60 Years Fair Trade Movement Cambridge 2009

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The history and the actual state of affairs of Fair Trade

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60 Years Fair Trade Movement Cambridge 2009

  1. 1. 60 Years of the Fair Trade Movement Cambridge May 22, 2009 Stefan Durwael
  2. 2. Overview • Stefan Durwael • History of 60 Year Fair Trade movement • Fair Trade Anno 2009 • Achievements • Challenges
  3. 3. Stefan Durwael stefan@fairehandel.nl Skype: sdurwael Face Book LinkedIn
  4. 4. History of Fair Trade 1. The roots: charity (roughly 1946-1970) 2. Political period: ‘Believe in the revolution’ (roughly 1964-1985) 3. From niche to mainstream (roughly 1986-2000) 4. Mainstreaming and profiling the USP of Fair Trade
  5. 5. 1. The roots: charity (roughly 1946-1970) • Edna Ruth Byler 1946 - Puerto Rico M.C.C. Self Help Crafts now Ten Thousand Villages • SERVV, end 40ties • Oxfam UK, Hong Kong, end 50ties • SOS NL, 1959
  6. 6. • Based on (Christian) charity and solidarity • No big words: helping through trade •‘No aid but trade’ - Unctad ’68 New Delhi
  7. 7. 1966
  8. 8. 2. Political period: ‘Believe in the revolution’ (roughly 1964-1985) • Cane sugar campaign (64) • Boycot Outspan campaign (70) • Boycot Angola coffee (72)
  9. 9. Context • May ‘68 demonstrations in Paris • Solidarity with Martin Luther King, Allende (Chili), Nyerere (Tanzania) • ‘Centre - periphery model’ work of Dependencia School Lat.Am. • Paulo Freire ‘Pedagogy of the Oppressed’ (’68)
  10. 10. Breukelen (NL) 1969
  11. 11. • Big discussions about how to change the world • In order to allow the poorest groups in the 3rd World to determine their future, huge changes in our own society and mentality are needed • Information and campaigning for structural changes in society, in the First World • A product is a tool, a symbol to tell the political message • Trade as a way to support producers is less important
  12. 12. 1973
  13. 13. Preference for working with progressive countries that want to function independently from the Western capitalistic system • coffee and tea from Tanzania • wine and orange juice from Algeria • cashew nuts from Mozambique • rum from Cuba • coffee from Nicaragua
  14. 14. Leuven (B) 1980
  15. 15. Organizing Fair Trade Movement • FTO’s biennual meeting since Noordwijkerhout ’76 • EFTA (Berlin Spandau, 1987) • IFAT – WFTO (Noordwijk, 1989) • NEWS (1994) • Fair Trade Labelling Organizations Intern. (1997) • Regional and national networks in South and North 1985
  16. 16. 1998 F I N E
  17. 17. 3. From niche to mainstream (roughly 1986-2000) • The revolution won’t come tomorrow and the 3rd World can’t wait.. • We have to use the opportunities in the market • We should use commercial techniques • Critical consumption
  18. 18. 1988
  19. 19. 1860
  20. 20. 4. Mainstreaming and profiling the USP of Fair Trade (roughly 2000 -…) • Growth of CSR • Political recognition of Fair Trade in Europe http://www.fairtrade-advocacy.org/images/communfairtrade.pdf 5 May ‘09 • Fair Trade and ‘Fair Trade light’ • Food increases, handicrafts tend to stagnate
  21. 21. FLO International - products
  22. 22. FLO International - members • AUSTRALIA: Fairtrade Labelling Australia and New Zealand • AUSTRIA: Fairtrade Austria • BELGIUM: Max Havelaar Belgium • CANADA: TransFair Canada • DENMARK: Max Havelaar Denmark • ESTONIA: Fairtrade Estonia (via Finland) • FINLAND: Reilun kaupan edistämisyhdistys ry. • FRANCE: Max Havelaar France • GERMANY: TransFair Germany • IRELAND: Fairtrade Mark Ireland • ITALY: Fairtrade TransFair Italy • JAPAN: Fairtrade Label Japan • LATVIA: Fairtrade Latvia (via Finland) • LITHUANIA: Fairtrade Lithuania (via Finland) • LUXEMBOURG: TransFair Minka Luxembourg • THE NETHERLANDS: Stichting Max Havelaar Netherlands • NEW ZEALAND: Fairtrade Labelling Australia and New Zealand • NORWAY: Fairtrade Max Havelaar Norway • SPAIN: Asociación del Sello de Comercio Justo • SWEDEN: Rättvisemärkt • SWITZERLAND: Max Havelaar Stiftung • UK: The Fairtrade Foundation • USA: TransFair USA 23 countries
  23. 23. FLO International - members (2) Fairtrade Marketing Organisations • SOUTH AFRICA: Fairtrade Label South Africa Producer Networks • African Fairtrade Network (AFN) • Coordinadora Latinoamericana y del Caribe de Comercio Justo (CLAC) • Network of Asian Producers (NAP)
  24. 24. • 350+ members in 70 countries • 2/3 in the South • 4 regional networks • Many country networks
  25. 25. FAIR TRADE definition FINE December 2001 • 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 countries of the South. • Fair Trade Organizations (backed by consumers) are engaged actively in supporting producers, awareness raising and in campaigning for changes in the rules and practice of conventional international trade.
  26. 26. CHARTER of Fair Trade Principles January 2009 www. http://www.fairtrade-advocacy.org) Two distinct but complementary channels: • The integrated supply chain route products are imported and/or distributed by organisations who have Fair Trade at the core of their mission and activities, using it as a development tool to support disadvantaged producers and to reduce poverty, and combine their marketing with awareness-raising and campaigning. • The product certification route products complying with international standards are certified indicating that they have been produced, traded, processed and packaged in accordance with the specific requirements of the international standards.
  27. 27. http://www.fairtrade-advocacy.org/documents/ FairTrade2007_newfactsandfigures.pdf
  28. 28. Sales Fair Trade products ‘North’ in 2007
  29. 29. Sales Fair Trade products Europe 2001 - 2007
  30. 30. Retail value Fair Trade certified products Europe 2007 (x 1.000 Euro)
  31. 31. Consumption Fair Trade certified products Europe 2007 in Euros per capita
  32. 32. Market share certified coffee and bananas Europe 2000-2007
  33. 33. Achievements • Increased trade volume, work and income • Empowerment of producers • (Indirect) Benefits to all producers in the area • Making the producer visible • Awareness, mainly in the North • From niche to mainstream • Growth of CSR (Fair Trade = CSR ‘avant la lettre’) • Political recognition (EP) • Fair Trade Towns (+500 in 15 countries) • World Fair Trade Day
  34. 34. Challenges: the right balance… • CSR cooperation ∆ differentiation • Label ∆ brand • Impact: Sales volume ∆ most disadvantaged • Credible system ∆ expensive certification • Political message ∆ marketing story • Professionalism ∆ volunteers (campaigning)
  35. 35. To conclude… • The present economic model is not sustainable • The ‘Culture of more, more, more’ and the ‘Race to the bottom’ has to and will stop • Not the market should be leading, but mankind, our community, our planet, our future • Social and environmental costs will have to be internalised in the market (in the cost price) • Fair Trade and CSR are part of the solution and will continue to grow
  36. 36. Trade can be an efficient tool for sustainable development and poverty alleviation if carried out in a fair and responsible manner Thank you

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