Fair Trade Premium: Yes or No?

28 Replies
MissB said

I have yet to go out of my way to purchase fair trade tea in a grocery store, or any major chain for that matter. I have however gone out of my way (and paid a premium) to purchase directly from, and support smaller tea companies that work with the farmers to ensure what (in my head) is actually fairly traded tea and related commodities.

JustJames said

thank you, MissB, for your reply.

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A premium on a branded tea? No

The farmer should be paid a fair price and the buyer should be forced to do that before selling it to us. Now as many largs companies pay them the bare minimum then they create this choice for us to pay more to ensure the farmer gets a reasonable price which they should be getting anyway.

We as consumers then feel involved morally and believe we should pay that bit extra so we are subsidizing those companies to allow them to pay as little as possible.

I like to buy from small independent companies or tea merchants where possible.

JustJames said

thank you, morebloodytea, for your insight.

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alice said

If the brand sells fair trade while also selling a lot of products that are knowingly unethically sourced, I’d be pretty dubious. Either the company is doing the right thing (or trying to) or not, doing the right thing with 0.2% of their product whilst knowingly doing the wrong thing with 99.8% is a huge cop out and something that I find pretty insulting. If I find out that a brand is particularly bad when it comes to worker’s conditions or wages I’ll boycott them completely.

I also agree that not all fair trade marked products are really doing what they claim. I’d also argue that a lot of products that don’t carry the marketing are doing a lot for the communities involved in their production but as end consumers it is often invisible to us. It isn’t so black and white.

JustJames said

true, alice. without adding the many, many paragraphs that fill my head in reply fairtrade international has pulled me from one side of the spectrum to the other as i research: from buoyancy, to deflation. they boast transperancy, and in many ways they are, except where they aren’t…. like how the licensing fees cost for developing nations farmers. how often do they pay?

the sheer volume of information buries you…. or rather me. if you are interested this article may interest you: http://www.cgdev.org/doc/full_text/policyPapers/1426831/Is-My-Fair-Trade-Coffee-Really-Fair.html not tea, but classed in amongst the big 6 along which tea keeps company with.

it is not a black and white argument. it is very very grey, but in many ways we have choose an extreme: fairtrade, yes, which stabilizes communities by helping to realize millenium development goals, enforce human rights laws, etc OR fairtrade, no, too lax, too expensive, direct source marketing to the farmer or farm cooperative.

not simple. and the more information you have the more complicated the subject gets.

thank you very much for your reply.

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JustJames, thanks for sharing this information. This is a touchy topic that I have dedicated my work as a food scientist/international development worker. I have lived in rural farming communities in Africa, Caribbean, and Japan and have learned that the Fair Trade system is broken as are other certification systems like USDA Organic. I have started a company that is dedicated to transparency in the tea industry where the consumer (www.tealet.com). We pay the prices the farmers ask, no negotiations. Unfortunately when you purchase is high quality small batches costs are REALLY high. It is impossible for retailers to compete with the rest of the tea market because their prices must be at least 3x in order to be profitable.
On a positive note, my company has resonated with a segment of the market that understands this and is willing to pay the higher prices.
It’s a win-win, the growers get paid a better price and the consumer gets better quality tea. The market is changing and it won’t be long until more transparency will be demanded and consumers will change their perspective of what percentage of their income they will spend on sustainable products.

JustJames said

Elyse Petersen, thank you for your response. i must admit i have found the rise and fall nature of data discovery disheartening.

fairtrade’s data is very, very good. and i can’t find any holes in it, not by itself. i have to pull up data from all sorts of other sources and i still have to scrabble.

alot of it comes down to articulation and the manipulation of words. makes me glad i’m a double major with psychology as the second…..

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