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Caffenation's Direct Trade Program
Direct trade coffee is generally described as a sourcing model built on close relationships between specialty roasters and coffee producers. Instead of relying heavily on intermediaries, roasters work directly with farmers to agree on pricing, quality expectations, and long-term collaboration. The goal is to create more transparency, improve quality, and ensure farmers are paid better than standard market rates and often above Fair Trade minimums.
That understanding aligns closely with how our Nordic friends Coffee Collective approaches direct trade. Their model is centered around transparent, long-term partnerships with producers, where they buy coffee directly from farmers and openly communicate the prices they pay. They state that producers receive at least 25% more than the Fair Trade price, and they even print those figures on their coffee packaging.
In many ways, the ideas are very similar to our own approach. Paying above Fair Trade prices is important, but in itself it is not necessarily what defines direct trade. In our case, the majority of our coffees already exceed that level. The real challenge is creating a structure where these relationships, standards, and commitments actually work in practice over time.
That is where Mathias comes in. As our green coffee buyer and the person behind our co-lab and Direct Trade program, he is the one turning those ideas into reality.
Mathias:
We first got in touch with Azahar after we purchased a fantastic lot of decaf coffee named 'Arcoiris' in the 2024-2025 Colombia season. Disappointed with the 'specialty decaf' offerings we were able to find with our steady EU suppliers, we took it on ourselves to somehow get our hands on a bigger volume for the next harvest cycle. Azahar is founded on the believe that coffee can improve the livelihood of people who produce it. Based on full transparency we have established what we believe can be a bigger part of our business in the coming years.
Reaching out and tasting a lot of type samples gave us a much bigger idea and sight of the possibilities that lie within the Azahar operations. Being a tight knit chain between producer, exporter and roaster this new relationship gives us the opportunity to trade much closer to farmers than we have done before. Not settling for longstanding relationships (farmers often get lazy since they have a somewhat steady forecasted sale), we are able to browse the catalogue of coffees that are being produced at origin.
In essence this is as close to direct trade that we have been since starting Caffenation. An exporter/importer buys directly from farmers, pays and communicates farmgate / price paid to farmers (+ surplus for quality). Organizes processing for us at origin (either at the farmer or mill), organizes shipping, ships to the EU, transports directly to our roastery when the coffee has landed.
We've always struggled with the term direct trade since it means something else for everyone and with coffee from the other side of the world, nothing is really direct. We feel like this is a sustainable way for us to work closers to farmers than we have done before but ensuring that we always keep quality high and relationships close.
Due to this close relationship, we were able to ask Rafael Aya for an 'on demand' production of a coffee that we really liked based on type samples we cupped. With experienced producers there is low risk of asking for these kinds of efforts, since they meticulously prepare these coffees and have full control of the outcome. After a 'pre-shipment sample' approval we agreed upon the demanded quality. Not only was it great but tasted better than what we asked for!
Next up is another long-standing country that we wanted to tackle Mexico. Most quality coffee from Mexico goes directly to the US and Canada. Logistically this makes total sense - EU roasters are equally profiting from its proximity to Central- and East-Africa. This makes it difficult for EU roasters and exporters to get their hands on quality Mexican coffees that aren't extremely expensive for the quality given.
Last year we cupped a few samples from Oaxaca that were really fruit driven and could really fit into the Caffenation textbook. But again a US roaster (in this case Onyx) laid their hands on this coffee right before we could. This year however, we managed to secure the honey processed coffee from the Atitlan community. A small step in coffee, but a big one for Caffenation.
On a serious note: this endeavour is still small, but something that we find exciting. On our total volume these bags represent less than 1%, but the way of working has thought us a lot of what can happen if we keep curious and stay hungry for a better coffee world.
Thanks Mathias.
Meanwhile we have planned trip-to-origins to Colombia, in September, and Mexico, in February 2027. From there on we hope to inform you more about this exciting new program.
Stay tuned,
Rob (founder and co-owner Caffenation)