Fair Trade Certification Overview of Fair Trade program and impact in Produce & Floral Nathalie Marin-Gest, Director of Produce & Floral Jenifer Jackson, Global North Grower Support October 15, 2018
The Fair Trade Program The Fair Trade Certification is a framework for continuous improvement, guiding growers and workers to increased engagement & creating stakeholder-driven impact for all involved along the supply chain. Fair Trade is a market based sustainability certificate that also provides retailers, traders, and consumers with an assurance that their product comes from farms with the best social and environmental practices, as well as an opportunity to give back to the farming communities that grow their products. Safe working Protection for the Advancement of Consumer activation conditions planet people 2
Fair Trade USA From bananas and berries to tuna and rugs, the breadth of Fair Trade Certified products continue to expand. Apparel & Shoes Quinoa & Rice Fruits & Vegetables Coffee Tea Honey and Sugar Flowers Herbs & Spices Body Care Chocolate Home Goods Seafood 3
Summary of 2017 Fair Trade USA Impact l01pact Highlights Direct Financial Impact to Farmers and Workers >so Countries with producer organizations selling product on Fair Trade Certified terms >900K Farmers/ Workers directly benefiting from pmtnering with FTUSA Average Fair Trade Premium Received per Fair Trade Committee Producer Organizations in FTUSA supply chains 1 Paid above coffee market prices 137% Growth in Premiums to workers in Fair Trade factories Cumu lative Financial Impact since 1998 4
Agricultural Production Standard (APS) 1 EMPOWERMENT C OMMUNITY 2 FUNDAMENTAL RIGHTS AT WORK A~ l * FARMERS & WORKERS * I '='~ ~ ~ 3 WAGES, WORKING CONDITIONS, & ACCESS TOSERVICES CERTIFIC ATE HOLDER 4 BIODIVERSITY, ECOSYSTEM FUNCTION, & SUSTAINABLE PRODUCTION 5 TRACEABILITY & TRANSPARENCY 6 INTERNAL MANAGEMENT SYSTEM
Fair Trade Certification Cycle Overview of the process along the Fair Trade journey of continuous improvement. TAI & IMPROVE PRACTICES APPLICATIO & SCOPI G PREPARE FOR FAIR TRADE ASSESSME T EARN PREMIUM& INVEST IN PROJECTS r COMPLETE FAIR TRADE AUDIT SELL FAIR TRADE LABELED GOODS RECEIVE CERTIFICATIO ADDRESS Y 0 -COMPLIANCES 66
Fair Trade Produce & Floral by the numbers Spanning North, Central & South America, as well as South Africa and Spain, the Produce & Floral category is making it even easier for consumers to support Fair Trade through the significant variety of produce items available year round. 35+ 150+ 55k+ $44m Brand Partners Certificate Farmers & Farm Community Holders Workers Development Funds Selling Fair Trade Participating in and Impacted by the Fair Distributed to Produce & Floral Certified Produce & benefiting from Fair Trade Produce & farmers & workers over a Floral products Trade Produce & Floral decade of partnerships Floral program compliance & projects 7
Breadth of Fair Trade Certification Scope From small mango producers in Haiti (i.e. 1 tree in their yard) To large greenhouse growers in northern Mexico with thousands of migrant workers. 8
Mexico has most Fair Trade certificates in Produce. Expansion into US, Canada and Europe has opened doors to more impact for more people. ~lb~.n,, HARVEST e FAIR TRADE CERTIFIED '" First Fair Trade Farm in USA
Fair Trade Certified Produce & Floral FTUSA Cert Holders by Country 1 1 1 1 3 / 1 4 Mexico Costa Rica 7 USA Canada Peru Guatemala 4 Chile Ecuador 59 Colombia Honduras Spain Haiti 3 2 Mexico continues to be largest supplier of Fair Trade produce. Fair Trade Certificates can represent an individual farm or multiple, varied farming operations and structures. 10
Impact of Fair Trade Certification Worker Engagement Working Conditions & Workers Rights above and beyond the law Verification & enforcement of legal requirements 11 11
Fair Trade & Worker Engagement Fair Trade USA is in the business of changing hearts and minds of workers, farm management and owners, retailers, and consumers. Additional trainings Workplace safety Worker s rights Grievance procedures Transparency 12 12 12
Worker Engagement: Committees Committees give workers opportunities for leadership and professional development, and provide processes for workers to interact with management to address concerns before they become issues. * Fair Trade Committee Occupational Healtb & Safety Committee ~ Social Engagement Team Producer Representatives Worker Representatives Representative from Employer Representative from Certificate Holder 13 13
Fair Trade Community Development Projects Fair Trade Certified farms have improve the livelihoods of their workers, their families, and their communities Every purchase matters. For every Fair Trade purchase, Fair Trade premium gets paid back to workers. Workers are involved in a democratic process to select projects to meet their most pressing needs, based on a Needs Assessment. 14 14
Fair Trade Premium Projects On Farm Medical, dental and vision clinics available to all workers while at the farm. Northern Mexico asparagus farm with migrant workers. Workers own buses to transport children to school. Rent back transprt. services to farm. Northern Mexico hot-house farm with migrant workers. 15
Fair Trade Premium Projects Communities of Origin WATER PROJECT Prior to the water project funded with Fair Trade Premiums, women and children spent 6 hours daily for water collection. The water project was developed by workers for use in home communities entire communities benefit from water piping. 16
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