Fair trade is where a farmer or craftsperson is paid a fair price for their product, one that represents its true worth, not just the lowest price that it is possible to pay. This is a price that covers the cost of production and enables the producer to live with dignity. [1] Fair Trade New Zealand is an organisation that was launched in 2005 which supports fair trade by ensuring that farmers and workers' rights are not exploited. [2] According to Oxfam New Zealand, there are several companies to support fairly traded goods from, which are exported to New Zealand. [3] From 2013-2014 there were 42 Fair Trade Licensees and Traders in New Zealand. [4] From 2015-2016 this number rose to 54 Fair Trade Licensees and Traders in New Zealand. [5] Gwen Green, Oxfam's Engagement Director, says: "when farmers are paid fairly for their products, we see people able to make real improvements to their lives and their communities. Producers who used to struggle to feed their families are able to give their children an education, and communities can build schools and develop businesses. It is one of the smart solutions to poverty". [6] In 2009, Wellington became the first fair trade capital city in the Southern Hemisphere. [7] In 2017, Whangarei was recognised by the Fair Trade Association of Australia New Zealand as being one of four fair trade councils in New Zealand, and the first fair trade district in New Zealand. [8]
International human rights law is founded on the idea that all human beings have the same set of fundamental rights. [9] The right to equality and non-discrimination provides that human beings, regardless of their status or membership of a particular group, are entitled to the same set of rights. [10] The Universal Declaration of Human Rights (UDHR), adopted in 1948, includes in it protections against discrimination and slavery, and provides for the rights to freedom of association and to form and join trade unions, the right to work, to free choice of employment, to just and favourable conditions of work, to protection against unemployment and the right to equal pay for equal work. [11] The significance of equality is reflected in the first article of the Universal Declaration of Human Rights (UDHR): 'All human beings are born free and equal in dignity and rights'.
Freedom from slavery and compulsory labour is recognised in the International Covenant on Civil and Political Rights (ICCPR). [12] Freedom from slavery and the prohibition of the slave trade refers to the practice of treating human beings as property. [13] Forced or compulsory labour is also prohibited under article 8 of the Covenant, although it is subject to exceptions. That is, performance of labour as part of a prison sentence will not breach a state's obligations. [14] The right to employment with just and favourable conditions is recognised in the International Covenant on Economic, Social and Cultural Rights (ICESCR), and these conditions should provide workers with fair wages and equal pay for work of equal value. [15]
New Zealand law does not generally have extraterritorial effect. The extraterritorial application of human rights regimes can be defined as the existence of a legal obligation to respect rights. [16] The Fair Trading Act 1986 deals with misleading and deceptive conduct, [17] and despite its title, has no direct legal connection with this particular aspect of fair trade in New Zealand. In New Zealand slavery and forced labour are criminalised. A person is liable to imprisonment for a term not exceeding 14 years who, within or outside New Zealand, sells and purchases, or in any way whatsoever deals with any person as a slave. [18] Slavery is prohibited by the New Zealand Bill of Rights Act 1990. Slavery is also not mentioned in the Human Rights Act 1993. There is currently no law that fair trade products need to be endorsed or supported through both private and public organisations in New Zealand.
The Fairtrade Mark indicates that products purchased by consumers are supporting farmers and workers as they work to improve their livelihoods and provide better support to their communities. [19] In 2015-2016 79% of New Zealanders recognised the Fairtrade Mark. [20] In 2015, recognition of the Fairtrade Mark in New Zealand reached 78% and measured at NZ$89 million. [21] The total revenue for Fairtrade ANZ has increased by 29% in the 2016 Financial Year. [22] There are two recognised international fair trade systems - the World Fair Trade Organization (WFTO) and Fairtrade Labelling Organisations International. [23] The Fair trade label appears on product packaging and is a consumer guarantee which is awarded to specific products that have been traded according to the International Fair trade labelling standards. [24] In contrast, the WFTO certifies organisations as fair trade organisations - throughout their entire supply chain.
The Fair Trade Federation is an organisation that recognises and upholds those principles to promote equity in international trade. [25] The Federation works with The World Fair Trade Organization (WFTO) and subscribes to similar fair trade principles. The organisation has ten principles of fair trade which it follows. These principles listed below are sourced from the WFTO website: [26]
Oxfam New Zealand works with suppliers that sell a range of fair trade products in New Zealand. [27] Trade Aid, All Good Bananas, and L'Affare are some suppliers that trade fair trade products.
There are two universities in New Zealand that have been recognised by the Fair Trade Association of Australia and New Zealand as fair trade universities. In 2013 the University of Otago became the first New Zealand university to be granted fair trade accreditation, along with more than 100 universities around the world that have become fair trade institutions. [36] Vice Chancellor Professor Harlene Hayne says: "I am proud of the effort staff and students have gone to make this happen and look forward to a long and meaningful association with Fairtrade. We now have Fairtrade products available at all seven outlets on campus and 90 per cent of residential students have access to Fairtrade products in their colleges". In July 2017, the University of Canterbury was also granted fair trade accreditation, becoming the first entirely fair trade campus in New Zealand. [37] The fair trade criteria for accreditation is that 50 per cent of products should be fair trade, where that option is available. [38] The supporting of fair trade products at University of Canterbury means that the campus uses fair trade coffee, tea and hot drinking chocolate, as well as selling Trade Aid chocolate. [39] Chair of the UC Fair Trade Committee Dr John Hopkins stated "by the time we applied for accreditation, UC purchases for tea and coffee had reached 80 per cent, and are still rising". Professor Ian Wright from the University of Canterbury says: "our staff and students can be proud that their commitment will have far-reaching impacts, not only in raising awareness in the local community, but in directly benefiting producers, growers and workers in developing countries". [40]
Fair trade is a term for an arrangement designed to help producers in developing countries achieve sustainable and equitable trade relationships. The fair trade movement combines the payment of higher prices to exporters with improved social and environmental standards. The movement focuses in particular on commodities, or products that are typically exported from developing countries to developed countries but is also used in domestic markets, most notably for handicrafts, coffee, cocoa, wine, sugar, fruit, flowers and gold.
Fairtrade International, or Fairtrade Labelling Organizations International E.V. is a product-oriented multistakeholder group aimed at promoting the lives of farmers and workers through trade. Fairtrade's work is guided by a global strategy focused on ensuring that all farmers earn a living income, and agricultural workers earn a living wage. Fairtrade works with farmers and workers of more than 300 commodities. The main products promoted under the Fairtrade label are coffee, cocoa, banana, flowers, tea, and sugar.
The Fair Trade Towns campaign is the result of a grass-roots citizens movement that started in the UK in 2001. It allows citizens to get together in order to self-proclaim their town as a region that complies with a few general Fair Trade criteria, that can be adapted from country to country but which retain their main elements.
The Fairtrade Foundation is a charity based in the United Kingdom that aims to help disadvantaged producers in developing countries by tackling injustice in conventional trade, in particular by promoting and licensing the Fairtrade Mark, a guarantee that products retailed in the UK have been produced in accordance with internationally agreed Fairtrade standards. The foundation is the British member of FLO International, which unites FLO-CERT, 25 National Fairtrade Organisations and 3 Producer Networks across Europe, Asia, Latin America, North America, Africa, Australia and New Zealand.
The World Fair Trade Organization (WFTO) is the global community and verifier of enterprises that fully practice Fair Trade. It is an association of SMEs, farmers or retailers that fully practice the 10 Principles of Fair Trade. They also advocate for fundamental change in our current economic system.
Traidcraft was a UK-based Fairtrade organisation, established in 1979. Its trading arm, Traidcraft plc, which sold fairly traded products, went into administration in January 2023.
Oxfam Australia is an Australian, independent, charity, not-for-profit, secular, community-based aid and development organization, and is an affiliate of the Oxfam International Confederation. Oxfam Australia's work is divided into four broad categories covering climate justice, Economic Justice, Gender Justice and First Peoples Justice as well as Humanitarian response. They believe that poverty in the 21st century is less a problem of scarcity but the result of how resources, opportunities, and protections are distributed and wielded.
Fairtrade Fortnight is an annual promotional campaign which happens once every year, organized and funded by the Fairtrade Foundation to increase awareness of Fairtrade products. It makes use of volunteers who support the goals of Fairtrade but who may also be committed to the more general concepts of fair trade, ethical trading or concerned by development issues. The concept was pioneered by the Fairtrade Foundation in the United Kingdom, initially held in 1997 in Scotland and directed by Barnaby Miln.
The term ethical trade first gained currency in the mid-1990s, where it was used as a term for socially responsible sourcing. Ethical trade addresses the ethical aspects of organisations including worker welfare, agricultural practice, natural resource conservation, and sustainability of the environment. Since then, numerous multinational organisations have adopted ethical trade policies by outsourcing to auditing companies to monitor the conditions of workers in their supply chains. The leading alliance of these companies, trade unions and non-governmental organisations is the Ethical Trading Initiative. to support business
The 'International Fairtrade Certification Mark is an independent certification mark used in over 69 countries. It appears on products as an independent guarantee that a product has been produced according to Fairtrade political standards.
Fairtrade Ireland is the Irish member of FLO International, which unites 23 Fairtrade producer and labelling initiatives across Europe, Asia, Latin America, North America, Africa, Australia and New Zealand.
The Fair Trade Association of Australia and New Zealand is a member-based organization that supports two systems of fair trade. The first is the Australia and New Zealand member of FLO International, which unites Fairtrade producer and labeling initiatives across Europe, Asia, Latin America, North America, Africa, Australia and New Zealand. The second is the World Fair Trade Organization (WFTO), of over 450 worldwide members, to which the Fair Trade Association is one. Fairtrade refers to FLO certified commodity and associated products. Fair trade encompasses the wider Fair Trade movement, including the Fairtrade commodities and other artisan craft products.
The fair trade movement has undergone several important changes like the operation for ten thousand villages to open their businesses since early days following World War II. Fair trade, first seen as a form of charity advocated by religious organizations, has radically changed in structure, philosophy and approach. The past fifty years have witnessed massive changes in the diversity of fair trade proponents, the products traded and their distribution networks.
Children's Care International / Aide Internationale Pour l'Enfance (AIPE-CCI) is a non-profit organization founded in 2000. Its mission is to open rehabilitation centres throughout developing countries in Asia, Africa, and Latin America, to aid children who are victims of sex tourism, slavery, and all other forms of exploitation.
The Max Havelaar Foundation is a non-profit certification and public education organization promoting Fairtrade products in Switzerland to improve the livelihood of developing world farmers and workers. The Max Havelaar Foundation is the Swiss member of FLO International, which unites 23 Fairtrade producer and labelling initiatives across Europe, Asia, Latin America, North America, Africa, Australia and New Zealand. Several of these corresponding organizations in other European countries also use the Max Havelaar name. The Swiss Max Havelaar organization was founded in 1992 by the Third World aid organisations Brot für alle, Caritas, Fastenopfer, HEKS, Helvetas and Swissaid.
Shared Interest Society Limited is a fair trade financial co-operative based in the United Kingdom formed in 1990. Today it provides credit and financial services to fair trade producers, retailers, importers and exporters throughout the world. Shared Interest works with both Fairtrade International and the World Fair Trade Organization (WFTO). In 2004, the Shared Interest Foundation was formed as a charitable subsidiary, providing training and support services to producers, complementing the financial services offered by the Society. Shared Interest received the Queen's Award for Enterprise in 2008.
Oxfam is a British-founded confederation of 21 independent non-governmental organizations (NGOs), focusing on the alleviation of global poverty, founded in 1942 and led by Oxfam International. It began as the Oxford Committee for Famine Relief in Oxford, UK, in 1942, to alleviate World War Two related hunger and continued in the aftermath of the war. By 1970, Oxfam had established an international presence, in India, Australia, Denmark, and North America.
Labour standards in the World Trade Organization are binding rules, which form a part of the jurisprudence and principles applied within the rule making institutions of the World Trade Organization (WTO). Labour standards play an implicit, but not an overt role within the WTO, however it forms a prominent issue facing the WTO today, and has generated a wealth of academic debate.
A fair trade certification is a product certification within the market-based movement of fair trade. The most widely used fair trade certification is FLO International's, the International Fairtrade Certification Mark, used in Europe, Africa, Asia, Australia and New Zealand. Fair Trade Certified Mark is the North American equivalent of the International Fairtrade Certification Mark. As of January 2011, there were more than 1,000 companies certified by FLO International's certification and a further 1,000 or so certified by other ethical and fairtrade certification schemes around the world.
Fair trade cocoa is an agricultural product harvested from a cocoa tree using a certified process which is followed by cocoa farmers, buyers, and chocolate manufacturers, and is designed to create sustainable incomes for farmers and their families. Companies that use fair trade certified cocoa to create products can advertise that they are contributing to social, economic, and environmental sustainability in agriculture.