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Fair Trade

Apart from ensuring a fair price for their goods, the Fair Trade movement also pushes for environmental concerns and social equality. Cooperatives are formed for the producers and they become stakeholders in the operation and success of their group. Another objective is to empower the producers by giving them a larger role and to provide them with secure living conditions. The most widely accepted definition of Fair Trade was given by FINE, one of the leading organizations in the Fair Trade community.
“Fair trade is a trading partnership, based on dialogue, transparency and respect, which 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 organizations (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.”
However, this movement is criticized by some. Economists argue that it acts as a subsidy towards farmers that impedes growth, and that by artificially controlling the price of commodities, they are tampering with the international trade system. Leftists on the other hand criticize the movement for not challenging the current social order. This is because Fair Trade works within the present global trading system and does not seek to create a different world order, only to work with what is presently established.

Nonetheless, the growth of sales for Faire Trade products is astonishing, accounting for 2.3$ billion. Taken in a global perspective, this is not very much, but it is a 41% increase from the year before. With time, these products are progressively becoming popular in western markets, creating the possibility for even more Fair Trade goods.

All Fair Trade products must be recognized by the Fair Trade Labelling Organization (FLO) to ensure that production took place in suitable conditions, providing the producer with long term contracts and the proper price. These products can be recognized by having the Fair Trade symbol on their package. But still, many ambiguities remain on the sustainability of this initiative, considering that it is solely supported by demand in western countries. Also, the Fair Trade fetish can be manipulated strategically by corporations in order to give themselves a humanitarian reputation with the goal of raising sales, and prices. But in a world where free trade has become the norm, ensuring that local producers get a faire price for their labour is a noble and worthy ideal.

For more information on Fair Trade, please visit the following sites:


http://www.maketradefair.org/en/index.htm
http://www.fairtrade.net/
http://www.fairtrade.org.uk/
http://www.cbc.ca/news/background/fair-trade/
http://www.lasiembra.com/