RETHINKING INTERNATIONAL TRADE A FAIRER BUSINESS MODEL
Fair Trade is “a trading partnership, based on dialogue, transparency and respect, that seeks greater equity in international trade”. The basic principle? A guaranteed minimum price. A set purchase price, regardless of stock market fluctuations.
An economic cornerstone
- The principle of granting a “minimum purchase price”, protecting small growers from falling coffee prices.
- Granting social improvement bonuses and organic and quality bonuses.
- Upfront funding for harvests;
- Diversified sources of income.
A social cornerstone
- Strength in numbers via cooperatives.
- Farmers can now decide on their own future and recover their dignity.
- Access to health, education and training services.
- Reducing poverty & mitigating the rural exodus
An environmental cornerstone
- Strict specifications: water and soil management, waste, energy costs, reducing the effects of crops on the lie of the land.
- Reduced use of chemical pesticides and fertilisers.
- Promotion of Agriculture Biologique (French organic label) certification.
The Fairtrade/Max Havelaar label was created by Father Francisco van der Hoff and the economist, Nico Roozen, both Dutchmen, when communities of Mexican growers structured their operations into cooperatives to market their coffee directly. Fairtrade/Max Havelaar awards the label to products (coffee, cocoa, fruit, etc.)
Fairtrade International defines international fair trade standards. It supports growers and appoints liaison officers in each country. Finally, Max Havelaar France is responsible for certification and the organisation of several fair trade major events in France.
WFTO (World Fair Trade Organization) was founded in 1989 as one of the oldest fair trade networks. This label is awarded to organisations rather than products. WFTO maintains traditional fair trade targets: improving the lifestyle of growers based in the south and creating a fairer alternative business model…
This ethical policy covers all company activities. The label is based on 12 key fair trade factors relating to ethical, ecological, social, cultural and environmental priorities. Members must guarantee the quality of their products, maintain transparent origins and indicate the production methods used.
A DECISIVE MEETING
In 1992, Jean-Pierre Blanc, the Managing Director of Malongo, sought out organic coffee in the State of Oaxaca in Mexico. He travelled to the UCIRI community in the Tehuantepec isthmus. This cooperative of coffee growers is quite simply the birthplace of modern fair trade. Jean-Pierre then met Padre Francisco van der Hoff, the co-founder of the Max Havelaar label.
This meeting proved decisive and represented a turning point in the history of Malongo. He was won over by the basic principles behind this fairer business model and set the Nice-based roaster off down this road. 25 years later, this Malongo roadtrip to the world of fair trade is still eating up tarmac.
AND FAIR TRADE
In 1997, Malongo was the first brand to introduce a Max Havelaar fair trade product on the French wholesale market: Coffee by Small Growers. Even today, this is the best selling fair trade product in France. We aim to increasingly extend our range of products and help to advertise this new business model.
Malongo is committed to cooperatives of growers and for the long term. We pay market rates for coffee, as well as the development bonus. “Agriculture Biologique” and quality bonuses may also be paid out in addition to the above. The actual amounts vary depending on the region. The fair trade price will systematically be higher than the standard market price for identical-quality coffee.
65 %OF COFFEE IMPORTED (BY VOLUME) IS CERTIFIED FAIRTRADE
29FAIRTRADE SINGLE-ORIGIN COFFEES IMPORTED
13FAIRTRADE COFFEE PRODUCING COUNTRIES
5 096TONS OF FAIRTRADE COFFEE IMPORTED
2 247 012 $PAID OUT TO GROWERS IN DEVELOPMENT BONUSES