| FAIR TRADE FOR UK FARMERS
- 29th September 2002
It's time for a "FairTradeUK" marque, writes Alistair
McConnachie
On September 9, 2002, the NFU launched a campaign to highlight how
little farmers receive from the retail price of their food.
It showed that farmers are frequently getting less than a third of the
retail value of a typical basket of goods.
For some fruit and vegetables, such as apples, carrots and onions,
farmers are receiving less than a quarter of the retail price. These
prices are falling short, in some cases, of the price of production.
The Curry Report recommended that farmers should work in co-operatives
to strengthen their buying power. That's a very good idea. In some
cases, this is happening. But as the NFU points out, there is an
imbalance in the supply chain because the power lies in the consolidated
strength of processors and retailers.
Recently, the concept called "Fair Trade" has been growing in
appeal. Its aim is to promote economic security for producers in the
developing world in their relationships with the developed world.
Fair Trade partnerships "seek to establish long-term relationships
between low-income or disadvantaged artisans and farmers, and their
Western trading partners, in order to guarantee a living wage for their
work."
For example, crops such as bananas, cocoa, honey, sugar, tea and coffee
are often subject to large fluctuations on the world commodities market.
However, products that bear the "Fairtrade" mark - the UK's
independent consumer guarantee of internationally agreed fair trade
conditions - means
that shoppers can be sure farmers are getting a price above the low
world
market rates for their produce, and thereby know that the farmers are
benefiting from the economic security of long-term trading contracts.
According to www.fairtradefederation.com the seven principles of
"Fair Trade" are: Fair Wages, Co-operative Workplaces,
Consumer Education, Environmental Sustainability, Financial and
Technical Support, Respect for Cultural Identity, and Public
Accountability.
The essence of the concept, however, is the payment of a "fair
price" which ensures economic sustainability for both the producers
and retailers, working together within a long-term mutually beneficial
relationship, enabling both to plan ahead in economic security.
It's a good idea. But some people have been noting, increasingly, that
many British food producers are living below the official poverty line
right here in Britain, and while they may not be in the life-threatening
situation that some in the developing world find themselves, these
people are nevertheless
on very low incomes and are being forced off their land and out of work,
while the land passes to bigger operations, whether these be large-scale
land-owners or corporations.
That means it's time for Fair Trade for farmers in the UK.
A FAIR TRADE MARK FOR BRITISH FARMING
Let's have a Fair Trade Mark (or "Marque") on products here in
Britain so consumers can be assured that the food producers in this
country are getting a fair price for their product.
Presently "marques" such as the Red Tractor do not so assure
the consumer. Even "Produce of the UK" on the label does not
necessarily mean that it is UK farm produce, only that it has been
packaged in the UK.
A Fair Trade Mark - a "FairTradeUK" marque - could be
conferred by A Regulatory Body which could control the spread of income
so that the farmer, the farmers' co-op, the processor, the supermarket
and the consumer are all getting a fair deal.
In addition, let's have Legislation to Restrict the Market Power of the
Major Food Retailers. For example:
a) supermarket regulation on targets for stocking local and British
food,
b) tax penalties on the stocking of produce from overseas when the same
produce is available at home,
c) tax incentives to stock locally produced food.
And let's ensure that supermarkets are forced by law to draw up A Fair
Trade Charter for Local Produce which will commit supermarkets to
demonstrate their commitment to the local community.
It's time for Fair Trade UK.
Alistair McConnachie - September
2002 |