Role of Leadership and Democratic Governance in a Paraguayan Fairtrade Sugar Cooperative in Operationalizing Agroecological Fairness
Abstract
Fairness is a core principle of agroecology; however, its realization cannot be taken for granted through certification schemes alone. In this study, we examined how agroecological fairness is operationalized in practice through democratic governance and strong local leadership, using the Manduvirá cooperative in Paraguay, a pioneering Fairtrade organic sugar producer, as a case. Drawing on fieldwork and interviews with cooperative leaders, the results show that fairness functions not as an automatic outcome of Fairtrade certification, but as a normative value principle guiding decision-making, benefit distribution, and social recognition within the cooperative. Under conditions of long-standing economic hardship and unequal market relations, Manduvirá’s leadership played a critical role in mobilizing collective action and steering the cooperative toward greater autonomy. Through democratic governance arrangements, Fairtrade Premium revenues were transparently allocated, with half distributed directly to members and the remaining half invested in community-oriented initiatives, certification costs, and social programs. These practices enabled the cooperative to transition from a marginal sugarcane supplier to an independent exporter of organic sugar. The findings demonstrate that Fairtrade mechanisms can advance agroecological fairness only when they are embedded in bottom-up institutional arrangements grounded in democratic governance and strong local leadership. By reconceptualizing fairness as a guiding value rather than a guaranteed outcome of standards, this study offers insights relevant to academic debates and policy efforts aimed at fostering more sustainable and just food systems.
Keywords: Agroecology, Fairness, Fairtrade Premium, Democratic governance, Leadership
References
[1]High Level Panel of Experts (HLPE), 2019. Agroecological and Other Innovative Approaches for Sustainable Agriculture and Food Systems that Enhance Food Security and Nutrition. Food and Agriculture Organization of the United Nations: Rome, Italy.
[2]Wezel, A., Herren, B.G., Kerr, R.B., et al., 2020. Agroecological principles and elements and their implications for transitioning to sustainable food systems. A review. Agronomy for Sustainable Development. 40(6), 40. DOI: https://doi.org/10.1007/s13593-020-00646-z
[3]Gliessman, S.R., 2006. Agroecology: The Ecology of Sustainable Food Systems. CRC Press: Boca Raton, FL, USA. DOI: https://doi.org/10.1201/b17420
[4]Altieri, M.A., Nicholls, C.I., 2005. Agroecology and the Search for a Truly Sustainable Agriculture. Available from: http://www.agroeco.org/doc/agroecology-engl-PNUMA.pdf (cited 10 November 2025).
[5]Schlosberg, D., 2007. Defining Environmental Justice: Theories, Movements, and Nature, 1st ed. Oxford University Press: Oxford, UK. DOI: https://doi.org/10.1093/acprof:oso/9780199286294.001.0001
[6]Raynolds, L.T., 2007. Fair Trade: The Challenges of Transforming Globalization, 1st ed. Routledge: London, UK. DOI: https://doi.org/10.4324/9780203933534
[7]Bacon, C.M., 2010. Who decides what is fair in fair trade? The agri-environmental governance of standards, access, and price. The Journal of Peasant Studies. 37(1), 111–147. DOI: https://doi.org/10.1080/03066150903498796
[8]Fairtrade International, 2024. Monitoring the Scope and Benefits of Fairtrade: Monitoring Report, 15th ed. Available from: https://www.fairtrade.net/content/dam/fairtrade/fairtrade-international/library/2024/monitoring-and-evaluation-report-2024-/Fairtrade-monitoring-report-overview-15th-edition.pdf (cited 22 October 2025).
[9]Marcus, S., 1986. Sweetness and Power: The Place of Sugar in Modern History. SIDNEY W. MINTZ. American Ethnologist. 13(2), 377–379. DOI: https://doi.org/10.1525/ae.1986.13.2.02a00190
[10]Mullainathan, S., Sukhtankar, S., 2011. Ownership Structure and Economic Outcomes: The Case of Sugarcane Mills in India. Available from: https://www.theigc.org/sites/default/files/2014/10/Mullainathan-Sukhtankar-2011-Working-Paper.pdf (cited 1 December 2025).
[11]Food and Agriculture Organization of the United Nations (FAO), 2025. Food Outlook—Biannual Report on Global Food Markets. FAO: Rome, Italy. DOI: https://doi.org/10.4060/cd5655en
[12]Odani, H., 2021. Can a Landlocked country, Paraguay, Benefit from the South American Transcontinental Corridor? Focusing on the Current Status of Construction Works and Paraguay’s Major Export Destinations. Información Latinoamericana. 64(3), 29–31. Available from: https://latin-america.jp/download/53860/ (cited 6 March 2025). (in Japanese)
[13]Fraser, N., 1995. From Redistribution to Recognition? Dilemmas of Justice in a “Post-Socialist” Age. New Left Review. 1(212), 68–93. DOI: https://doi.org/10.64590/4rl
[14]Yin, R.K., 2018. Case Study Research and Applications: Design and Methods. 6th ed. Sage Publications: Thousand Oaks, CA, USA.
[15]Flyvbjerg, B., 2006. Five Misunderstandings About Case-Study Research. Qualitative Inquiry. 12(2), 219–245. DOI: https://doi.org/10.1177/1077800405284363
[16]Eisenhardt, K.M., 1989. Building Theories from Case Study Research. The Academy of Management Review. 14(4), 532. DOI: https://doi.org/10.2307/258557
[17]Barrios, E., Gemmill-Herren, B., Bicksler, A., et al., 2020. The 10 Elements of Agroecology: Enabling transitions towards sustainable agriculture and food systems through visual narratives. Ecosystems and People. 16(1), 230–247. DOI: https://doi.org/10.1080/26395916.2020.1808705
[18]Becker, R.G., Campos, S.A.P.D., Rizzetti, D.M., 2024. Agroecological Fair as a Differential Space: An Expression of Resistance. Revista de Gestão Social e Ambiental. 18(1), e07251. DOI: https://doi.org/10.24857/rgsa.v18n1-167
[19]Hickey, C., Robeyns, I., 2020. Planetary justice: What can we learn from ethics and political philosophy? Earth System Governance. 6, 100045. DOI: https://doi.org/10.1016/j.esg.2020.100045
[20]Valdivieso-Albán, S., Tonon-Ordoñez, L., Bermeo-Arpi, A., et al., 2024. Unravelling the success factors of Latin-American Fair Trade projects. DICERE Revista de Derecho y Estudios Internacionales. 1(2), 132–149. DOI: https://doi.org/10.33324/dicere.v1i2.804
[21]Georgescu, L.P., Fortea, C., Antohi, V.M., et al., 2025. Economic, technological and environmental drivers of the circular economy in the European Union: A panel data analysis. Environmental Sciences Europe. 37(1), 76. DOI: https://doi.org/10.1186/s12302-025-01119-4
[22]Vásquez-León, M., 2010. Free Markets and Fair Trade, Collective Livelihood Struggles, and the Cooperative Model: Two Case Studies from Paraguay. Latin American Perspectives. 37(6), 53–73. DOI: https://doi.org/10.1177/0094582X10382099
[23]Manduvirá, C., n.d. Organic Production. Available from: http://www.manduvira.com/index.php/es/que-hacemos/produccion-organica (cited 31 October 2025). (in Spanish)
[24]Fairtrade International, 2023. Regional Monitoring Report: Latin America and the Caribbean. Available from: https://www.fairtrade.net/content/dam/fairtrade/fairtrade-switzerland/studien/de/a4%20Fairtrade-Regional-Monitoring-report-Latin-America-and-the-Caribbean-2023.pdf (cited 5 February 2026).
[25]La Bomba, S., n.d. Azpa Granulated White Sugar 1kg. Available from: https://web.archive.org/web/20251115034547/https://www.stock.com.py/products/3534-azucar-blanca-granulada-azpa-1kg.aspx (cited 15 November 2025). (in Spanish).
[26]ideas COMERCIO JUSTO, n.d. Golden Light Aethica Sugar. Organic 400g. Available from: https://tienda.ideas.coop/alimentacion/azucar-y-edulcorantes-naturales/azucar-golden-light-eathica-bio-400-g-95950356.html (cited 25 January 2026). (in Spanish)
[27]Denzin, N.K., 2017. The Research Act: A Theoretical Introduction to Sociological Methods, 1st ed. Routledge. DOI: https://doi.org/10.4324/9781315134543
[28]Braun, V., Clarke, V., 2006. Using thematic analysis in psychology. Qualitative Research in Psychology. 3(2), 77–101. DOI: https://doi.org/10.1191/1478088706qp063oa
[29]Alcampo., 2021. Manduvirá: Where unity made strength and David defeated Goliath. Available from: https://alcampocorporativo.es/huella/manduvira-donde-la-union-hizo-la-fuerza-y-david-vencio-a-goliat (cited 16 November 2025). (in Spanish)
[30]Fairtrade Foundation, 2013. Fairtrade and Sugar: Commodity Briefing. Fairtrade Foundation: London, UK.
[31]Cooperativa Manduvirá, 2014. Cooperativa Manduvirá: A successful path towards economic independence. Available from: https://altramerica.info/wp-content/uploads/2018/03/manduvira3.pdf (cited 20 September 2025). (in Spanish)
[32]Fairtrade International, 2024. FAIRTRADE Mark Guidelines: Issue 3—Winter 2024–2025. Available from: https://www.fairtrade.net/content/dam/fairtrade/fairtrade-switzerland/fuer-unternehmen/kundenbereich/2025/ATCB-Guidelines-2025_EN.pdf (cited 2 November 2025).
[33]Kiriyama, M., 2025. Economic Impacts of the Fairtrade Premium on Producers: Evidence from a Fairtrade Producer Organization in Rural Paraguay [Bachelor's Thesis]. University of Human Environments: Okazaki, Japan. Available from: https://researchmap.jp/odanihiromitsu/others/53954403 (cited1 October 2015).
[34]Fairtrade International, 2014. Explanatory Document for the Fairtrade Hired Labour Standard. Available from: https://www.fairtrade.net/content/dam/fairtrade/fairtrade-international/standards/hired-labour-/2014-03-31_Ex_Doc_FPC_EN.pdf (cited 27 October 2025).
[35]Fairtrade International, 2019. Fairtrade Standard for Small-Scale Producer Organizations. Available from: https://www.fairtrade.net/content/dam/fairtrade/fairtrade-international/standards/small-scale-producer/SPO_EN.pdf (cited 27 October 2025).
[36]Loconto, A.M., Arnold, N., Silva-Castañeda, L., et al., 2021. Responsibilising the Fairtrade Premium: Imagining better decision-making. Journal of Rural Studies. 86, 711–723. DOI: https://doi.org/10.1016/j.jrurstud.2021.07.011
[37]Food and Agriculture Organization of the United Nations (FAO), 2022. The State of Agricultural Commodity Markets 2022. FAO: Rome, Italy. DOI: https://doi.org/10.4060/cc0471en
[38]Tyler, T.R., 1990. Why People Obey the Law. Yale University Press: New Haven, CT, USA.
[39]Nicholls, A., Opal, C., 2005. Fair Trade: Market-Driven Ethical Consumption. SAGE Publications: London, UK. DOI: https://doi.org/10.4135/9781446211526
[40]Raynolds, L.T., 2022. Can certification increase trade fairness and worker empowerment? Lessons from Fairtrade International-certified plantations in Ecuador. International Sociology. 37(6), 716–739. DOI: https://doi.org/10.1177/02685809221103598
[41]De Janvry, A., McIntosh, C., Sadoulet, E., 2015. Fair Trade and Free Entry: Can a Disequilibrium Market Serve as a Development Tool? Review of Economics and Statistics. 97(3), 567–573. DOI: https://doi.org/10.1162/REST_a_00512
[42]Bermudez, S., Voora, V., Larrea, C., Luna, E., 2022. Global market report: Cocoa prices and sustainability. Available from: https://www.iisd.org/system/files/2022-11/2022-global-market-report-cocoa.pdf (cited 28 December 2025).
[43]International Coffee Organization (ICO), 2024. Coffee Year 2023/24: Paving the Way for a Sustainable Future Through Coffee Diplomacy. Available from: https://www.ico.org/documents/cy2024-25/annual-review-2023-2024-e.pdf (cited 30 October 2025).
[44]Fairtrade International, 2025. Monitoring the Scope and Benefits of Fairtrade: Overview Report, 16th ed. Available from: https://www.fairtrade.net/en/get-involved/library/monitoring-report-overview-16th-ed.html (cited 20 August 2025).
[45]Equal Exchange, n.d. Manduvira. Available from: https://www.info.equalexchange.coop/partners/manduvira (cited 7 September 2025).
[46]One Degree Organics, n.d. Cooperativa Manduvirá. Available from: https://onedegreeorganics.com/farmers/cooperativa-manduvira/ (cited 7 September 2025).
[47]Sustainability Directory, n.d. Fair Trade Premium Accountability. Available from: https://lifestyle.sustainability-directory.com/area/fair-trade-premium-accountability/ (cited 7 September 2025).
This is an open access article under the