UĦM Voice of the Workers eMagazine issue 51

VOICE OF THE

WORKERS ISSUE 51 MARCH 2015

Contents The true cost of a cup of coffee 02

FAIR TRADE Changing the world one transaction at a time Low cost clothes, hi-tech gadgets, good quality food, branded sports apparel.

We are living in a world that extols the virtues of products and services like never before.

Especially in the Western world, this rush for the best products and services at the best possible quality and at the least possible price, is pushing producers to the limit. However, most of us seldom stop to consider how come many products we find in shops and online have such a low price tag.

A closer look at where these items have been manufactured VOICE OF THE

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can reveal many interesting information. Products manufactured by children who are supposed to be at school; harvests made by grossly underpaid farmers; textiles being manufactured by women in low-lit, underpaid and extremely unsafe conditions: the list is endless.

These injustices within the manufacturing and services cycle can only thrive if there is a ready market for such products and services. It is as if we are inclined to buy and buy, with our eyes, ears and mouths closed. Rightly so, we talk about eradicating

Buying Fairly: Fair Trade in Practice

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Fair Play: The Concept of Fair Trade

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The Fair Trade Concept

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Europe and Fair Trade

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EDITOR’S NOTE JOSEF VELLA precarious work within our own environment, but then fail to grasp the huge injustices that are being endured by fellow workers all around the globe.

The information is there. All we need to do is to decide to switch on our attention to the issue.

Naturally, paying workers a fair wage and providing them with decent working conditions may mean that we pay that little bit more for our products. Here is where we need to put our Money where our mouth is.

Alternatives exist. The Fair Trade label is helping consumers make 1

EDITORIAL

the choice. Abroad, this is fast gaining ground, and many large organisations that had previously been slammed for sourcing their products from dubious origins are now joining the fair trade bandwagon. Around the world, producer and worker co-operatives are becoming instrumental in providing their members with decent work and a dignified life.

Making fair trade an essential part of our producst and services

is only possible through consumer action. We need to get into the habit of asking where products are coming from. When vendors ask for ridiculously low prices, we can make a statement and talk with our wallets.

The European Union has made great strides in the field of workers’ rights, although much more needs to be done. We are shocked when we learn of a system somewhere close to

home where workers are being exploited for economic gain by their masters. We should be doing the same for exploitation everywhere. Workers all around the world have a right to a decent wage, have a right to freedom of association, decent working conditions, a right to edication for their children and effective healthcare for their families. Our consumer choices can go a long way in achieving this. We can change the world one trasaction at a time.

PICTURE STORY

The true cost of a cup of coffee Millions start their day with it. It is one of the most traded commodities in the world after petroleum. While coffee production and consumption generates a combined total of 49 billion Euro annually, only six billion euro remain with the 25 million coffee producers who own farm and produce coffee. The remaining 43 billion euro generated from coffee consumption stays in the hands of large, renowned coffee companies who do not participate in the production process with all its risks, but rather buy coffee from exporting companies and resell it to consumers. Companies like these are in a position to juggle prices and make spectacular profits, stripping producers in developing countries of any ability to affect prices. Many coffee pickers live in extreme poverty, whilst operators down the line make the real profits. Through business models such as cooperatives, farmers are getting together to claim a fairer share of the price of a cup of coffee.

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FEATURE STORY

BUYING FAIRLY

FAIR TRADE IN PRACTICE What is Fair Trade?

It is trade between companies in developed countries and producers in developing countries in which fair prices are paid to the producers.

Fair trade is about better prices, decent working conditions and fair terms of trade for farmers and workers.

The Fairtrade Foundation Fair trade is an organized social movement whose stated goal is to help producers in developing countries achieve better trading conditions and to promote sustainability. Members of the movement advocate the payment of higher prices to exporters, as well as higher social and environmental standards.

Fairtrade is a movement for change that works directly with businesses, consumers and campaigners to make trade deliver for farmers and workers. The international Fairtrade system represents the world’s largest and most recognised fair trade system.

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FEATURE MEUSAC STORY

As of 2006, the following products currently carry the FAIRTRADE Mark: coffee, tea, chocolate, cocoa, sugar, bananas, apples, pears, grapes, plums, lemons, oranges, Satsumas, clementines, lychees, avocados, pineapples, mangoes, fruit juices, quinoa, peppers, green beans, coconut, dried fruit, rooibos tea, green tea, cakes and biscuits, honey, muesli, cereal bars, jams, chutney and sauces, herbs and spices, nuts and nut oil, wine, beer, rum, flowers, footballs, rice, yogurt, baby food, sugar body scrub, cotton wool and cotton products.

The Fairwear Foundation Fair Wear Foundation (FWF) is an independent, nonprofit organisation that works with companies and factories to improve labour conditions for garment workers.

FWF’s 80 member companies represent over 120 brands, and are based in seven European countries; member products are sold in over 20,000 retail outlets in more than 80 countries around the world.

FWF is active in 15 production countries in Asia, Europe and Africa.

FWF keeps track of the improvements made by the companies it works with. And through sharing expertise, social dialogue and strengthening industrial relations, FWF increases the effectiveness of the efforts made by companies.

Watch video: Fair Trade – The Story Source: http://www.fairtrade.org.uk

Watch video: The Fairwear Formula Source: www.fairwear.org

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FEATURE STORY

Divine Chocolate Divine Chocolate Limited is a leading purveyer of Fairtrade chocolate. It was originally established in the UK in 1998 as a company limited by shares owned by the Kuapa Kokoo cocoa farmers’ cooperative, theFairtrade NGO Twin Trading and The Body Shop, with support from Christian Aid and Comic Relief. The Body Shop subsequently handed their shares over to Kuapa Kokoo which now owns 45% of Divine Chocolate Ltd.[1] Divine Chocolate claims that its trading system is unique even in the sphere of Fairtrade, in that farmers own the biggest stake in the company and share its profits.

Its first product, launched in October 1998, was Divine milk chocolate. Since then the range has

Watch the video: The Divine Chocolate Story Source: www.divinechoclate.com VOICE OF THE

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grown to over 50 products, including 12 different flavoured bars, seasonal specialities, chocolate gifts, drinking chocolate and cocoa. Another brand especially for young people, Dubble, was launched in 2000 in collaboration with Comic Relief.

Divine Chocolate Ltd is now owned by the following organizations: • 45% owned by Kuapa Kokoo, a Fairtrade cocoa farmers cooperative in Ghana.

• 43% shares are owned by Twin Trading, an alternative trading organization based in London.

• 12% are owned by Oikocredit, a Dutch microfinance institution.[4] Divine Chocolate was voted Observer Best Ethical Business in 2008,[5] and Best Social Enterprise in 2007.

Divine was also voted Favourite Fairtrade Product

by Good Housekeeping in 2008. Most recently two Divine products have received 2013 Great Taste Awards (Guild of Fine Food).

Divine Chocolate was a runner-up in the 2002 Worldaware Award for small businesses. The nomination recognized Divine Chocolate for “its courageous and creative marketing stance in favour of fair trade in the highly competitive chocolate confectionery market”.[6] 5

MEUSAC

Fair Play

The Concept of Fair Trade APPROXIMATELY ONE BILLION PEOPLE IN THE WORLD ARE EXPERIENCING POVERTY AND HUNGER. MOST OF THESE PEOPLE ARE WORKERS IN THE GLOBAL SOUTH, AND YET, THEY DO NOT GET PAID THE FAIR SHARE FOR THEIR LABOURS. THIS REALITY IS ONE OF THE CATALYTIC REASONS THAT SPURRED THE CREATION OF THE FAIR TRADE CONCEPT

A simple definition of ‘fair trade’ is the provision of fair prices paid to producers in developing countries in order to support development, sustainability and better trading circumstances. Consequently, the fair trade movement concentrates mostly on products which are widely produced in developing countries; coffee, bananas, sugar, other nutritional produce, and most recently and quite interestingly, 3D printer filaments. In order to solidify fair trade efforts, various official fair trade certifiers which make up this movement such as Fair Trade International have been labelling products with a fair trade symbol.

This global initiative carries a European tinge as well. The European Union’s (EU) creation was built around trade and the setting-up of the Single Market was a watershed. Within the EU,

fair trade may refer to market surveillance, which aims for fairer trading and competition between its Member States. The EU tried to extend this idea of no barriers to developing states, most notably the African, Caribbean and Pacific Group of States by devising trading agreements which advocate development (amongst other concepts) and in turn, help developing states’ produce to enter the EU market. This reflects the EU’s efforts to combine two diverse concepts (free trade and fair trade) into its system.

The EU also supports fair trade directly. It assists the European Fair Trade Agreement (involving nine EU Member States) in its efforts to aid fair trade organisations in reaching their goals and spreading their ethos.

The EU also devised its own fair trade policies since it accounts for

roughly two-thirds of world sales.

Interest in such products which aid the enivironment from European consumers is high and as a 2010 Eurobarometer survey shows, in all, they are close to 40%. The European Parliament seems to be the institution which advocates for more awareness on the topic, as it periodically lobbies for fair trade initiatives.

The Government of Malta has designated MEUSAC as the national contact point for the European Year for Development 2015 and the European Commission has provided funds to be used for the implementation of this European Year. It would be a great opportunity for interested NGOs and NGDOs who support the fair trade movement to contact us on info.meusac@gov.mt in order to participate and cooperate in the coming year.

MEUSAC 280 Republic Street, Valletta VLT 1112 Tel: +356 2200 3315 • Fax: +356 2200 3329 • Email: info.meusac@gov.mt www.meusac.gov.mt VOICE OF THE

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MCESD

The Fair Trade Concept The concept of fair trade has had various meanings throughout history. Fair trade is based on cooperation namely between producers and consumers of goods. Fair trade works according to standards so as to achieve an improved balance between trading relationships.

The standards include organic certification and good working conditions.

It is a contribution to global sustainable development through better trading opportunities and conditions especially to marginalised traders since they are given the opportunity to improve their quality of life.

Some say it is a social justice model and an alternative system to the conventional systems of global trade. This global movement has also assisted in bringing justice and alleviate poverty. The EU has acknowledged its importance.

The World Fair Trade Organisation (WFTO) was set up especially to ensure that unfair trading structures are eradicated.

Through WFTO, the voices of all producers can be heard with a major interest and special focus on small farmers and artisans.

Even though the movement on fair trade has been around for a

while, continuous efforts towards raising awareness are needed.

Organisations and Governments need to work together for more customer awareness and thus contributing to civil solidarity and sustainable purchasing.

In 2013, global fair trade reached $4.4 Billion. Hence the effect that it has on global trade is significant and it has the potential to keep on growing. There are however critics of Fair Trade. Some scholars say that there is very little evidence, since the movement started, of this system being able to seriously assist poor producers in improving their economic situation.

MCESD 280/3, Republic Street, Valletta, VLT1112 Tel: (+356) 2200 3300 www.mcesd.org.mt VOICE OF THE

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CIA

Europe and Fair Trade The issue of Fair Trade is gaining ground slowly but surely throughout the European Union.

The information gathered by the Brussels Office of the Confederazione Italiana Agricoltori list a number of initiatives at EU level, including at European Parliament level as well as on a community level.

Fair trade and consumers in the European Union Fair trade seeks to promote sustainable development by providing a fair return to primary producers and workers in developing countries. Although f air trade goods may have difficulty competing with other products solely on the basis of price-quality ratio, many consumers consider ethical and environmental factors, particularly when purchasing commodity products like coffee.

Support for fair trade products continues to increase in Europe.

All about Fair trade in the European union a factsheet published by the European Parliament available at the following link: goo.gl/DvYzmK

Welcome to the international Fair Trade Town community This open space brings together activists, enthusiasts, coordinators and supporters from across the world to share ideas and information online.

Fair Trade Towns are about people and our voices become louder when we speak together. Join the online community to take part in the latest discussion, start or join a community group, check out Fair Trade Town photos and events and post your own. There’s a world of experience out there – click on the link and take part! http://www.fairtradetowns.org/take-part/

Report launch event in the European Parliament During the event “Solutions to tackle imbalances of power in agricultural supply chains” held in European Parliament on the 18th November , hosted by MEP Catherine Stihler, the Fair Trade movement officially launched its report “Who’s got the power?

Tackling imbalances in agricultural supply chains”. Eminent speakers underlined the importance of the issue and discussed the suggestions made in the report.

See more at: http://goo.gl/5zkHXr

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Operational Programme II - Cohesion Policy 2007-2013 Empowering People for More Jobs and a Better Quality of Life Project part-financed by the European Union European Social Fund (ESF) Co-financing rate: 72.25% EU, 12.75 MT, 15% Private Funds Investing in your future VOICE OF THE

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