Archive for February 2009
History of Fair Trade
Beginning somewhere in the fifties, the concept of Fair Trade first existed as a partnership between non-profit importers, retailers in the North, and small-scale producers in developing countries. These producers facing low market prices used Fair Trade to escape their high dependence on the middlemen, allowing direct access to Northern markets. Such original forms of Fair Trade existed as Alternative Trade Organizations (ATOs) that were created in different countries and were commonly associated with volunteer groups and Worldshops.
In 1988, Fair Trade sales were first sought out to be increased by the efforts of the Dutch ATO, Solidaridad, when the organization created the “Max Havelaar” label on goods, which ensured that labor and environmental standards were met. Within years after Solidaridad’s success, labelling of Fair Trade products was mimicked by ATOs in Europe and North America, such as “Max Havelaar” (in Belgium, Switzerland, Denmark, Norway and France), “Transfair” (in Germany, Austria, Luxemburg, Italy, the United States, Canada and Japan), “Fairtrade Mark” (in the UK and Ireland), “Rättvisemärkt” (in Sweden), and “Reilu Kauppa” (in Finland).
Each organization operated independently having their own separate campaigns and certification marks up until 1997, when Fairtrade Labelling Organizations International (FLO) was established in Bonn, Germany in order to unite the organizations and establish worldwide standards and certfication.
In 2002, FLO implemented a new international Fairtrade Certification Mark in order to improve the visibility of Fair Trade products on supermarket shelves, to communicate a vibrant and unified image of Fair Trade, and to simplify cross-border trade and procedures for importers and traders. The Fairtrade Certification Mark also symbolizes fairness in global relationships and global standards of Fair Trade.
In 2004, FLO was divided into FLO International and FLO-CERT, each functioning as an independent organization. FLO International became in charge of setting Fair Trade standards and dealing with producer business support, while FLO-CERT was delegated for inspection and certification of producer organizations and auditing traders.
The Fairtrade Certification Mark has been implemented in all but three “Labelling Initiatives” (Transfair USA, TransFair Canada and Max Havelaar Switzerland) as of 2006. It is only a matter of time before the Fairtrade Certification Mark will be adopted by all initiatives and there are less inconsistencies in the initiatives of FLO. By 2007, with the additions of Mexico and Australia/New Zealand, there were a total of 21 Labelling Initiatives as members of FLO, according to Fairtrade Labelling International History.
Currently, there are a large variety of products holding Fairtrade Certification Marks. Based on FLO’s certification records, this includes coffee, tea, rice, bananas, mangoes, cocoa, cotton, sugar, honey, fruit juices, nuts, fresh fruit, quinoa, herbs and spices, wine and footballs etc.
The purpose of FLO is to help farmers and workers in developing countries experience better prices, decent working conditions, local sustainability, and trading in fair terms. This will help enable marginalized workers and producers to move into an economically self-sufficient position, empowering them in local and international trade markets. Fair Trade initiatives, united and developed by FLO, are also necessary in this unequal world because without them, slavery and unsustainable wages might occur at higher rates. If we all support Fair Trade products, we can help the less fortunate producers and workers around the developing world.
4 comments February 28, 2009
