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Certification and Membership

As awareness of Fair Trade grows, so can confusion about the various actors and their role in alleviating poverty by changing trading relationships.

Within Fair Trade, there are two types of organizations

Product Certification - The Fairtrade Labelling Organizations International (FLO) sets standards for and audits the supply chains of specific products from point of origin to point of sale (no matter who the end seller is).

FLO utilizes 20 national initiatives and three producer networks to spread fair trade principles and Fair Trade Certified products. In North America, TransFair Canada and TransFair USA are the only third-party certifiers of fair trade products in their countries. In Canada, bananas, cocoa products (such as chocolate, syrups, baked goods, frozen desserts and drinks), coffee, cotton, flowers, honey, quinoa, rice, shea butter, sugar, tea, spices, sports balls, and wine can be licensed as certified products. In the United Sates, certified bananas, cocoa, coffee, flowers, fruits and vegetables, honey, juices, mangoes, nuts, olive oil, pineapple, rice, seed cotton, sportsballs, spices and herbs, sugar, tea, vanilla, wine and other items are available. These items are the only ones which will have the Fair Trade Certified mark on their packaging in North America.

Traders who purchase Fair Trade Certified products agree to four principles: pay at least a price to producers that covers the costs of sustainable production (the Fairtrade Minimum Price), pay a premium that producers can invest in development (the Fairtrade Premium), partially pay in advance when producers ask for it, and sign contracts that allow for long-term planning and sustainable production practices. FLO also establishes specific product standards that govern the trade of each commodity to which licensees must subscribe.

Organizational Evaluation - The World Fair Trade Organization (formerly IFAT) and the Fair Trade Federation (FTF) evaluate organizations for their full commitment to fair trade principles (no matter what kind of product they sell).

FTF is the association of North American retailers and importers who are fully committed to fair trade and strive to only sell items sourced according to fair trade principles. With fair trade at the heart of what they do, Federation members commit to: Creating Opportunities for Economically and Socially Marginalized Producers, Developing Transparent and Accountable Relationships, Building Capacity, Promoting Fair Trade, Paying Promptly and Fairly, Supporting Safe and Empowering Working Conditions, Ensuring the Rights of Children, Cultivating Environmental Stewardship, and Respecting Cultural Identity.

Each organization undergoes a rigorous screening process to evaluate their trading practices and the depth of their commitment to these principles. By approaching business and development in a holistic way, members work to make trade a tool to alleviate poverty, reduce inequality, and create opportunities for people to help themselves. Member organizations offer a broad product range from coffee, tea, sugar, olive oil, and soap to accessories, home decor, stationary, baskets, personal care items, product packaging, unique gifts, and more. Only FTF members will display the FTF logo on materials connected to their businesses.