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RUGMARK Foundationnorthamerica 31783 CVRspread 7/31/07 3:15 PM Page 1 RUGMARK FOUNDATION USA RUGMARK FOUNDATION NorthAmerica 2001 S Street NW, Suite 430 2006 ANNUAL REPORT Washington, D.C. 20009 Tel: (202) 234-9050 Fax: (202) 347-4885 www.RugMark.org Printed on paper certified by the Forest Stewardship Council (FSC). 31783 CVRspread 7/31/07 3:15 PM Page 2 RugMark is a nonprofit organization working to end BOARD OF DIRECTORS BOARD OF ADVISORS RUGMARK INTERNATIONAL BOARD Gary Coles-Christensen Pharis Harvey Charles Lyons Terry Collingsworth, Chair G. Coles-Christensen, Ltd. Stolen Childhoods Senator Howard Metzenbaum Malini Mehra, Vice-Chair exploitative child labor in the Maureen Orth Sharda Subramaniam, General Secretary Terry Collingsworth Stephanie Odegard Charles Porter Bijay Bahadur Shrestha, Treasurer carpet industry and offer International Rights Advocates Odegard, Inc. Caroline Ramsay Phil Schlein RUGMARK NATIONAL OFFICES educational opportunities to JD Doliner Lizann Peyton Opus 4 Consultant, Nonprofit Organization STAFF RugMark Germany Development children in India, Nepal and Sara Goodman Nina Smith RugMark Foundation India Fiber artist Executive Director ® James Silk Pakistan. The RugMark Orville Schell Center for Human Rights, Nepal RugMark Foundation 17 Steve Graubart Yale Law School Cyndi Janetzko label is your best assurance International Market Access Director of Operations RugMark Society Pakistan Natalie Halich Massa Cressall RugMark UK that no illegal child labor International Finance Corporation Communications Manager Denise Hamler Rebecca Shaloff was used in the manufacture Co-op America Development Officer Senator Tom Harkin Biko Nagara of a carpet or rug. U.S. Senate Program and Technology Assistant 31783 TXT_R1:Layout 1 8/14/07 12:50 PM Page 2 A MESSAGE FROM THE EXECUTIVE DIRECTOR This was a year of tremendous progress for RugMark This year nearly 10,000 North Americans purchased $45 million worth of USA as we launched The Most Beautiful Rug. In less than 12 certified rugs. These consumers, along with our supporters, helped RugMark to: months this consumer awareness campaign has moved us • Rescue 144 children and prevent thousands more from entering servitude closer to our goal of ending child exploitation in carpet • Educate 3,172 former carpet kids and children of weavers in South Asia weaving. Thank you to our donors, business partners and • Build awareness among millions of consumers that the beauty of a rug is other supporters who have made this possible. dictated as much by the conditions under which it was made as by the pat- The premise behind The Most Beautiful Rug is that when terns and colors that adorn it. consumers are educated and offered the choice to pur- This report highlights other ways that RugMark ties together Western con- chase child-labor-free products, they will select the sumers and the artisans who craft the rugs they buy. This inter-connectedness humanitarian option. Indeed, sales of RugMark certified rugs increased by nearly brought about by the RugMark® label has the potential to end child labor: it 1 30 percent in 2006. truly is what makes a rug beautiful. The simple act of purchasing a RugMark rug can literally touch the life of a While we made outstanding progress this year, our goal is to build our cam- child. Hem Moktan is typical of a child weaver in Nepal. He worked in virtual slavery paign until the carpet industry is child-labor-free. With your continued involvement and was subjected to abuse. In three years he earned a mere $45 for his toil. Today Hem we can reach the estimated 300,000 remaining carpet kids in India, Nepal and studies at PTI College in Kathmandu, an unimaginable achievement a few years ago. Pakistan and demonstrate that market-driven solutions can change the world. The Most Beautiful Rug helps children like Hem by steadily increasing the mar- ket share of certified child-labor-free rugs to five percent and then to 15 percent, the estimated point by which we can declare victory. Nina Smith, Executive Director Rug images (in order of appearance) by Odegard, Inc., Bennett MAKING A PURCHASE, MAKING A DIFFERENCE . 2 Bean Studio, Northfield Carpets International, Company C, Inc., WEAVINGTHE MOST BEAUTIFUL RUG: RugMark Launches AwarenessCampaign . 3 Bev Hisey, Lapchi, Lapchi, Northfield Carpets International, ARK OF EAUTY Angela Adams Designs and Bennett Bean Studio. A M B (Stories from the Field, RugMark Schools and Social Welfare Programs) . 4 HOW TO SELECT THE MOST BEAUTIFUL RUG . 8 RugMark is grateful to Robin Romano whose copyrighted photographs are featured throughout this report. Additional photog- DESIGNS OF THE TIMES: RUGMARK’S INDUSTRY PARTNERS LEAD THE WAY . 10 raphy by Kaja Glinski, Sam Kittner, Paul Kozel, FINANCIAL INFORMATION . 14 Mani Lama and RugMark USA. SUPPORTERS LISTING . 16 BOARD AND STAFF . 17 31783 TXT 7/31/07 3:07 PM Page 3 MAKING A PURCHASE,MAKING A DIFFERENCE Whether furnishing a home, buying clothes, handmade rug industry. Today, RugMark operates or filling a grocery cart, it can be difficult to find in six countries and fulfills its mission through: products that didn’t cause harm in their making. For Monitoring and Certification – Inspectors in the last decade, RugMark has led a nascent move- India, Nepal and Pakistan make random, surprise visits ment to change this, beginning with the carpets in to rug production sites. Companies that join RugMark American living rooms woven by children. and meet its strict no child labor standards are issued In the next decade, even sooner, it could be the certification labels for their carpets. Each numbered norm for industry to comply with humanitarian label can be traced back to the production site. and environmental standards and for certification Child Rescue and Education – RugMark rescues 2 labels to guide consumer purchases. What would the exploited children and offers them rehabilitation, world be like if every product coming from the education, vocational training and job placement. smallest-scale farmer or a major department store Consumer Action and Industry Outreach – had a good story to tell? RugMark educates consumers in North America This is the story of handmade rugs: An estimated 300,000 children are employed and Europe to look for the RugMark® label and recruits companies to join the by the rug industry, toiling in slave and slave-like conditions throughout South Asia. certification program. The rugs they make are sold to people in the U.S., the world’s largest rug market, RugMark is transforming an industry’s way of doing business and providing many of whom have no idea of the invisible crime that their purchase supports. a model for others to follow. In just 12 years of operation the rate of child labor RugMark was founded in 1994 by Kailash Satyarthi to end child labor in the on South Asian carpet looms has dropped by more than 60 percent. “We’re living in a generation of solutions. RugMark is a solution and has proven exploitative child labor can be ended.”– Charles Lyons, President, U.S. Fund for UNICEF 31783 TXT 7/31/07 3:07 PM Page 4 WEAVING THE MOST BEAUTIFUL RUG RugMark Launches Awareness Campaign 2006 saw the official RugMark unveiled a new advertising direction Highlights from RugMark’s extensive and unrolling of The Most Beautiful and a digital makeover for www.RugMark.org, created prominent press included: Rug: RugMark’s Campaign to and distributed in-store promotional materials, intro- • A feature in the Home & Garden section of the San End Child Labor. The Most duced a quarterly e-newsletter, hosted a series of aware- Francisco Chronicle entitled“Righteous Carpet Making”; Beautiful Rug aims to increase ness-raising events and was featured in media stories. • “Behind the Loom,”a full- the market share of certified This outreach has already delivered results. page story in Utne; rugs by educating end con- RugMark rugs comprise nearly $9 million - approx- • Louis Freedberg’s editorial sumers and those who influ- imately 2 percent - of the total import value of all in the San Francisco Chronicle, ence rug purchases – interior handmade rugs sold in the U.S. “Child Labor Beneath Our Kailash Satyarthi, RugMark’s designers, architects, retailers In 2006, RugMark advertising placements and Feet” in which he urges con- 3 founder, at the campaign launch and importers. editorial coverage in leading design and lifestyle sumers to “pitch in” and de- The Most Beautiful Rug previewed in January at the magazines raised consciousness about child labor. mand child-labor-free rugs; San Francisco Design Center’s Winter Market. It hit RugMark’s new public service announcement, “The and both coasts in September with events in San Most Beautiful Thing about an Imported Rug” • A feature in METROPOLIS, “The Ethics of Rugs,” Francisco and New York – the campaign’s target appeared in the pages of our media sponsors – which captured the essence of The Most Beautiful Rug markets. The launch culminated with a press confer- Dwell, METROPOLIS and the regional lifestyle mag- in a quote by Nina Smith:“The real goal is to create ence at UNICEF’s headquarters during the rug azines of Modern Luxury Publishing Group – and a marketplace that doesn’t tolerate child labor and trade’s New York Market Week. other publications throughout the year. sends that message right down the supply chain.” WWW.RUGMARK .ORG: THE MOST BEAUTIFUL RUG CENTERPIECE • The U. S. market share of certified A new and improved www.RugMark.org went live in 2006. With fresh content, links and downloads, the site experienced an 82 percent increase rugs has grown by 64% over the past in average daily hits from the fall of 2005 to the fall of 2006. As the gateway to RugMark and The Most Beautiful Rug, the website contains a wealth of information for campaign audiences.
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