About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

27 Cato J. 109 (2007)
Fair Trade Coffee Enthusiasts Should Confront Reality

handle is hein.journals/catoj27 and id is 111 raw text is: FAIR TRADE COFFEE ENTHUSIASTS SHOULD CONFRONT REALITY Jeremy Weber From university cafeterias to supermarkets in the developed world, people are buying Fair Trade (FT) coffee certified by the FLO-Cert, the certifying entity of Fairtrade Labelling Organizations Interna- tional (FLO). The assumption is that such purchases will contribute to the welfare of marginalized producers in the developing world. While sales of FT coffee in Europe have stabilized, the North Ameri- can and Japanese markets are growing rapidly. Total sales increased 40 percent from 2004 to 2005, to a total volume of 33,992 metric tons (MT) (FTO 2005). What is Fair Trade? According to FINE, the umbrella organiza- tion that comprises the four largest Fair Trade organizations (FLO, International Federation for Alternative Trade, Network of European World Shops, and the European Fair Trade Association), Fair Trade is a trading partnership, based on dialogue, transparency and respect, that seeks greater equity in international trade. It con- tributes to sustainable development by offering better trading con- ditions to, and securing the rights of, marginalized producers and workers-especially in the South [FINE 2001]. The FINE definition optimistically assumes that the trading part- nerships and conditions promoted by Fair Trade necessarily contrib- ute to sustainable development. It is true that the Fair Trade coffee system-the producers, exporters, importers, and retailers operating by the rules and standards of FLO-has improved living standards for many participating coffee growers (Bacon 2005, Raynolds 2004). Yet the system faces vexing issues such as a disconnect between promo- tional materials and reality, excess supply, and the marginalization of Cato journal, Vol. 27, No. 1 (Winter 2007). Copyright @ Cato Institute. All rights reserved. Jeremy Weber is a graduate student in the Agricultural and Applied Economics Department at the University of Wisconsin-Madison. He spent 10 months in Peru researching Fair Trade coffee and working with coffee producer organizations with the support of a Fulbright grant. 109

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Short-term subscription options include 24 hours, 48 hours, or 1 week to HeinOnline.

Purchase Access

Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most