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Published June 2017

BY: Fair Trade USA, CPG2016 Annual Fair Trade Supply Chain Report

Tea Impact Report

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Consumer Demand for Sustainable Products is Increasing

would like to see more products they

use support worth social and/or

environmental issues

– Cone Communications, 2015

89%

are more likely to buy sustainable

products repeatedly

– Natural Marketing Institute, 2016

58%

60%are more likely to try products if they

know a company is mindful of

sustainability

– Natural Marketing Institute, 2016

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Fair Trade is Growing in Consumer Packaged Goods (CPG)!

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(+2% from 2015)

CPG Fair Trade USA

Certified products

launched:

(+75% from 2015)(+8% from 2015)

96367% $34M

Consumer awareness

of Fair Trade USA

increased to:

Fair Trade CPG premiums

delivered to farmers and

workers:

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The Fair Trade Model Ensures that Products are Made with Respect to People and Planet

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Fair Trade

are invested by farming

communities to improve

livelihoods

PREMIUMSSTANDARDS STRUCTURE

require rigorous labor

and environmental

practices

empowers farmers to

work together to address

their greatest needs

Fair TradeFair Trade

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Tea

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Tea Is Mostly Grown By Small-Scale Farmers in Asia Pacific

Sources of FT Certified Tea:

Other Top Producing Countries:

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Tea Farmers and Workers Face Significant Economic, Social and Environmental Challenges

Workers endure

back pain, exposure

to pesticides and

extreme weather.

Women workers

face frequent sexual

harassment and

discrimination

Small scale farmers

lack access to

markets & property

rights.

Estate workers lack

independent union

representation.

Global climate

change is putting

pressure on tea

producers, who are

experiencing

inconsistent rain

patterns and

extreme weather.

Producers face low

wages and high

input costs,

especially small

farmers, for whom

the need to

process tea hours

after plucking is a

challenge.

Income Sustainability

Well-beingEnvironmental Stewardship

Empowerment

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Fair Trade Makes a Difference in Tea Communities

Producers invest

premium on projects

for climate change

adaptation, including

improved water storage

and irrigation

equipment.

Certified producers have

expanded market access

and stronger

relationships with

buyers.

The Fair Trade Standards

ensure workers’ rights

to freedom of

association.

The Fair Trade

Standard includes

measures to reduce

risk related to

chemicals and hot

climates.

Facilities are required

to have clear sexual

harassment policies

Fair Trade employers

are required to pay at

least the minimum

wage in their country.

Premium is used to

purchase or upgrade

tea processing

equipment.

Income Sustainability

Well-beingEnvironmental Stewardship

Empowerment

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Since 2001, your Fair Trade Purchases has Delivered $5.9M of Premium Investments Back to Tea Communities!

$-

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

$800,000

$900,000

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Investments in Fair Trade Tea Communities(Volume +29% vs PY; Premium +21%vs PY)

Volume (lbs) Premium ($)

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Dazhangshan Organic Tea Farmer Association

Jianxi, China

~500 members

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Dazhangshan has used premium to offset high input costs for farmers in their cooperative.

Producers invested in organic fertilizer, light traps for pest management, and improved

processing equipment. Premium was also used to upgrade

health facilities and purchase medicine for workers.

In Jiangxi, China Fair Trade Premium is Used to Protect and Improve Producer Health

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Tonganagaon Tea Estate

Assam, India

~1,000 members

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Tonganagaon Tea Estate has used Fair Trade Premium to provide each of the estate’s more

than 1000 workers with a gas cook stove. Before, families cooked meals over open fires; a

less efficient method that takes hours longer each day. Gas cooking also has helped to

significantly reduce the risk of respiratory illness, a major risk in homes without proper

ventilation.

In Assam, India, the Purchase of Gas Cook Stoves Protects Respiratory Health and Reduces Cook Time

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Published June 2017

By: Fair Trade USA, CPG

Thank you!