Edited by Luigino Bruni and Stefano Zamagni
Chapter 14: Fair trade
Fair trade is a trade creation initiative, originated by importing organizations in Europe and the US, whose goal is to promote capacity building, inclusion and equal opportunities for marginalized agricultural and textile producers in poor income countries. A leading characteristic of the fair trade initiative is the strict definition of criteria required for producers’ organizations in order to have access to the fair trade value chain. With regard to the above mentioned criteria the International Fair Trade Association (IFAT, the umbrella gathering fair trade producer cooperatives and associations, export marketing companies, importers, retailers, national and regional fair trade networks and fair trade support organizations) defines that, when choosing which products to import, fair trade organizations have to be consistent with the following rules: _ Creating opportunities for economically disadvantaged producers: fair trade is a strategy for poverty alleviation and sustainable development. Its purpose is to create opportunities for producers who have been economically disadvantaged or marginalized by the conventional trading system.
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