The Fair Trade Balance: New Challenges after 25 years of Fair Trade

Abstract

During the last 25 years Fair Trade (FT) experienced substantial growth, but competition from private labels is increasingly challenging the policy foundations of the FT business model. While direct welfare effects of FT for farmers are rather modest, security of delivery contracts and pre-financing arrangements appear to be of fundamental importance. Local farmer organizations and rural communities benefitted from improved service delivery.
Citation

Ruben, R. "The Fair Trade Balance: New Challenges after 25 years of Fair Trade". Ferdi, Note brève B52, mai 2012