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Fair trade

Fair trade in Germany

"fair feels good.": Every customer can do his or her share to improve the living conditions of people in developing countries. Copyright: fair feels goodFair trade pro­ducts are distrib­uted in Germany via more than 800 specialist shops (so-called "world shops") and through conven­tional retail out­lets. Goods sold in the world shops are all fairly traded. In conventional retail outlets, fair trade labelling helps the consumer to identify fairly traded products. In addition, the brands of recognised fair trade organisations – organisations which comply with the international WFTO stan­dards – are synonymous with fair trade. Examples of such brands are GEPA, Banafair, El Puente and dwp.

These days, fair trade products can be found in Germany on the shelves of some 30,000 supermarkets as well as in many health food shops, organic supermarkets and shops, department stores and chemist’s shops, or can be purchased by mail order or online. Fair trade products are also available in more than 15,000 cafés and restaurants and other establishments serving food.

The World Shops Convention

In Germany, a large proportion of fair trade products are sold in what are known as "world shops". The World Shops Convention is a policy paper which regulates how these shops trade, and gives criteria against which the shops can measure their operations. The criteria apply equally to producer organisations, importers and world shops. Parties to the Convention must

  • have democratic structures. This means that producers, import organisations and world shops must allow all employees an adequate degree of co-determination.

  • be non-profit-making. This means that the fair trading objectives of world shops do not include maximising profits.

  • pursue social and environmental compatibility. This means that they have a strong focus on working conditions that are socially just and on trading terms that enable producers to make a decent living, and that their activities respect the needs of other people and the environment.

  • have transparent structures. This means that producers, importers and world shops must make available to the public information about their aims, working practices, ownership structures, financial situation, trade chains and criteria for selecting trading partners.

  • carry out development education and information work. This means that, besides providing information about products and producers, world shops must engage in campaigns and political action to raise awareness of the problems that world trade entails.

  • ensure continuity. This means that world shops should pursue long-term trading relationships, since these are essential for true fair trade partnerships and for reliability.

With its "ATO-TÜV", a vetting process for alternative trade organisations introduced in 1999, the umbrella association of world shops has been striving to make it easier for its members to select suppliers. As part of the vetting process, questionnaires are sent out to import organisations every two years. The completed questionnaires are used to determine whether the importers comply with the terms of the World Shops Convention. The umbrella association assesses the replies and publishes the results. 

The Fairtrade Label

The Fairtrade label is awarded in Germany by the independent TransFair organisation whenever the required standards have been met at production level and along the trading chain. There are specific criteria depending on the product and the production method.

Currently, there are 150 licensees in Germany, offering some 1000 fair trade products such as coffee, tea, orange juice, cocoa and chocolate, dates, quinoa, vanilla, honey, sugar and confec­tionery, bananas, wine, rice, sports balls, cosmetic products and flowers. Furthermore, since autumn 2007, it has been possible in Germany to buy textile goods made from fairly traded cotton.

Some 1.2 million farmers and labourers working in more than 800 cooperatives and plantations in some 60 African, Asian and Latin American countries have benefited from the Fairtrade label. In 2009 alone, these people earned more than 36 million euros in direct revenues from the German market.

Education and information work

Many organisations support fair trade in Germany by engaging in campaigns and education work. The Federal Ministry for Economic Cooperation and Development (BMZ), too, informs Germany’s citizens about the principles of fair trade, its products and its importance in the fight against poverty around the globe. Thus, for example, the BMZ finances a large share of the costs of the national "Fair Trade Week" held each year. World shops, action groups, supermarkets, staff canteens and individual people launch activities with the shared aim of raising awareness in Germany for fair trade. In 2010, the Fair Trade Week runs from 13 to 26 September, and its motto is: "Fair tastes good!"

In Germany, fair trade organisations and activists have come together to form a network called the Fair Trade Forum. Their aim is to get their demands met in politics and business, and to encourage a greater spread of fair trade. In spring 2009, the Fair Trade Forum, supported by the BMZ, commissioned a survey designed to collect information about the target groups and market potential of fair trade. The survey found that some 44 per cent of Germany’s population were already buying fair trade products. Of those surveyed, 8.5 per cent stated that they bought fair trade products regularly (at least once a month). In 2007 and 2008, a total of 4.3 million people became new fair trade customers.

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