What is Fair Trade?
Conventional international trade (free trade) allows the market to set prices and provides little regulation of labor and environmental practices. The result is, the developed world gets cheaper products while workers, their communities and the environment suffer.
Fair trade is a social movement and international trade model that provides an alternative for people who care about the impact of their purchasing decisions on the world. Fair trade establishes standards that ensure fair pricing, safe working conditions, and environmental sustainability. It also promotes equity in trade between developing countries and developed countries; supports community development; and allows direct trade.
These standards serve to empower disadvantaged producers by not only improving their quality of life but also giving them the resources to further develop their businesses. Like organic products, fair trade products must meet strict requirements to become certified.
While fair trade has its roots in charity projects, it is today a viable market model, and various certifying agencies bring a wide range of fair trade products to the international market.
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