An Introduction to Fair Trade
The Fair Trade movement started in Europe in the 1960s to help producers in developing countries receive a better deal for international trade in commodities and other goods.

Since then Fair Trade has grown in influence and power. The movement has created trading partnerships and ethical trading initiatives. It has improved working conditions, remuneration and market access for producers in the global South. In 1988 the first Fair Trade label was introduced in the Netherlands, and since then consumer demand for labelled products has grown dramatically in Europe, North America and the Pacific Rim.

Worldwide consumers spent over €3.4 billion on Fair Trade certified products in 2009. This represents a 15% increase on the previous year and means that over 1.2 million producers and workers in 58 developing countries now benefit from Fair Trade sales.
Source www.fairtrade.org.uk

There are now 827 Fairtrade certified producer organizations in 58 producing countries, representing over 1.2 million farmers and workers. In addition to other benefits, approximately €52 million was distributed to communities in 2009 for use in community development. Including families and dependents, Fairtrade International estimates that six million people directly benefit from Fairtrade.
Source :www.fairtourism.net

Fair Trade Labeling

Background
The movement to promote fairer trade spans the twentieth century.As early as the 1950s “goodwill selling” was established in the United States, and in 1959 the Worldshop movement was initiated by Oxfam. This was followed by the growth of alternative trading organisations (ATOs) in the USA and Europe, from the 1960s onwards. In the 1980s, some Italian consumer organisations proposed that goods being imported to Italy should be taxed in inverse proportion to the degree to which social and ecological standards of the exporter matched those of Italy.

Fair Trade labels were the logical outcome of these early initiatives. The first Fair Trade label was formed in response to a request by coffee farmers in southern Mexico, whose argument was based on the principle of ‘trade, not aid’. Working in partnership with coffee farmers, the first Fair Trade Label (‘Max Havelaar’) was created in the Netherlands in 1988. Today there are 17 labeling organisations located in Europe, North America and the Pacific Rim. These labels are all aligned to the global Fair Trade Organization (FLO – Fair Trade Labelling Organization), which is based in Bonn, Germany, and sets standards for specific products including coffee, tea, rice, fruit and wine. Products that are not regulated by FLO are traded and marketed by a range of non-profit and for-profit Fair Trade organisations – this applies to craft, natural products and tourism.

The Fair Trade Foundation is an independent certification body that awards the Fair Trade mark to products which meet international Fair Trade standards set by FLO (FairtradeLabeling Organizations International). Currently FLO spans almost 80 countries, working with 827 producer partners from 58 countries and across 21 Fair Trade markets in Europe, North America, Australia, New Zealand, Mexico and Japan. Six million people – farmers, workers and their families – benefit from the international Fair Trade system and FLO aims to continually increase the number of producer groups registered to supply the international Fair Trade market. The UK has the most dynamic Fair Trade market in the world – here you can find the widest range of products, the most diverse range of companies involved and the most active grassroots campaigning network.

Fair Trade Networks, Organisations, and Labeling Initiatives
FINE is a network of Fair Trade organisations that includes :

  • Fair Trade Labeling Organizations (FLO International)
  • International Federation for Alternative Trade (IFAT)
  • Network for European World Shops (NEWS!)
  • European Fair Trade Association (EFTA)

FINE has agreed on the following definition of Fair Trade: Fair Trade is a trading partnership, based on a dialogue, transparency and respect that seek 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.

* FLO International is the worldwide umbrella organisation of 17 national labeling organisations. It was founded in 1997 to co-ordinate producer related work and communication between the Fair Trade labeling initiatives and partners in developing countries. It is an independent certification body that sets standards for specific products and monitors producer and trader compliance with these standards. The FLO mark is the best-known Fair Trade label on the market and is associated with products like coffee, chocolate, fruit and wine.
Link :www.fairtrade.net

FLO has started the process of harmonising the different labels into one international image (logo). They have introduced the International Fair Trade Certification Mark on the market and the new mark is now available and it will be replacing existing labels at different speeds in different countries.

* IFAT is a network of alternative trading organisations (ATOs) and producer organisations in Africa, Asia, Europe, Latin America, North America and the Pacific Rim, working to improve the livelihoods and well being of poor people through trade.IFAT is best associated with craft, clothing and natural products. The IFAT regional office in Africa is COFTA (Cooperation for Fair Trade in Africa) whose head office is in Nairobi, Kenya

IFAT is working with FLO (Fair Trade Labeling Organizations International) to develop a system for labeling non-food Fair Trade products, in particular handicrafts, which will significantly expand the market for such products, especially for small-scale producers. IFAT expects to make further announcements on these developments by the end of 2004.

IFAT has a new name: the World Fair Trade Organization. (October 2008)
Link :www.ifat.org

* NEWS!was established in 1994 as a network of national associations of World Shops representing 2500 shops in 13 member countries. NEWS! Initiates and co-ordinates joint campaigns and awareness raising activities of the European World Shops and support the professionalization of national associations of World Shops. Its aim is the promotion of Fair Trade in general and the development of the World Shops movement in particular.

*World Shop sells Fair Trade products and raises awareness on Fair Trade by initiating information activities, exhibitions, educational programmes and actions. Along with Fair Trade importers, World Shop organises joint campaigns to promote Fair Trade and to change the rules and practices of conventional trade. World shops co-operate on local, regional, national and international levels, supported by their National Associations.
Link :
www.worldshops.org

* EFTA was established in 1990 and its core business is to make Fair Trade importing more efficient and effective. It provides services to its members, like information exchange on products and producers, encouraging bilateral cooperation and the development of a common database. The second core activity is advocacy and campaigning: raising awareness of decision makers and the general public by focusing on concrete examples like coffee, cocoa or rice, and by proposing concrete solutions to redress the imbalances and to improve trade policies.
Link :www.eftafairtrade.org

* Fair Trade Federation (FTF). FTF was set up in 1994 in Washington, DC. Its members include Fair Trade organisations including producers, retailers, and wholesalers who are committed to providing fair wages and good employment opportunities to economically disadvantaged artisans and farmers worldwide. In the USA and Canada, FTF has about 115 members, some of which are also IFAT members.
Link :www.fairtradefederation.com

* Fair Trade Association (FTA). FTA was established in 2003 in Australia, with members from Fair Trade importing and wholesaling organisations in the region of Australia and New Zealand. FTA aims to create a common understanding of Fair Trade among its members, which is to ensure a better deal for producers and workers marginalized and disadvantaged through current international trade practices and rules.
Link :www.fta.org.au

Source: Traidecraft Fact sheets - Fair Trade is FINE!
www.traidcraft.co.uk

* Transfair International
Transfair International, founded in June 1992 by EFTA and Transfair Germany, is a Fair Trade labeling initiative that has been introduced in Europe, North America and Japan. Transfair enables consumers to distinguish fairly traded products in the marketplace. The Transfair seal is offered to traders who buy from registered cooperatives in developing countries and who abide by Fair Trade criteria. Products covered by the Transfair seal include coffee, honey, cocoa, sugar and tea. See more on: www.transfair.org

Here are links of Transfair International initiatives around the world:
Transfair Austria:www.transfair.or.at
Transfair Canada:www.transfair.ca
Transfair Germany: www.transfair.org
Transfair Italy:www.commercioequo.org
Transfair Japan:www.transfair.org
Transfair USA:www.transfairusa.org

Max Havelaar Foundation
In 1988, the Max Havelaar Foundation introduced the "Max Havelaar" quality seal for coffee in the Dutch market. Max Havelaar has since been introduced in other European countries for example France and Belgium. Coffee roasters seeking the right to sell coffee under the seal must comply with a number of Fair Trade criteria. Besides coffee roasters, Max Havelaar is working with companies offering chocolate, tea and bananas. See more on: www.maxhavelaar.nl .

Here are links of Max Havelaar initiatives around the world:
Max Havelaar Belgium:www.maxhavelaar.be
Max Havelaar (Fund) Denmark:www.maxhavelaar.dk
Max Havelaar France:www.maxhavelaarfrance.org
Max Havelaar Norway:www.maxhavelaar.no
Stitching Max Havelaar Holland:www.maxhavelaar.nl
Max Havelaar Switzerland:www.maxhavelaar.ch

* STEP Foundation
STEP is an initiative of various Swiss development organisations, which promotes fair conditions in carpet production and carpet trade. Specifically STEP stands against abusive child labour. See more on: http://www.step-foundation.ch

* Other Initiatives
Fair Trade Foundation Britain
: www.fairtrade.org.uk
Fair Trade Sweden:www.rattvisemarkt.se
Fair Trade Mark Ireland:www.fair-mark.org

Fair Trade Products and the Public
Fair Trade Labeling Organizations International (FLO) has announced that consumers worldwide spent £3.4bn on Fair Trade Certified Products in 2009. This is a 15% increase on the previous year directly benefiting over 6 million people - farmers, workers and their families in developing countries.

Meanwhile, in the UK, new figures from TNS Omnimas* show that the FAIRTRADE Mark is now recognised by almost three in five British adults. The findings show that 57% of adults can identify the independent Fair Trade consumer label, up five points in just one year, and 53% of respondents correctly associated the symbol** with a better deal for producers in the developing world. UK Sales of Fair Trade certified products reached an estimated retail value of £1.3 bnin 2011, an increase of 12% over the past year.
Source :www.fairtrade.org.uk

Fair Trade Resource Network
The Fair Trade Resource Network is an information center designed to grow the fair trade movement. It provides resources to learn more about fair trade, to buy fair trade, to work in fair trade and to network with other people and organizations involved in fair trade. It also advertises fair trade events, e.g. World Fair Trade Day every year.
For more information go to www.fairtraderesource.org/
 
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