FAIRTRADE

The following text does not claim to be exhaustive but provides some information on the topic.

Fairtrade – fair trade – historical developments

The first Fairtrade organization was founded in 1946 by several North American towns.The first Fairtrade organization was involved with supporting charity projects and the production of hand-made goods. Initially, products from developing countries were not given priority and not much attention was paid to global politics.

In the 1960s the guiding principle was born, which continues to this day:

-         Sales prices for products which actually reflect all production costs

A few years later the first “world shops” were opened in Western Europe where fairly traded products were offered. In order to increase transparency and credibility, it was obvious that an international Fairtrade logo and an international Fairtrade organization were needed.

In 1989, the IFAT (International Federation for Alternative Trade) was founded. At first, different Fairtrade logos were used in various countries until a single Fairtrade logo was agreed upon in 2002. This single logo is used in every country and every language. It is subject to Fairtrade International, FLO for short (Fairtrade Labelling Organizations International).

What does the Fairtrade Logo represent?

Today it means that:

-         A secure existence is made possible for small farmers in Third World countries, and also from developing countries,

-         Better working conditions can be achieved,

-         A more dignified life and stable future for small farmers can be created, especially for their children.

 

Its purpose is to fight poverty by encouraging consumption by better off Western consumers.

Fairtrade products are traded at higher prices (purchased/sold). This price is usually above the world market price. When Fairtrade products are bought in the richer countries, farmers/producers get a fair price for their product.

Products bearing the Fairtrade logo have been controlled according to stringent Fairtrade standards and certified as Fairtrade only after having fulfilled social, economic and ecological standards. Only the product is certified, not the firm. A large part of Fairtrade products on the market in Austria are also farmed organically. The trend is clear: Fairtrade and organic products should be brought closer together!

The Fairtrade range now not only includes coffee, tea, cocoa-based chocolate and fruits. Dried fruits, nuts, sugar, confectionery, rice, cereals, honey, spreads, beverages, vinegar, oils, flowers, cotton products etc. are marked with the Fairtrade logo.

 

Fairtrade standards mean successful certification:

Social:

-         Minimum standards in labour laws,

-         Democratic organizational structures,

-         Transparency,

-         Ban on exploitative child labour and forced labour!

 

Trade:

 

-         Minimum prices,

-         Premium for social achievements,

-         Infrastructure and education (using the Fairtrade premium investments are made in important educational, health and environmental projects),

-         Markups for organic goods,

-         Long-term trade ties, advance financing and

-         Controlled flow of goods

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Environment:

-         Genetically unmodified seeds,

-         List of banned substances,

-         Environmentally friendly cultivation,

-         Support for organic farming and protection of natural water resources!

These standards are internationally uniform and are developed and published by “Fairtrade International”. Best Practice Methods are adhered to. Success, measured by demand, drives the development of these guidelines.

 

GEPA and EZA – two Fairtrade Friends

GEPA means “Gesellschaft zur Förderung der Partnerschaft mit der Dritten Welt” or Society for Promoting Partnerships with the Third World. GEPA is the „largest European importer of fairly traded foods and crafted goods from Southern countries” (source: Wikipedia), and is registered in Germany.

EZA Fairer Handels GmbH (Fair Trade GmbH) is a group/organization in Austria importing fair products. A large part of the imported products are distributed via world shops.

 

The Marap Fairtrade Project!

For Marap and its Uzbek subsidiary Silk Road Organic Foods, the year 2011 is/was defined by Fairtrade activities. The range of organic products was enlarged, including organic Fairtrade products.

At the beginning of July the first Fairtrade audit in Uzbekistan was carried out successfully. Controls were made at the small farmers’ group “Turkiston Gulba” and “Silk Road Organic Foods”.

At present, the following organic foods are available in Fairtrade quality: Organic sour cherries, organic sweet cherries, organic golden cherries, organic almonds, organic water melons, organic sugar melons, organic honeydew melons, organic sesame (brown and black), organic calypso beans,  organic tartar beans and organic chickpeas.

For 2012, we plan to have organic walnuts, organic apricots and organic raisins certified according to Fairtrade guidelines.

Organic farmers supplying Marap with Fairtrade products receive an extra markup per kilogramme and product, in additional to the normal trading price.

A collective amount of USD 150.000, derived from Fairtrade premiums, is foreseen for Fairtrade famers’  communities in 2011. An increase in this sum is planned for 2012. Infrastructure projects (roads, electricity, gas, water, canals), schools, educational institutions and other measures will be carried out (financed) with this.

At present, the small famers’  group “Turkiston Gulba” is made up of 150 small farmers. In the next few years more farmers will be included, so that the Marap Fairtrade Project will in fact have more than 1.000 families.

Concluding, we would like to mention that once yearly a controlling audit is carried out, in this case by FLO Cert. This is a Fairtrade standard and is important, since it ensures that all criteria are adhered to. Funds and money can be used for Fairtrade projects and for the benefit of farming communities.

 

FAIRTRADE PRODUCTS