Mixed-methods study reveals tailored compliance mechanisms improve farmer adherence to sustainability standards, highlighting certified companies' role as regulatory intermediaries.
Certified companies translate voluntary sustainability standards (VSS) into local practice, yet little is known about how company‐level implementation of VSS relates to farmer compliance. This paper examines Rainforest Alliance (RA) implementation by three certified companies in the Indonesian cocoa sector. Drawing on compliance and regulatory intermediation theories, we distinguish the following three compliance mechanisms: enforcement, incentives, and capacity‐building. Although VSS define general rules on these mechanisms, certified companies exercise substantial discretion in how they implement them, potentially generating heterogeneous compliance outcomes. We combine original quantitative survey data from 458 farm‐households with qualitative data from 43 interviews and three focus groups to assess variation in company implementation and certified farmers' compliance with seven RA‐related indicators. We find substantial implementation heterogeneity across companies and show that enforcement, capacity‐building, and incentives can each support compliance, but for different types of indicators: Enforcement is most useful for visible and auditable practices, capacity‐building for teachable and low‐cost practices, and incentives for practices requiring investment. However, these mechanisms remain insufficient where compliance is constrained by productivity pressures, low or volatile prices, and limited access to suitable inputs. Our findings highlight companies' crucial role in mediating global standards and warrant stronger attention to implementation rules and accountability.
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Depoorter et al. (2026) studied this question.
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