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FTL Certification guideline

Update:March 2017

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IntroductionWhy to develop a new

FTL certification system

Approach and process References

- Building network/community of social businesses

- Extend the new business sector

- Have a sound certification system

• Searching information from related document

• Organize consultative workshop with members and other business organization. Once in VTE and LPB

• Consult with Saoban and AgroAsie

• Lao labour Law, 2013 (No.43/NA)• UN Global compact.• 10 Principle of Fair Trade, World

Fair Trade Organization.• Certification (Standard Operating

Procedure) by Fairtrade International.

• Fair Trade Federation Code of Practice.

• Fair Trade USA standards.

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FTL PrinciplesPrinciple 1: Vision towards sustainable practicesPrinciple 2: Fair for EmployeesPrinciple 3: Fair for producers or suppliersPrinciple 4: Capacity building.Principle 5: Non-discrimination, gender equality and respect culture identityPrinciple 6: No child or forced laborPrinciple 7: Environmental stewardship Principle 8: Fair for consumersPrinciple 9: Fair Trade promotionPrinciple 10: Fund for Good

Minimum Standards

Progress standards

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Certification Process

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Eligible Applicants

• Producer organization• Marketing organization (e.g.

retailers) • Services business organization

Hotel, Guest house, Restaurants, Travel Agency

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Monitoring Internal control system

Assigned staff for internal inspector

MemberTrain (Internal

Control system)and consultAnnual self-assessment report and

improvement plan

Employees/ProducersRandom check

FTL principles & internal control

system workshop

Inform when employer does not treat them fairly or comply with the principles

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• FTL members have a right to use Fair Trade Laos’ Logo on the poster, website, retail shop displays and other communication materials

Logo Usage

• Only regular members allow to use FTL logo on their products upon the fully compliance FTL minimum and progressive standards, especially Principle 3: Fair for producers and suppliers

Certification Cost (ask for updates)

size of member/App

licantApplication Fee (LAK)

Annual Fee (LAK)

Small Producer 50.000 500.000

< 10 people:10 - 30 people:

> 30 people:

50.000100.000150.000

1.000.0001.500.0002.000.000

Membership Fee

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Certification Cost (ask for updates) Product Certification Fee

Number of producer group Fee (LAK)

15 groups 500.000

Next added producer group

+ 50.000 kip

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• Members do not make progress on the improvement towards FTL progressive standards after receive two official notifications from FTL according to membership timeframe

• Members do not comply the membership agreement• Member do not fulfil the monitoring obligation as

mention in the Fair Trade Laos guideline• Members do not pay an annual membership fee• Member’s stop business operation• Member perform against Lao laws and Fair Trade Laos

standards

FTL membership will be terminated after 3 years. However, the membership will be terminated before three years according to below conditions:

Termination of membership

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Certification CommitteeThere are three people in charge in Certification Committee

Mr. Vorasone DengkayaphichithMrs. Vilayvanh SaysanavongphetMrs. Chanthila Kongthongthip

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Thank you

Web site: http://www.laosfairtrade.org/FaceBook: https://www.facebook.com/laosfairtrade/ Contact us: info@laosfairtrade.org