Civil Society and Fair Trade Zina A. Cáceres Benavides - PDF

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The Marian and Arthur Edelstein Virtual Library Civil Society and Fair Trade Zina A. Cáceres Benavides Report Nº2, September 2006 The Edelstein Center for Social Research Copyright 2006, The Edelstein

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The Marian and Arthur Edelstein Virtual Library Civil Society and Fair Trade Zina A. Cáceres Benavides Report Nº2, September 2006 The Edelstein Center for Social Research Copyright 2006, The Edelstein Center for Social Research All rights reserved This publication must not be reproduced or transmitted for commercial purposes in any form or by any means without permission in writing from the copyright holder at the address below. Parts of this publication may be reproduced for noncommercial purposes so long as the authors and publisher are duly acknowledged. ISBN The Edelstein Center for Social Research Centro Edelstein Av. Visconde de Pirajá, 330/1205 Ipanema - Rio de Janeiro - RJ CEP.: BRASIL 1 PRESENTATION 3 THE FINE ASSOCIATION 4 FLO, Fairtrade Labelling Organizations International 5 IFAT: The International Fair trade Association 13 NEWS! - The Network of European Worldshops 23 EFTA: European Fair Trade Association 32 EUROPE 37 ALTER ECO: Commerce Équitable 38 ASSOCIATION MAX HAVELAAR FRANCE, Le label qui garantit le commerce équitable 47 ARTISANS DU MONDE: Pour un Commerce Équitable AdM 54 CTM ALTROMERCATO CONSORTIUM: Commercio Equo e Solidale 61 DFID: The Department for International Development 71 ESPANICA COMERCIO JUSTO 75 EQUITERRE 77 Fair Trade Foundation 81 GEPA 3: Fair Handelshaus 87 IDEAS : Iniciativas de Economía Alternativa y Solidaria 95 INTERMÓN OXFAM 102 OXFAM GB 108 MAKE TRADE FAIR: Campaigning OXFAM 125 MAX HAVELAAR Belgique, Le label du commerce équitable 131 MAX HAVELAAR (the Netherlands), Fair Trade label 135 MAX HAVELAAR Switzerland 137 PFCE : Plate-Forme Pour le Commerce Équitable 142 SOLIDAR MONDE 148 NORTH AMERICA 150 COLORADO STATE UNIVERSITY: The Center for Fair and Alternative Trade Studies 151 CO-OP AMERICA: Economic Action for Justice Planet 156 CRSDD UQAM: Chaire de Responsabilité Sociale et de Développement Durable 162 CRISES: Centre de Recherche sur les Innovations Sociales 169 CRS: Catholic Relief Services 173 CTC: Citizens Trade Campaign 179 2 FFTC: Florida Fair Trade Coalition 184 FTF: Fair Trade Federation 188 FAIR TRADE RESOURCE NETWORK: The Alternative that Works 193 GLOBAL EXCHANGE: Building People-to-People Ties 197 OCA: Organics Consumer Association 208 TEN THOUSAND VILLAGES: Fairly Traded Handicraft from around the world 213 TRANSFAIR USA 220 USFT: United Students for Fair Trade International 227 ASIA/AFRICA/LATIN AMERICA 232 ASHA HANDICRAFTS 233 AFTF: Asia Fair Trade Forum 238 BRAC-AARONG 242 COFTA: Cooperation for Fair Trade in Africa 244 Comercio Justo Mexico 248 ECOTA Fair Trade Forum 251 FACES DO BRASIL: Por um Comércio Ético e Solidário 254 IFFAD: International Foundation for Fairtrade and Development 260 IRFT: International Resources for Fairer Trade 264 RELACC: Red Latinoamericana de Comercialización Comunitaria 269 INTERNATIONAL 272 CIAT: International Center for Tropical Agriculture 273 UNCTAD: United Nations Conference on Trade and Development 276 WORLD FAIR TRADE DAY 284 3 PRESENTATION This publication offers a guide to Fair Trade through the exploration of 49 sites which include the official organizations of the movement, alternative traders, labeling organizations, government and multilateral bodies, NGOs and academic research across North America, Europe, Africa, Asia and Latin America. The Guide makes no claim to be representative, many sites being chosen for their intrinsic interest (availability of information, documents), but it does we feel capture the breadth and diversity of the movement and makes accessible a wealth of documentation on the key aspects of the movement, from facts and figures to analysis and debates. The guide begins with a presentation of the sites of the four international organizations, which united in the FINE (acronym based on the first letter of each of these organizations), represent the different components of the global movement. This is followed by a selection of European Fair Trade sites exploring the variety of Fair Trade experiences by country and by type of trade (labeled/mainstream and alternative trading circuits integrated from producer groups to dedicated outlets). It also spans traditional and new style fair traders, examples of Government support, leading NGOs and broad movement coalitions. The third section is devoted to North America (the US and Canada) where Fair Trade has experienced remarkable growth over the last few years. The sites chosen provide a rich documentation of the market and movement features of Fair Trade, involving student campaigns and a variety of coalitions, for many of which Fair Trade is a reply to the promotion of Free Trade Areas. In this bloc we have included a number of academic sites whose research is now providing an important complement to the Fair Trade movement. The following section provides a sample of developing country sites focusing on the promotion of Regional Fair Trade circuits and National Fair Trade initiatives in developing countries. These sites also offer an important insight into the way in which developing countries are participating in the global Fair Trade organizations and into the way in which Fair Trade is being discussed and negotiated in these countries. The guide concludes with a brief international section focusing on the United Nations Trade Conference (UNCTAD) which has developed a significant dialogue with the organizations which make up the Fair Trade movement. It also includes the CIAT site which shows how the issue of Fair Trade is now being considered within key international public research networks. The final site, the World Fair Trade day, appropriately captures the current global reach of the Fair Trade movement We hope internet browsers will find this Guide a useful introduction to the Fair Trade movement and welcome feedback with information on sites which could profitably be included in future editions of this Guide. John Wilkinson The Edelstein Center for Social Research Please send comments to THE FINE ASSOCIATION 4 5 FLO, Fairtrade Labelling Organizations International Millions of landless labourers and small farmers don t have what is their right: enough to feed the whole family send their children to school and that little extra to invest in sustainable development. Clearly, the advantages of international trade are not reaching all people in the world. For small farmers, access to market or price information is difficult and as a result, many small farmers become more and more dependent on middlemen. In bad times, many lose their only property: their land, and thus, their livelihoods. Similarly, many plantation workers do not see the benefits of increasing world trade. They endure low pay, an unsafe working environment and poor living conditions. Too often they lack the freedom to join a union to defend their rights and the opportunity to participate in decisions that affect their lives on the plantation. Fairtrade Labelling Organizations International (FLO) is the worldwide Fairtrade Standard setting and Certification organisation. It permits more than one million producers, workers and their dependants in 50 countries to benefit from labelled Fairtrade. FLO guarantees that products sold anywhere in the world with a Fairtrade label marketed by a National Initiative conforms to Fairtrade Standards and contributes to the development of disadvantaged producers and workers. MISSION & OBJECTIVES FLO International exists to improve the position of the poor and disadvantaged producers in the developing world, by setting the Fairtrade standards and by creating a framework that enables trade to take place at conditions respecting their interest. The National Initiatives, members of FLO International, encourage industry and consumers to support fairer trade and to purchase the products. Products carry a Fairtrade Label, as the independent consumer guarantee that producers in the developing world get a better deal. 1. Guaranteeing the standards FLO gives credibility to the Fairtrade Labels by providing an independent, transparent and competent certification of social and economic development. The four main aspects for certification are: a) assessing the conformity of produces to the Fairtrade standards, b) assuring that Fairtrade benefits are used for social and economic development, c) auditing FLO-registered traders in order to make sure that the Fairtrade price reaches the producers and d) assuring that the Labels are only used on products coming from Fairtrade-certified producers. To ensure that producer groups comply with Fairtrade standards, FLO works with a network of independent inspectors that regularly visit all producer organisations. To monitor traders and retailers compliance with Fairtrade conditions, a specially developed trade auditing system checks that every Fairtrade-labelled product sold to a consumer has indeed been produced by a certified producer organisation which has been paid the Fairtrade price. 2. Business facilitation FLO Producer Business Unit (PBU) is in contact with producer organisations certified by FLO, and traders registered to purchase and sell Fairtrade labelled products, in order to match supply and demand. PBU staff also work with Local Liaison Officers in the producing countries realising adequate producer assistance and development projects in view of producer empowerment and enhancing their market access through business facilitation. It is a Unit of product experts who provides product-marketing support to the FLO National Initiatives and registered traders. Since 6 the aim of FLO International is to improve the position of producers in the developing countries, FLO Fairtrade Products range from coffee, tea, rice, cocoa, honey, sugar and fresh fruits to manufactured products such as sports balls. More agricultural and manufactured products are important future candidate products for Fairtrade certification. 3. Promoting producer support FLO's third core task is to support the small farmers and workers who participate in Fairtrade to strengthen their organisation and production, for example to respond faster to market developments or to continue to improve their compliance with the Fairtrade standards. FLO helps producers to clarify their needs and plans and connects them to the organisations with the resources and expertise to respond to those needs. FAQs about PBU's role and services PRODUCER SUPPORT Liaison Officers Thanks to a number of significant donors, FLO is able to fund around 16 Liaison Officers on the ground. This resource is invaluable in offering direct support to producers who wish to find out more about Fairtrade as well as supporting those producers who are currently certified. Core Responsibilities Liaison Officers offer information, advice and training to producers to improve compliance with Fairtade Standards. to improve their market opportunities. In return Liaison Officers are in a position to inform FLO about product and regional developments of interest to the markets. Tasks, Liaison Officers have innumerable tasks For more information about FLO Liaison Offices please check the following Websites: ACTIVITIES How is the system financed? All stakeholders involved make their contribution to cover the costs of FLO s system. Although still partly externally funded, the biggest part of the cost of FLO s system is covered by National Initiatives who charge their licensees a fee for using the Fairtrade label. This pays for the National Initiatives marketing expenses and a part is fed back to FLO via National Initiatives annual contributions. Licensees registered with the National Initiatives do not pay FLO. Faq Why does FLO exist? What are FLO s main tasks? How was Fairtrade labelling created? How does FLO Certification work? What are the Fairtrade Standards? What is the Impact of Fairtrade Labelling? How can we become certified as a Fairtrade Producer Group? How can we import products from Fairtrade certified Producer Groups? How can we sell Fairtrade labelled products in our shops? Why do so many different Fairtrade labels exist? Where can we buy Fairtrade labelled Products? What is the difference between Fair Trade and ethical trade? Why are there not more types of Fairtrade labelled products? 7 How have the Fairtrade minimum prices been established? Products FLO International s Product Management team is in contact with producer organisations certified by FLO, and traders registered to purchase and sell Fairtrade labelled products, in order to match supply and demand in the best way. Since the aim of FLO International is to improve the position of disadvantaged producers in the developing countries, FLO Fairtrade Products are typical agricultural products in the first place, such as coffee, cocoa and sugar, etc. Manufactured products are becoming important future candidate products for Fairtrade certification. Footballs are the first manufactured products certified by FLO. The products Coffee Tea Rice Fresh Fruit Juices Cocoa Sugar Honey Sports Balls Wine Others New Product Development FLO and its National Members are continuously extending the Fairtrade product range with the aim of expanding the benefits of labelled Fairtrade to existing and new farmers and workers in the developing countries. New product development is a very important issue for the future of Fairtrade. On the producer side, product range extension is important because it allows new producers and workers to join Fairtrade. And for producers of existing products, like coffee, new products create opportunities to diversify production and reduce their dependency on just one crop. On the market side there is demand for expansion of the Fairtrade labelled product range is evident, and for many companies involved in Fairtrade broad product range is crucial for the economic viability of their involvement. For supermarket chains it makes all the more sense to invest in marketing Fairtrade products when the range of products is significant, as it helps increase awareness of the Fairtrade Certification Mark and ultimately to raise sales for the benefit of the Fairtrade producers. Some of the products that are currently in development: Avocado and other fresh fruits and vegetables Quinoa and other cereals Various spices More dried fruit & nuts More wines Standards The point of reference for FLO Certification are the International Fairtrade Standards. These Standards are developed by the FLO Standards Committee, in which stakeholders from FLO s member organisations, producer organisations, traders and external experts participate. The FLO Fairtrade Standards are regularly reviewed by FLO, in close co-operation with all relevant stakeholders. 8 Logo Set of Standars for all products FLO Fairtrade Standards are different when you are a small producer organisation, organised in a demo-cratic way, such as a cooperative or association, or when you structurally depend on hired labour, as is the case in plantations and factories. The complete list of FLO Fairtrade Standards is available for the public, the list of FLO Fairtrade Standards. Fairtrade Standards for small producer organisation Fairtrade Standards for small farmers The following standards are available for download in a PDF format* : Generic Fairtrade Standard for small farmers' organisations (version 12/2005) 005%20EN.pdf FLO Prohibited Materials List (version 04/06) 6%20EN.pdf For an overview of the main changes to the generic environmental standards for small farmers' organisations 6%20EN.pdf Contract Production Standards (for cotton from India and Pakistan and rice from India) Standards Guidance for South Africa Fairtrade Standards in general Set of Standards for all products Bananas (version 12/05) Cane Sugar (version 05/06) Cocoa (version 12/05) 9 Coffee (version 12/05) Dried Fruit (version 04/06) Quinoa (version 12/05) Rice (version 02/06) Tea (version 03/06) Wine (version 02/06) Procedure for Standard Setting Standards for Consultation Annual work plan CERTIFICATION The former FLO Certification Unit, now FLO-Cert Ltd, has become a limited company. The main reason for the foundation of FLO-Cert as a limited company is to make Fairtrade s certification and trade auditing operations more transparent. Establishing FLO-Cert enhances the autonomy of its producer certification and trader registration decisions, and facilitates compliance with the ISO Standards for Certification Bodies (ISO 65). Moreover, with the separation of FLO-Cert, FLO reduces its financial liability, because a limited company's liability is restricted by its capital, whereas the liability of an association is practically unlimited. The final reason for the foundation of FLO-Cert is to improve FLO s financial stability by diversifying its sources of income by asking all stakeholders and benefactors of Fairtrade labelling to contribute to its costs. While NIs will continue their substantial contribution to FLO- Cert, it will also partially finance its activities through a certification or registration fee paid by producer organisations and traders. Explanation of Fairtrade Certification FLO Certification is run by FLO-Cert Ltd. FLO-Cert co-ordinates all tasks and processes all information related to inspection of producers, trade auditing and certification. Operating independently from any other Fairtrade interests, it follows the ISO Standards for Certification Bodies (ISO 65). FLO is one of the biggest international social economic certification bodies worldwide. It regularly inspects and certifies about 420 producer organisations in 50 countries in Africa, Asia and Latin America, embracing around families of farmers and workers. The point of reference for FLO Certification are the International Fairtrade Standards.In contrast to Codes of Conduct and other social labels, Fairtrade Standards are not simply a set of minimum standards for socially responsible production and trade. Fairtrade Standards go further: besides minimum requirements producers must meet, FLO guarantees them a fair price, and, through progress requirements, expects them to invest part of it in economic, environmental and social development. How to become FLO Certified Information on FLO Producer Fee System How to become FLO Registered Trade Auditing 10 ASSOCIATED SITES Members Fairtrade Austria Max Havelaar Belgium Transfair Canada Max Havelaar Denmark Max Havelaar France TransFair Germany Fairtrade Foundation UK Fairtrade TransFair Italy Fairtrade Mark Ireland Fairtrade Label Japan TransFair Minka Luxemburg Stichting Max Havelaar Netherlands Max Havelaar Norge Reilun kaupan edistämisyhdistys ry. Finland Rättvisemärkt Sweden Max Havelaar Stiftung Switzerland TransFair USA Fairtrade Labelling Australia & New Zealand 11 Asociación para el Sello de Comercio Justo Spain Associate FLO member: Comercio Justo Mexico FLO Branch Offices: FLO Branch Office El Salvador FLO s organization Chart NEWS & DOCUMENTS WORLDWIDE FAIRTRADE SALES ROSE BY THIRD IN FLO AND SNV HAVE ESTABLISHED A STRATEGIC PARNERSHIP The FINE Platform presents Fairtrade in Europe 2005 The members of the FINE platform, the four principal European and International federations for Fair Trade (FLO, IFAT, NEWS and EFTA) commissioned a survey to evaluate the presence of Fairtrade in 25 European countries. The result of this survey, conducted by Jean Marie Krier, is the book Fair Trade in Europe The study shows that Fair Trade sales in Europe have been growing at an average 20% per year since The annual net retail value of Fair Trade products sold in Europe now exceeds EUR 660 million. This is more than double the figure five years ago. Fair Trade has thus become one of the fastest growing markets in the world. Fair Trade products can now be found in 55,000 supermarkets all over Europe and the market share has become significant in some countries: 47% of all bananas, 28% of the flo
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