Fair Trade Timeline

Companions to this presentation available at FTRN.org: editable Power Point file 34-page booklet PDF file of booklet Outline

1. Why change traditional trade? 2. What is Fair Trade?

3. Fair Trade in action 4. Brief history of Fair Trade

5. Challenges facing Fair Trade William Gabriel, Windward Islands. 6. How to get involved! Photo credit: Simon Rawles Why Change Traditional Trade? Over 2 billion of the world’s people live on less than $2 a day

Farmer incomes have declined dramatically while consumer prices and agribusiness’ profits have increased

Smallholders grow 70 percent of the world’s food, but still make up half of the world’s hungriest people. Problems with traditional trade

1. Gives too much power to multinational corporations and rich countries 2. Minimizes opportunities for vulnerable producers and sometimes degrades the environment 3. Focuses on short-term profits, evades the full costs of commerce, and overlooks the plight of marginalized people. Goals of Fair Trade

Empowered communities

Market access

Community development Increased independence

Kids use water pump provided by Fair Trade, Ghana. Photo credit: J. DeCarlo

Weavers gain healthy and safe workshop conditions through Fair Trade in Cambodia. Photo credit: Jeff Goldman What is Fair Trade?

Women artisans, Rwanda. Photo credit: SERRV An Alternative Business Model A Social Justice Movement

A System of Global Commerce

A Faith-Based Activity

A Tool for International Development

Farmer and consumer pick coffee, Nicaragua. Photo credit: Global Exchange A useful definition of Fair Trade

“a trading partnership, based on dialogue, transparency and respect, that seeks greater equity in international trade. It contributes to sustainable development by offering better trading conditions to, and securing the rights of, marginalized producers and workers – especially in the South. Fair Trade organizations, backed by consumers, are engaged actively in supporting producers, awareness raising and in campaigning for changes in the rules and practice of conventional international trade.” -FINE (1998) How does Fair Trade Differ from Free Trade? Free Trade Fair Trade

To empower marginalized people and Main goal: To increase nations’ economic growth improve the quality of their lives

Commerce among individuals and Focuses on: Trade policies between countries businesses

Multinational corporations, powerful Vulnerable farmers, artisans and workers in Primarily benefits: business interests less industrialized countries

Punishing to marginalized people & Interferes with free market, inefficient, too Critics say: the environment, sacrifices long-term small scale for impact

Businesses offer producers favorable Countries lower tariffs, quotas, labor financing, long-term relationships, minimum Major actions: and environmental standards prices and higher labor and environmental standards

Producer compensation Living wage and community improvement Market and government policies determined by: costs

Includes many parties between Supply chain: Includes fewer parties, more direct trade producer and consumer

Key advocate World Trade Organization, World Fairtrade Labeling Organization, World Fair organizations: Bank, International Monetary Fund Trade Organization Identifying Fair Trade

Organization recognition

Product certification

There are also a few other recognition systems, each with small market share, listed at FTRN.org. Principles for Recognizing Fair Trade Organizations (FTOs)

Create Opportunities for Economically & Socially Catarina and Mercedes produce Marginalized Producers crafts in Guatemala for MayaWorks. Photographer Develop Transparent & Accountable Naomi Czerwinskyj. Relationships

Build Capacity

Promote Fair Trade

Pay Promptly & Fairly Principles for FTOs

Support Safe & Empowering Working Conditions

Ensure the Rights of Children Girl from a Nicaraguan Coffee Coop. Photo credit: Global Exchange Cultivate Environmental Stewardship

Respect Cultural Identity Criteria for Product Certification

Sugar cane farmer cuts sample to taste. Photo credit: Fair Trade USA

Farmers & Workers benefit from: • Fair Prices • Healthy & Safe Labor Conditions • Direct Trade • Democratic & Transparent Organizations • Community Development • Environmental Sustainability Sahaj Women’s Cooperative Trained tribal Helped artisans women groups create functional with vocational products education Increased income 400%

Women gained social status Sharda Ben Kochra, within their India. family & Photo credit: Handmade Expressions community Kuapa Kokoo Farmers Union Built capacity of Funded schools Sierra Leone’s for girls in Ghana first Fair Trade cocoa coop

Invested in corn mills and palm oil extractors

Trained in soap making and Girls now don't have to stay home to work. batiks Photo credit: Phil Grout Fair Trade by Some Numbers:

Elvia Almachi works with Fair Trade flowers at Agrogana Farm, Ecuador. Photo credit: Fair Trade USA

1.3 million farmers and workers in 2012 benefitted directly from Fair Trade in over 70 producer countries.

Since 1998, sales of certified Fair Trade goods in just the U.S. have generated an estimated additional $260 million for producers. Global Fair Trade retail sales exceed $7 Billion per year.

Fair Trade sales in 2012 grew around 20% globally.

Advocates visit cacao farmer, Nagua, Dominican Republic. Photo credit: Stephanie Sheerin 1149 Producer Organizations Operated in Over 70 Countries in 2012

Number of FLO Certified Producer Organizations by Country – 2011 (when 1030 organizations operated in 67 countries) 120

100

0 Another look at where producers are… FTC Coffee Imported to the U.S.– from total of 163 million pounds in 2012 Other Asia, Ethiopia, Other 2% 2% Africa, 1% Indonesia, 8% Peru, 23%

Other Latin America, 17% Colombia, 13% Mexico, 10% Honduras, Nicaragua, 13% 11% Consumers Buy Over $7B of Fair Trade Products in Over 120 Countries Fair Trade Sales – 2012 (in millions of dollars):

0 500 1000 1500 2000 2500 UK USA Germany France Switzerland Canada AUS/NZ Netherlands Sweden Ireland Finland Austria Belgium Denmark Japan Italy Norway Spain South Africa Rest of World In N. America, retail sales by 250 FTOs, mostly from crafts, represent 5% of all Fair Trade sales.

SURE artisan, India. Photo credit: Handmade Expressions In N. America, sales by over 700 industry partners of FTC goods, made mostly from 15 agricultural products, represent 95% of all Fair Trade sales.

Woman picking tea leaves. Photo credit: Fair Trade USA 12,000 FTC Products Are Sold At Retail Locations in US - Major Brands: Coffee Shops: Caribou Coffee, Dunkin' Donuts, Peet's Coffee and Tea, Seattle's Best Coffee, Starbucks Coffee Grocery Stores: Costco, Giant, Kroger, Safeway, Sam's Club, Target, Trader Joe's, Wal-Mart, Wegman’s, Whole Foods Market Other Shops: Ben & Jerry's Scoop Shops, Bruegger's, Einstein Bagels

Green Mountain Coffee Roasters was the largest purchaser of Fair Trade products in N. America in 2012, with over $75 million paid to producers. Master trainer, Pakistan. Photo credit: Mike DuBose, UMNS & Global Goods Fair Trade products Partners available through FTOs:

Body Care Cards / Stationary Clothing Decorative Art Handbags and Totes Home Textiles Furniture Jewelry Musical Instruments Religious Items Sports Equipment Toys

The Four Biggest FTOs by Sales

Farmer carries bag of mint, Sri Lanka. Dr. Bronner’s Magic Soaps Photo credit: Dr. Bronner’s Magic Soaps Equal Exchange SERRV Ten Thousand Villages

History of Fair Trade: How Did Fair Trade Begin?

Most of today’s Fair Trade organizations began during the mid 20th century as missionary projects, humanitarian efforts or political and economic action statements. Fair Trade Timeline:

1960s 1970s 1980s 1990s 2000s

1940s •1972: First Ten •1994: Fair Trade Thousand Villages Federation formed store opens •2004: Producers form national and regional Fair •1997: Fair Trade •1946: Edna Ruth Byler Trade associations across Labeling imports needlecrafts Asia, Latin America and Organizations from displaced in Africa Europe •1986: Equal formed Exchange •2005: 750 Fair Traders •1949: Church of the established as participate in Fair Trade Brethren establish cooperative, 100% Futures Conference (again in SERRV International Fair Trade business 2010)

•1968: UNCTAD •2010: A second product embraces “Trade certification becomes not Aid” concept widely recognized in N. •1988 Farmers and America, IMO’s Fair for Life activists launch the Social & Fairtrade first Fair Trade Certified. product certification •1969: Oxfam and system, Max other humanitarian •2011 Fair Trade USA Havelaar organizations open leaves Fairtrade the first World International system Shop in Europe 2012: 100,000 people, at over 1000 events around •1989: IFAT N. America, participate in established by Fair World Fair Trade Day, the Trade pioneers largest event in N. American Fair Trade history

Challenges Facing Fair Trade:

1. Reform or replace traditional trade? 2. How should fair prices and standards be determined? 3. How to deal with competing labels and ensure credibility? 4. Should hired labor plantations and rich country producers also benefit from Fair Trade? 5. Others Learn More

1. www.FTRN.org for up-to-date “Learn Up” resources

2. Advocacy groups Newcomers and advocates 3. www.FairTradeFederation.org about fully participate in a Fair Trade committed Fair Trade Organizations Federation seminar. Photo credit: Fair Trade 4. Fair Trade Organizations who are members Federation of FTF or WFTO

5. Certification systems & company partners www.fairtradeusa.org www.fairtradeamerica.org www.fairforlife.net

6. Ask local stores for information

7. Fair Trade producer trip Spread the Word!

1. Refer people to Fair Trade resources 2. Organize an event 3. Introduce your friends to key players in Fair Trade 4. Ask local stores to carry Fair Trade items 5. As your workplace, school or faith community to use Fair Trade items Montclair, NJ, Fair Trade Club spreading Fair Trade at expo. 6. Give Fair Trade gifts Photo credit: Montclair Fair Trade Town 7. Take a friend shopping 8. See www.FTRN.org for curricula. Work or Volunteer

1. Job listings at www.FTRN.org

2. Contact advocacy groups Fair Trade coffee server, Wisconsin. Photo credit: WFTD Sinisawa, WI. 3. Volunteer with faith-based groups

4. Contact business in Fair Trade Join an Action Campaign 1. Host an event for World Fair Trade Day or Fair Trade Month (FTRN.org)

2. Do reverse trick-or-treating (globalexchange.com)

3. Join the Valentine’s Day of Action (globalexchange.com)

4. Organize a Fair Trade Town or University www.fairtradetownsusa.org

5. Advocate for policy reform Reverse Trick or Treating 6. Support nonprofit organizations, such as Materials. FTRN Photo credit: Global Exchange Access this presentation and Beads to Bricks at BeadsForLife. more educational resources Photo credit: Photo thanks to www.charlessteinbergphotography.com at FTRN.org

“Fair Trade” means that Haitians and others around the world can have a better life, have a better vision of themselves, can stand on their own two feet.” - Gisele Fleurant, Director, Committee for Haitian Artisans