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What is Fairtrade?

What is Fair Trade?

Well the first question many people aren't quite sure on is what exactly is fair trade. There is no official definition on this and can vary from one organisation to the next. The starting point is about fair prices, decent working conditions, local sustainable development and a commitment from businesses like us so that there is reasonable security for farmers and producers in the developing world. As us Aussies put it simply, giving someone a "fair go mate!".

Fairtrade aims to address injustices in international trade which often discriminates against the poorest producers and enables them to have a help up, and not just a hand out, to have more control over their lives for the long term. If done correctly, it can truly be a way to break the long term poverty cycle and transform people, communities and countries. This is backed through not only the buying of products, but also education, raising awareness and campaigning for change.

Here's a great vid that sums most of this up....

 

Business, commerce and trade has the power to generate income and elevate people out of the poverty cycle. But because the rules controlling trade heavily favour rich countries, these rigged trade rules and double standards hinder growth and long term economic prosperity for many of the world's poor.

Is Capitalism bad?

While the concept of capitalism can be good, we need to avoid the "rich get richer and the poor get the picture" mindset that is often bred through over indulgence in this kind of thinking. It is not as simple as saying people before profits, as without a profitable well run business, the people would not have long term work. 2Pocket invests ongoing resources into our producers including business training, organisational development, capacity building, technical innovation and more (where required, as they often teach us plenty!!).

So What is a Fair Price?

Artisans and Two Pocket agree on a fair price that covers the cost of labor and materials and enables artisans to earn fair compensation for their work. A fair price ensures that artisans are adequately compensated for the time, labor and material resources invested in making each product. Pricing varies according to the economic and social context in which an artisan works. A fair price is determined by the artisan in conversation with Two Pocket's buyers and staff and is based on the cost of materials and a fair wage for the production time along with skill level required to make each product. Fair wages enable artisans to meet their needs for food, clothing and shelter, as well as put money aside for future dreams and aspirations (just like we do).

How is 2Pocket different?

Click Here to find out more about 2Pocket Fairtrade, and how we can make a difference.