Fair trade article in Junes BeanScene

[oneday]

Having read opinionated material by the likes of Geoff Watts, the Fairtrade industry article in Junes edition of BeanScene left me a question about Fairtrade Premiums;

Do farmers pay the coops they belong to 10cents  per pound; or have I misread it (perhaps the Premium is paid on top of the minimum by the buyer, and depends on various factors)? This section is written using a somewhat abstruse and recondite style - perhaps this was intended if my first conjecture is correct.  

Clarity on the matter would be much appreciated,


cheers

[Dennis]

Re: Fair trade article in Junes BeanScene

Clarity on the matter would be much appreciated

Clarity from Fairtrade? Dont hold your breath!

[TC]

Re: Fair trade article in Junes BeanScene

Clarity on the matter would be much appreciated

Clarity from Fairtrade?  Dont hold your breath!

What about smoke and mirrors Den?? Reckon theres any possibility?? :-? :

[Andy]

Re: Fair trade article in Junes BeanScene

Do farmers pay the coops they belong to 10centsper pound; or have I misread it  

The reference to US$0.10 per pound (AU$0.25 per kilo) is the social welfare component of FairTrade that the coffee buyers pay over and above the minimum price.  (this is a good thing)

The minimum price of US$1.21 per pound means very little.  I noticed in the magazine they chose to show a graph that started in 1989 and finished in 2007.  What they didnt show was that after that period the New York price never went under US$1.30 and in fact hit peaks of nearly US$1.80  
So this much trumpeted US$1.21 minimum never came into play. (this is marketing dude fluff)

What they dont mention:

They only deal with co-ops.  This stops the farmer who takes pride in his crop from ever selling his "estate" beans as FairTrade.  Instead he has to toss his beans into a big pot with a whole lot of other co-op members and many of those are more interested in volume than quality.  (this is a bad thing)

FairTrade has no quality control.  As long as the certified co-op presents something that looks like green beans they will get paid a minimum price.  This makes it a great vehicle to unload stuff you cannot sell on the open auction market. (this is a bad thing)

The co-op has to pay and maintain an annual FairTrade certification.  I have heard numbers of around US$5000-$6000 a year for a co-op to be certified including paying for someone from the FLO to come and inspect.  (this is a bad thing if factual)

FairTrade makes people consider where things come from. (this is a great thing)

They spend ooodles in marketing, plush offices, wages and meet n greet photo ops at origin (this is a bad thing)

I suggest you read the fluff, do some research, try and find real projects that their money was spent on, try and find an annual report showing how many dollars are piddled in overheads and then make your own mind-up on the worth of this marketing label.

We did that process and now we have FairCrack
8-)

[Ronin]

Re: Fair trade article in Junes BeanScene

AAAAAAAAAAAAAAHHHHHHHHHHHHHHHHHHHHH

(covers eves and screams)
Ive not got my copy of been scene yet  

A book suggested to me recently about the fair trade coffee worls is Javatrekker" by Dean Cycon.

Not read it yet, waiting on post, but suppose to be good

[CarrieK]

Re: Fair trade article in Junes BeanScene


Thank you Andy,

I have been reading the little snipes here against Fairtrade without really understanding why Coffee Snobs dont like it. I have always thought that it sounded like a good idea and was a bit bemused by the criticism.

Your explaination is clear, concise and much appreciated. 8-)

Go FairCrack [smiley=thumbsup.gif]