If wealth was the inevitable result of hard work and enterprise, every woman in Africa would be a millionaire. - George Monbiot
What is Fair Trade?
Fair Trade has entered the mainstream consumer consciousness, the way that environmentally sustainable business practices did over the last decade. Consumers increasingly want to know that the products they buy are not only good for the environment, but that they are also good for the people who make them – that these people are paid a fair wage, have sustainable long term employment under good working conditions, and that their entire communities benefit.
Our Business Model
One of the best things about giving a Fair Trade gift is that is begins a "virtuous" cycle or circle by benefiting the person who gives the gift, the person receiving the gift, and the people that crafted it. It is the gift that gives three times!
The World Fair Trade Organization (WFTO) – outlines 10 key principles that are essential to fair trade:
1. 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.
2. Transparency and accountability
Fair Trade involves transparent management and commercial relations to deal fairly and respectfully with trading partners.
3. Capacity building
Fair Trade is a means to develop producers’ independence. Fair trade relationships provide continuity, during which producers and their marketing organizations can improve their management skills and their access to new markets.
4. Promoting Fair Trade
Fair Trade Organizations raise awareness of Fair Trade and the possibility of greater justice in world trade. They provide their customers with information about the organization, the products, and in what conditions they are made. They use honest advertising and marketing techniques and aim for the highest standards in product quality and packing.
5. Payment of a fair price
A fair price in the regional or local context is one that has been agreed upon through dialogue and participation. It covers not only the costs of production but enables production which is socially just and environmentally sound. It provides fair pay to the producers and takes into account the principle of equal pay for equal work by women and men. Fair traders ensure prompt payment to their partners and, whenever possible, help producers with access to pre-harvest or pre-production financing.
6. Gender equity
Fair Trade means that women’s work is properly valued and rewarded. Women are always paid for their contribution to the production process and are empowered in their organizations.
7. Working conditions
Fair Trade means a safe and healthy working environment for producers. The participation of children (if any) does not adversely affect their well-being, educational requirements and need for play and conforms to the UN Convention on the Rights of the Child, as well as the laws and norms in the local context.
8. Child labour
Fair Trade Organizations respect the UN Convention on the Rights of the Child, as well as local laws and social norms in order to ensure that the participation of children in production processes of fairly traded articles (if any) does not adversely affect their well-being, security, educational requirements and need for play. Organizations working directly with informally organized producers disclose the involvement of children in production.
9. The environment
Fair Trade actively encourages sound environmental practices and the application of responsible methods of production.
10. Trade relations
Fair Trade Organizations trade with concern for the social, economic, and environmental well-being of marginalized small producers and do not maximize profit at their expense. They maintain long-term relationships based on solidarity, trust, and mutual respect that contribute to the promotion and growth of Fair Trade. An interest free pre-payment of at least 50% is made if requested.
What do Ethically Sourced and Direct Trade mean?
Ethically Sourced and Direct Trade is direct sourcing from artisans and artisan groups that do not have "third party certification" as is in place with a Certified Fair Trade producer. We include Direct Trade in our offerings as we acknowledge the hard work and fair and decent conditions involved with producing their handcrafted artisan products. When we engage in "direct fair trade" with an artisan or small artisan group, we understand that they might not have many opportunities to create income for themselves. They often are living in rural areas with minimal access to markets or they cannot afford the certification process to become considered a "fair trade" producer.
They way we engage with these artisans or artisan groups is:
- Fair Trade is the most important and fastest growing market-based mechanism to improve the lives of artisans and producers in developing countries.
- It does so by offering small-scale artisans and producers in the global south fairer trade relations, including a guaranteed minimum price above world price and developmental support.
- This is a trading partnership, based on dialogue, transparency and respect, that seeks greater equity in international trade.
- It contributes to sustainable development by offering better trading conditions to, and securing the rights of, marginalized producers and workers - especially in the South.
- The purpose of Fair Trade is to benefit the producers and the producer communities.
- The direct impact includes an increase in income due to the Fair Trade minimum price and the social premium; for women particularly - access to credit and improved education; and then the psychological effects such as producer/women's empowerment and its effect on civic participation.
Fair Trade has entered the mainstream consumer consciousness, the way that environmentally sustainable business practices did over the last decade. Consumers increasingly want to know that the products they buy are not only good for the environment, but that they are also good for the people who make them – that these people are paid a fair wage, have sustainable long term employment under good working conditions, and that their entire communities benefit.
Our Business Model
- Accordingly, Marigold Collective purchases at a coop determined price, pays a 50% deposit up front on the order and pays the balance upon completion.
- Our retail price covers the cost of getting the product to market, from freight overseas, import duties and taxes to warehousing, packaging, marketing, customer service, sales and shipping.
- Profits from Marigold Collective are reinvested back into the company to grow our business, to source new artisan women coops to work with and to source new artisan products and to tell their stories.
One of the best things about giving a Fair Trade gift is that is begins a "virtuous" cycle or circle by benefiting the person who gives the gift, the person receiving the gift, and the people that crafted it. It is the gift that gives three times!
The World Fair Trade Organization (WFTO) – outlines 10 key principles that are essential to fair trade:
1. 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.
2. Transparency and accountability
Fair Trade involves transparent management and commercial relations to deal fairly and respectfully with trading partners.
3. Capacity building
Fair Trade is a means to develop producers’ independence. Fair trade relationships provide continuity, during which producers and their marketing organizations can improve their management skills and their access to new markets.
4. Promoting Fair Trade
Fair Trade Organizations raise awareness of Fair Trade and the possibility of greater justice in world trade. They provide their customers with information about the organization, the products, and in what conditions they are made. They use honest advertising and marketing techniques and aim for the highest standards in product quality and packing.
5. Payment of a fair price
A fair price in the regional or local context is one that has been agreed upon through dialogue and participation. It covers not only the costs of production but enables production which is socially just and environmentally sound. It provides fair pay to the producers and takes into account the principle of equal pay for equal work by women and men. Fair traders ensure prompt payment to their partners and, whenever possible, help producers with access to pre-harvest or pre-production financing.
6. Gender equity
Fair Trade means that women’s work is properly valued and rewarded. Women are always paid for their contribution to the production process and are empowered in their organizations.
7. Working conditions
Fair Trade means a safe and healthy working environment for producers. The participation of children (if any) does not adversely affect their well-being, educational requirements and need for play and conforms to the UN Convention on the Rights of the Child, as well as the laws and norms in the local context.
8. Child labour
Fair Trade Organizations respect the UN Convention on the Rights of the Child, as well as local laws and social norms in order to ensure that the participation of children in production processes of fairly traded articles (if any) does not adversely affect their well-being, security, educational requirements and need for play. Organizations working directly with informally organized producers disclose the involvement of children in production.
9. The environment
Fair Trade actively encourages sound environmental practices and the application of responsible methods of production.
10. Trade relations
Fair Trade Organizations trade with concern for the social, economic, and environmental well-being of marginalized small producers and do not maximize profit at their expense. They maintain long-term relationships based on solidarity, trust, and mutual respect that contribute to the promotion and growth of Fair Trade. An interest free pre-payment of at least 50% is made if requested.
What do Ethically Sourced and Direct Trade mean?
Ethically Sourced and Direct Trade is direct sourcing from artisans and artisan groups that do not have "third party certification" as is in place with a Certified Fair Trade producer. We include Direct Trade in our offerings as we acknowledge the hard work and fair and decent conditions involved with producing their handcrafted artisan products. When we engage in "direct fair trade" with an artisan or small artisan group, we understand that they might not have many opportunities to create income for themselves. They often are living in rural areas with minimal access to markets or they cannot afford the certification process to become considered a "fair trade" producer.
They way we engage with these artisans or artisan groups is:
- we work with traditional family businesses and profit sharing cooperatives.
- we pay a fair price directly to the artisan or artisan group.
- no products are made by forced or child labor.
- establish direct trade relationships based on respect and trust and visit the artisan group regularly.
- support sustainable environmental practices.
- promote independence, education and positive work conditions.
