setting the fairtrade standards

© Fairtrade 2012 How we set Fairtrade Standards & prices 2

Around the world, the Fairtrade Standards are

known for their rigorous nature and highly

credible development process.

These strong Standards translate

to strong consumer trust in the

FAIRTRADE Certification Mark

(9 in 10 consumers, according to

a 2011 Globescan survey).


Fairtrade follows the ISEAL Code

of Good Practice for Standard

Setting, the global reference for

sustainability standards.

“ISEAL’s codes of good practice provide

a common and solid framework for

credible standards systems. We are

delighted that Fairtrade is in compliance

with the latest versions of our codes.”

Patrick Mallet, ISEAL’s Credibility

Director.

Read more at www.isealalliance.org/our-

work/codes-of-good-practice

© Fairtrade 2012 How we set Fairtrade Standards & prices

There are now

Fairtrade Standards

for over 300 raw

products, three

times more than in

2007

78 % of Fairtrade

prices and Premiums

were revised in the

last three years.

4

© Fairtrade 2012

• Fairtrade Minimum Price: a price floor to protect

producers if market prices fall;

• Fairtrade Premium: additional funds above the

purchase price to invest in community needs or

businesses;

• Democratic decision-making at the producer level;

• Long-term, stable contracts with buyers;

• Protection of the environment;

• Adherence to core International Labour

Organization conventions.

How we set Fairtrade Standards & prices 5

The key components of Fairtrade Standards are:


We consult both

producers and

business

partners to

regularly review

our standards

and prices.

Our participatory

approach makes

the Fairtrade

Standards

unique.

© Fairtrade 2012

The Standard-

Setting Process


We go through seven different stages involving

producers, businesses and partners at every step:


• Anyone can request a review, a new standard

or a new price.

• We assess the request according to capacity

and the priorities we’ve agreed on with our

stakeholders.

• Want to send a request? Fill out the form at

www.fairtrade.net/setting-the-standards.html


• A project assignment provides details on

project start and end, project objectives and

the contact person

• You can find all current project assignments

www.fairtrade.net/standards-work-in-

progress.html


• We put a lot of time and effort into ensuring the

Standards we set meet the needs of all people

involved.

• Research includes: analysing the supply chain,

talking to key producers and traders as well as

research institutes to gather enough info and

data to present informed options for

consultation

• Depending on the size of the projects, this can

take from 2 weeks to 6 months!


• We consult both producers and business

partners to review our standards and prices.

• Consultation is normally open for 60 days, giving

plenty of time for people to respond.

• We often hold workshops locally with producers

to ensure we get their input.

• All consultation documents are available online

and open for anyone to take part here

www.fairtrade.net/standards-work-in-

progress.html


Around 2500

stakeholders

were consulted

in 2011


• The Standards Committee makes the final

decision on new standards and prices.

• Producers, traders, national Fairtrade

organizations and external experts are all

represented.

• The SC strives for consensus, seeking the

best possible deal for producers & traders

– not always easy!

• Minutes are available online at

www.fairtrade.net/setting-the-

standards.html

Approval of Standards


• All Fairtrade Standards are published on our

website at www.fairtrade.net/standards.html

• Translations in other languages are available.


• The Standards Unit trains Fairtrade staff and

members worldwide, using a “train the trainer”

approach

• We also put explanatory documents and fact

sheets on our website for major changes or

announcements.


Launch of the New

Standards

Framework:

Standards Unit

trained the trainers,

Fairtrade Liaison

Officers then trained

producers in all

regions.

© Fairtrade 2012

How often are

standards

reviewed?


We are committed to constant improvement.

• Regular monitoring year round (for minor

corrections).

• Full review at least every 5 years.

setting the fairtrade standards

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