What is Fairtrade?
Not all trade is fair. Farmers and workers at the beginning of the food supply chain don't always get a fair share of the benefits of trade. Fairtrade enables consumers to put this right. Fairtrade is an alternative approach to conventional trade and is based on a partnership between producers and consumers. When farmers can sell on Fairtrade terms it provides them with a better deal and improved terms of trade. This allows them the opportunity to improve their lives and plan for their future. Fairtrade offers consumers a powerful way to reduce poverty through their everyday shopping.
What does the Fairtrade mark mean?
When a product carries the Fairtrade mark it means that the producers and traders have met Fairtrade standards. These are designed to address the imbalance of power in trading relationships, unstable markets and the injustices of conventional trade.
There are two distinct sets of Fairtrade standards which acknowledge different types of producers:
- For smallholders that are working together in a co-operative or other organisation with a democratic structure
- For workers whose employers pay decent wages, guarantee the right to join trade unions, ensure health and safety and provide adequate housing where relevant
The Fairtrade standards also cover terms of trade for both types of producers. Most products have a set Fairtrade minimum price, which is the minimum amount that must be paid to producers and in addition, producers get an additional sum, the Fairtrade premium, to invest in their communities or businesses.
Last updated: 31/01/2023 16:23