Regional Markets

3 Cases
for non-Fairtrade farmers in the same region, due to increased demand and investment.
The effect is overall improved income from agriculture in the broader region.
Innovation and sustainability
The increased income from Fairtrade means that producer organisations have more
funds to save and invest in the long-term sustainability of their businesses. This financial
security also increases the likelihood that they will takerisks and invest in innovative
technologies and alternative means of production. These initial steps can lead to
a cycle of innovation. Access to new and more lucrative marketing channels provides
additional revenue streams, which in turn lead to more investment and innovation. For
example, in 2009, the Gikanda Farmers Cooperative Society in Kenya invested USD
4,000 from their Fairtrade premium in constructing modern,metallic coffee drying
beds, which reduce drying time and ensure even exposure. Fairtrade encourages this
type of investment through the development of targeted business plans and provides
support through liaison officers and producer networks when needed.
Fairtrade also encourages environmentally sustainable farming practices, which in turn
support the productivity of theland in the long term. Many farmers investin intercropping,
planting of shade trees, reducing pesticide use and switching to organic production
techniques. For example, banana farmers in the Windward Islands have been
required by Fairtrade standards to reduce their chemical usage. This change has led
to improvements in their families’ health, confirmed by the annual health checks that
indicated a marked decline in the levels of pesticides in their bodies (Smith 2010).
Abbreviations
FLO
FTA
CLAC
NAP
Fairtrade International
Fairtrade Africa
Coordinator of Fairtrade Latin America and the Caribbean
Network of Asian Producers
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