Fair Trade Principles
Fair trade advocates support the following principles and practices in trading relationships:
- Creating Opportunities for Economically Disadvantaged Producers
Fair trade is a strategy especially designed for poverty alleviation and sustainable development. Its main purpose is to create opportunities for producers who have been economically disadvantaged or marginalized by the traditional trading system.
Transparency and Accountability
Fair trade demands transparent management and commercial relations for facilitation of fair and respectful dealing with trading partners
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Fair trade seeks to develop producers independence. Fair trade relationships provide continuity, during which producers and their marketing organisations can better their management skills and their access to new markets.
A fair price in the regional or local context is one that has been mutually agreed through dialogue and participation. Along with covering the production costs, it also enables production that is socially just and environmentally sound. It provides fair pay to the producers and follows the principle of equal pay for equal work by women and men. Fair traders have to ensure prompt payment to their partners and, whenever possible, help producers with access to pre-harvest or pre-production financing.
Fair trade means that the work of women and men is equally valued and rewarded. Each person is always appropriately paid for their contribution to the production process and is empowered in his/her organisations, regardless of gender.
Fair trade implies a safe and healthy working environment for producers. The participation of children (if any) does not adversely affect their security, well-being, educational requirements and need for play, and conforms to the UN Convention on the Rights of the Child as well as the laws and norms in the local context.
Fair trade actively promotes better environmental practices and the application of responsible production methods.