For Love or Money? Fairtrade Business Models in the UK Supermarket Sector |
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Authors: | Sally Smith |
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Institution: | (1) Environmental Science and Policy, University of Helsinki, P.O. Box 27, 00014 Helsinki, Finland;(2) Institute of Development Studies, University of Helsinki, P.O. Box 59, 00014 Helsinki, Finland |
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Abstract: | This article analyzes the distribution of benefits from Fair Trade between producing and consuming countries. Fair Trade and
conventional coffee production and trade were examined in Nicaragua in 2005–2006 and 2008. Consumption of the respective coffees
was assessed in Finland in 2006–2009. The results indicate that consumers paid considerably more for Fair Trade-certified
coffee than for the other alternatives available. Although Fair Trade provided price premiums to producer organizations, a
larger share of the retail prices remained in the consuming country relative to conventional coffee trade. Paradoxically,
along with the certified farmers and cooperatives, Fair Trade empowers roasters and retailers. |
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Keywords: | |
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