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FAIRTRADE INTERNATIONAL

Vision“a world in which all producers can enjoy secure, sustainable livelihoods, fulfil their potential and decide on their future”

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Fairtrade Minimum Price

Fairtrade Development Premium

Organizational development Coops controlled by members Freedom of association for workers

Sustainable production Internal control systems Educated farmers Focus on quality and yields

Social entrepreneurship Responsibility for the community Responsibility for the environment

THE FAIRTRADE IMPACT

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Mirror the Organization‘s Performace against the Standards

Ensure Credibility of Fairtrade Labelling

Manage Risks for Producers and Traders

Ensure Integrity of the Development Process

WHY CERTIFICATION?

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Approx. 1200 certified co-ops and plantations in 55 countries

Around 1.6 Million farmers and workers benefiting from Fairtrade

Approx. 1800 certified traders in 90 countries

2012 certified retail value: approx. €5.5 Bn

Annual growth (new clients) 2009: app. 9%, 2010: app. 5%, 2011/12: app. 14%

SOME FACTS AND FIGURES

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Over 6000 product lines:

coffee, tea, sugar, cocoa, cotton, wine, sports balls, varieties of fruit, fruit juices, herbs, spices, nuts, grains, pulses, and oilseeds

FAIRTRADE PRODUCT RANGE

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CLIENTS

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Supply chain traceability

Producer Exporter Manufacturer LicenseeImporter Consumer

Pays small premium for “Fairtrade” products

Needs to meet Fairtrade standards

(including environmental and

social criteria)

“Fairtrade Premium” used for sustainability

projects

“Fairtrade Premium” passed back along supply chain

“Connecting disadvantaged producers and consumers”

THE FAIRTRADE CONCEPT

Receives guaranteed

minimum price to provide stability

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FLO eV Support Work Audit results as starting point Provide expertise

Annual Audits Standardized process Feedback loop Corrective measures

Auditors’ Qualification Annual Training Language, local culture Evaluation through clients

Compliance Criteria Operationalize Standards Tailor-made development for

each client

Fairtrade Standards Minimum Requirements Progress Requirements

CERTIFICATION PROCESS

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Producers Per Organisation Per Farmer

Av. Invoice 2.520 € 1,44 €

Traders Per Organisation

Av. Invoice 2.735 €

Typical Cost of Fairtrade Certification

CERTIFICATION COSTS

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Global coherence versus indivual needs From compliance to impact

CHALLENGES

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GLOBAL REACH