NZ$8.8 Billion Spent Globally on Fairtrade Products in 2011: World's Most Recognized Ethical Label* Taking off in New Markets

Consumers around the globe spent almost $8.8 billion (€5bn) on Fairtrade certified products last year, according to figures released today by Fairtrade International.

“Choosing Fairtrade is the norm for millions of people around the world. It’s becoming a bigger and bigger part of our regular weekly shopping and Kiwi consumers are continuing to increase their spend substantially,” said Stephen Knapp CEO of Fairtrade ANZ.

In New Zealand Kiwi consumers spent 24% more on products such as coffee, chocolate, bananas and tea in 2011 than they did in 2010 -  twice the global increase amount of 12% for the same period. Total estimated retail sales of Fairtrade certified products in New Zealand reached $45.4 million last year.

Market share of Fairtrade certified products has hit decisive levels in a number of established Fairtrade markets. More than half (55%) of all bananas bought in Switzerland bear the FAIRTRADE Mark. In New Zealand after only entering the market in 2010 Fairtrade bananas have taken a 4-5% share with sales reaching $2.4 million in 2011.

Products with the FAIRTRADE Mark are now available to people in more than 120 countries worldwide and growth of Fairtrade sales in new countries is skyrocketing. South Africans spent more than three times more on Fairtrade certified products in 2011 over 2010. Shoppers there can buy Fairtrade products grown by farmers and workers in their own country. In its first year with a national Fairtrade organization, sales in South Korea registered at NZ$29.9 million.

Strong Fairtrade sales is great news for the more than 1.2 million farmers and workers at 991 Fairtrade certified producer organizations in 66 countries.

In addition to the income earned from sales of Fairtrade products, farmers and workers earned an extra NZ$114 million (€65m) in Fairtrade Premium. They spent this money on projects that they decided upon democratically. This included farm improvements and processing equipment, education and career training, community projects and healthcare.

Michael Toliman from the Neknasi Coffee Growers Cooperative Society recently toured New Zealand thanking Kiwis for their support of Fairtrade.  “Coffee farmers have been struggling for many years, now Fairtrade brings everyone together across the world, we are one big happy Fairtrade family. Now at Neknasi we have better healthcare, better education and better income thanks to Fairtrade,” said Toliman.

WHAT IS FAIRTRADE?

• Fairtrade is a third party certification system - and an alternative approach to conventional trade.
• The Fairtrade Certification & Labelling system offers farmers and workers in developing countries a better deal and improved terms of trade – the opportunity to improve their lives, plan for their future and create brighter opportunities for their families and communities.
• For consumers, Fairtrade offers a powerful way to reduce poverty and assist these farmers in creating a better future through their everyday shopping.

WHY IS FAIRTRADE IMPORTANT?

• Poverty is widespread amongst tea, coffee, cotton and cocoa growers around the world, who face an uncertain future due to unstable world prices. In recent years, volatile prices worldwide have left many disadvantaged producers struggling to support themselves and their families.

THE FAIRTRADE DIFFERENCE

• Today more than six million people – farmers, producers, workers and their families – across 66 developing countries in Africa, Asia, Oceania, Latin America and the Caribbean benefit from the Fairtrade system.
• Fairtrade delivers a better deal for farmers and producers in the developing world through:

Ø  The Fairtrade Price - a designated fair price for their produce, aimed at covering the cost of sustainable production and helping protect them from damaging fluctuations in world market prices.
Ø  The Fairtrade Premium - an additional sum of money for investment in social, economic and environmental development - helping them grow their businesses and invest in their communities by building roads, schools and hospitals.
Ø  Security of long-term contracts.
Ø  Improved working conditions.
Ø  Support in gaining knowledge and skills needed to operate successfully in the global economy.

THE FAIRTRADE LABEL & WHERE TO BUY FAIRTRADE PRODUCTS

• A product is Fairtrade certified if it carries the FAIRTRADE Mark – an easy way for consumers to recognise and choose products that have met internationally agreed Fairtrade Standards.
• A product bearing the FAIRTRADE Mark means independent certification against the Fairtrade standards has taken place at each step of the commercial supply chain:
• FLO-CERT certifies all Fairtrade producer organisations and is the only ISO 65 accredited certification body for an ethical label.
• Common Fairtrade certified & labelled products include coffee, tea, cocoa, chocolate, hot chocolate, bananas and cotton.
• A range of these products can be found in major supermarkets, independent retailers, organic and health food stores; through office supply companies; as well as hundreds of cafes across the country.