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 (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.
Fair trade organisations have a clear commitment to Fair trade as the principal
core of their mission.
Key principles of Fair Trade
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 marginalized 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 organizations can
improve their management skills and their access to new markets.
Promoting
Fair Trade
Fair Trade Organizations raise awareness of Fair Trade and the possibility of greater
justice in world trade. They provide their customers with information about the
organization, 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
organizations.
Child
Labour
Fair Trade Organizations respect the UN Convention on the Rights of the Child, as
well as local laws and social norms in order to ensure that the participation of
children in production processes of fairly traded articles (if any) does not adversely
affect their well-being, security, educational requirements and need for play. Organizations
working directly with informally organised producers disclose the involvement of
children in production.
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 Organizations trade with concern for the social, economic and environmental
well-being of marginalized 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.
For more information please visit the Trade Aid website at
www.tradeaid.org.nz .
Trade
Aid
Creating
opportunities for economically disadvantaged producers
Transparency
and accountability