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Fair trade, by this definition, is a trading partnership based on dialogue, transparency and respect, that seeks greater equity in international trade. Fair trade organizations, backed by consumers, support producers, raise awareness and campaign for changes in the rules and practice of conventional international trade. [3]
The collapse of the International Coffee Agreement [11] in 1989 fueled the extraordinary growth of the fair trade coffee market, providing a powerful narrative for a new breed of fair trade brand that engaged producers directly in consumer operations. Cafédirect is a good example of this new thinking and was the first fair trade brand to be ...
The fair trade labeling organizations having most of the market share and who sell through supermarkets refer to a definition developed by FINE, an association of four international fair trade networks: Fairtrade Labelling Organizations International (FLO), World Fair Trade Organization (WFTO), Network of European World shops and European Fair Trade Association (EFTA).
Unless the buyers are linked to a quality supply chain (such as a fair trade or organic supply chain), the buyers normally do not provide any capacity-building to improve the quality of the product and thus gain a higher price. Fair trade, when practiced well, must provide full transparency in terms of pricing, weighing, and quality standards.
Members of the fair trade movement advocate the payment of higher prices to exporters, as well as improved social and environmental standards. The movement focuses in particular on commodities, or products which are typically exported from developing countries to developed countries , but also consumed in domestic markets, most notably ...
The Fairtrade Foundation is a charity based in the United Kingdom that aims to help disadvantaged producers in developing countries by tackling injustice in conventional trade, in particular by promoting and licensing the Fairtrade Mark, a guarantee that products retailed in the UK have been produced in accordance with internationally agreed Fairtrade standards.
A fair trade certification is a product certification within the market-based movement of fair trade. The most widely used fair trade certification is FLO International 's, the International Fairtrade Certification Mark , used in Europe , Africa , Asia , Australia and New Zealand .
A fair trade law was a statute in any of various states of the United States that permitted manufacturers the right to specify the minimum retail price of a commodity, a practice known as "price maintenance". Such laws first appeared in 1931 during the Great Depression in the state of California. They were ostensibly intended to protect small ...