What is Fair Trade?
Fair trade seeks firstly and foremostly to give a fair go to workers and farmers around the world. It stands against lower price pressures from the West that get passed directly onto the bottom of the production chain, the labourers and small scale farmers.
The benefits of fair trade are:
- Producers receive a fair price for their goods.
- Advances are paid on all orders to at least cover the cost of materials.
- Purchasing and marketing of producers’ goods are conducted according to high ethical standards; continuity of orders is important for producers.
- Sources, production and workplaces do not exploit either their staff or the environment.
Buyer benefits
- Products have meaning above their tangible attributes ie knowing where each product was made and that it is supporting the poor or marginalised in that area.
- Cultural exchanges between people in the ‘majority world’ (developing countries) and people in the West (developed countries) are encouraged.
Tribes and Nations Fair Trade commitment
• We seek to foster long term relationships with our suppliers. We base our relationship on respect, openness and trust. We seek to contribute to a long term, sustainable enterprise for the benefit of the local producers.
• The artisans who work with us receive realistic and fair prices. We pay 50% in advance of all the orders so that our suppliers have sufficient funds to cover the raw materials and their needs during production.
• By bypassing middlemen and working directly with the artisans, costs are cut and a greater percentage of the retail price goes to them.
The Challenge of Fair trade
Tribes and Nations seeks to be an alternative, compassionate shopping choice. We want to be there for those Australians who want to see their buying power make a positive impact on the lives of fellow human beings. We want to be part of changing attitudes to shopping and understanding poverty and the pressure it puts on the majority world.
The US and UK Fair Trade movement have jumped ahead of us in effecting trade laws and changing shopping attitudes. They have insisted that all from chain stores to the corner store stock fair trade products. We can make a change here so that, in the future, fair trade is not a minor alternative issue but a market force.
For current news, events and issues on Fair Trade in Australia please click on www.fairtrade.com.au
For information on the Fairtrade labelling Organisations please click on www.fairtrade.net
International Federation of Alternative Trading (IFAT)
Below information has been taken form the IFAT website. Please click here to find out more www.ifat.org
IFAT Mission Statement
IFAT is the International Fair Trade Association, the global network of Fair Trade Organisations. IFAT's mission is to improve the livelihoods and well being of disadvantaged producers by linking and promoting Fair Trade Organisations, and speaking out for greater justice in world trade.
Almost 300 Fair Trade Organisations in 70 countries form the basis of our network and membership is growing steadily. Approximately 65% of our members are based in the South (that is: Asia, the Middle East, Africa and South America) with the rest coming from North America & the Pacific Rim and Europe. We are truly international!
Our members have the concept of Fair Trade at the heart of their mission and at the core of what they do. They come in many shapes and sizes and represent the Fair Trade chain from production to sale. Our members are producer co-operatives and associations, export marketing companies, importers, retailers, national and regional Fair Trade networks and financial institutions, dedicated to Fair Trade principles.
Last Updated (Ed: on the IFAT web site) (Friday, 01 December 2006)
What is Fair Trade?
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, marginalised producers and workers – especially in the South.
Fair Trade organisations have a clear commitment to Fair Trade as the principal core of their mission. They, 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. They can be recognised by the FTO Mark.
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.
Last Updated (Ed: on the IFAT web site) ( Friday, 01 December 2006 )
The Standards of Fair Trade
IFAT prescribes standards that Fair Trade organisations must follow in their day-to-day work and carries out continuous monitoring to ensure these standards are upheld:
• Creating opportunities for economically disadvantaged producers — Fair Trade is a strategy for poverty alleviation and sustainable development. Its purpose is to create opportunities for producers who have been economically disadvantaged or marginalised by the conventional trading system.
• Transparency and accountability — Fair Trade involves transparent management and commercial relations to deal fairly and respectfully with trading partners.
• Capacity building — Fair Trade is a means to develop producers’ independence. Fair Trade relationships provide continuity, during which producers and their marketing organisations can improve their management skills and their access to new markets.
• Promoting Fair Trade — Fair Trade Organisations raise awareness of Fair Trade and the possibility of greater justice in world trade. They provide their customers with information about the organisation, the products, and in what conditions they are made. They use honest advertising and marketing techniques and aim for the highest standards in product quality and packing.
• Payment of a fair price — A fair price in the regional or local context is one that has been agreed through dialogue and participation. It covers not only the costs of production but enables production, which is socially just and environmentally sound. It provides fair pay to the producers and takes into account the principle of equal pay for equal work by women and men. Fair Traders ensure prompt payment to their partners and, whenever possible, help producers with access to pre-harvest or pre-production financing.
• Gender Equity — Fair Trade means that women’s work is properly valued and rewarded. Women are always paid for their contribution to the production process and are empowered in their organisations.
• Working conditions — Fair Trade means a safe and healthy working environment for producers. The participation of children (if any) does not adversely affect their well being, security, educational requirements and need for play and conforms to the UN Convention on the Rights of the Child as well as the law and norms in the local context.
• The environment — Fair Trade actively encourages better environmental practices and the application of responsible methods of production.
• Trade Relations — Fair Trade Organisations trade with concern for the social, economic and environmental well being of marginalised small producers and do not maximise profit at their expense. They maintain long-term relationships based on solidarity, trust and mutual respect that contribute to the promotion and growth of Fair Trade. Whenever possible producers are assisted with access to pre-harvest or pre-production advance payment.
Last Updated (Ed: on the IFAT web site) ( Friday, 01 December 2006 )
A Little History on Fair Trade….ref Fair Trade – Wikipedia
1946-1949 – The Non Government Organisations (NGO) such as Ten Thousand Villages and Oxfam, along with church based organisation such as Mennonite Central Committee (MCC) and SERRV International, were among the first to organise Fair Trade supply chains to developing countries.
They sold through a source called “World Shops”.
In the 1950’s OXFAM launched “helping by selling” through its stores and mail order. They not only sold goods but also campaigned for better trade.
The 1960’s movement against multinationals and traditional businesses saw this cause come more into focus.
At this time and into the 1970’s thousands of Volunteers moved Fair Trade ahead by selling coffee from Angola and Nicaragua in churches, from their houses and stands from public places.
1988. The first “Fair trade“ label was born in the Netherlands and applied only to coffee. This was in response to the drop in coffee prices, which severely effected the coffee farmers.
1989 IFAT was formed.
1997 the current “ FAIRTRADE” International label was formed. This was to cover consumable goods. Eg, coffee, tea, sugars. Chocolate, flour, bananas etc. (The UK has over 1000 fairtrade consumable products available on the open market. March 2007)
2003 The Australian New Zealand Fairtrade Association (FTAANZ) was formed www.fta.org.au/FTAANZ
2004 IFAT launched the ATO Alternative Trade Organisation label for importing and exporting of non-consumable goods under the fair trade principles. Eg, Accessories, Jewellery, Homewares, Linen etc.
Fair trade terminology!?
Here is the official word from FTAANZ. "When referring to the general concept, you have used “fair trade” as two words; when referring to the Fairtrade certification, you have used “Fairtrade”; when referring to the Label, you have used “FAIRTRADE”." To add to this, most hand made, certified fair trade goods, with their seperate system of certification are referred to as FAIR TRADE goods.
WHY FAIR TRADE?
While commodity prices slip further into decline the costs of our coffee, tea and other goods are stable and sometimes rising. The obvious benefactors of this system are the middle men and large companies that control most of this trade. It is now the ‘honour’ of workers and farmers in developing world nations to live a life of poverty in order to supply us with our daily needs. Fair trade stands squarely opposed to this system.
WHO BENEFITS?
The Farmers:- increases their annual income; self sufficiency is a reality, avoiding high interest debts; the fairtrade levy builds local community, infrastructure and guards the environment.
The Consumer:-allows the consumer to initiate a chain of responses that will positively impact the poor; can use their buying power to empower others; be part of an international social justice movement through simple actions; will recognise that individual choices can bring a community together to work for a common cause and unity of purpose.
For more information please go to www.ifat.org and search under “fairtrade”.
For more up to date information on events, issues and news, please see these websites: www.fairtrade.com.au and www.fairtrade.net or search the word “fairtrade” on Google or Yahoo to fully discover the world of Fairtrade!



