We Are Fair Trade Ltd offer a number of fair trade products, including products that carry the “FAIRTRADE” Mark. But what is the difference between “Fair Trade” and “Fairtrade”?
Fair trade, defined simply, is when products including food, drink and craft, are sourced through a fair supply chain, where small-scale farmers, producers and artisans are treated with dignity, respect and fairness. Fair trade is based on three, mutually-dependent principles: Partnerships, Price and Premium
Trading partnerships - with other producers and with retailers - give producers in the Global South the bargaining power to achieve better trading conditions for themselves
Fair trade agreements set the price for products such as food, drink, fashion and crafts, so that producers earn enough to cover the cost of production and have enough left over to invest in their farms and businesses. It’s not just about survival, it’s about improving year on year and building resilience.
On top of the agreed price, producers receive a "Fair Trade Premium”, that can be invested in healthcare, education and anything else they think will benefit their community.
Fair trade was created as an alternative way of doing business with the Global South. One that places the same importance on the interests of farmers and workers as it does on other commercial considerations. It also represents a solution to poverty and a model for development.
Businesses like ours enable the sale of fairly traded goods and generate the cash that is used to pay the Fair Trade Premiums. Buying from us is your contribution to the cause of trade justice.
You may have noticed that when we have been discussing what fair trade means, we’ve been using the term "Fair Trade" as two words. Elsewhere, you will see the term "Fairtrade" as a single word. Each of these terms carries a slightly different meaning. Here are the definitions of both:
The FAIRTRADE mark on a product reassures buyers that it has been traded in accordance with the principles and regulations set out by Fairtrade International (represented in the UK by the Fairtrade Foundation).
These social, economic and environmental standards are set for both companies and Fairtrade farmers and workers. For companies, these standards include payment no lower than the Fairtrade Minimum Price and/or an additional Fairtrade Premium to invest in the farm, business or community projects that matter most to the farmers.
As for the farmers and workers, the standards include the likes of democratic decision-making, non-discrimination and promotion of environmentally friendly farming practices, for example, responsible water and waste management, preserving biodiversity and minimising use of agrochemicals. For coffee farmers, a proportion of the Fairtrade Premium must be invested in coffee productivity and quality improvements as well as investments to enhance sustainable agricultural practices.
Fair trade, written as two words, describes an approach to doing business that is fair to all those involved. It sees the standards which Fairtrade sets as a minimum and seeks to go beyond that.
Fair trade also encompasses products, such as craft, which cannot be certified by Fairtrade as it is largely based on commodity pricing.
This approach is encapsulated by the 10 principles of fair trade:
There are many exciting ways to support the fair trade movement and get involved with We are Fair Trade, so why not start today? Firstly, you may be looking to buy fair trade products for your school, church, workplace, shop or stall, or you may be hoping to participate in fundraising. Alternatively, you can support fair trade by getting involved in many events throughout the year, including Fairtrade Fortnight.