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Does Fairtrade make money?

Writer Robert Harper

The Fairtrade Foundation receives a licence fee, paid by companies using the FAIRTRADE Mark on their products, which constitutes over 85% of the Fairtrade Foundation’s income. We also receive donations from individual supporters, schools, faith groups, workplaces, Fairtrade Towns and other community organisations.

How much does a Fairtrade farmer get paid?

When selling on Fairtrade terms, farmers will receive the market price and Premium of $200 a tonne on top, increasing to $240 a tonne from October 2019 due to the Fairtrade Price review.

Is Fairtrade really working?

Different studies, which focus on coffee producers, have demonstrated that Fairtrade’s system does indeed improve the lives of producers and their surrounding community.

Do Wages improve for Fairtrade workers?

Progress toward living wages Here are some examples of the impact so far: A base wage requirement added to the Fairtrade Standard for Flowers and Plants in 2017 led to a 30 percent increase in wages at one plantation in Tanzania. Read more.

How much do Fairtrade workers get paid?

Wages for coffee labourers on Fairtrade-certified farms ranged from US$1.5 to US$2.1 per day on farms that also provided meals, and US$1.8 to US$2.5 on those that did not. Some farmers said they had increased wages to meet national minimum wage standards but none mentioned doing so to meet Fairtrade Standards.

How does fairtrade work to raise living wage?

We are still testing different mechanisms, but some possibilities are: Plantations would commit to a higher base wage. Buyers may pay a higher Fairtrade Minimum Price or Premium. Workers could choose to pay out more of their Premium as cash payments. And consumers could pay a few additional cents that get passed directly to workers.

Do you have to pay more for Fairtrade premium?

Buyers may pay a higher Fairtrade Minimum Price or Premium. Workers could choose to pay out more of their Premium as cash payments. And consumers could pay a few additional cents that get passed directly to workers.

What is Fairtrade doing in the United Kingdom?

What is Fairtrade doing in the UK? Fairtrade works hard to drive positive change in cocoa farming communities, and to push the chocolate sector to address the challenges that threaten the long term sustainability of cocoa and the people behind it. Fairtrade is leading the fight for living incomes and better terms of trade for cocoa farmers.

How many farmers and workers are involved in Fairtrade?

There are over 1.66 million farmers and workers spread across more than 73 countries participating in Fairtrade. Learn how choosing Fairtrade products changes lives. Bananas are the favourite fruit in our grocery basket and are grown by millions of small-scale farmers and plantation workers in tropical regions.