Fair Trade


May 23, 2022

Fair trade (also called equitable trade, equitable trade, or alternative trade) is an alternative form of trade promoted by various NGOs (non-governmental organizations), by the United Nations, and by social and political movements (such as pacifism). and environmentalism) that promote a voluntary and fair commercial relationship between producers and consumers. Fair trade is an initiative to create innovative commercial channels, within which the relationship between the parties is oriented towards the achievement of sustainable and sustainable development of the offer. Fair trade is oriented towards comprehensive development, with economic, social and environmental sustainability, respecting the idiosyncrasy of peoples, their cultures, their traditions and basic human rights. Fair trade can be considered a humanistic version of free trade, which, like free trade, is voluntary between the two parties and would not take place if both parties did not believe that they would benefit.

Principles of fair trade

The principles defended by fair trade are: The Fair Trade Principles published by the Fair Trade Federation of the United States (founded 1995) Fair Trade Principle #1 “Members place the interests of producers and their communities as the primary concern of their business.” Work, in rejection of subsidies and welfare aid (hence the fair trade phrase: «Trade, not aid»). Rejection of child exploitation. Work is made with dignity, honoring the human rights. The price paid to producers allows decent living conditions. Buyers generally pay in advance to prevent producers from looking for other ways to finance themselves. Quality and sustainable production are valued. take care of the environment A way is sought to avoid intermediaries between producers and consumers. Consumers are informed about the origin of the product. The process must be voluntary, both the relationship between producers, distributors and consumers. Price that is paid, beyond what the capitalist market offers It is favorable to free trade under equal conditions, that is, to abolish discriminatory restrictions on products from developing countries, from raw materials to manufactures or technology. That way discrimination and protectionism are avoided. It also tries to avoid the large differences between the price paid by consumers in the first world and the money paid to its producers in the third world, in addition to avoiding the exploitation of workers. This helps to offset the effects of the consumerist obsession with the cheapest price, without any other consideration, and its consequences: Progressive deterioration of the quality and durability of the products. Exploitation of producers (see slave labor workshop). The fair price, that is, that it does not contain components influenced by state interventions or subsidies that distort the concept of fair trade. The distortions and consequent complaints in the market derived from the subsidies are raised by the interested parties to the World Trade Organization. The philosophy of fair trade is that the best help from the central countries to the developing countries is the establishment of ethical and respectful commercial relations, with sustainable growth of nations and individuals. More than by official or state entities, fair trade is promoted and practiced by millions of supportive people in various parts of the world. Here the so-called Third World Stores play a decisive role, through volunteers who in their free time support the sale of products such as Colombian Coffee, Cuban Rum, Honey from Chiapas, Quinoa from Bolivia and Peru, etc. Guarantee for the tr