Organic agriculture has the potential to provide improved livelihood opportunities, increased income and social benefits for resource-poor small-scale farmers. It has thus become a popular strategy for economic development and poverty reduction in many areas of the global south. However, there has been limited empirical research regarding the actual benefits of certified organic production, particularly when organic is combined with fair trade certification, and for small-scale farmers who are not engaged in coffee or banana production. Further research is needed to demonstrate experiences of farmers under diverse socioeconomic conditions, organizational contexts and degrees of market access. To address these gaps, two surveys of certified organic and fair trade tea producers in China and Sri Lanka were undertaken to investigate the contributions of organic crops to the household economy. In both cases, organic production required lower investment in terms of external inputs but a higher input of farmers’ labor. The price premium received by farmers for the organic tea compensated for the extra labor input and lower yield, resulting in a net profit. However, given the relatively small plots of tea gardens of each household, organic production could not fully provide for the households’ livelihood. Non-farm income dominated the total income of the households across the study cases, despite the earnings from organic farming. In both sites, market-oriented organic tea projects have created more options for paid work locally, which benefits women of reproductive age. Social benefits of organic farming were also reported. Pursuing fair trade certification on top of organic production facilitated farmer organizing, training and community development. Organic agriculture and fair trade certification offer important prospects to improve the livelihoods of small-scale farmers in other, less favored areas of Asia. These forms of certified production could provide economic and social benefits in instances where farm income is the main source of household income.

Organic agriculture has developed rapidly in China since the 1990s, driven by the increasing domestic and international demand for organic products. Quantification of the environmental benefits and production performances of organic agriculture on a national scale helps to develop sustainable high yielding agricultural production systems with minimum impacts on the environment. Data of organic production for 2013 were obtained from a national survey organized by the Certification and Accreditation Administration of China. Farming performance and environmental impact indicators were screened and indicator values were defined based on an intensive literature review and were validated by national statistics. The economic (monetary) values of farming inputs, crop production and individual environmental benefits were then quantified and integrated to compare the overall performances of organic vs. conventional agriculture. In 2013, organically managed farmland accounted for approximately 0.97% of national arable land, covering 1.158 million ha. If organic crop yields were assumed to be 10%-15% lower than conventional yields, the environmental benefits of organic agriculture (i.e., a decrease in nitrate leaching, an increase in farmland biodiversity, an increase in carbon sequestration and a decrease in greenhouse gas emissions) were valued at 1921 million RMB (320.2 million USD), or 1659 RMB (276.5 USD) per ha. By reducing the farming inputs, the costs saved was 3110 million RMB (518.3 million USD), or 2686 RMB (447.7 USD) per ha. The economic loss associated with the decrease in crop yields from organic agriculture was valued at 6115 million RMB (1019.2 million USD), or 5280 RMB (880 USD) per ha. Although they were likely underestimated because of the complex relationships among farming operations, ecosystems and humans, the production costs saved and environmental benefits of organic agriculture that were quantified in our study compensated substantially for the economic losses associated with the decrease in crop production. This suggests that payment for the environmental benefits of organic agriculture should be incorporated into public policies. Most of the environmental impacts of organic farming were related to N fluxes within agroecosystems, which is a call for the better management of N fertilizer in regions or countries with low levels of N-use efficiency. Issues such as higher external inputs and lack of integration cropping with animal husbandry should be addressed during the quantification of change of conventional to organic agriculture, and the quantification of this change is challenging.