Equitable Trade
Equitable Trade (ET) has a distinguished mission “Beyond Fair Trade” values and standards with the mission to incorporate a much broader and more meaningful set of social, business, environmental and ethically responsible principles and standards into business and trade practices.
ET certified products will be “fair traded”; that is, in the traditional sense that products are traded at a
living wage that is compatible with the local community but, in addition, the source trading partner and
the local community will also benefit from a supplemental investment made as part of ET practices. The
typical “fair trade” price is derived from and added to the normal “market” price and this is often referred
to as the “premium” paid to the seller over and above the “market” price. In addition, the buyer (i.e.,
wholesale trader, retail trader) pays a percentage of each purchase, for example 1% of gross fair trade
sales, which is called a certification or trademark fee, in order to display the “Fair Trade” logo. In the
case of Equitable Trade and, unlike Fair Trade associations where the entire membership fee is retained
by the trade association, ET charges a membership, (trademark) fee of one per cent (1%) and retains 20%
of that fee for administrative costs. The remaining eighty per cent (80%) is placed in a community
investment fund that will be reinvested directly back into site-specific development projects that enhance
and nurture vibrant, healthy communities and the ecosystems from which these traded materials are
derived. Decisions regarding community investment projects will be developed in cooperation with each
member who was assessed the one per cent fee. These reinvestment efforts, along with the improved
trading processes described in the opening paragraph, thereby go Beyond Fair Trade and contribute
further to the overall strengthening of the supplier’s/farmer’s ability to remain viable and financially
sustainable while also improving the health and well being of the community and related ecosystem.
for basic certification and thereby for membership in ET.
2. Ensure that we incorporate a comprehensive set of values/principles/standards that represents the
key factors in developing and maintaining ecosystem viability and sustainability.
3. Employ systemic verifiable certification—to ensure that operating principles and standards are
third party certified using measurable criteria that can be independently verified and maintained
and not simply stated as rhetorical good intentions.
4. Engage in an equitable trading process that is fully transparent and accessible at all levels from
the growers through the entire production, marketing, sales and consumption process.
5. Direct financial investment, derived from a percentage of the paid Equitable Trade membership
fee, in project initiatives for the sustainable development and support for the local community.
6. Everyone involved, at every level, needs to have a sense of ownership in the trading process and
will have an interest in ensuring that equitability is achieved for all.
7. Develop a functionally appropriate and compatibly structured membership based organization
with operating policies and by-laws consistent with a professionally managed trade association.
8. Create and facilitate a process in which specific community development projects may be
identified and funded with participation of all stakeholders involved.
communities & ecosystems from whom we obtain source products.
2. To act in an ethical, financially sustainable, reflective of source community interests,
environmentally responsible (i.e. energy & water conservation, addressing carbon footprint,
carbon sequestering and global warming, organically grown products, etc.) manner.
3. To improve the transparency for members trade activities that includes an improved
understanding, appreciation and resolution of potential negative impacts and implications for the
suppliers, farmers, communities and ecosystems that are involved.
4. To communicate, operate, manage and conduct our business, at every level, in a manner
consistent with, sensitive to and responsive to the cultural, historical and other factors endemic to
the people, communities and ecosystem wherein we work and interact.
5. To recognize that in order to obtain the long-term economic viability and sustainability of our
trading endeavors we must act in a manner consistent with retaining the health of the ecosystems
from which we derive the essential services that sustain all life.
6. To undertake educational, public relations and community support activities and marketing
efforts that will enhance the public’s understanding and appreciation for Equitable Trade.
7. To challenge retailers selling ET products to contribute up to 1% of retail priced sales that bear
the ET logo in order to assist communities and representative ecosystems.
8. To liaise, work together and join forces whenever amenable with other like minded ET
associations and companies for common goal attainments.
ET has established gradients of certification so that it’s not an “either or” process. If the minimum is met for a set of standards in each category, then a company can be certified.
ET will therefore ensure that consumers will easily recognize specific levels of acceptable certification and their corresponding logos that will be reflective of each level achieved.
ET has established principles for reinvesting in community and ecosystem projects that includes:
• Provides an environment/networking community in which economically disadvantaged producers
from these developing countries can benefit and participate.
• Supports training farmers/communities in organic production and other sustainable practices.
• Trade is accomplished with concern for the social, economic and environmental well being of
marginalized small producers and does not maximize profit at their expense.
• Assists producers, whenever possible, with access to pre-harvest advance payment.
• Strengthens employee commitment, and improves financial performance.
• Treats their own employees with respect and supports their overall well being.
• Ensures that there is no child labor or slave labor.
• Ensures responsible working conditions and a safe and healthy environment for producers.
• Ensures that there is gender equity and women are always paid for their contribution, paid
equally, and empowered in the work place.
• Provides capacity building to improve producer’s management skills and access to new markets
and will assist in improving business skills.