Fair trade is an alternative approach to conventional trade it is a trading partnership that seeks greater equity in international trade.
Fair trade also contributes to sustainable development by offering better training conditions helping to secure the rights of, marginalised producers and workers - especially in low-income developing countries.
Fair trade ensures the minimum price paid for their product covers the cost of production, a living wage and a social premium that is invested back in the local community, contributing to community health care, education, infrastructure and sustainable development.
Fair trade is a growing international movement which ensures that producers in poorer countries get a fair deal. This means a fair price for their goods one that
covers the cost of production
guarantees a sustainable livelihood;
long-term contracts which provide income security;
support to gain the knowledge and skills that they need to develop their businesses and increase sales.
Why Fair Trade?
Current international trade practices can disadvantage those in developing countries, as profits are unlikely to return to the farmer or original producer. For small farmers, access to market or price information is difficult and as a result, many become increasingly dependent on middlemen and receive smaller and smaller returns for their work. In bad times, many lose their only property - their land - and thus, their livelihoods.
Consequently many plantation workers endure low pay, unsafe working environments and poor living conditions. Too often they lack the opportunity to participate in decisions that affect their lives on the plantation. Online Coffee Shop
The way that many products are produced, traded and consumed is simply unjust; this is a major cause of continuing world poverty.
Fair trade is about empowering producers in developing countries -
by paying producers and workers fair prices for their work
by helping producers gain the skills and knowledge they need to develop their businesses
empowering producers to operate in the global economy
by challenging unfair trading practices. Fair trade - It is about providing fair go, not charity.
Creating opportunities for economically disadvantaged producers Fair trade is a strategy for poverty alleviation and sustainable development. Its purpose is to create opportunities for producers who have been economically disadvantaged or marginalized by the conventional trading system.
Transparency and accountability Fair trade involves transparent management and commercial relations to deal fairly and respectfully with trading partners.
Capacity building Fair trade is a means to develop producers’ independence. Fair trade relationships provide continuity, during which producers and their marketing organizations can improve their management skills and their access to new markets.
Payment of a fair price A fair price in the regional or local context is one that has been agreed through dialogue and participation. It covers not only the costs of production but enables production which is socially just and environmentally sound. It provides fair pay to the producers and takes into account the principle of equal pay for equal work by women and men. Fair traders ensure prompt payment to their partners and, whenever possible, help producers with access to pre-harvest or pre-production financing.
Gender Equity Fair trade means that women’s work is properly valued and rewarded. Women are always paid for their contribution to the production process and are empowered in their organizations.
Working conditions Fair trade means a safe and healthy working environment for producers. The participation of children (if any) does not adversely affect their well-being, security, educational requirements and need for play and conforms to the UN Convention on the Rights of the Child as well as the law and norms in the local context.
The environment Fair trade actively encourages better environmental practices and the application of responsible methods of production.
Fairtrade Labeling
The FAIRTRADE logo is your guarantee that the product you are purchasing meets the requirement of internationally agreed Fairtrade standards. Use of this logo is backed by a certification and trade audit system that applies to all companies in the supply chain up to the point of final packaging.
