Consumer sales of Fairtrade products increased significantly in key European markets, with Germany, Netherlands and Sweden leading, posting high double-digit growth, according to Fairtrade International’s 2012-13 annual report.
Germany’s Fairtrade product sales increased 33 percent, the Netherlands 26 percent, Sweden 28 percent, Switzerland 15 percent and the U.K. 16 percent. Last year’s growth nearly completely offset the drop in total 2012 sales caused by Fair Trade USA’s withdrawal from the international system at the end of 2011, according to the report. Excluding the United States, average sales in all other Fairtrade markets increased by more than 20 percent compared to 2011.
The report also highlighted 16 percent growth in the total number of producer organizations compared to 2011. More than 1.3 million farmers and workers in 70 countries are part of 1,149 Fairtrade producer organizations. In addition to sales income, these producer groups benefited from $105 million in Fairtrade Premium money for sustainability and development projects in 2012.
Despite the increase in Fairtrade producer organizations, the number is just a fraction of the total number of producers around the world.
“In the ultimate irony, half of the world’s hungriest people are smallholder farmers, yet they grow 70 percent of the world’s food,” said Harriet Lamb, CEO of Fairtrade International. “Fairtrade’s strong sales growth in 2012 is encouraging, but we are productively dissatisfied. We must step up the reach of Fairtrade if we are to break the mould of unfairness that is so deeply embedded in trade. When in 2013, a tea worker can still earn less than 1 percent of the price of a pack of tea, something must be systemically wrong with global trade. That underscores the urgency of Fairtrade unlocking the power of campaigners, consumers and producers to drive change.”
Consumers showed their support for Fairtrade by spending $6.33 billion on Fairtrade products in 2012. Nine in 10 consumers in five leading Fairtrade markets recognized the Fairtrade mark. A Fairtrade-commissioned study in 17 countries confirmed Fairtrade’s position as the most widely recognized ethical label. Across all markets, six in 10 consumers have seen the Fairtrade mark, and of those, nine in 10 trust it.
More than 30,000 Fairtrade products are now sold in more than 125 countries worldwide.