History and Development of Fair Trade

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  • Topic: Fair trade, Fairtrade certification, International Fairtrade Certification Mark
  • Pages : 4 (1236 words )
  • Download(s) : 23
  • Published : January 29, 2013
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To create sustainability and better trading conditions fair trade was started as an organized movement in developed countries. The major aim of this movement was to provide better return on investment to the small farmers and exporters. The major products traded under this theme were fresh fruits, handicrafts, chocolates, coffee, flowers, sugars bananas, honey and cotton (Moseley, 2008). In the Europe and North America the fair trade has been restricted to only very small world shops. Due to the limited distribution, many loyal customers were not able to shop from such shops, mainly due to the distant location of these shops and poor distribution channels. By enhancing the customers’ confidence and improving the distribution system the fair trade is expected to grow (Renard, 2003).

According to Josch (2006), the start of the fair trade movement was not very successful. Later on, the recognised start of fare trade is considered from the launch of Alternative Trade Organization (ATO). ATO worked with small organizations and local people to provide them with the services of marketing their products to the end customers. One intended action of this work was to remove the middleman. The products made by Chinese refugees were first sold by the Oxfam in the UK during 1950’s., and it was the earliest start of fair trade in England. The first Fair trade organization was established in 1964 and few initial steps have also been taken in Netherland followed by the launch of ‘’Fairtrade Organistae’’.Extra income was earned by the families as world shops opened in Netherland during 1969. Because of the limited job opportunities for women, they have been given importance. ‘Jutestatt Plastik’ was an alternative shopping philosophy in that time and coffee from Nicaragua was another symbol. A huge number of farmers have got benefited as the concept of free trade became more popular. Apart from millions of customers enjoying fairly traded coffee, thousands of coffee traders...
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