Fair trade 4

Difficulty with use of the slogan «fair trade», and its exaggerated misuse by traders, has been addressed by a forum of international NGO collectives known as «FINE».

These collectives are: Fair Trade Labelling Organizations International (FLO); International Fair Trade Association (originally founded as «International Federation for Alternative Trade») (IFAT); Network of European Worldshops (NEWS!); European Fair Trade Association (EFTA).

In 2001, they reached the following definitive meaning as the minimum standard of what should be understood when the term «fair trade» is used. For them, it is unacceptable to describe anything less than this as «fair trade».

The «FINE» definition reads:

Fair trade is a trading partnership based on dialogue, transparency and respect, that seeks greater equity in international trade.
It contributes to sustainable development by offering better trading conditions to, and securing the rights of, marginalized producers and workers – especially in the South.

Fair trade organizations (backed by consumers) are engaged actively in supporting producers, in awareness raising, and in campaigning for changes in the rules and practice of conventional international trade.

The forum agrees that the strategic intent of fair trade is:

To deliberately work with marginalized producers and workers in order to help them move from a position of vulnerability to security and economic self-sufficiency.
To empower producers and workers as stakeholders in their own organizations.
To actively play a wider rôle in the global arena to achieve greater equity in international trade.

Fair trade organizations must have a clear commitment to fair trade as the principal core of their mission.

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Poverty reduction through trade

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