Sales growth has a measurably positive effect on the life of people in the global south. Her generated direct income (“Producer Benefit”) rose to $ 88 million, around 11 percent more than in the previous year. Fairtrade thus proves: Justice pays off – for everyone along the supply chain.
Global uncertainties – and a reliable system
The turbulence of international trade policy shows what fair trade has been demanding for a long time: “Trade can create wealth if it takes place on fair conditions,” explains Hartwig Kirner, Managing Director of Fairtrade Austria. “Because trade must not mean that only the stronger wins and everyone else loses. Fairtrade has been counteracting this imbalance with clear rules and partnership structures for more than 30 years – and with growing success.”
An example of this is coffee: Despite volatile world market prices, Fairtrade coffee in Austria has now a sales increase of 3.3% to 5,513 tons-a strong signal in a globally heavily under pressure.
Trust as a growth engine
Fairtrade products are not only widely represented in the trade-they also enjoy the trust of consumers: inside. According to this year’s Globescan study, 98 percent know the Fairtrade seal, 87 percent trust him. The domestic partner companies also benefit from this. With an estimated total turnover of 706 million euros, the Fairtrade market in Austria grew 6.5 % in Austria compared to the previous year. This growth is, among other things, to successful product innovations, strong partner engagement and a high demand from Austrians: inside according to Fairtrade products.
“Show market shares of 36 percent in roses, 34 percent in bananas and over 10 percent in table chocolate: Fairtrade is no longer a niche project, but part of daily purchasing. We owe this growth to the interaction of consumers: inside, trading partners, member organizations and our educational and campaign work,” says Kirner.
Resilience needs fairness
Whether the climate crisis, supply chain problems or inflation – Fairtrade shows that economic resilience is inseparable with social justice. People in the countries of origin benefit from stable minimum prices, additional premiums and training courses on site – and thus recover those scope for action that they often lack in global competition. “Fairtrade is an internationally anchored system that shows how trade can also work in the 21st century – and must conclude,” concludes Kirner.
Here is the current annual report: www.fairtrade.at/jahresbericht
Background:
FAIRTRADE is the world’s leading certification system in which the producers benefit from a minimum price and a precisely defined premium.
FAIRTRADE-Standards: enable producer organizations to design necessary processes, and there is also additional support from the Fairtrade producer networks, for example through training, consciousness formation and advice directly on site.
Fairtrade audits and controls: Certification is a contribution to risk management along the entire supply chain, through auditing and independent and professional controls by third parties.
Fairtrade minimum price & bonus: Higher prices and the additional premium lead to improving the life situation of people in the global south. This positive impact serves the strategy necessary for companies for risky procurement and sustainable purchasing practices.
Fairtrade participation: The small farmers and employees in the Fairtrade system have 50% of the voting rights-decisions are always made at eye level. This affects current minimum prices and premiums as well as new environmental protection requirements, the protection of children’s rights and much more.