Definition of Fair Trade
What is Fair trade?
The Fair-trade Foundation is the independent non-profit
organization that licenses use of the FAIRTRADE Mark on
products in the UK in accordance with internationally agreed
Fair-trade standards. The Foundation was established in 1992.
Role of Fair Trade
•Providing an independent certification of the trade chain,
licensing use of the FAIRTRADE Mark as a consumer guarantee on
•Facilitating the market to grow demand for Fair-trade and enable
producers to sell to traders and retailers
•Working with our partners to support producer organizations and
•Raising public awareness of the need for Fair-trade and the
importance of the FAIRTRADE Mark
How to be part of fair trade
Sign TransFair USA's Fair Trade Coffee License Agreement to
license you to display TransFair USA's Fair Trade Certified label
on your Fair Trade products and materials.
Purchase Fair Trade Certified coffee from importers licensed by
Submit quarterly reports to TransFair of Fair Trade Certified
green coffee purchases and roasted sales.
Pay a certification fee to TransFair USA based on Fair Trade
Certified green purchases.
Facts about Fair trade
•$2.6 billion - amount of total fair trade sales in 2006 according
to the International Fair Trade Association
•$160+ million - amount of total FTF member sales in 2006,
according to the Fair Trade Federation
•93% - growth in the global fair trade cocoa sector in 2006,
according to the Fair Trade Labelling Organization. In 2006,
coffee has also grown by 53%; tea by 41%; and, bananas by 31%.
•2.7 billion - estimated number of people in the world existing on
less than $2 / day, according to the World Bank
•800,000+ - households (approximately 5 million people) who
earned a living from fair trade production, according to the
European Fair Trade Association's January 1998 Memento pour
•30% - women in non-agricultural conventional production in
developing countries in 2004, according to the United Nation
•70% - women engaged in non-agricultural fair trade production in
2004, according to the Fair Trade Federation
•284,000 - number of children in the Ivory Coast, Ghana, Nigeria
and Cameroon working in hazardous tasks on conventional cocoa
farms, according to a 2002 International Institute of Tropical
Agriculture study directly involving 4,500+ producers.
•15,000 - number of children aged 9 to 12 in the Ivory Coast alone
who have been sold into forced labor on conventional cotton,
coffee, and cocoa plantations, according to a 2000 US State
Comparing Conventional and Fair Trade in Coffee
•2 cents - amount farmers on conventional farms
receive from the average $3 latte, according to
•10 cents - amount of social premium paid on top of
the per kilo price to fair trade certified coffee
farmers, according to Fair-trade Labeling
•20 cents - amount of social premium paid on top of
the per kilo price to fair trade certified coffee
farmers for organic coffee, according to Fair-trade
Labeling Organization standards
•$70 billion - amount African countries could generate if
their share of world exports increased by 1% -
approximately five times what the continent receives in aid
- according to Oxfam International's Make Trade Fair
•30 cents of every $1 - amount of foreign investment that
ends up back in donor countries through profit transfers,
according to Oxfam International's Make Trade Fair Report.
•$13 billion - total amount required to provide basic
education and nutrition in all developing countries, according
to the 2005 UNICEF State of the World's Children Report
•$25 billion - amount spent annually on US farm subsidies,
according to a 2007 Heritage Foundation report
•$40-70 billion - amount required to meet all eight
Millennium Development Goals by 2015, according to the
Products of Fair trade
•The US is an important sugar grower, growing over 80% of
our domestic consumption. But the small amount of sugar that
we do import is grown by impoverished sugar cane farmers in
the developing world, subject to a declining world market
price, environmental degradation, and hazardous working
•Fair Trade certification ensures that sugar cane farmers
receive a fair price for their harvest, creates direct trade
links between farmer-owned cooperatives and buyers, and
provides access to affordable credit. Through Fair Trade,
farmers and their families are earning a better income for
their hard work-allowing them to hold on to their land, keep
their kids in school, and invest in the quality of their harvest.
Large amounts of herbicides and pesticides are
commonly sprayed on to sugar cane crops. Burning and
processing of sugar crops can also cause serious
pollution of the ground, waterways and the air.
On Fair Trade farms, producers must adhere to strict
standards regarding the use and handling of
pesticides, the protection of natural waters, virgin
forest and other ecosystems of high ecological value,
and the management of erosion and waste.
Selling at Fair Trade prices enables small sugar
farmers to pay for organic certification and training
in sustainable agriculture techniques. Paraguay and
Costa Rica grow organic Fair Trade Certified sugar
Fair Trade helps family farmers in developing countries
to gain direct access to international markets, as well as
to develop the business capacity necessary to compete
in the global marketplace.
By learning how to market their own harvests, Fair
Trade farmers are able to bootstrap their businesses
and receive a fair price for their products, including
your morning brew.
Today's historic lows in world coffee prices have
created a crisis for millions of farmers around the world.
Most small-scale family farmers live in remote locations,
and are dependent on local middlemen (known as
"coyotes" in Latin America) to purchase their coffee,
often at a fraction of its worth. Fair Trade guarantees
farmers a set minimum price for their coffee and links
farmer-run cooperatives directly with US importers,
cutting out middlemen and creating the conditions for