Fair Trade Resource Center

What is Fair Trade?
History of Fair Trade
Coffee Trips and Delegations
Fair Trade Fundraiser Ideas
Films about Fair Trade and Coffee
Helpful Fair Trade Links and Resources
Buy Fair Trade
Oxfam America's Coffee Campaign

What is Fair Trade?

The International Federation for Alternative Trade (IFAT) provides a good definition of fair trade. Fair trade is a trading relationship that promotes sustainable solutions to poverty reduction, which take into account community development, gender equity, and protections for the environment. Fair trade means that producers receive a fair price for their product. But fair trade goes beyond a simple economic transaction.

According to IFAT, "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 the South …"

Fair Trade is more than just trading: it proves that greater justice in world trade is possible. It highlights the need for change in the rules and practice of conventional trade and shows how a successful business can also put people first."

To obtain fair trade certification, a product must meet certain strict criteria which are independently monitored. There are seven central principles to fair trade:

Producers receive a fair price for their product or labor;
No forced labor or exploitative child labor, and working conditions are healthy and safe;
Producers and buyers develop direct, long-term relationships;
Producers have access to credit and technical assistance;
Sustainable and environmentally-friendly techniques are encouraged;
Equal employment opportunities for all are provided;
Workers and producers are organized into cooperatives or associations that are transparent, accountable and democratic.

Why do we need fair trade?

One quarter of the world's population lives in absolute poverty. Many of the world's poorest people are farmers and plantation workers, producing basic commodities like corn, rice, and coffee. These people work very hard, but they can't get a fair price for what they produce.

Take coffee as an example. Think of how much you pay for one cup of coffee. When the world coffee price decreases, consumers do not pay any less for their beverages at their favorite local coffee bar. Who is stuck with the cost? The farmers who grow the coffee beans. A decline in price means they won't have enough money to keep their kids in school or be able to feed their families. With few alternatives, many producers are trapped in a cycle of poverty.

One way you can help break this cycle is to buy products that are Fair Trade. By buying Fair Trade goods, you ensure that the producer gets a fair wage, has a long-term, direct relationship with a buyer, has access to credit and is encouraged to use environmentally friendly techniques.

How do I know which products are Fair Trade?

Independent, third-party verification is key to ensuring transparency in the Fair Trade supply chain. One way that you can be sure that a product is Fair Trade is by looking for the Fair Trade Certified™ label. TransFair USA awards the label to importers and manufacturers in this country to document business practices and provide a reliable consumer guarantee that coffees, teas, chocolates, fresh fruits, sugar, and rice have been purchased from producers according to international fair trade criteria.

The Fair Trade Federation is an association of Fair Trade wholesalers, retailers, and producers whose members are committed to providing fair wages and good employment opportunities to economically disadvantaged artisans and farmers worldwide. By adhering to social criteria and environmental principles, Fair Trade Organizations that are members of FTF foster a more equitable and sustainable system of production and trade that benefits people and their communities.

FTF members supply a host of Fair Trade items, including crafts, clothing, food items such as nuts, coffee, herbal teas, body care items, jewelry, and much more. They can be found in retail stores carrying the FTF logo.

History of Fair Trade

Fair trade coffee is part of a larger fair trade movement that dates back to the late 1940's when US churches began selling handicrafts made by refugees in Europe after World War II.

In comparison to conventional trading structures, Alternative Trade Organizations (ATO) offered higher returns to producers in the developing world through direct trade and fair prices.

Since then, "alternative trade," or Fair Trade organizations—like Equal Exchange, SERRV International, and Ten Thousand Villages—have sought to address structural inequities in the global economy and promote grassroots development through direct, equitable trade. Many ATOs are members of the Fair Trade Federation, an association of fair trade wholesalers, retailers, and producers whose members are committed to providing fair wages and employment opportunities to economically-disadvantaged artisans and farmers worldwide.

Fair Trade certification of commodities began in the Netherlands in 1988 in response to plummeting prices in the world coffee market. The TransFair seal was later launched in Germany. Today 19 countries have their own labeling initiatives, operating with shared criteria under the Fairtrade Labeling Organization umbrella.

Fair Trade Certified™ coffee, bananas, tea, chocolate, honey, sugar, orange juice, and flowers are available in stores throughout Europe. Fair Trade handicrafts are sold in thousands of Fair Trade shops in Europe, the US, Canada, and Japan. Many US organizations that deal exclusively in Fair Trade crafts or coffee are grouped together under the Fair Trade Federation.

The Fair Trade Certified™ logo guarantees that producers were paid a fair price for their product. Fair Trade Federation Members of the Fair Trade Federation are committed to providing fair wages and employment opportunities to economically disadvantaged artisans and farmers worldwide.

Delegations and Semester Study Abroad Programs in Coffee-Growing Communities

Fair Trade Fundraiser Ideas

Become a part of the movement that, for farmers and artisans, means the difference between a hand-to-mouth existence and being able to plan for the future. Team up with socially responsible retailers to plan a Fair Trade sale, fashion show, or fundraiser.

Promote Fair Trade products while raising funds for your cause or organization. Incorporate fair trade crafts, chocolate, and other items into the US retail market represents and make a huge step forward for development abroad and the Fair Trade movement in this country.

Organize a Fair Trade Sale

Organize a Fair Trade sale on your campus that provides fair wages to coop members abroad and raises funds for the education of young girls in Mercado Global's partner cooperatives. Or promote Fair Trade in your community by marketing crafts from Mercado's partner cooperatives to independently-owned stores around your campus. Visit www.mercadoglobal.org/ to learn more and download action guides for your campus sale and marketing campaign.

Host a Fair Trade Fashion Show

Handwork of India brings sweat-free Fair Trade apparel and home decor fashions to the US through mail-order catalog and its online store. With MarketPlace, you have the option to host a fashion show, have a fundraiser, throw a publicity event and learn how to get MarketPlace plugged into you campus' volunteer programs. Visiting www.marketplaceindia.com and look under titles, "Join Hands with Artisans" and then "Students Join Hands."

Hold a Fair Trade Chocolate Fundraiser

Team up with SERRV International to bring Fair Trade to your campus and community with a Divine Chocolate fundraiser. Divine Chocolate is made with the best quality fair trade cocoa beans from Kuapa Kokoo, a fair trade cooperative in Ghana. Students receive approximately a 25 percent discount on their fundraiser orders and can receive an additional 10 percent discount if their order exceeds $1,000. Visit www.serrv.org/divine or order by telephone: 800-423-0071

Have a Handicrafts Fundraiser

World of Good's fundraising package is a great way to introduce the principles of Fair Trade to your campus and with products like the "hakuna matata" bracelet and "write your heart out" journal, it puts the fun back in fundraising. Visit www.worldofgood.com.

Host a Fair Trade School Fundraiser

Raise money for your school while engaging as global citizens and benefitting the farmers growing the chocolate, coffee and teas you're selling. For more, visit Equal Exchange at www.equalexchange.com/fundraiser.

Films About Fair Trade and Coffee

Helpful Links and Resources

Scroll down for information on community, student, and faith-based organizations working on coffee and Fair Trade, as well as links to Fair Trade companies that offer fundraising opportunities.

Transfair USA is the only independent, third-party certifier of Fair Trade products in the United States. TransFair verifies that the farmers who produced Fair Trade Certified™ products were paid a fair price. Transfair also publishes a Where to Buy Fair Trade list on their website. Visit www.transfairusa.org.

United Students for Fair Trade is a national network of student organizations promoting Fair Trade products, policies, and principles. USFT focuses on building leaders for the global justice movement, mobilizing communities to support Fair Trade, building relationships across the North-South divide, and equipping organizers with resources. For more information and to get connected, visit www.usft.org.

Coop America's Fair Trade Alliance connects workplaces, community organizations, schools, congregations, and more who are pledging to make Fair Trade products a part of their meetings, events, and social gatherings ... and working to educate others about Fair Trade. www.fairtradeaction.org has tons of Fair Trade tools and campaign ideas.

Fair Trade Federation is an association of Fair Trade wholesalers, retailers, and producers. FTF links low income producers and educates consumers about the important of purchasing Fair Trade products. You can find a list of Fair Trade product retailers at www.fairtradefederation.com. For educational materials, visit www.fairtradreresource.org.

The Catholic Relief Services' Fair Trade Program offers a number of useful resources and information for your Fair Trade campaign, including a map of where you can find 100% Fair Trade Certified coffee companies in the US, as well as an explanation of various coffee certifications. Visit http://www.crsfairtrade.org/

Global Exchange is an international human right's organization that provides information and tools on Fair Trade coffee and chocolate, and the sweatshop link. You can find a Fair Trade online store and organizing tools at www.globalexchange.org.

More great sites to check out

International Federation for Alternative Trade
Fair Trade Labelling Organization
Cool Planet's Fair Trade curriculum
Songbird Foundation
http://www.lwr.org/advocacy/tradejustice/ifti/index.asp">The Interfaith Fair Trade Initiative (IFTI) expands on the model of the "Lutheran World Relief Coffee Project," that introduced Lutheran congregations to fair trade. IFTI works with fair trade coffee companies and a coalition of faith-based international organizations and religious denominations to significantly expand the purchase of fair trade coffee in the U.S., increase advocacy on behalf of fair trade, and improve the lives of small coffee farmers.