FRAUD RISK ASSESSMENT IN ORGANIC CERTIFICATION. A REFLECTION ON THE CAUSES THAT GIVE RISE TO IT

Abstract

This study analyzes the risk of fraud in a local Participatory Organic Certification market, recognizing that such risk is multi-causal and cannot be reduced solely to economic incentives. It assumes that fraud should not be understood as an isolated act, but rather as the result of a set of structural and contextual conditions. The main objective was to identify the factors that influence the propensity for fraud, paying special attention to the relationship with the government, personal factors, perceptions of performance and trust in the Participatory Organic Certification Committee (POCC), as well as the presence of greenwashing practices and the perception of income adequacy by market players: operators, collaborators, and the POCC itself. The methodology was based on a Rapid Fraud Risk Assessment (RFRA) complemented by a survey of variables associated with its potential occurrence. The results show that while economic incentives play a role, they are not the only factors contributing to fraud risk. Other factors, such as institutional weakness, the competitive environment, and economic constraints, also play a role. Although direct fraud was not detected, the analysis indicates conditions that could lead to fraud, underscoring the importance of managing its prevention. This work proposes a complex interpretation of the phenomenon, which goes beyond the traditional linear view and highlights the need to strengthen cooperation between stakeholders to preserve the integrity of the certification system.