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Abstract

Shade coffee certification programs that aim to conserve the forest have attracted an increasing amount of attention. However, there is heated debate whether certification programs create an incentive for producers to expand their coffee-growing areas. This study conducted in Ethiopia aimed to evaluate the impact of a shade coffee certification on forest degradation. Additionally, to provide empirical evidence for the debate, we examined the spillover effects of certification to surrounding forest. We used remote sensing data to identify the forest quality and applied matching methods to compare forest coffee areas with and without the certification. We found that the certified areas significantly conserved forest quality compared with the areas without certification. Furthermore, our empirical results revealed that the certification had a positive impact on the forest areas within a 100 m radius. These results indicate that the certification program is effective in alleviating forest degradation.

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