A little more at Tully's for a cup that composts

Tully's Coffee will raise drink prices by an average of 11 cents to cover the cost of some big changes.

Starting Wednsday, all espresso drinks sold by the chain will use only organic, Fair Trade-certified coffee beans. Those beans will cost the Seattle company 17 to 20 cents more a pound than it has been paying.

Tully's also will spend 1 to 1.5 cents more for each of its cups, which beginning Wednesday are compostable and recyclable. Most paper coffee cups are not recyclable because of a plastic lining that keeps them from getting soggy. Tully's new cups, made by International Paper, use a plastic lining made from corn.

Tully's hopes the new espresso and recycled cups will attract new customers.

"People demonstrate a willingness to travel for products that support their personal beliefs," said Tully's spokesman Rob Martin.

Because Tully's has only 138 stores, fewer than most multistate coffee chains, the company is hoping it will be alone among those that can offer organic, Fair Trade espresso.

"It's a limited crop, so Starbucks couldn't follow us," Martin said.

Coffee, tea, chocolate and other products are certified as Fair Trade by a third party that ensures producers such as coffee farmers receive a fair price and that they meet strict environmental standards.

Until now, Tully's drink prices tended to be lower than Starbucks, although prices vary. Recently, Tully's charged $3 for a 16-ounce latte near the University of Washington in Seattle. A nearby Starbucks store charged $3.10.

Starbucks raised drink prices an average of 9 cents this summer after a nickel increase last year to cover the rising costs of milk, employee wages and fuel.

Starbucks and other chains sell organic and Fair Trade whole beans for customers to brew at home, and they sometimes brew it in their stores. However, the espresso in Starbucks' lattes and other coffee drinks is not organic or Fair Trade-certified, except in select areas where consumers demand Fair Trade coffee, such as some college campuses.

More than half of the 300 million pounds of coffee Starbucks bought last year came through its proprietary C.A.F.E. Practices program. Its goals largely mimic those of TransFair USA, which certifies Fair Trade products sold in this country.

One of the largest U.S. chains using Fair Trade — but not organic — beans in all its espresso drinks is Dunkin' Donuts, which is a major coffee-shop competitor in the eastern U.S. With more than 7,000 stores worldwide, it has used Fair Trade coffee in its espresso drinks since 2004.

"Dunkin' Donuts believes Fair Trade is one valid approach to sustainable coffee supplies. Sustainability is important to the industry's health and to our company as well," said spokeswoman Susanne Norwitz.