support farm management, improve pruning practices and help farmers respond to Coffee Berry Borer infestations.
In 2025, members marked BAG’s first Fairtrade Premium distribution by choosing to share two cows. The decision reflected their commitment to collective ownership and ensuring that the benefits of the cooperative extend across its membership.
Environmental and Climate investments
Recognizing the new pest pressures on members' farms, the cooperative used Premium funds to distribute pest traps and combined this with field training on pest monitoring and control. This investment protected the cooperative's productive base and laid the foundation for a long-term commitment to climate-adapted agriculture in the Gayo highlands. In 2024, Daling village planted shade trees, namely pokat trees originating from the Aceh Provincial Forestry Service as shade trees and agroforestry.
Social investment
The communal cattle-sharing system also has a social dimension. By choosing a visible, collective initial investment, the cooperative reinforces the principle that no member is left behind and that decisions made at general meetings benefit communities across all villages.
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“In my opinion, since the formation of this cooperative, the sense of unity and mutual cooperation between us farmers has become stronger, and we clearly understand the production flow and where the coffee from our gardens will be sold. We have felt the direct impact of cooperating with Fairtrade, in scientific, social and economic terms.”
- Ekawati, delegate from Genting Kanis hamlet, Daling village
Key Learning
Initial training sessions equipped farmers to identify early signs of Coffee Berry Borer infestation, set and monitor traps, and adjust pruning and shade management practices to help control its spread. The training has helped farmers connect everyday farming practices with climate challenges in the Gayo highlands. BAG plans to expand future sessions to cover soil health, quality assessment and post-harvest handling.
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“Before joining the cooperative, I was farming the same traditional way that had been passed down from my parents. Since joining, I have come to see farming from a different perspective, equipped with knowledge of modern farming methods, and I have felt the benefits of being a member.”
- Diana Uslida, farmer member
Looking ahead
BAG’s business development plan focuses on strengthening its position as an Arabica coffee cooperative, expanding into niche markets and increasing socio-economic benefits for its members and surrounding communities. BAG faces several climate related challenges, including Coffee Berry Borer infestations, changing growing conditions and the need to maintain coffee quality. The cooperative also aims to expand women’s participation in membership and leadership while strengthening its governance, operational systems and working capital.
BAG has established a strong foundation for its growth through organic coffee production, farm-level traceability and a continued focus on quality. With Fairtrade Premium funds being invested in agricultural equipment, farmer training and shared assets, the cooperative aims to strengthen farm productivity and improve members’ livelihoods. Looking ahead, members have approved a programme of activities for 2026–27 to further develop the cooperative and improve coffee quality. Planned initiatives include purchasing lawn mowers and pulping machines for collectors, procuring shade-tree seeds, and conducting training on Fairtrade and organic standards, as well as improved coffee pruning practices. The cooperative also plans to undertake comparative studies, provide agricultural tools and essential supplies to farmer members, and repair roads leading to farms that are currently difficult to access. These investments reflect BAG’s continued efforts to strengthen agricultural practices, improve access to resources and build a more resilient future for its members.
For buyers, partners, and supporters, the invitation is simple: Walk with Bumi Arabica Gayo through its first chapters of fair trade and help build relationships that last well beyond one growing season.
