Fairtrade explained changing trade together

fairtrade.org.uk What does the FAIRTRADE Who benefits? Mark tell you? Fairtrade works with disadvantaged Fairtrade products farmers in the developing world. always carry the FAIRTRADE • Small-scale farmers suffer from Mark. poor market access and unfair international trade rules such as tariffs and subsidies for rich countries. The Fairtrade minimum price covers the • Producers have been paid a fair, cost of farming sustainably and allows stable price producers to plan for the future.

• Producers have longer-term trading • Farm workers often lose out on their relationships, with more stability share of the benefits of global trade. Fairtrade standards protect workers’ • Producers have access to training and rights to decent pay, a safe working skills to develop their businesses environment and the right to join a trade union. • Producers get a little extra, the Fairtrade premium, to decide for themselves how to spend to strengthen their businesses ‘Our vision is of a world and their communities in which justice and Who needs Fairtrade? sustainable development are at the heart of trade What is structures and practices.’ World trade rules and power structures Fairtrade? aren’t fair. The odds are stacking higher Fairtrade is more than just a different way than ever against small-scale farmers and of doing business. It’s a unique international workers in the developing world. They movement with a bold and breathtaking face the challenges of rising food and mission: to change the way world trade fuel costs, an increasingly unpredictable works. It’s about a better deal for the people climate and volatile prices for their goods. in developing countries we rely on for our During a financial downturn, it’s the everyday needs. It harnesses the power poorest that suffer first, and worst. of shoppers, producers, businesses and campaigners and it’s growing all the time. On the world market, commodity prices rise and fall, making it difficult for producers to plan for the future. If farmers earn less than it costs to run their farm, they face real hardship – struggling to buy food or keep their children in school. They risk losing their land and livelihood. Shea nut processing, Burkina Faso Mothers with their babies at a maternal to members. Before this, the waste health clinic Stronger communities built using was tipped in the river, badly affecting people and Fairtrade premium in water and wildlife. Mafele, Mali The Fairtrade premium empowers farmers benefits and workers to decide for themselves Adapting to a which projects to invest in to benefit their changing future communities and their businesses.

Cotton farmers in West and India are A changing climate means producers paying the penalty of low cotton prices, have to adapt their methods and the driven down by subsidies paid to the US, extra income from Fairtrade offers a little China and for their cotton, and breathing space for them to experiment competition from synthetic fibres. The with ways to increase their income. It also economies of some of the world’s poorest puts them into a better position to cope countries depend on cotton. In Mali, where with rising food and fuel costs. Pioneer cotton is often the sole source of cash Fairtrade company Cafédirect are funding for small farmers, 40% of the population a groundbreaking project called AdapCC, depends on it. which is supporting coffee and tea farmers in developing countries to adapt to The Dougourakoroni Co-operative chose the effects of climate change. They are to build a school for their village using the building networks, sharing technical Fairtrade premium. Before this children information and planning how to respond were taught under a tree which meant to predicted changes. lessons were cancelled during bad weather. ‘Simply implement what has already been Healthier environment agreed’, asks Baini Diakite, Banfara Village A business boost Cotton producers’ union of Sebekoro, Mali. Fairtrade standards aim to protect the ‘Buy our cotton in the Fairtrade market environment for us all. Extra income from and we’ll face our own problems, climate Producers say that the main benefit of ‘With Fairtrade small Fairtrade gives farmers the chance to invest change consequences included.’ Fairtrade is that they receive a higher income farmers have been in farming methods that are sustainable and through the Fairtrade minimum price. Along transformed from help raise their standard of living. with longer-term trading relationships, this marginalised farmers lets producers develop their businesses and In Costa Rica the Llano Bonito Co- plan ahead for their families. into business men.’ operative bought two new ovens to dry Amos Wiltshire, National Fairtrade processed coffee beans. They replaced The Windward Islands is just one place Co-ordinator for Dominica wood burning ovens and save felling 10 where the extra income from Fairtrade hectares of forest every year. The new has allowed farmers to improve roads to Co-ordinator for Dominica, one of the ovens run on environmentally-friendly fuel transport their crop, meet the standards Windward Islands. ‘Fairtrade has been from coffee hulls and pulp. They dry the supermarkets require for their packing the saviour of the farmers of Dominica beans evenly to a high quality, earning the A water sheds and get business training. – of agriculture and the whole economy. farmers a higher price. bore hole With Fairtrade small farmers have been paid for with Fairtrade ‘Bananas are the heartbeat of our country,’ transformed from marginalised farmers The co-op also uses waste coffee pulp for premium in explains Amos Wiltshire, National Fairtrade into business men.’ organic fertiliser. It is composted and sold Diadoubala, Mali Growing bananas in the Caribbean isn’t like growing cotton in India. So that’s why ‘We are now getting the Fairtrade standards differ from product technical and financial to product. support that enables us to continue our Take that essential morning coffee. Most coffee is tradition of excellence.’ grown by small-scale Tadesse Meskela, Oromia Coffee farmers on their own Farmers Co-operative Union land, often members of co-operatives. Fairtrade supports small-scale farmers to work There must be minimum health and together to strengthen their co-operatives safety standards and environmental and community infrastructure, to improve standards in operation. Forced or child quality and market knowledge so that labour are both prohibited. A committee they can compete more effectively in or Joint Body, consisting of management the marketplace. Fairtrade standards and democratically elected worker require the open, democratic running representatives, must be in place to decide of co-operatives as well as promoting how to invest the Fairtrade premium for sustainable farming. the benefit of the workers. Through the Joint Body, workers are empowered and Tadesse Meskela from Oromia Coffee involved in decision making. Farmers Co-operative Union, Ethiopia sums up their experience. ‘Our members As Mr J Devasagayam, have greatly benefited from the profits Estate Supervisor, Fairtrade has generated. On top of that, Stockholm Tea Estate in we are now getting technical and financial Sri Lanka states, ‘We all support that enables us to continue our work together on the Joint tradition of excellence. Therefore, Fairtrade Body; management and workers’ Setting membership is very important to our representatives are equal in status, I don’t organisation and its members.’ feel intimidated by the presence of the better manager... Fairtrade is raising our living How about that other vital breakfast drink, standards. But just as importantly, it is s an ar s tea? Most tea comes from private estates. changing people’s attitudes. We used to t d d Here, the biggest concerns for workers are ask the estate manager or the government usually fair wages and decent working and to do things for us to improve our lives; for trade living conditions. now we’re trying to do it ourselves’. Fairtrade’s vision is of a world where justice and sustainable development are On commercial farms where hired labour Fairtrade standards are unique because at the heart of trade. Fairtrade standards is used, the Fairtrade standards are based they cover terms of trade between seek to strengthen disadvantaged farmers on International Labour Organisation producers and other traders. On top of the and workers in international trade. Conventions. They require estate or Fairtrade price and premium, and credit plantation owners to pay decent wages, facilities where requested, the Fairtrade promote the right to join trade unions and standards encourage trading partners to Sun drying coffee, Choche, provide good housing where relevant. build strong, long term relationships. Oromia, Ethiopia introducing fairtrade Producer networks are regional groups of certified international (FLO) producers who share knowledge and are represented at the heart of Fairtrade is the UK member of (FLO). on Fairtrade International’s board and in This is the standard setting and certification organisation for Fairtrade. standard setting.

There are two parts to Labelling initiatives are national organisations Fairtrade International (FLO): that market Fairtrade and licence companies to use the Fairtrade International Producer FAIRTRADE Mark on products is a non-profit association. It sets networks Fairtrade Foundation in their country. There are Fairtrade standards, develops currently 19 Fairtrade labelling Fairtrade business and provides members: initiatives covering 24 countries support to producers. in Europe, , Japan, Banana Link, CAFOD, Christian Aid, and New Zealand. Methodist Relief and Development The newest labelling initiatives Fund, National Federation of are in producer countries, such Women’s Institutes, Nicaragua as South Africa, where there is Fairtrade Solidarity Campaign, , growing interest in Fairtrade from Africa People & Planet, Soroptimists GBI, domestic consumers. Fairtrade Foundation, SCIAF, Tearfund, Exchange, International United Reformed Church, World (FLO) Development Movement

CLAC For more about Fairtrade Coordinator of International visit: Fairtrade and the www.fairtrade.net Caribbean FLO-CERT is an international For more about the Fairtrade Labelling certification company that is Foundation and the initiatives owned by Fairtrade International FAIRTRADE Mark, visit: but which operates independently. NAP www.fairtrade.org.uk It is responsible for the inspection Network of Asian and certification of producer Producers For more about organisations and traders against Fairtrade Africa, visit: the Fairtrade standards. www.fairtradeafrica.net

Cotton farming in Mali fAirtrade Key around Labelling initiatives (markets) Producer countries the world Producer countries and labelling initiatives (markets)

Producer countries

• Argentina • Malawi • Belize • Mali • Benin • Mauritius • Bolivia • Mexico • Brazil • Morocco • Burkina Faso • Mozambique • Cameroon • Namibia • Chile • Nepal • China • Nicaragua • Colombia • Pakistan • Comoros • Palestine 7.5 Islands • Panama million • D emocratic • Pa pua New 827 people (farmers, Republic of Guinea producer workers, their families Congo • Paraguay organisations and communities) • Costa Rica • Peru certified benefiting from Fairtrade • Cuba • Philippines Fairtrade products sold in • D ominican • Rwanda Republic • Senegal • Ecuador • Sierra Leone • Egypt • South Africa 70 countries €3.4bn • El Salvador • Sri Lanka Labelling initiatives cover: • Ethiopia • Swaziland estimated global • Ghana • Tanzania • AUSTRALIA • LATVIA sales in 2009 • Guatemala • Thailand Organisations• A deUSTRI producAteurs • LITHUANIA • Haiti • Timor-Leste • BELGIUM • LUXEMBOURG Organisations de producteurs et • Honduras • Togo Organisations• CA de NlabellisationADA / promotion• THE NETHERLANDS • India • Tunisia • DENMARK • NEW ZEALAND Organisations de labellisation / promotion • Indonesia • Uganda • ESTONIA • NORWAY • Ivory Coast • Venezuela • FINLAND • SPAIN • Jamaica • Vietnam • FRANCE • SWEDEN • Kenya • W indward • GERMANY • SWITZERLAND • Kyrgyzstan Islands • IRELAND • UK • Laos • Zambia • ITALY • USA • Madagascar • Zimbabwe • JAPAN • SOUTH AFRICA Vanilla producer in India Cotton picking in Mali Sugar cane farming in Costa Rica Buying ‘We work according Fairtrade to standards set creates real by FLO. We use change for the Fairtrade producers in premium for the the developing things we choose, world. democratically.’

You and Producers your friends

changing trade together

Companies Certification

In the UK, companies must apply to FLO liaison officers the Fairtrade Foundation to use the provide producer groups FAIRTRADE Mark. The FAIRTRADE with support to meet Mark certifies as Fairtrade the product Fairtrade standards. FLO- it is on, not the whole company that CERT inspectors based all makes it. The Fairtrade Foundation around the world certify and FLO-CERT ensure minimum producer organisations prices and premiums are paid by the and traders against companies to the producers. Fairtrade standards. Fairtrade in the UK Over This unique people’s movement has been built 5 community0 Fairtrade from the bottom up, Towns campaigns0 conversation by conversation, across the UK choice by choice, business by business. Everyone can What next? play their part! Nine in ten people in the UK have heard about Fairtrade, thanks to thousands of local campaigns spreading the word. Supermarkets stock Fairtrade 0 because their customers are asking for it. Fairtrade is 44 hitting the news daily because of the amazing creativity of individuals and community groups. companies licensed to sell Fairtrade it’s easy To get involved: products Over • Sign up for Fair • Make Fairtrade Comment, the Fairtrade part of your office 7 Foundation’s quarterly or business 4% newsletter of the UK public • Take part in the virtual More than recognise the FAIRTRADE Mark • Subscribe to monthly conversation about campaigns emails for Fairtrade on Facebook, 0 news and actions for Twitter and Youtube 4,50 trade justice products certified to carry the FAIRTRADE Mark • Join your local , • Celebrate Fairtrade University, School Fortnight each year with or Place of displays, tastings or worship other events

www.fairTrade.org.uk

Tea lady campaigners, 2010 Fairtrade Foundation 3rd Floor Ibex House 42-47 Minories London EC3N 1DY Tel: +44 (0) 20 7405 5942 Fax: +44 (0) 20 7977 0101 www.fairtrade.org.uk

Registered Charity No. 1043886 A company limited by guarantee, registered in England and Wales No. 2733136 Photography credits: Cindy D’Auteuil, Trevor Leighton, Richard Human, Simon Rawles, Linus Hallgren, Peter Caton, Graham Jepson, Tom Bamber

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