Susan Rov
Coffee experts@The Coffee Lab
3 years
Hey Yker.
Thanks for the question!
Fair Trade is a non-profit organisation that certifies goods such as coffee, chocolate, bananas or sugar according to the strict standard requirements. These include environmental sustainability but mainly ensures that people producing these goods will be compensated fairly for their efforts.
Farmers being underpaid is a big problem within the coffee industry. Coffee farmers can earn as little as 1% of the coffee’s retail price.
Because of the costs associated with transportation, import, and supply, farmers can often be the ones making the smallest amount of profit for the beans.
Fair Trade association makes sure that they receive more money for their green beans. Fair Trade helps producers to set minimum prices and helps to protect the workers against market price changes.
In theory, the association helps farmers to make a sustainable livelihood. This can have a great impact and change the lives of the farmers.
It helps the farmers to fight poverty, supports the farming communities, improves the agricultural processes, helps to support the rights of the workers, makes them feel like they have more control over their future and livelihood, and can also improve the education, housing, and medical facilities within the community.
Hope that's clear.
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