FAIR TRADE PRINCIPLES
- Develop Transparent and Accountable Relationships Fair Trade involves relationships that are open, fair, consistent, and respectful. ...
- Build Capacity Fair Trade is a means to develop producers’ independence. ...
- Promote Fair Trade ...
- Pay Promptly and Fairly ...
- Support Safe and Empowering Working Conditions ...
- Ensure the Rights of Children ...
- Cultivate Environmental Stewardship ...
What are the pros and cons of fair trade?
The Pros And Cons Of Fair Trade. The Fair Trade movement, which materialized in the 1960s, acts to improve the livelihoods of producers in developing countries. It meets this objective by addressing the structural inequalities characteristic of North-South relations. It ensures producers a price greater than the world market price, and further ...
What is Fairtrade and why is it important?
“Fair Trade is a trading partnership, based on dialogue, transparency and respect, that seeks 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 – especially in the South.
What are the FAIR principles?
The principles are useful because they:
- support knowledge discovery and innovation
- support data and knowledge integration
- promote sharing and reuse of data
- are discipline independent and allow for differences in disciplines
- move beyond high level guidance, containing detailed advice on activities that can be undertaken to make data more FAIR
How important is it to buy fair trade?
Purchasing fair trade certified products can help reduce poverty, safeguard humane working conditions, and encourage production techniques that are environmentally friendly. In addition to clothing, the fair trade label can also appear on other products, including chocolate, coffee, or bananas.
What are the principles of fair trade production?
No discrimination in hiring, remuneration, access to training, promotion, termination or retirement based on race, caste, national origin, religion, disability, gender, sexual orientation, union membership, political affiliation, HIV/Aids status or age.
What is the first principle of fair trade?
Poverty reduction by making producers economically independent. Involving producers in important decision making. Trading fairly with concern for the social, economic and environmental well-being of producers.
What are fair trade products?
Fair trade commodities are import/export goods that are certified by a fair trade certification organization such as Fair Trade USA or World Fair Trade Organization. Such organizations are typically overseen by Fairtrade International.
What are the 4 parts of fair trade?
Fair Trade standards, according to Fair Trade USA include: The right to safe working condition. Sustainable production and farming practices. Improved working conditions. Better prices and wages for farmers and workers.
What are the principles of fair trade products and how does this affect human rights?
Examples of human rights requirements in the Fairtrade Standards include: No child or forced labour. No discrimination, harassment or abuse of any kind. A ban on dangerous pesticides.
What are the benefits of fair trade?
Fairtrade can provide producer support and expertise in deepening gender equality. For workers employed on Fairtrade certified plantations, investment of the Fairtrade Premium into education, better housing, better schools, and medical facilities is highly valued.
Can all products be Fairtrade?
Not all products can be certified as Fairtrade This focus means that when you buy Fairtrade products, you can feel good about your purchase supporting the social justice movement and making a meaningful difference in people's lives. See our impact stories to learn more about how Fairtrade supports farmers and workers.
Are all Fairtrade products organic?
Can a product be both Fairtrade and organic? Yes! Lots of popular products are certified both Fairtrade and organic. Fairtrade trains and supports farmers to go organic to increase the value of their products and protect their local environment.
Why do consumers buy Fairtrade products?
When you treat farmers and workers fairly, everyone benefits. Fair trade helps businesses source products that are ethically and sustainably produced while giving consumers confidence that the people behind the products they buy get a fair deal for their hard work.
What is the most well known fair trade product?
Learn more about the leading Fairtrade products below.Bananas. A go-to snack for people on the run, bananas are a supermarket staple. ... Cocoa. Chances are you ate some this week – the world loves cocoa, but wouldn't love the conditions of many of those who grow it. ... Coffee. ... Flowers. ... Sugar. ... Tea. ... Cotton. ... Fruit/Juices.More items...
What does fair trade mean in business?
Founded in 1992, Fairtrade is a certification system that aims to ensure standards are met in producing and supplying products, materials, and ingredients. The standards are designed to protect workers' rights, encourage safer working conditions and ensure fairer pay.
What are the principles of international trade?
4.1 The Main Principles of International Trade The modern international trade regime is based on four main principles. These principles are, in no particular order of importance, Most-Favored-Nation Treatment (MFN), National Treatment (NT), tariff binding, and the general prohibition of quantitative restrictions.
What are the principles on which WTO promotes free trade?
Promoting fair competition The system does allow tariffs and, in limited circumstances, other forms of protection. More accurately, it is a system of rules dedicated to open, fair and undistorted competition. The rules on non-discrimination — MFN and national treatment — are designed to secure fair conditions of trade.
What is the purpose of the Fair Trade Federation?
The Fair Trade Federation is a trade association of fair trade enterprises fully committed to equitable and sustainable trading partnerships. We strengthen and support our members in order to grow the global movement of trade that values the health of the planet, and the labor, dignity, and equality of all people.
What is fair trade Class 10?
Fair Trade is a process used by organizations around the world to make sure that they buy and sell farmed goods that have been produced from farms that pay a fair price to their farmers and for their materials.
How does fair trade work?
They use production technologies that seek to reduce energy consumption and where possible use renewable energy technologies that minimize greenhouse gas emissions . They seek to minimize the impact of their waste stream on the environment. Fair Trade agricultural commodity producers minimize their environmental impacts, by using organic or low pesticide use production methods wherever possible.
Why is fair trade important?
Fair Trade recognizes, promotes and protects the cultural identity and traditional skills of small producers as reflected in their craft designs, food products and other related services.
What is fair pay?
Fair pay means provision of socially acceptable remuneration (in the local context) considered by producers themselves to be fair and which takes into account the principle of equal pay for equal work by women and men.
What is fair trade prepayment?
Fair Trade buyers, recognizing the financial disadvantages producers and suppliers face, ensure orders are paid on receipt of documents and according to the attached guidelines. For Handicraft FT products, an interest free pre-payment of at least 50 % is made on request. For Food FT products, pre-payment of at least 50% at a reasonable interest is made if requested. Interest rates that the suppliers pay must not be higher than the buyers’ cost of borrowing from third parties. Charging interest is not required.
What is the principle of fair price?
A fair price is one that has been mutually agreed by all through dialogue and participation, which provides fair pay to the producers and can also be sustained by the market. Where Fair Trade pricing structures exist, these are used as a minimum. Fair pay means provision of socially acceptable remuneration ...
What is poverty reduction through trade?
Poverty reduction through trade forms a key part of the organization’s aims. The organization supports marginalized small producers, whether these are independent family businesses, or grouped in associations or co-operatives. It seeks to enable them to move from income insecurity and poverty to economic self-sufficiency and ownership. The organization has a plan of action to carry this out.
What is the right of an organization to join a trade union?
The organization respects the right of all employees to form and join trade unions of their choice and to bargain collectively. Where the right to join trade unions and bargain collectively are restricted by law and/or political environment, the organization will enable means of independent and free association and bargaining for employees. The organization ensures that representatives of employees are not subject to discrimination in the workplace.
What are the principles of fair trade?
The Fair Trade Federation and the World Fair Trade Organization recognize and uphold each other’s principles, and work together as allied organizations to promote greater equity in international trade
What is fair trade?
Fair Trade is a strategy for poverty alleviation and sustainable development. Members create social and economic opportunities through trading partnerships with marginalized producers. Members place the interests of producers and their communities as the primary concern of their enterprise.
How does fair trade help producers?
Build Capacity. Fair Trade is a means to develop producers’ independence. Members maintain long-term relationships based on solidarity, trust, and mutual respect, so that producers can improve their skills and their access to markets. Members help producers to build capacity through proactive communication, financial and technical assistance, ...
What is the Fair Trade Federation?
The Fair Trade Federation and the World Fair Trade Organization recognize and uphold each other’s principles, and work together as allied organizations to promote greater equity in international trade.
What is fair trade?
Fair trade is a global movement sharing the vision of being ethically responsible for the wellbeing of both the people and the planet. In essence, the very heart of a fairtrade business aims to build global equity and provide sustainable + solutions for some of the world largest problems.
Why is fair trade important?
It is the responsibility of fair trade organizations to develop the skills and capabilities of both employees or members. By working directly with small producers, Fair Trade enterprises are compelled to develop specific activities to help these producers improve their management skills, production capabilities and access to markets.
How does fair trade help to reduce poverty?
To reduce poverty through trade and business is one of the many aims of Fair Trade. Enterprises that follow the fair trade business model support small producers by partnering with them on opportunities to achieve economic self-sufficiency.
What is the goal of fair trade?
The goal of Fair Trade is to reduce poverty for farmers and workers in developing countries. This means not just paying them more in the short term, but also helping them improve their skills, build up their communities, and protect the local environment so its resources will be there for future generations.
What are the Fair Trade rules?
Fair Trade rules ban all forms of worker abuse, harassment, and discrimination, including discrimination based on political affiliation or union membership.
How to meet fair trade standards?
To meet Fair Trade standards, the collectives must be democratically run, with each farmer getting a vote, and must split their profits equally among all the members. 2. Fair Price. Fair Trade guarantees farmers a reasonable minimum price for their crops, no matter how low the market price falls.
Why did Fairtrade break away from Fairtrade?
The main reason for the split was that the two programs didn’t agree on what their standards should be for coffee growers. Fairtrade International requires all its coffee to be grown on democratically run, farmer-controlled collectives. Fair Trade USA, by contrast, hoped to expand Fair Trade by making certification available to coffee produced on large plantations, which are often run by a single large corporation, and by independent small farmers who do not belong to a collective.
What is fair trade certification?
Fair Trade certification is a way of guaranteeing that both buyers and sellers stick to the principles of Fair Trade. There are several different organizations that certify Fair Trade products, each with its own label and its own set of standards.
How much did fair trade products cost in 2013?
Fair Trade products are a hot commodity. The British newspaper The Guardian reports that global sales of Fair Trade products rose by 15% in 2013, reaching a total of £4.4 billion ($6.55 billion). Worldwide, the Fair Trade movement that year supported more than 1.4 million farmers and workers in 74 countries.
Why is fair trade important?
One reason for this is that they often cost more than other products in the same category. That’s hardly surprising, considering that Fair Trade pays farmers a higher price for their crops.
Creating Opportunities For Economically Disadvantaged Producers
- To reduce poverty through trade and business is one of the many aims of Fair Trade. Enterprises that follow the fair trade business model support small producers by partnering with them on opportunities to achieve economic self-sufficiency.
Transparency and Accountability
- Enterprises should ensure transparency and accountability among its stakeholders. Ensuring dialogue and participation from employees/artisans is key to this system. Both members and producers are encouraged to become active participants of the decision-making process. Transparency and accountability reflects at all levels of the supply chain. In short, this principle …
Fair Trading Practices
- Every fair trade enterprise must have genuine concern for the social, economic and environmental well-being of artisans and producers. This maxim is the main thrust of the fair trade principle, in that no business has the right to exploit people for gain and profitability. Thus, fair trade is the very model of respecting life. At the same time, ent...
Payment of A Fair Price
- Producers receive fair prices and wages for their work. Using an open dialogue and participation, the pay and price are agreed upon, which is amenable to the producers. At the same time this must include costs for marketability and sustainability of the products in the open marketplace. When we say “fair pay”, this pertains to producers and artisans being compensated with socially …
Ensuring No Child Labor and Forced Labor
- Abiding and adhering to the UN Convention on the Rights of the Child as well as national and local laws involving the employment of children, fair trade organizations must ensure that there are no children involved in labor and production.
Ensuring Good Working Conditions
- A healthy and safe environment should be provided for by fair trade agencies to their members by complying to the national and local laws with regard to health and safety. Whether it be the working hours or the working environment, fair trade enterprises must comply and continue to raise awareness on this aspect of work conditions.
Providing Capacity Building
- It is the responsibility of fair trade organizations to develop the skills and capabilities of both employees or members. By working directly with small producers, Fair Trade enterprises are compelled to develop specific activities to help these producers improve their management skills, production capabilities and access to markets.
Promoting Fair Trade
- Promote, promote, promote. Embodying the fair trade spirit entails each organization to advocate for fair trade among their customer base. This is done by providing information about the producers and products in line with objectives of fair trade.
Respect For The Environment
- We have one planet and we must do what we can to work with nature, not against it. Fair Trade certified organizations are encouraged to source raw materials from the local community or least impact to the environment. Technology used in production should seek energy reduction; gearing towards renewable and sustainable energy technologies. All this does not stop at the productio…