fair trade better deal for third-world producers. better quality for consumers

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Fair Trade Fair Trade Better deal for third-world Better deal for third-world producers. producers. Better quality for Better quality for consumers. consumers.

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Page 1: Fair Trade Better deal for third-world producers. Better quality for consumers

Fair TradeFair Trade

Better deal for third-world producers. Better deal for third-world producers.

Better quality for consumers.Better quality for consumers.

Page 2: Fair Trade Better deal for third-world producers. Better quality for consumers

IntroductionIntroduction

90% of world‘s cocoa in small farms90% of world‘s cocoa in small farms Most of the farmers have never tasted a single Most of the farmers have never tasted a single

chocolate bar in their lives!chocolate bar in their lives!

Page 3: Fair Trade Better deal for third-world producers. Better quality for consumers

Large companies don‘t Large companies don‘t help muchhelp much

Farmers are forced to sell their goods for Farmers are forced to sell their goods for very low pricesvery low prices

They have no choiceThey have no choice Leads to bribery and organized crimeLeads to bribery and organized crime

Page 4: Fair Trade Better deal for third-world producers. Better quality for consumers

How to break the cycle?How to break the cycle?

Fair TradeFair Trade is general term for an idea of is general term for an idea of ethical and rational businessethical and rational business

Fair TradeFair Trade cleans up relationships cleans up relationships between producer and consumerbetween producer and consumer

Fair TradeFair Trade is no charity – it just provides is no charity – it just provides producers with appropriate wagesproducers with appropriate wages

Fair TradeFair Trade means top quality food and means top quality food and goods from known sourcesgoods from known sources

Page 5: Fair Trade Better deal for third-world producers. Better quality for consumers

Fair TradeFair Trade

Everyone can contribute to improve living Everyone can contribute to improve living conditions of actual producersconditions of actual producers

Environment impactEnvironment impact Fair trade is Fair trade is ecologicalecological Fair trade eatables are BIO productsFair trade eatables are BIO products

No slaves, no children forced to workNo slaves, no children forced to work

Page 6: Fair Trade Better deal for third-world producers. Better quality for consumers

Fair trade goodsFair trade goods

A range of fair trade products, including crafts, A range of fair trade products, including crafts, fashions, foods (such as chocolate, honey, bananas fashions, foods (such as chocolate, honey, bananas and other fruit), beverages (tea, coffee, fruit juice), and other fruit), beverages (tea, coffee, fruit juice), paper and cards are available. paper and cards are available.

Products are sold through an extensive network of Products are sold through an extensive network of small retailers and many big supermarkets have a small retailers and many big supermarkets have a token few products available for purchase.token few products available for purchase.

Mail-order companies exist all over the world, from Mail-order companies exist all over the world, from small specialist grocers to new on-line suppliers.small specialist grocers to new on-line suppliers.

You can also check out the legendary Starbucks for a You can also check out the legendary Starbucks for a token sample of fair trade coffee.token sample of fair trade coffee.

BBC NewsBBC News

Page 7: Fair Trade Better deal for third-world producers. Better quality for consumers

Economic viewEconomic view

„„Every business transaction is a Every business transaction is a challenge to see that both parties challenge to see that both parties

come out fairly.“come out fairly.“

Adam SmithAdam Smith, The Theory of Moral Sentiments (1759), The Theory of Moral Sentiments (1759)

Page 8: Fair Trade Better deal for third-world producers. Better quality for consumers

Free trade and market Free trade and market failurefailure

Is international trade with agriculture Is international trade with agriculture product really free?product really free?

What about price of goods on this What about price of goods on this market?market?

Comparation of situation in agriculture Comparation of situation in agriculture between developing coutries and those between developing coutries and those developed ( especially EU, USA or developed ( especially EU, USA or Japan)Japan)

Page 9: Fair Trade Better deal for third-world producers. Better quality for consumers

ConclusionConclusion

Is it possible that Fair Trade could Is it possible that Fair Trade could improve the world „free“ market?improve the world „free“ market?

Page 10: Fair Trade Better deal for third-world producers. Better quality for consumers

Some interesting factsSome interesting facts

In Kenya capital town Nairobi supermarkets is In Kenya capital town Nairobi supermarkets is available an Irish butter for lower price, then available an Irish butter for lower price, then their own. their own.

The subsidies for one cow in EU are equal to The subsidies for one cow in EU are equal to two year wages of average agrarian in two year wages of average agrarian in countries of Third world.countries of Third world.

From 1,75 Pounds paid for cappuccino in From 1,75 Pounds paid for cappuccino in London café, the farmer in Columbia get about London café, the farmer in Columbia get about 0,05 Pound.0,05 Pound.

Page 11: Fair Trade Better deal for third-world producers. Better quality for consumers

What is Fair Trade about?What is Fair Trade about? According to the 2005 FTF Trends Report, alternative According to the 2005 FTF Trends Report, alternative

traders who are members of the Fair Trade Federation traders who are members of the Fair Trade Federation commit to advancing the following:commit to advancing the following:

1.1. Opportunities for economically disadvantaged Opportunities for economically disadvantaged producers.producers.

2.2. Gender equity.Gender equity.3.3. Transparency and accountability. Transparency and accountability. 4.4. Capacity building. Capacity building. 5.5. Payment of a fair price. Payment of a fair price. 6.6. Healthy working conditions.Healthy working conditions.7.7. Environmental sustainability. Environmental sustainability. 8.8. Promotion of Fair Trade principles.Promotion of Fair Trade principles.

www.fairtraderesources.orgwww.fairtraderesources.org

Page 12: Fair Trade Better deal for third-world producers. Better quality for consumers

World Fair Trade DayWorld Fair Trade Day

May 13th – International Fair Trade DayMay 13th – International Fair Trade Day

Page 13: Fair Trade Better deal for third-world producers. Better quality for consumers

Links for further Links for further readingreading

www.fairtrade.czwww.fairtrade.cz www.fairtraderesources.orgwww.fairtraderesources.org www.jedensvet.orgwww.jedensvet.org en.wikipedia.org/wiki/Fair_Tradeen.wikipedia.org/wiki/Fair_Trade

Thank you, have a Thank you, have a fairfair day… day…