Abstract:
Fair trade sales figures have been on the rise in recent years. Sales figures in some countries are far higher than in others. Do lower fair trade sales figures indicate a lack of understanding and empathy towards the fair trade cause or do other factors come into play? This paper will examine the various reasons for the disparities in both sales figures and attitudes towards fairtrade by reviewing existing literature in close detail.
Keywords: fair trade consumption, fair trade sales, consumer movements, social justice, corporate social responsibility.
N.B. Throughout the report when referring to the concept of fair trade this will be written with two words and when referring to the brand to indicate (FLO) Fairtrade Labelling Organization and products associated with the fairtrade mark it will be written as one word.
Disparity of Fair Trade Sales and Attitudes to Fair Trade Around the World
Naomi Sugai
Lecturer of English Language Rissho University
Osaki 4-2-16 Shinagawa-ku Tokyo 141-8602 Japan [email protected]
Contents
Overview 85 Introduction 86 Comparing Fair trade sales and Ideals UK and Japan 86 USA 88
Fairtrade Past, Present and Future 89
Progress in the UK, USA and Japan 91
Attitude-Behaviour Gap in Consumers 93
Niche Markets 94
Fairtrade for Smallholders- Nicaragua, Colombia and El Salvador 95 Fairtrade in Multinational and Transnational Companies 97
Social Justice Activism by Consumers 98
Conclusions 103 References 105
Overview
This paper is an overview of fairtrade sales and attitudes to fairtrade around the world. Fairtrade, which started over twenty years ago, has come under scrutiny in recent years. The research discusses some of the reasons for this scrutiny.
The research has touched upon on how fairtrade is beneficial to some more than others. Recently some Fairtrade supporters have turned against the label as they believe it has become too mainstream and no longer embodies the ideals of fair trade.
Smallholder co-operatives continue to struggle to gain fairtrade certification due to a number of barriers. Even in cases where smallholder co-operatives have certification they do not feel they are reaping the benefits of fairtrade.
Europeans have had a head start by about a decade where fairtrade is concerned and this is reflected in the number of products available and understanding of the term fairtrade by consumers compared with the US and Japan where it is relatively new and not all consumers have a full understanding of what fairtrade entails.
The UK has more than 4,500 certified fairtrade products on sale, according to the BBC. The UK has been the world leader for Fairtrade and continues to diversify in the products that they offer. Case in point, Fairtrade wine sales grew by 15% for the second consecutive year in the UK, making it an important area of growth within fairtrade.
Some consumer research has been undertaken to understand why consumers choose to buy fairtrade. There has been speculation that the guerilla tactics of the strongest fairtrade supporters has been, in fact, more effective than marketing by companies. This may be to do with the fact that consumers believe that companies have an agenda, to sell more products, whereas fairtrade supporters whilst they may also have an agenda are doing it for the ‘right reasons.’
Multinational companies participating in fairtrade, has resulted in mixed feelings amongst fairtrade supporters. Whilst some supporters have pushed for multinational companies to sell fairtrade products amongst their range as part of corporate social responsibility (CSR) others have argued that this results in ‘fair washing’ meaning that companies are misleading consumers by using fairtrade as a marketing tool to upgrade their image.
These are a few of the many complicated facets of fairtrade issues that have arisen over the years, which will be discussed in the research.
Introduction
Comparing Fair Trade Sales and Ideals
UK
According to the Fairtrade UK website (Fairtrade.org.uk 2014) Fairtrade sales figures have been on the rise in recent years. Some countries sales figures are far higher than others. Wheeler (2012) explains that in the UK the ‘Fairtrade
consumer’ was constructed and mobilized as a citizen-consumer, with specific attention paid to the range of actors and organizations involved in the process.”
The UK has generated over £23 million from fairtrade sales. Fairtrade sales in 2013 were up 14% on the previous year (BBC News, 2014).
JAPAN
If we compare this to the situation in Japan, according to Masuda, a researcher, interviewed in The Japan Times (The Japan Times, 2012), “One of the problems in Japan is the lack of a unified system. Because the definition of fair trade is vague, it is difficult to calculate the entire market. Large corporations may not necessarily break down sales figures for fair trade and it is difficult to keep track of numerous tiny companies.” Masuda added that “a number of firms, including Starbucks Japan, have declined to answer the institute’s survey.”
According to Usugami (n.d), Professor in the School of Business at Aoyama Gakuin University, “The size of fair trade markets is extremely small, the number of fair trade sectors is very limited, and the consumer awareness of fair trade products still remains low in Japan.”
This is reflected in the amount of fairtrade retail sales figures, which is available in the Fairtrade International Annual report. (Unlocking The Power Annual Report 2012-2013, 2014)
Although, Japan has about double the population of the UK, the fairtrade sales in 2011 was 53,617,544 (Euros) and 71,419,147 (Euros) in 2012. The growth rate was 17%. The growth rate in the UK was similar at 16% but in terms of sales figures
was much higher. 1,531,539,170 (Euros) in 2011 and 1,904, 891, 082 (Euros) in 2012, which is almost three times as much as Japan. The current state of affairs regarding fairtrade in Japan is also reflected by headlines in The Japan Times (The Japan Times, 2012) such as “Fairtrade slowly catching on here” which shows that it is still a relatively new concept.
USA
According to Wilson and Curnlow’s (2013) research, “Fair Trade is one of the most geographically extensive product certification networks in the world and among the most recognizable ethical brands in the United States.”
Wilson and Curnlow (2013) believe that “Fair Trade as a brand requires the building of trust in a particular narrative about the relationship between producers and consumers, about alternative development, and about the existence of a more ethical or ‘better’ economy facilitated by Fair Trade standards and certification.”
Despite the fact that fairtrade is the most recognizable ethical brand in the USA due to the work of many grassroot organizations over the past decade, Fair Trade USA have experienced a massive set back.
There has been a backlash against Fair Trade USA amongst American Fair trade supporters who until recently were their strongest supporters. The supporters have been boycotting Fair Trade USA goods and encouraging other fair trade supporters to do the same as the fair trade ideals and visions are far from what they
were when it first started. This has shocked Fair Trade USA. The supporters who had helped shape their image and market fair trade products and ideals had turned against them.
It is hard to say whether this is the sole reason for declining sales figures. One can only assume so, by looking at the figures obtained from the Fairtrade By The Numbers and Fairtrade Annual Reports. (Fairtrade Annual Report 2011-2012, 2014)
In 2009 the retail sales figure for the USA was 851,403,590 (Euros) and 936,973,359 (Euros) in 2010, which was a 5% growth. (Fairtrade for the Numbers- Key Data for 2009-2011, 2014) There was a 10% growth from the previous year and the sales figures for 2011 were 1,030,670,695 (Euros)(Fairtrade Annual Report 2011-2012, 2014)
However, in 2012 the sales figures were 53,116,711(Euros), which shows’ a steep decline of almost 50%. Fair trade sales figures for 2013 and 2014 are not yet available so only time will tell whether Fair Trade USA can win back the trust of their supports and increase their sales figures in the USA to make a full recovery.
Fairtrade: Past, Present and Future
Van Loo (2004) says “While continually increasing fair-trade sales have attained market shares of over 20 percent for bananas in Switzerland and 7 percent for ground coffee in England, the fair-trade label still governs well under 1 percent of
the total worldwide trade for the categories within which the goods are sold. Part of this can be explained by the reality that the fair-trade label arrived in the United States and Japan only a few years ago, as opposed to over a decade ago in European countries such as Switzerland. Given its small overall market share, how big a role can fair-trade certification play in international development? What remains to be done for the system to reach its potential?”
These questions are just as valid today. One could argue, even more so now that another decade has passed since Fairtrade products have become mainstream.
As mentioned previously, some fairtrade supporters in the USA feel as though the fairtrade system is not taking the right steps to reach its potential, which has resulted in them discontinuing their support by way of boycotting products and buying other ethically sourced products that are not fairtrade.
According to the New-ag.info (2006) report “economist Paul Collier argues that Fairtrade effectively ensures that people "get charity as long as they stay producing the crops that have locked them into poverty". Fairtrade reduces the incentive to diversify crop production and encourages the utilisation of resources on marginal land that could be better employed for other produce. The organisation also appears wedded to an image of a notional anti-modernist rural idyll. Farm units must remain small and family run, while modern farming techniques (mechanisation, economies of scale, pesticides, genetic modification etc) are sidelined or even actively discouraged.”
As stated by Harriet Lamb, Executive Director, Fairtrade Foundation in the New Agriculturist article “Points of View-How Fair is Fairtrade?” (New-ag.info
2006), “We don't for one minute think the solution to all problems in world trade is Fairtrade. What we want to create is a situation where it is no longer acceptable to do nothing, where every company, and every individual, has to do something to make the world fairer.”
Fairtrade Executives and supporters are aware of the limits of fairtrade.
However, both want to see more changes to the fairtrade framework rather than just increased sales.
Progress in the UK, the USA and Japan
It is impossible to compare all countries but the UK, the USA and Japan are all noteworthy players in regards to fairtrade. The UK has been a key player in the development and spread of fairtrade since the early 90’s and currently has many fairtrade towns, universities, faith groups, schools and workplaces which shows the on-going commitment to fairtrade. According to the fairtrade foundation there are over 500 fairtrade towns in the UK (Fairtrade.org.uk, 2014) .
The USA has also shown a considerable amount of commitment to fairtrade with the spread of fairtrade shops such as Ten Thousand Villages where staff members travel to witness fairtrade artists making products as part of their training so that they can share the amazing stories of the artists with customers with the hope that it may lead to sales and to a deeper understanding of fairtrade.
Ebeling (2009) from Forbes reports that “Rather than buy from already successful
co-ops and companies, Ten Thousand Villages tries to nurture fledgling ones that, Schloneger (Chief Executive of Ten Thousand Villages) says, “wouldn’t have a chance in the commercial marketplace.” Six in-house designers and buyers travel to the villages to help groups develop products for the North American market. Local raw materials–say, olive wood from the West Bank for a Nativity scene or wool from alpacas raised in the Andes foothills for a knit hat–are favored.
Schlonneger says “Ten Thousand Villages aims to build long-term relationships with its suppliers and has worked with the majority of them for 12 years or more.
That gives them better access to loans to expand their businesses and allows individual craft workers to buy homes and plan for the future. Some make the transition to commercial sales”. Recently, Schloneger reports, “the founder of a handmade-paper company in the Philippines came to the U.S. on a Ten Thousand Villages promotion tour and went home with an order from Barnes & Noble.”
Japan has been steadily catching up which is impressive when there are not many Asian countries participating in fairtrade compared to European countries.
According to the Fairtrade Foundation website (Fairtrade.org.uk, 2014) Kumamoto is the first Fairtrade town in Japan and the whole of Asia. However, there are campaigns now starting in Hong Kong, Taiwan and Korea with many universities in Asia working towards becoming Fairtrade Universities.
According to the Fairtrade Foundation Annual Report (Unlocking The Power Annual Report 2012-2013, 2014) out of the 26 countries listed there are only 2 countries in Asia, which are Japan and South Korea. There may be some smaller Asian countries participating in fairtrade in the ‘rest of world’ category but this is not made clear in the sales figures table. This shows that although that Japan and
South Korea were late in the game to participate in fairtrade they generate enough retail sales to have the statistics available on the official Fairtrade Foundation website.
Attitude-Behaviour Gap in Consumers
In a study in Belgium, De Pelsmaker (2005) investigated to what extent consumers were willing to pay for the fair-trade attribute when buying coffee, and how consumers differed in terms of their willingness to pay.
According to De Pelsmaker’s (2005) research “One of the main reasons for this discrepancy is the attitude-behavior gap. On the one hand, consumer perceptions and attitudes clearly influence behavior, as conceptualized and tested in several models of ethical consumption behavior. On the other hand, it is well documented that attitudes alone are generally poor predictors of buyer behavior.”
Lack of availability of ethical products, disbelief of ethical claims and lack of information may account for countries with low fairtrade sales figures. As mentioned earlier consumer awareness of fairtrade remains low in Japan and fairtrade sectors are limited. However, Japan certainly isn’t the lowest in terms of fairtrade sales. There are 12 countries that had lower sales figures in 2012 according to the Fairtrade Foundation Annual Report (Unlocking The Power Annual Report 2012-2013, 2014) : Czech Republic, Estonia, Hong Kong, Italy, Latvia, Lithuania, Luxembourg, Norway, South Africa, South Korea, Spain and the USA. The low sales figures for the USA in 2012 may be attributed to the disbelief of ethical claims and boycotting of fairtrade products in 2011.
Niche Markets
According to Kleine’s (2008) research “fairly traded wines were first introduced to the market in the mid-1990s by alternative trade organisations. The international Fairtrade Labelling Organisation (FLO) then drew up standards for wine grapes in October 2003, by defining the Fairtrade Minimum Price and Fairtrade Premium for South Africa. Sales volumes of Fairtrade wine worldwide rose from 618,000 litres in 2004 to 3.2 million litres in 2006, with the UK having one of the highest sales volumes of 2.4 million litres, by far the most important market. However, given that Chile alone exported 600 million litres of conventionally traded wine in 2006 in quantitative terms. Fairtrade wine is still very much a niche market.”
According to Mercer (2014) a reporter for Decanter, a wine specialist website, sales of fairtrade wine rose by 15% in 2013 for the second consecutive year and sales in the UK have nearly tripled since 2008. This all seems like good news however the overall UK wine market is struggling for momentum and some have been critical of the taste and quality of fairtrade wines. In a Decanter article, Decanter contributing editor Fiona Beckett commented that she ‘really struggled’
to find Fairtrade wines to recommend and suggested readers might be better buying a non-fairtrade wine and donating some money to Oxfam. In the same article, Richard Anstead, head of product development at the Fairtrade Foundation, argued that overall quality has improved and that higher sales show drinkers want to buy into the value of the Fairtrade movement.
Fairtrade for smallholders in Nicaragua and Colombia
According to Stratton and Werner (2013) research, “Nicaragua- a country that earns nearly a quarter of its export income from coffee- many family farms participate in "organic" and "fairtrade" certification systems, under which they submit to inspections of their labor standards and environmental practices in exchange for higher prices for their beans. Unfortunately, according to results recently published by economists Tina Beuchelt and Manfred Zeller in Ecological Economics, higher prices only go so far. The certified beans bring in more money, but once you take into account increased production costs, such as bringing the maintenance of farms up to code and shorter labor hours, the final profit is no higher, and in many cases is actually lower: Some Nicaraguan fair-trade farmers were taking home as much as $55 less per harvest than their noncertified competitors. Worse, while 60.9 percent of the "unfair" coffee-producing households observed were below Nicaragua's official poverty line, 68.6 percent of the fair-trade farmers were. The results were even starker for organic farmers, with 71.3 percent below the poverty line.”
Stratton and Werner (2013) asked, “So is fair trade a myth?”“ Not necessarily, ” says Beuchelt, who has found much more promising results in Colombia, another top coffee producer. The difference between the two countries is that the Colombian farmers have much better access to roads, technology, and other infrastructure than their Nicaraguan counterparts, making it much easier and cheaper to comply with fair-trade rules. “There's still a need for government intervention. Certification can't solve the basic development problems these countries have, ”says Beuchelt.
This goes to show that the Fairtrade scheme can benefit some more than others.
In the previous case it is easy to see how the Colombians are at an advantage compared with the Nicaraguans with poor transport infrastructure and technology.
Certainly not all, but many Fairtrade supporters hope that the Fairtrade framework will continue to grow and improve to close the gaps of injustice where there are no government interventions so that all Fairtrade co-operatives can benefit equally.
Others argue, that it is unrealistic to expect or wish for that to happen in a free market and that nothing will change without government intervention.
Fairtrade in El Salvador
Telman, Gray and Bacon’s (2011) findings suggest that “small holders currently face at least five barriers to accessing Fair Trade, including: certification costs, economies of scale to cover coffee exports operations, stringent quality requirements and altitude constraints. However, the root causes of smallholder coffee farmers' limited access to Fair Trade are rooted in decades of state-based policies and politics that have undermined rural civil society, discouraged education, perpetuated uneven access to land and debt forgiveness, and repressed the development of dynamic cooperative unions with capacity to export smallholder coffee.”
The problems in El Salvador are similar to those in Colombia and Nicaragua.
Fairtrade is not benefiting everyone in the same way. Smallholders have a distinct disadvantage as it is harder for them to get fairtrade certification due to the cost.
This is one of the many hurdles mentioned above.
Fairtrade in Multinational and Transnational Companies
Fridell (2007) discusses the reasons why Starbucks as a large transnational company started participating in Fair trade. It is a stark contrast with smaller chains such as Planet Bean. Starbucks started to offer small amounts of fairtrade coffee in 2000 but this was not a decision that was made from benevolence and goodwill but rather a reaction to pressures from activists. Even though they are currently selling fair trade coffee beans this only accounts for one or two percent. As a corporation Starbucks would like to be seen as moral but it is well known that the company is comprised of low waged, non-unionized workers.
In a bid to divert attention from bad publicity Starbucks has dedicated a lot of time promoting corporate friendly certifications other than fair trade. Whilst this may seem admirable to some it is important to note that these certifications have are less strict and easier to obtain. To give an example, Conservation International (CI) shade grown coffee when compared with Fairtrade FLO standards are much lower.
The farmers receive a lower premium and labour standards are less strict than those of Fairtrade. To make matters worse, CI have been accused of being a facilitator that allows companies to ‘greenwash’ their image. The term ‘greenwash’
is similar to that of ‘fairwash’ and means to mislead consumers into thinking they are more ‘green’ or environmentally friendly than in actuality.
Starbucks as a corporation has opposed their workers in the North joining unions. This is a right, which is afforded to their fair trade certified partners in the South. Fair trade certified coffee is packaged by prison labour during the busy
Christmas season and sold by low waged, non-unionized labour. Could this coffee be considered ‘fair’ considering the facts?
Farmers participating in the CI programme are paid a significantly lower price than the fair trade minimum price. Although Starbucks claim to pay sixty per cent premium over ‘local prices’ it is important to note that they do not disclose how much this is and also it is important to remember that ‘local prices’ may be very low indeed. Although it is an educated guess it is likely that CI farmers are receiving under US$1.00 per pound which is lower than the fairtrade price of US$1.26 per pound. When consumers purchase coffee from CI farmers they are purchasing it at the detriment of the farmers.
One of the aims of shopping for fair trade products is to shorten the distance between producers and consumers and have a real connection to the producers and where the product was made. Shopping for fair trade items at Starbucks does not result in any meaningful exchange as the majority of workers have no connections to the Southern producers, let alone the customers. Fair trade at Starbucks is just a growing trend of transnational companies participating in fair trade that are unable to reform commodification for the benefit of workers in both North and South.
McDonald (2007) states that the responsibility of people purchasing Fair trade products can be a step towards social obligation in reducing poverty.
Social Justice Activism by Consumers
Micheletti and Stolle (2008) believe the global struggle for social justice and
human rights is on the path to being combated by consumers. They buy consumer goods, provided by corporations, offering ethical products. Consumers have come to the realization that social justice activism can be in the form of shopping.
Consumers have been encouraged by social justice networks to be more aware of the politics of products they choose to buy. By creating a network of like-minded people, as consumers they are able to ask transnational corporations to implement more Corporate Social Responsibility (CSR).
Many corporations see themselves pushed into a corner where CSR is concerned. Consumers, activists and the market expect CSR from corporations.
Airing concerns regarding sweatshops in public resulted in new codes of conduct as well as a new reform to have transparency by publishing CSR reports. Consumer awareness has led to reforms of global production. Strangely enough this means that capitalism is no longer hindering social justice but is being used as way of helping.
Boycotting has been increasing as another means of social justice. According to Stolle’s (2008) article “Fashioning Social Justice Through Political Consumerism, Capitalism, and the Internet” Americans and Western Europeans use boycotting to as a way of expressing their political beliefs in a consumer society. In 2002, countries that topped the boycotting list were Sweden, Switzerland and Finland with 33%, 31% and 27% boycotting a product within the last 12 months. Stolle (2008) believes that boycotting is more important amongst young people, which is backed up by a study which states that Swedish youth between the ages of 16-29 have already participated or are considering participating in the act of boycotting.
Activists today are less likely and more hesitant to use boycotting despite the high increases in boycotting in recent years. There are many reasons for the lack of boycotting, which are essentially that it can lead to negative effects rather than forcing a positive change. Instead of solving the problem corporations in the past have moved operations to another country to avoid the problem. It may also lead to redundancies. How a corporation will react to a boycott is unpredictable which means it is not the most successful form of social justice. Other negative aspects of a boycott is that boycotts are troublesome to organize and the consequences are irreversible.
Buycotting on the other hand is a way for consumers to choose a product using the labeling scheme as a guide. The most prevalent labels are green, organic and Fairtrade. Buycotting is a way for consumers to show support for causes they are passionate about whilst still being able to consume. As buycotting does not prevent shopping, many organizations see this as one of the ways of sustainable development.
There has been 100 percent increase in the number of fair trade importing organizations in the past five years. 600 million fair trade labeled goods have been imported up to date across 14 European countries. The number of supermarkets offering Fair trade products in Europe is over 55,000. Fairtrade products do not penetrate the market despite these impressive figures, consumer interest and individual success stories.
Hudson, I. and Hudson M. (2009) research revolves around market driven social justice. Increased sales indicate that people from many backgrounds, not just
fairtrade supporters are willing to support fairtrade by buying fairtrade products which means that Southern producers feel more benefits.
However, some may argue that these increased sales are due to transnational and multinational corporations participating in fairtrade. This process is known as
‘mainstreaming’. In the past fairtrade insisted there was a differentiation between them and these mainstream corporations.
Multinational corporations such as Starbucks, Chiquita and Nestlé are no longer bearing the brunt of consumer criticism in regards to some of their business practices since participating in fairtrade and offering fairtrade labels amongst their range.
Fairtrade supporters and have made it clear about their dislike of ‘mainstreaming’
but this idea has been defended by Paul Rice, Head of Fair Trade USA who claims that large corporations who are selling a small part of their range as fairtrade are still able to have far more impact than smaller corporations selling all of their products as fairtrade. Some authors who specialize in the area of fairtrade have even gone so far as to say that by allowing ‘mainstreaming’ all the good points of fairtrade are starting to diminish.
According to Wilson and Curnlow’s research (2013) some fair trade supporters have made the decision to discontinue their support of the label entirely due to Fair Trade USA’s propensity for multinational corporations which only sell a small percentage of fairtrade products.
Essentially, what fairtrade is trying to sell to the consumer is concealed, which is the production process. ‘A better deal for Third-World producers’ on fairtrade labels is something that many consumers are familiar with but not many could tell you what this ‘better deal’ entails. Due to the ambiguity of these slogans it is not surprising that it is hard to distinguish one ethical label from another leading the consumer to conclude that they are equally ethical unless they are committed to learning complex nature of coffee labels.
Companies whose only concern is cost cutting and competing in the business world are less likely to be involved with the fairtrade label which is thought to be more demanding and strict than other ethical labels.
Fairtrade products have been strongly promoted in the USA over the past ten years by a number of committed activists. Consumers began to appeal for ethical products as a result of the activists promotion of fairtrade products. The activists actions led to there being more informed consumers who became aware of current unethical practices.
Currently, Fairtrade is the most recognizable ethical brand in the United States.
It is also the most well known product certification worldwide.
Fairtrade as a brand has the need to give assurances to consumers as their brand and business practice is very different to that of other businesses and relies on consumers belief that they are a trustworthy brand. Specifically, the importance of the relationship between the producers and consumers and how Fairtrade can be a medium with which consumers can create a better economy through ethical
practices.
Constructing a trustworthy brand that can source ethical materials and are able to sell products whilst maintaining and exuding the message of ethics to their consumer is no mean feat. It’s also necessary to put in a lot of work which, is unseen by many consumers. Trust in the Fairtrade brand is created by the fact that there are standards and regulations to be met. On top of this other factors that foster trust in the Fairtrade brand is campaigning by activists, support from NGO’s and celebrities, to name a few.
Conclusions
It is clear that although Fairtrade has made a difference in the lives of many farmers and workers that it is not enough without either the current Fairtrade framework changing to embrace smallholder co-operatives or government intervention. From the viewpoint of the producers they need better access to roads, which cannot be covered by their Fairtrade premium and needs to be provided by their government. Countries such as Colombia have a distinct advantage over Nicaragua and El Salvador, which have poor road conditions, lack of technology and infrastructure when compared with Colombia. Therefore, Fairtrade does not benefit smallholder co-operatives equally or in the same way. There are many local needs that need to be addressed depending on the co-operative.
Small co-operatives find it hard to compete with bigger plantations. They are unable to produce as much and cannot match international quality standards. Small
co-operatives need to be able to compete on a more level playing field. How this can be achieved is a much-discussed issue, with no easy solutions in sight.
Consumer research hasn’t conclusively proved why people choose to buy Fairtrade. This is because of the attitude-behaviour gap. Even consumers whose beliefs align with Fairtrade will sometimes opt to buy cheaper non Fairtrade products. Ironically, some consumers reasoning of buying cheaper products are so that they can afford some higher priced Fairtrade products.
There are consumers who will only buy Fairtrade, consumers who believe in Fairtrade but also buy non Fairtrade items and consumers who buy Fairtrade not because their beliefs align with Fairtrade but because of brand recognition, taste and quality.
It is time for consumers to look at all aspects of a company before making purchases and not just whether they stock fair trade products. In cases such as Starbucks, though the product may be fair trade other business practices such as hiring prison workers, paying low wages and not allowing unionization do not go hand in hand with the fair trade image they are so desperately trying to portray.
Consumers have more power than they think and it is high time that consumers informed themselves about all aspects of companies that they purchase from and inform themselves of the different certification labels that are available.
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