FAIRTRADE FOUNDATION UK SUPPORTERS CONFERENCE, LONDON 7TH OCTOBER 2017 GEORGE KPORYE FAIRTRADE OFFICER GEL, GHANA
Thank You 2
Banana production in Ghana and GEL Commercial banana production fairly new in Ghana. Total national exports in 2016 was 60,000tons. - 90% by Golden Exotics Ltd (GEL) - 10% by 2 other banana companies 100% of GEL production is Fairtrade certified. 80% is exported to Europe; 20% to West Africa About 70% or 38,000tons of GEL exports is sold as Fairtrade 27,000tons or 62% exports to Europe sold in the UK 2,500 workers are employed. All are permanent workers and 98% are unionized. 3
Part of Compagnie Fruitiere Group Golden Exotics is a subsidiary of the Compagnie Fruitière Group of France. The Group has operations in Cameroun, Ghana, Ivory Coast and Senegal and produces pineapples and cherry tomatoes besides banana. MAROCCO Fully integrated supply chain with quality at its heart High Social and Environmental Commitments SENEGAL IVORY COAST GHAN A CAMEROO N 4
Why Fairtrade for banana workers Opportunity to impact lives in a significant way Direct benefits through Premium income Opportunity to influence developments in their communities Improved welfare for themselves and their families Job security through minimum guaranteed prices Independent monitoring and verification of actions and decisions of management 5
How has Fairtrade sales made a difference to workers welfare Premium receipt for socioeconomic development project Educational support and development: Canteen services 20% of Premium cash as FT bonus Training & development for FPC members and delegates Working with Trade Unions (Bananalink & Comic Relief, Fairtrade Sweden, IUF) Benefit of the Fairtrade Minimum price 6
Unique benefits of Fairtrade. Acknowledges the historical unfair trade relations between producers and buyers and confronts it directly by having consumers make a deliberate and conscious decision to give back through their purchasing decisions. Premium income empowers ordinary growers and workers to play constructive roles in their communities through Premium projects for the communities Workers acquire skills in democratic decision making, group dynamics, finance, project management among others Workers are able to relate quality production to direct benefits through increased premium receipts 7
Challenges for the future. For most producers such as Golden Exotics, Fairtrade has become part of the culture of production and reward. Minimum prices ensures profitability and the sustainability of the business and long term jobs. Producers and workers in plantations benefit directly from the premium receipts. There is certainty of policies, incomes and actions and public accountability through published standards and independent audits. Other labels do not provide the same depth of benefits to growers yet producers feel compelled by the dynamics of the market to adopt these labels. 8
Challenges for the future. 2 What happens when it is extended to a wider range of products such as banana? Will producers and workers be made worse off? Some of the labels being introduced may be well intentioned but they do not share values and provide the rewards that Fairtrade does for its members. Large numbers of growers do not have the benefit of Fairtrade markets or are not selling significant volumes on Fairtrade terms to impact livelihoods. The aggressive promotion of other labels makes growers uncomfortable. It creates the impression that Fairtrade has achieved its objectives. There is still work to be done 9
New compact between UK consumers and supporters and producers and workers. It is important for UK consumers and supporters to stand with farmers and workers through Fairtrade because it stands for a good cause and the livelihood of thousands of growers depend on it. We cannot go back to the status quo. It did not work in the past and it will not work now. In an atmosphere of declining aid budgets by most countries the cushion and hope that Fairtrade provides becomes more relevant. Together we have to passionately defend the Fairtrade label to maintain its relevance to growers in the South. 10
THANK YOU ALL