2009/2010 Impact Report
Fair Trade Certified Bananas
™
TransFair USA
1
Fair Trade Bananas “Thank you to those who buy Fair Trade. By buying this fruit, you’ve made it possible for the dreams of families like mine to become reality.” —Enor Medrano Heredia worker at the Martha Maria farm
2
Fair Trade Certified Bananas
Contrary to popular belief, bananas are not grown on
standards that protect local ecosystems and worker
trees, but, in fact, on the largest herb plant on earth.
health and safety.
Bananas, or Musa acuminata, originated in Southeast Asia and were introduced into the western world by way of
Through Fair Trade, U.S. consumers provide vital financial
India and Africa, first planted in the western hemisphere
support to banana farming communities in the form of
in the Caribbean and later in Central and South America,
the Fair Trade premium: $1 for every box of bananas
where they flourished.
sold is committed toward community development projects. Farming families use this funding to provide
Realities of the Banana Industry
educational opportunities to their children, build
Bananas, the fourth most important
In the United States, bananas
staple food in the world, are
are the most consumed fresh
produced on plantations or on
fruit per capita: this popular
small-scale farms in many countries.
food represents a full 50 percent
In many banana growing
of all U.S. fresh fruit imports,
communities, poor living
a large portion of which are
conditions, low wages, pesticide
produced in Latin America.
homes for their families and pay for doctor’s visits, which they otherwise could not afford. Fair Trade allows consumers to positively affect the lives of impoverished banana producers, simply by choosing Fair Trade products.
drift and contaminated rivers are
Thank you for Supporting Fair
an unfortunate reality.
Trade Certified Bananas
Fair Trade certification for bananas began in the
Since the start of the Fair Trade Certified bananas
United States in 2004 in order to help combat these
program in 2004, over 100 million pounds of Fair
problems and uplift farmers and workers across
Trade Certified bananas have been sold in the
the world. Through Fair Trade purchasing, consumers
United States, resulting in over $2.8 million dollars
and businesses promote community development,
in community development funding for farmers and
protection of worker health and safety, fair wages and
workers to reinvest in their communities. TransFair
labor conditions and sustainable agricultural practices on
USA honors and thanks the consumers and companies
banana farms.
who support Fair Trade Certified™ banana producers. Your commitment to Fair Trade purchasing supports
Fair Trade: A Sustainable Solution
significant improvements in protecting the fragile tropical ecosystems where bananas are grown and
Fair Trade offers a sustainable solution by promoting
is literally changing the lives of thousands of farming
social, economic, and environmental sustainability on
families.
banana farms. Fair Trade supports dependable living situations for banana farmers and workers through
The following report details the impact of Fair Trade
a set minimum price to curb the effect of low wages
Certified banana program and the resulting community
and fluctuating prices, and sustainable production
development funds that give producers the opportunity to invest in the futures of their farms and communities.
33
How Fair Trade Price & Premiums Support Communities
2009 U.S. Fair Trade Certified Banana by origin
Across the world, companies make a difference through Fair Trade Certified™ product sourcing. There are 81 Fair Trade banana-producing organizations throughout Asia, Latin America, Africa and the Caribbean. The
Peru 9%
Ecuador 21%
27 producers supplying bananas to the U.S. market
Costa Rica 1%
are located in Ecuador, Costa Rica, Perú and in the northwestern Urabá region of Colombia. 49.2 million pounds The Fair Trade Price
imported in 2009
Achieving Fair Trade certification isn’t easy. Growers have to meet a 200 point checklist of labor, environmental and economic standards. Compliance with these standards—
Colombia 69%
using less toxic agrochemicals, paying workers overtime and providing health care benefits—means measurable increases in growers’ cost of production.
u.s. Cumulative Fair Trade Premiums Paid to Farmers and Workers
While growers may enjoy better productivity from a happier workforce, the true cost of sustainable
$3M
production is almost always higher than the industry average. The Fair Trade certifier, Fair Trade Labelling Organizations International (FLO), studies the cost of sustainable production to determine the Fair Trade
$2M
minimum price, which allows farmers to sustain their farm and comply with Fair Trade standards. In the case of
$2.8 million total
bananas, this is generally about 10 percent higher than the average market price. $1M
“With Fair Trade, we have an incentive to invest in social programs that benefit producers and the community. We also receive higher incomes to sustain ourselves. If it were not for Fair Trade, we wouldn't exist as banana producers, since the amount we receive for a box of conventional bananas does not cover our expenses.”
2004
—Edinson Cabana Zapata ASOPROBAN member, Colombia 4
2005
2006
2007
2008
2009
The Fair Trade Premium How does it work? Fair Trade premiums, or community development funds,
a General Assembly in a cooperative) to determine
are one of the key pillars of Fair Trade standards. This
the uses for the Fair Trade premium. Members vote
innovative approach to development gives producers
on development project ideas to meet a variety of
and workers access to capital to fund self-determined
community needs: from infrastructure construction,
development projects in order to raise their standard of
like road-paving and water well drilling, to community
living.
programs, like housing funds and scholarships. No matter what the project, all Fair Trade premium uses are decided
Fair Trade buyers pay banana organizations a premium
upon democratically.
of one dollar per box in addition to paying the Fair Trade minimum price for each box of bananas. These funds
Most importantly, through long-term relationships
are channeled to a separate bank account which is used
with buyers, the Fair Trade premium allows farmers and
specifically for Fair Trade projects.
workers continued access to funding for both short- and long-term development projects. Through Fair Trade,
Workers on banana plantations or farmers in banana
producers earn capital to improve their lives, project by
cooperatives organize themselves into a representative
project.
committee (called a Joint Body on a plantation and
See the Fair Trade Producer
“This program is the only way we are able to access credit. Ten co-workers and I took out a loan together, and we’ve invested the funds in starting a communal farm whose produce will not only enable us to pay back the loan, but also to improve our options for development.”
Profiles section for examples of Fair Trade premium uses.
—Cleber Ocampo on the El Guabo’s premium-funded micro-credit program
5
Fair Trade Impact Fair Trade Premiums Contribute to... microloan fund
new irrigation system diversity workshops
low-interest home loans native plant restoration project
hurricane relief fund
funding for local sports league
school supplies and uniforms agroforestry program
scholarship program
“Fair Trade has increased the income of our members, decreased migration, provided employment opportunities to the community, and improved the selfesteem of small-scale banana producers.” —Ivan Ramón Cerro Azul Banana farmer 6
Fair Trade Impact by the numbers Fair Trade Certified™ bananas continue to be a leading
Through consumers’ continued support, banana
growth category for TransFair USA. Market demand for
producers are beginning to explore new market
Fair Trade bananas is on the rise as volumes imported
opportunities including exports of banana purees and
almost doubled from 2008 to 2009, reaching 49
other processed products. Like Fair Trade Certified
million pounds. This phenomenal growth also led to a
bananas, producers receive minimum prices and
98 percent increase in premium dollars paid to banana
premiums for banana-based products. If you are
farmers and workers in South America. In the six years
interested in sourcing Fair Trade Certified bananas or
since the inception of the program, U.S. licensees have
banana ingredients, please contact us at
imported over 102 million pounds of Fair Trade Certified
[email protected].
bananas.
Cumulative U.S. Fair Trade Certified Banana imports
pounds
cumulative organic conventional
*
Organic vs. Conventional breakdown not available for 2004. Imported volumes for that year appear as “organic” in graph.
*
7
Fair Trade Bananas and the environment Thanks to Fair Trade certification, Fair Trade producers
intensive pesticide use, soil erosion and deforestation are
are more actively engaged in protecting the ecosystems
just some of the devastating environmental impacts of
in which they work. Fair Trade Standards require Fair
conventional banana production.
Trade plantations and growers’ associations to develop environmental plans that outline concrete action items
But there are alternative methods of production that
and timelines to reduce pesticide use, prevent soil
are easier on the environment. Through Fair Trade,
erosion, protect local flora and fauna and minimize water
farmers and workers in the Urabá region of Colombia
use.
have the necessary tools and financing to implement environmental programs. Fair Trade banana farmers
Because of the banana plant’s unique growing conditions
work closely with their local communities to understand
and characteristics, Fair Trade Standards are particularly
their impact and implement programs to protect rivers,
important in the industry. Banana plants lack genetic
plant trees and improve the health of people, plants and
variation because they are asexually reproduced,
animals that live near their farms. The Fair Trade price and
meaning they are genetically identical to the parent
premium are absolutely essential to fund these important
stock. Because of this, bananas are more susceptible
sustainability initiatives.
to pests, fungi and disease, increasing the need for Water Recycling and Conservation
pesticides and chemicals. On conventional banana farms, soil fertility suffers due to heavy pesticide use and lack of crop rotation. Banana crops are often planted
Today, many Fair Trade producers have invested in water
right next to riverbanks, which has also intensified soil
treatment plants to considerably reduce water usage
erosion. Run-off sediments from banana farms can have
and reintegrate clean water into the rivers. In the past,
serious consequences for local tropical ecosystems. The
workers at Finca Miramar, one of the Las Americas farms
sediments hold high quantities of chemicals which, in
in Colombia, used to use 26,000 liters per day to wash
turn, kill fish and other aquatic life. Pollution caused by
and process bananas for export. Through their new
Las Americas worker Calixto Imbarguen from the Finca Miramar farm demonstrates manual weed control methods
8
left:
A water canal through a banana farm
with no natural water channel protection
right:
A water canal that has been planted with
Bore; the wide leaves catch any chemical drift and protect the local streams
recycling and conservation practices, Finca Miramar now
wide leaves, protects the soil from erosion and keeps the
uses the same amount of water in a week to prepare
water clean.
product for market. That’s an 80 percent decrease in water use!
Also, plantation water waste flowing into nearby rivers is now completely clean, thanks to the elimination of the
Environmentally Sustainable Pest and Weed Control
harshest chemicals and pesticides on banana crops and a new water treatment facility that has been integrated
Fair Trade farmers can avoid intensive use of herbicides
into the processing plant.
by relying on manual and mechanical weed control: farmers and workers use weed wackers, hoes and
Lastly, Finca Miramar is now reintegrating organic waste
machetes to remove weeds from the tree base. These
collected at the processing plant into the fields. Soil
methods are more labor intensive, but they also reduce
washed off of banana plants at the processing facility is
the soil’s exposure to chemicals. Reducing herbicide use
rich in organic matter and fibers; Miramar workers now
is a key strategy for protecting the flora and fauna of the
incorporate this sediment into the soil as natural fertilizer.
Urabá region. Beneficial insects and cover crops that are still alive thanks to manual weed control contribute to soil fertility and natural pest control, making for a healthier environment both on the farm and in neighboring tropical forests. Protection of Water Channels Fair Trade farms are protecting thousands of acres of farmland from soil erosion and water pollution by planting cover crops. Extensive foliage and ground cover is used to protect the water channels from chemical exposure by forming a natural umbrella over water channels. The most popular plant used for this protection is the Bore, which absorbs any chemical spray with its 9
Bananeras de Urabá, Colombia producer profile Bananeras de Urabá is a multi-estate banana farm
its expansion into the Fair Trade market. Today they
located in the Urabá region of Colombia. Urabá has
consider themselves champions of socially responsible
suffered some of the worst violence in the decades-
employment practices, accountability and environmental
long civil war in Colombia. Thankfully, the region is
stewardship.
relatively peaceful now and communities are rebuilding themselves. However, the region is still a significant
Fair Trade premiums have enabled the Joint Body of
through-way for drug traffickers. Legitimate employment,
Bananeras de Urabá to implement a number of social and
which offers workers and their families a real chance to
environmental programs.
escape poverty, is vital to keep the youth out of the drug Home Improvement Loans
trade. The needs of community members are significant and Fair Trade helps farmers everyday by providing fair
Bananeras de Urabá’s Joint Body allocated Fair Trade
wages and much-needed development funding.
premiums to a loan fund that workers can draw upon to Bananeras de Urabá was founded in 1963 and now is
finance home renovations and improvements. Demecio
comprised of several different Fair Trade Certified farms:
Arriaga, a worker at Evocación, recently renovated his
La Venturosa, La Tagua, Madrigal, Cantares, Mi Tierra and
home using one of the Fair Trade funded loans. He
Evocación.
says, “Thanks to Fair Trade our standard of living has improved. Before we could not relax when it rained
The management and members of the Joint Body of
because we worried the rain would flood our home. We
Bananeras de Urabá believe in supporting and educating
weren’t comfortable because we didn’t have a toilet and
the base unit of society—the family—in order to uplift
sewage system. The whole house was in poor condition.”
the community as a whole. Company philosophy
Now, Demecio lives with his wife and three children in a
promotes respect for individuals, fair treatment and
sturdier home made of concrete and brick foundation.
compensation. Five years ago, Bananeras de Urabá began
They have also installed a septic system. In Demecio’s words, “It is much more comfortable!”
A woman enjoys her new kitchen in the new premium-funded condo building
Small Business Loans The Bananeras de Urabá Joint Body is preparing a fund of $131,800 USD for employees of the company to start small businesses. Microfinance is a powerful tool that engages individuals’ entrepreneurial drive to create additional income sources for families. Some workers and workers’ wives have begun training (through a national skill-building program) in leather working in order to manufacture and sell shoes. Small microloans will help these entrepreneurs start their businesses.
10
Bananeras de Urabá About the organization FLO ID Year Founded Type Number of Workers % Women Workers Total Production Area
Community Support Bananeras de Urabá donated money for the purchase of kitchen utensils and appliances for a food assistance program for the elderly in the community of Nueva
18839 1963 Plantation 650 4% 1,451 hectares
Colonia. The support was especially appreciated since local government authorities had promised resources, but in the end were unable to deliver the services. The Joint Body of Bananeras de Urabá instead provided the needed financial support to feed the elderly of Nueva Colonia. Housing for Workers The Bananeras de Urabá Joint Body, in conjunction with several local municipal and regional government agencies recently completed a brand new condominium
“Thanks to Fair Trade our standard of living has improved. Before when it rained… we worried the rain would flood our home… Now it is much more comfortable!”
building for workers. In March 2010, Joint Body members cut the ribbon on this four-story mid-rise that will now house dozens of Bananeras de Urabá workers and their families. This is a relief to many workers who previously lived in unsafe or unpleasant housing conditions. Bernal Palacios, a worker at the Finca Cantares farm, used to live in a rented home on the banks of the river and
—Demecio Arriaga worker at Bananeras de Urabá for seven years
was constantly worried about floods during the winter rains. Now, Bananeras de Urabá workers can relax in the comfort of their new condominium homes. Each beneficiary of the project purchased an affordable condo valued at $36 million Colombian pesos (or $20,000 USD) with a low-interest loan from the premium fund. The land for the development was donated by the mayor of the city; but project construction was funded entirely by Fair Trade premiums.
11 11
A boy stands outside of his new home; this building was constructed with Fair Trade premium financing
El Guabo, Ecuador producer profile The Association of Small Banana Producers of El
Sustainable Management
Guabo (“El Guabo”), which began with just 14 small farmers in 1998, now boasts over 450 members. This
El Guabo has also spent considerable effort integrating
association was one of the founders of the Fair Trade
“agro-forestal” farmers into their association. These
banana movement and is a prime example of farmer
farmers live on the fringes of the tropical forests and
organization and empowerment. El Guabo sent its first
cultivate bananas, limes, cacao and other subsistence
container of bananas to Europe on consignment in
crops under the canopy of trees. El Guabo helps the
1998. By 2009, the group grew to export more than 40
farmers achieve and maintain organic certification,
containers of Fair Trade Certified™ bananas every week.
thereby protecting the fragile forests bordering their farms, and providing a good price for the few boxes of
The Fair Trade price and premiums have enabled El
bananas each farm produces. Without that higher Fair
Guabo to establish various social and productive
Trade price, most of these farmers would be forced to
programs.
farm the land more intensively and encroach on the surrounding tropical forest. Instead, Fair Trade has helped the members of El Guabo sustain an important balance in
Organic Certification
the local ecosystem. Many of El Guabo’s members have achieved organic Health Program
certification, while its conventional members have also made great strides by eliminating herbicides and increasing the use of natural pest controls. Fair
The members of El Guabo elected to contribute premium
Trade Standards are, acre by acre, moving a banana
funds to run health care clinics for banana producers,
growing region away from a culture of indiscriminate
workers, their families and other community members.
agrochemical use and toward integrated pest
Producers also receive health insurance and senior
management and respect for nature.
citizens receive regular checkups. El Guabo coordinates
12
El Guabo About the organization FLO ID Year Founded Type Number of Members & Workers
with the Ministry of Public Health to bring medical teams into communities that would otherwise have no access to health services.
1538 1998 Cooperative 450
Rigoberto Tinoco, a producer with the Arenillas member farm, recently received a checkup, lab tests, an echo sonogram and medicine to alleviate conditions revealed by these tests. “This is the first time that we senior citizens have received friendly, quality medical attention,” says Tinoco. Farm and Business Improvement El Guabo used $430,580 for two important business investments: 1) Contributing local funds to complement funds donated by the Government of the Netherlands to implement the Precision Agriculture Model of farming
“This is the first time that we senior citizens have received friendly, quality medical attention.”
at El Guabo, furthering farmer’s understanding of Integrated Pest Management techniques, and 2) to invest in the farm’s financial future by purchasing shares in Agrofair, the import company that buys the majority El Guabo bananas.
—Rigoberto Tinoc El Guabo member
An additional $565,000 has been dedicated to making improvements at 15 of El Guabo members’ farms. Distribution of these funds is based in part on annual production—a strong incentive for producers to continue innovating and improving in order to increase production. Furthermore, $20,000 of the farm improvement fund is earmarked for environmental studies and projects.
13 13
A child receiving respiratory treatment at El Guabo health clinic
FINCAMAR, Colombia producer profile The Agrícola Marimonda Fincamar (FINCAMAR)
a crop rotation program. These investments will benefit
banana cooperative was founded in 1996 as a result of
cooperative members’ production both in the short- and
agrarian reform in the Urabá region of Colombia during
long-term.
the 1990s. The banana farmers of FINCAMAR united as Educational Support Programs
a cooperative in order to better manage their resources and production during a time of socio-political turmoil and low capital investment. Since then, FINCAMAR
FINCAMAR farmers voted to use Fair Trade premiums
has grown to include 84 member farmers. FINCAMAR
to purchase school uniforms, teaching materials, school
became Fair Trade Certified™ in order to access fair
equipment and tuition assistance. Premium funding
prices for their goods, form direct relationships with
helped 172 children in primary school and middle school
buyers and consumers and, ultimately, to improve their
in 2009. In addition, 14 students enrolled in high school
overall quality of life through greater sales and premium
and technical schools thanks to the Fair Trade premium.
funding. Diversity Workshops and Events for Cultural Integration
Fair Trade premiums have enabled FINCAMAR to establish various social and productive programs.
FINCAMAR promotes greater integration among farmer members through community events where families can
Infrastructure Improvements
come together to socialize and learn from one another. FINCAMAR used Fair Trade premiums to renovate the
The cooperative membership population represents
drainage system throughout portions of the farm. The
a variety of ethnic and cultural groups; through these
old system left part of the plantation inundated with
exchanges and events, FINCAMAR hopes to foster greater
water; now, Fincamar’s new piping systems protect
sense of community and inclusion. 400 participants have
production. In addition, the cooperative is implementing
14
FINCAMAR About the organization FLO ID Year Founded Type Number of Members % Women Members Total Production Area
attended these workshops and events since the start of the program. Microcredit Program
18043 1996 Cooperative 84 7% 109.5 hectares
FINCAMAR created a low-interest microcredit program using Fair Trade premium funds. Farmers use program money to reconstruct and renovate their homes. Through these loans, farmers can access low-cost financing and avoid the usurious rates charged by local money lenders.
15 15
Farmers’ children studying at a computer center
Cerro Azul, Ecuador producer profile Asociación Regional de Pequeños Productores
Education Program
Bananeros Cerro Azul is an organic banana cooperative and exporter located in El Oro, Ecuador. Cerro Azul is
The cooperative allocated Fair Trade premiums to
part of the larger organization Corporacion Ecuatoriana
establish a fund to pay for one year of school tuition for
de Comercio e Industrializacion de Productos Organicos
famers’ children.
(CORPORITO). In addition to bananas, the organization Construction Programs
also produces cocoa, citric, dwarf bananas, and silk bananas.
To improve the infrastructure of the farm and the Cerro Azul became Fair Trade Certified in order to
community, the cooperative commissioned the
improve members’ standard of living and to improve
construction of wells, an irrigation system, and a cable
equitable distribution of economic gains, which the
system. These construction projects—paid for by Fair
cooperative views as the primary benefits of exporting
Trade premiums—are investments for member’s farms to
Fair Trade bananas.
improve product quality.
Cerro Azul’s current challenges include negotiating with
Workshops for Gender Equity
international exporters to directly manage their fruit and
Cerro Azul allocated Fair Trade premiums for female
finding ways to improve their current production.
empowerment workshops. Through these workshops, female members will enrich their understanding of
Fair Trade premiums have enabled Cerro Azul’s Joint
banana production.
Body to establish various social and productive programs:
16
Cerro Azul About the organization FLO ID Year Founded Type Number of Workers % Women Workers Total Production Area
Health Programs Cerro Azul allocated Fair Trade premiums to fund a program for de-worming vitamins for members, their spouses and children.
2660 2002 Cooperative 108 18% 150 hectares
Professional Development Workshops The cooperative also used Fair Trade premiums to hold a series of workshops to help all members understand how the association functions to improve participation and organization. Service Improvement Workshops Cerro Azul set aside a percentage of Fair Trade premiums to implement trainings for departments that provide services to the organization (Tech Department, Accounting Department and Secretary Department). The objective of these trainings is to provide better services for the members.
17 17
A child receiving respiratory treatment at El Guabo health clinic
El Antojo, Colombia Producer Profile
about the organization FLO ID Year Founded Type Number of Workers % Women Workers Total Production Area
Plantaciones Churido Ltda Finca El Antojo (El Antojo), was founded in 1992 with only five workers harvesting bananas on 100 hectares of plantation land. Since then, El Antojo has grown to 168 hectares and 147 employees. The plantation has survived the political turmoil that
6166 1992 Plantation 147 7% 416 hectares
enveloped the Urabá region in the 1990s, although two decades of violence affected both the land and the workers. To better serve and empower its workers, El Antojo became Fair Trade Certified™ in 2007. The Fair Trade premium has enabled El Antojo to establish various social and productive programs. Education Program El Antojo’s Joint Body awards student scholarships for primary, secondary and university education. Farm “I’ve worked with the company for nearly 16 years. We workers have received many benefits since the farm started working with the Fair Trade system. I can testify to the benefits my family members have received: all of them have received education and seen their quality of life improve. Recently the Joint Body approved a loan that I’ll use to build a new, decent house for my family.”
workers, their spouses and children are eligible to receive the scholarships. The scholarship credits may also be used to purchase school supplies and uniforms. Community Investment In 2009, the Joint Body created sports tournaments and
—Roys Vélez Correa El Antojo worker
recreational sports leagues for the community, funded in part by Fair Trade premiums. This community investment fosters integration and unity on and off of the farm. Housing Program The Joint Body maintains a loan fund to help farm workers who wish to purchase, improve or construct their own homes. Without Fair Trade premiums, many farm workers believe they would never have been able to purchase their own home without funding assistance. Through low-interest loans, that dream is now a reality.
18 18
Students in class thanks to El Antojo scholarships
El Progreso, Colombia Producer Profile
about the organization FLO ID Year Founded Type Number of Members Number of Workers % Women Workers Total Production Area
The Cooperative Agricola El Progreso (El Progreso) includes the three banana farms El Progreso, Los Andes and Gautinaja. The El Progreso cooperative was formed as a result of an agrarian reform process in the banana growing region of Urabá in Colombia. During years of economic crises, production crises and political instability, several banana companies transformed themselves into farmer-owned operations. As a result, 29 ex-workers of the Gautinaja plantation became landowners and administrators of their own farms and diffused the economic responsibility of the plantation to each landowner. In 1997, those twenty-nine workers formed La Cooperativa Agrícola el Progreso. The cooperative purchased Finca Los Andes in 2008 and extended the cooperative’s rights and benefits to the additional 75 farm workers. El Progreso became Fair Trade Certified in 2007. Currently, the cooperative has a total of 104 workers growing Fair Trade Certified™ bananas, 28 percent of whom are women. Fair Trade premiums have enabled the workers of El Progreso to implement a number of social and environmental programs. Scholarship Program The Joint Body of El Progreso has invested a portion of the Fair Trade Premiums received towards the educational development of farm workers, their spouses and their children. Farm Improvements and Infrastructure Fair Trade premiums have allowed El Progreso to improve irrigation on the farm, which will prevent flooding and improve yields and soil quality. El Progreso also invested in new roofing and other small repairs for common lunch rooms. All of these improvements will increase the productivity and livelihoods of the farm workers and the land.
19 19
6098 1997 Cooperative 82 104 28% 108 hectares
Finca Las Delicias, Colombia Producer Profile
about the organization FLO ID Year Founded Type Number of Workers % Women Workers Total Production Area
The Gonzalez family, one of the first banana producing families in the Urabá region, has owned Finca Las Delicias plantation since the 1960s. Currently, 30 percent of Las Delicias workers have been with the company for more than 10 years. Las Delicias became Fair Trade Certified™ in 2008. The certification has guaranteed workers fair labor contracts and has enabled the plantation to fulfill their buyer agreements without much risk during the economic recession. The plantation recently developed a new drainage system, increasing their production by 15 percent. Fair Trade Premiums have allowed the Joint Body of Las Delicias to implement various social programs. Home Loan Program The Joint Body of Las Delicias allocated a portion of the Fair Trade premiums for loans intended for the improvement, purchase and construction of homes for farm workers. Scholarship Program Fair Trade premiums also fund scholarships for farm workers’ children. Members of the Joint Body have stated their firm belief that sustained investment in education is the key to empowering communities. Microfinance Program Las Delicia’s Joint Body allocated a portion of the Fair Trade premium funds to low-interest loans for farm workers who are interested in starting their own businesses. The hope is that small business investment will drive and develop the economic livelihood of the community.
20 20
Last year’s scholarship recipients
6165 1960’s Plantation 79 9% 102 hectares
Ucrania, Colombia Producer Profile
about the organization FLO ID Type Number of Workers % Women Workers Total Production Area
For over 48 years, the land of Finca Ucrania has been used for banana production. In 1986, the current owners acquired the farm, which consists of more than 125 hectares. Since 1995, parts of the plantation have been
18080 Plantation 103 10% 117 hectares
changed to serve as living quarters for workers. Many of the current employees of Ucrania have been with the farm for over 20 years. Finca Ucrania became Fair Trade Certified™ in 2008 to better serve and empower their workers. Fair Trade Premiums have allowed the Joint Body of Finca Ucrania to implement various social and environmental programs. Community Programs In 2009, the Joint Body of Ucrania donated a sum of Fair Trade premium money as an endowment for schools and community projects. The intended use of the endowment includes: construction of a children’s playground, financing for aqueduct construction, support for health programs, donations for children’s playpens, school cafeterias and housing for the elderly.
“I always dreamed of being able to send my children to school until they graduated as professionals. Before that wouldn’t have been possible; but, thanks to the fact that our company is Fair Trade Certified, two of my children have received scholarships and are taking technical courses. I hope this program never ends!” — Ramón Guzmán Ucrania worker
Home Loan and Micro-Credit Program The Joint Body of Ucrania allocated Fair Trade premiums to help farm workers to either buy or improve their own homes through low-interest financing. In addition, farmers can access microloans to purchase computers, pay for school expenses and for emergencies like natural disasters. Environmental Program In taking steps toward environmental sustainability, the Joint Body plans to use Fair Trade premiums to purchase and plant trees and protect the rivers throughout the community. 21 21
Students at the computer center
Saman – APPBOSA, Peru Producer Profile
about the organization FLO ID Year Founded Type Number of Members Total Production Area
Asociación de Productores de Saman y Anexos (Saman – APPBOSA) is a banana cooperative in Peru located in the Valle de Chira in the Sullana province in the northern region of the country close to the Ecuadorian
2461 2003 Cooperative 108 353.4 hectares
border. One hundred eight small producers united in 2003 to promote the development of small organic banana producers. APPBOSA reached their goal in 2006, becoming the first producers’ association to export organic bananas in Peru. APPBOSA’s mission is to promote the development of small producers of organic Cavendish bananas for the export market. The association has several associated ventures alongside their banana production and commercial operations. They own a subsidiary company which produces the uniforms for their workers; additionally, the cooperative produces compost to sell on
“We are an association of small banana producers of the Saman Organic Farmhouse and Annex. Our main action is to increase income and quality of life of our Associates to offer healthy food to our customers and contribute to environmental conservation.”
the local market. APPBOSA also distinguishes itself through its high quality products and farmer-managed cooperative association. Via the general assembly of farmer members, the organization makes business and strategic decisions collectively and democratically. Almost all employees
—APPBOSA managers
of APPBOSA are the spouses or relatives of APPBOSA members, meaning the benefits of Fair Trade extend to all members of APPBOSA families. 2015 Sustainability Initiative Through their unique management model and Fair Trade sales, APPBOSA created a 2015 environmental initiative to increase its sustainable production capacity and reduce its use of resources and inputs. APPBOSA’s leaders say they are fully committed to the preservation and conservation of the environment. They also plan to develop social programs to benefit their partners and their neighboring communities, ensuring favorable living and working conditions for the community in which it operates.
22 22
Sourer Rodriguez Churo, APPBOSA member
23
Fair Trade Principles & Standards a closer look To date, Fair Trade has helped almost 1.5 million families in 58 developing countries build more sustainable communities through wide-spread implementation of the Fair Trade Standards. Here’s how.
Fair Trade Principles We Guarantee a Fair Price
Fair Trade Standards require environmentally-sustainable farming methods that protect farmers’ health and
Our unique commitment to fair prices and development
preserve ecosystems. These standards strictly prohibit
premiums distinguishes the Fair Trade Certified™ label
the use of GMOs and the most toxic agrochemicals,
from other sustainability labels. Farmer groups are
promote active conservation of soil and water resources
guaranteed a price that covers the cost of sustainable
and protect surrounding forests. More than half of all Fair
production, a premium for community-selected
Trade farms are certified organic.
development projects and an additional price premium for certified organic crops.
We Oppose Child Labor, Forced Labor, and Work-Place Discrimination
We Promote Access to Credit Fair Trade farmers and workers can count on more Buyers are required to offer commercial credit to farmers
than just better prices. Fair Trade Standards require
upon request, either directly or in collaboration with
freedom of association and safe working conditions. And
financial intermediaries. Access to timely credit on
child labor, forced labor and discrimination are strictly
favorable terms allows farmer organizations to increase
prohibited by Fair Trade Standards. If we find breaches of
export capacity and improve product quality.
our standards, we will take immediate action to protect children and forced laborers and to ensure fair treatment
We Require Democracy and Transparency
for all on the farms and factories that carry the Fair Trade mark.
Empowerment is an essential goal of Fair Trade. Small farmers form cooperatives that allow them to process
We Support Community Development
and export their harvests competitively. Farmers are audited annually for transparency, democratic processes
U.S. importers and manufacturers agree to pay Fair Trade
and sound financial management.
premiums that allow farmers and farm workers to invest in community development projects. These projects—
We Promote Environmental Sustainability
from clean drinking water, school scholarships and health care services to housing, reforestation and organic certification—benefit entire towns and regions.
Find more information here: www.fairtrade.net/standards/ 24 For questions regarding this report, please contact
[email protected].
What is Fair Trade and Fair Trade Certified™? Fair Trade is a market-based model of international trade that benefits more than one million farmers and farm workers in 58 developing countries across Africa, Asia and Latin America. Fair Trade certification enables consumers to vote for a better world with their dollars, simply by looking for the Fair Trade Certified™ label on the products they buy. Fair Trade Certified agricultural products including coffee, tea and herbs, cocoa and chocolate, fresh fruit, sugar, rice, flowers, honey and spices are currently available at more than 50,000 retail establishments in the United States. Fair Trade certification verifies and acknowledges the commitment of these producers to meet internationally recognized Fair Trade Standards. What are the Fair Trade Standards? The Fair Trade Standards are the backbone to this system of farmer- and worker-led development. Both buyers and sellers of Fair Trade products agree to uphold a set of standards in order to create a more just method of trade that takes into account the “triple bottom line”– economic, social and environmental gain. How does Fair Trade certification ensure that the products I buy are fair? Fair Trade producers undergo annual audits to
Our Mission
demonstrate that they are implementing Fair Trade Standards to ensure that the products consumers buy are traded in the most fair and just manner. Through adoption of Fair Trade Standards, farmers strengthen their communities and take their products directly to global markets. Registered companies in the United States are required to follow Fair Trade trading guidelines and importers are audited on a yearly basis. In turn, these efforts support dramatic improvements in income and in quality of life.
TransFair USA 1500 Broadway Street, Suite 400 Oakland, CA 94612 Tel: 510.663.5260 | Fax: 510.663.5264 25 www.FairTradeCertified.org
TransFair USA enables sustainable development and community empowerment by cultivating a more equitable global trade model that benefits farmers, workers, consumers, industry and the earth. We achieve our mission by certifying and promoting Fair Trade products.
TransFair USA • 1500 Broadway, Suite 400 • Oakland CA 94612 26 • 510.663.5260 • 510.663.5264 fax • www.transfairusa.org
