benefits from Fairtrade to developing countries
DOES THE FAIR TRADE MOVEMENT OFFER GENUINE BENEFITS FOR THE DEVELOPING WORLD? DISCUSS WITH REFERENCE TO THE COCOA TRADE?
INTRODUCTION
Chocolate is one of the most popular foods in the world with high profits making by big chocolate firms. By 2012, the global confectionery market made net sales approximately 80 billion US dollars. However, millions of cocoa farmers and workers living in South Africa only share a very little part of revenues. They may get less than 1.25 US dollars per day which is unable to afford the fees in education and health care (European Campaign for Fair Chocolate, 2012). That is what Fairtrade concern and tries to improve. Fairtrade is an organized social movement to ensure farmers and workers to get sustainable prices. This price must be never lower than the market price for their hardworking products, and it also provides them with better working conditions and much more educational and medical welfare in developing countries (Fairtrade Foundation, 2014). This essay will argue the benefits that Fairtrade brings to developing countries. And it will also mention some criticisms of Fairtrade.
BENEFITS OF FAIRTRADE
The most significant and direct benefit of Fairtrade is that it increases the income of farmers and improves their lives in developing countries. The Fairtrade provides a living wage, which is typically computed and high enough to maintain sustainable produce and livelihood. Fairtrade also ensures producers to avoid the risk of variability of market prices. With a guaranteed price, farmers still have a regular income in times of poor quality harvest or a glut. A research team at the University of Gottingen studied the impacts of certification schemes in Uganda, focusing on small-scale coffee farmers. The research found that Fairtrade certification increased the household living standards of the farmers by 30 percent, and significantly reduced the depth and prevalence of poverty (Bonner, 2014).
In addition, Fairtrade also helps
INTRODUCTION
Chocolate is one of the most popular foods in the world with high profits making by big chocolate firms. By 2012, the global confectionery market made net sales approximately 80 billion US dollars. However, millions of cocoa farmers and workers living in South Africa only share a very little part of revenues. They may get less than 1.25 US dollars per day which is unable to afford the fees in education and health care (European Campaign for Fair Chocolate, 2012). That is what Fairtrade concern and tries to improve. Fairtrade is an organized social movement to ensure farmers and workers to get sustainable prices. This price must be never lower than the market price for their hardworking products, and it also provides them with better working conditions and much more educational and medical welfare in developing countries (Fairtrade Foundation, 2014). This essay will argue the benefits that Fairtrade brings to developing countries. And it will also mention some criticisms of Fairtrade.
BENEFITS OF FAIRTRADE
The most significant and direct benefit of Fairtrade is that it increases the income of farmers and improves their lives in developing countries. The Fairtrade provides a living wage, which is typically computed and high enough to maintain sustainable produce and livelihood. Fairtrade also ensures producers to avoid the risk of variability of market prices. With a guaranteed price, farmers still have a regular income in times of poor quality harvest or a glut. A research team at the University of Gottingen studied the impacts of certification schemes in Uganda, focusing on small-scale coffee farmers. The research found that Fairtrade certification increased the household living standards of the farmers by 30 percent, and significantly reduced the depth and prevalence of poverty (Bonner, 2014).
In addition, Fairtrade also helps