Fair trade is a controlled trade in which the prices for the products traded are usually set above the respective world market prices. This is intended to enable producers to earn a higher and more reliable income than in conventional trade. International environmental and social standards should also be observed in production.
The fair trade movement has so far concentrated mainly on goods exported from developing countries to industrialized countries. Fair trade includes agricultural products as well as products from traditional crafts and industry and is increasingly expanding to include services such as tourism and the IT sector. Fair trade products are sold in organic and world shops as well as in supermarkets and restaurants.
According to the umbrella organization "Fairtrade Labelling Organizations International", more than 1.4 million farmers worldwide benefit from fair trade.
See also:
Corporate culture; Ethics/corporate ethics; Leadership; Social skills; Global sourcing; Code of conduct; Contract culture
Reference to QET guidelines:
Q02 Social skills; Q14 Resources; E01 Business ethics; E08 Remuneration; E18 Fair trade; E19 Ecology; E20 CSR; T01 Guidelines; T04 Pricing; T05 Contracts, T10 Suppliers