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The fair trade labeling organizations having most of the market share and who sell through supermarkets refer to a definition developed by FINE, an association of four international fair trade networks: Fairtrade Labelling Organizations International (FLO), World Fair Trade Organization (WFTO), Network of European World shops and European Fair Trade Association (EFTA).
The fair trade movement fixated on coffee first because it is a highly traded commodity for most producing countries, and almost half the world's coffee is produced by smallholder farmers. [42] At first fair trade coffee was sold at small scale; now multinationals like Starbucks and Nestlé use fair trade coffee. [79]
The fair-trade system is inefficient at transferring coffee consumers’ goodwill to producers. Direct trade is probably more efficient and sustainable than fair trade. Artificially stimulating more coffee production keeps coffee growers poor, because overproduction makes the prices fall on the world markets.
Equal Exchange coffee beans. Equal Exchange is a for-profit, Fairtrade, worker-owned cooperative headquartered in West Bridgewater, Massachusetts. Equal Exchange distributes organic, gourmet coffee, tea, sugar, bananas, avocados, cocoa, and chocolate bars produced by farmer cooperatives in Latin America, Africa, and Asia. Founded in 1986, it is ...
The Dutch province of Groningen was sued in 2007 by Dutch coffee supplier Douwe Egberts for explicitly requiring its coffee suppliers to meet fair trade criteria set by Stichting Max Havelaar, most notably the payment of a minimum price and a development premium to producer cooperatives. Douwe Egberts, which sells a number of coffee brands ...
Fairtrade International was established in 1997. It set private standards relating to labour, cooperative organisation, and the governance of the Fairtrade benefits. The organisation was divided in January 2004 into two independent organisations: [5]
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Peace Coffee was formed by the Institute for Agriculture and Trade Policy in 1996 [3] The company also partnered with Rigoberta Menchú. [4] The idea for Peace Coffee came from Mexican coffee producers who had the goal of selling 100% certified organic and fair trade coffee. [4] In 1999, Peace Coffee joined the group Cooperative Coffees.