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Economics and Poverty
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bCommodity Prices in Real Terms: Jute
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
•Commodity Prices in Real Terms: Jute
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bCommodity Prices in Real Terms: Rubber
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
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bCommodity Prices in Real Terms: Cocoa
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
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bCommodity Prices in Real Terms: Coffee
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
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bCommodity Prices in Real Terms: Sugar
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
Commodity Prices in Real Terms: Bananas
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gCommodity Prices in Real Terms: Tea
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
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bCommodity Prices in Real Terms: Cotton
•Figures from FAO ‘The State of Agricultural Commodity Markets’ 2004
The Real Cost of Cotton 1972 - 2007
Direct and Indirect Impacts of Fairtrade
Through trading standards - FLO estimates that in 2005 €80m went to producers in Fairtrade minimum price and premium; benefitting community more widely
Minimum prices and Premium in Mali
Pricing in Mali 2005-2006
The conventional cotton price fell 24% (€0.31 to
€0.24) per kilo
Fairtrade Certified Cotton was established
A minimum Fairtrade price is €0.36 per kilo
Plus a premium of €0.05
•12
•Mali •Case Study
The Arabica Coffee Market 1989 – 2009:Comparison of Fairtrade and New York Prices
The Cocoa Market 1994 – 2009: Comparison of Fairtrade and New York Prices
Impact for Small-holders and Workers:
1. For Producers and their Families
Gerado Camacho, Coocafé; ‘The Fairtrade price allows us to survive as coffee farmers. It covers our costs of production, lets us send our kids to school, buy clothes and keep a roof over our heads.’
“Women now join in the decision making. The women are now
involved in the “Women now join in the decision making. The women are now
involved in the harvest and decisions about
production and conservation. We were part of the
decision to build a new school.”
•Bamakan Souko,•Dougourakoroni.
Impacts for Small-holders and Workers:2. For Producer Organisations
Arturo Gomez, Coopetrabasur; ‘Before I was someone that took a box and loaded it onto a train. That was my only responsibility. I was just a farmer, who was an intermediary. In this new system I have become an international business man.’
3. For Community DevelopmentMillennium Development Goals
Environmental Sustainability Health Education
In one village, premium use in year 1: build 2 classrooms
Premium use year 2: build 2 classrooms…
…and the government builds 4
Impact on Public
0%
10%
20%
30%
40%
50%
60%
70%
80%
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Year
Rec
og
nit
ion
of
the
Mar
k (%
)
Recognition of the FAIRTRADE Mark 1999 - 2008
Recognition = % of people who recognize the Fairtrade symbol
Source: MORI /TNS Omnibus studies
NB. 2008 figures remain confidential.
Grassroots Social Movement
427 Fairtrade Towns
93 Fairtrade Universities
Over 5000 Fairtrade faith groups
Over 2000 schools signed up to the new Fairtrade School Scheme
What is a Fairtrade School?www.fairtrade.org.uk/schools
A Fairtrade School is a school that has achieved five goals.
This usually takes at least a year and involves the whole school
A Fairtrade School is a school that….
...has set up a Fairtrade steering group
….has produced a Fairtrade School Policy
...is committed to selling Fairtrade products
...to promoting Fairtrade products
... and using Fairtrade products
...learns about Fairtrade issues across at least three subject areas
...promotes and takes action in school
…and the wider community
... Your local supermarket?
We publicise what we do... so that others will follow
Fairtrade Links with Geography Curriculum
National Curriculum KS1Knowledge and Understanding of Places
How places are linked to other places in the world
National Curriculum KS2 Recognise how places fit together and are interdependent
Environmental change and sustainable development
National Curriculum KS3 Global citizenship
Encourages critical thinking
Interdependence
Cultural understanding and diversity
UK Sales of Fairtrade Products 1999 - 2008
•ales of Fairtrade Products 1999 - 2008
•2008: 44% increase from 2007
In 2008 Tate & Lyle announced all their retail sugar would be Fairtrade, benefiting 6000 sugar producers in Belize who will receive a Fairtrade premium of around £2 million in the first year alone.
“I know that Fairtrade works. I have seen the positive impact on the banana growers in the Windwards Islands since we decided at the end of 2006 to move Sainsbury’s bananas to 100% Fairtrade. But we are not doing this for altruistic reasons – we know that our customers support the objectives of Fairtrade in helping guarantee farmers in the developing world a fair and stable price.”
Justin King, CEO, Sainsbury’s
•41
•Working with • 632 producer organisations
• across 3 continents • in 59 countries
•Benefitting 7.5 million people
•Fairtrade InternationallyGlobal Fairtrade Movement
So we can the balance of powertip
