Abstract
There are many definitions for fair trade, however, none of which have been accepted as a standard definition. The Fairtrade Foundation, Oxfam and Traidcraft have agreed the following common definition of fair trade: "Fair Trade is an alternative approach to conventional international trade. It is a trading partnership which aims at sustainable development for excluded and disadvantaged producers. It seeks to do this by providing better trading conditions, by raising awareness and by campaigning."
Fair trade appeared in the beginning of 1960s at the same time in Europe and in North America. But it is only since the last 15 years that it really developed. It has registered a very good growth since the end of 1990s according to the increased promotion fair trade received through media interest, and pressure group for fairer trading practices. One of the first products concerned has been and still remains the coffee. "Fair" coffee only represents 3% of world transactions. Its example is important because it allows us to understand in which context, "fair trade" has been developed. Coffee is a main commodity of North-South exchange (just after petrol/oil). Contrary to petrol prices, which have been under the control of OPEC since1973(Organization of Petroleum Exporting Countries), the history of coffee is different. Between 1970 and 1980, coffee market was regulated by an international agreement controlling the prices, like the model of European Common Agricultural Policy (CAP). Since 1980, liberalization subjected the courses to important variations. It is important to notice that "fair trade" was born when European Community created the CAP to sustain the farmers' member countries.
Extract
[...] [Online] URL:(http://www.ifat.org/index.php?option=com_content&task=view&id=10 &Itemid=17&limit=1&limitstart=1 [20 April 2007] Traidcraft.[Online] URL: http://www.traidcraft.co.uk/ [20 April 2007] Wikipedia : Coffee / Fair Trade [Online] URL: http://en.wikipedia.org/wiki/Coffee [02 March 2007] URL: http://en.wikipedia.org/wiki/Fair_trade [02 April 2007] b. Books Albuam, Strandskov, Duerr (1998 (Third edition)). International Marketing and export management. Barrat Brown (1993). Fair trade: reform and realities in the international trading system. Page 29 on 31 Blackstock Lorraine (2003). Investigation into how the knowledge of international trade rules set by WTO and poverty reduction strategies of the IMF and World Bank affect the purchase of fair trade products. Cohn, Theodore H. [...]
[...] Fair trade encourages the fair treatment of all workers. Fair trade aims to build up long-term relationship rather than looking for sort-term commercial advantage. Page 21 on 31 c. Effects on the Coffee industry in developing countries Growth in Fairtrade sales has been significant at around 12% year-on-year, although this may well slow down since the broader category of ethical coffees has evolved rapidly. Other sustainable coffees have become more prominent, for example those certified by the Rainforest Alliance, and consumers may choose to support sustainability in ways other than Fairtrade. [...]
[...] Contrary to petrol prices, which are under control of OPEC since1973 (Organization of Petroleum Exporting Countries), history of coffee is different. Between 1970 and 1980, coffee market was regulated by an international agreement controlling the prices, like the model of European Common Agricultural Policy (CAP). Since 1980, liberalization subjected the courses to important variations. It is important to notice that “fair trade” was born when European Community created the CAP to sustain the farmers' countries members. Page 1 on 31 “The importance of coffee in the world economy cannot be overstated. [...]
[...] Features contributing to the growth of ethical consumerism – a preliminary investigation. Page 30 on 31 VII. BIBLIOGRAPHY a. Texts Brown, Hilary, (2004), Fair trade retailers: socially responsible, ethical organisations and using strategic marketing tools Stewart, Naomi, (2004), Importance of Fair Trade : Oxfam's contribution to it and whether this has led to an increase in ethical consumerism b. [...]
[...] To campaign for changes in the rules and practice of conventional international trade. 6. To protect human rights by promoting social justice, sound environmental practices and economic security. (FINE, 1999) Page 9 on 31 c. Coffee Industry Coffee is one of the largest traded commodities in the world, produced in over 80 countries and providing a livelihood for over 100 million people worldwide (International Coffee Organisation, 2002). Many of these countries are heavily dependent on coffee as the commodity can account for up to 80% of total export earnings. [...]
