The Critical Role of Retailers in Leveraging Sustainability of a Global Supply Chain

ABSTRACT Shade‐grown coffee farming supports biodiversity and generates additional sustainability outcomes, though the drivers of this approach are poorly understood. Previous research on coffee sustainability has focused on producers or consumers, potentially overlooking the role of retailers in commodity supply chains. We conducted semi‐structured interviews with 19 coffee traders, roasters and retailers in Melbourne, Australia to understand their coffee purchasing decisions, sustainability initiatives and their underlying motivations. Our findings indicate that retailers occupy a critical point in a supply chain from which to leverage sustainability transformations: they can support sustainable approaches at origin, in partnership with farmers and other actors, whilst also undertaking initiatives at the consumer end of the supply chain, thereby exerting bidirectional influence in supply chains. Place‐based environmental initiatives were especially likely to be implemented by large multinational traders and independent roasters operating with purpose‐driven business models that aim to deliver positive environmental, social and economic outcomes for all stakeholders. Behaviour change interventions should target retailers in global supply chains to support sustainability outcomes.