Benefits of Fair Trade

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fair-trade-townBenefits of fair trade
Fair trade is a very good idea that was designed to help developing countries and particularly producers of goods in such countries to get their fair share of profits for the goods they provide. There are plenty of fair trade certified products being traded, most popular among them would be coffee, sugar, bananas, fresh fruit, flowers and chocolate (actually cocoa).

Some international development aid societies and also religious institutions are working very hard to support such programs, including environmental agencies that try to establish proper life circumstances and better living conditions. The most widely known organizations include the United Nations Industrial Development Organization, SERRV International, Amnesty International and Caritas International, among others.

1. Fair trade allows impoverished nations to build up by using their resources
Paying adequate prices to producers in countries where you could get away with paying just a fraction of the proposed price is more than just a noble gesture. It allows the producers to invest into their businesses the entire surplus, to pay a fair wager to their workers, to improve working conditions and much more. Some countries have managed to establish stable economies and become market leaders in their particular branches, due to fair trade agreements.

2. Fair trade certifications assure the consumer that the middlemen do not cheat the producers
It is horrible to know that the pound of coffee you just bought was paid only a handful of cents to the producer in the country of origin. The company that shipped the product from the producer to the store is sacking all the difference with profits that are more than shameful. A fair trade certificate, where an impartial body examines the fairness of the pricing and profits structures, warrants to the end consumer that he is not financing an already stuffed duck.

3. Fair trade guarantees a better future for the countries of origin
Much of the profits that are generated through the fair trade systems are being invested into education and poverty fighting measurements in the countries of origin. While not all the money goes to the producers, at least their fellow citizen get a fair share of the lucrative trade and can expect a better and improved future for their offspring.

Fair trade is a great concept, too bad there are so many greedy industrials that go around these ideas without implementing them. The only way to combat such selfish corporations is to make sure you buy fair trade certified products, but it may happen that for your good will you will have to swallow a price difference. If a big corporation can offer something dirt cheap, it is because the producer on the other end has been cheated out of the profits. While fair trade should have been made into a binding law, it is up to the wealthier nations to be conscious and supportive.

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One Response

  1. Kate Robertson

    January 27, 2010 6:31 pm

    Yay to Fair Trade!

    Thank you for sharing this article. It is very important to educate consumers about Fair Trade – we need to encourage more responsible shopping habits and Fair Trade is definitely an easy thing to support.

    As an owner of a Fair Trade certified business (, I have seen, first-hand, the impacts of Fair Trade on producer groups. For more information and where to buy Fair Trade products, check out the Fair Trade Federation at

    Keep spreading the word!

    Kate Robertson,
    Founder, Mayu

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