Approaches to implementing fair trade practices for smallholder farmers

Abstract

Fair Trade is a global network, a certification system whereby producers meet certain social, economic and environmental standards, with additional funding to improve these conditions and a minimum price set for their products. The literature shows the rapid spread of movements implemented by countries who want fair trade, fair prices and high quality products. The present research demonstrates the need for the implementation of the Fair Trade movement at the level of each country in the European Union and the benefits for the actors involved. At the global movement level, the total number of producer organisations in the FairTrade scheme in 2020 was 1880, of which 950 were registered in Latin America and the Caribbean. The paper is based on the quantitative and qualitative analysis of areas and productions for the 7 main agricultural products: tea, coffee, cocoa, sugar, bananas, cottonseed and plants and flowers, as well as the calculation of the main statistical indicators standard deviation, coefficient of variation and growth rate. At E.U. level there are 16 countries representing national Fair Trade organisations, of which Germany ranked second in terms of retail trade of FairTrade products in 2017. The recognition of certification in Europe is an important asset, as the high living standards in Western European countries mean that they are interested in buying products with this label.