following the fairtrade premium
DESCRIPTION
The Fairtrade Premium is an additional sum of money paid on top of the agreed price. This money goes into a communal fund for workers and farmers to use to improve their social, economic and environmental conditions.All information contained in this presentation is from "Monitoring the Scope and Benefits of Fairtrade," a report that details the benefits and impact of Fairtrade.TRANSCRIPT
Fairtrade Premium Usage© Fairtrade 2011
MONITORING THE SCOPE AND BENEFITS
OF FAIRTRADE
THIRD EDITION, 2011
Fairtrade Premium usage
Water well built with the Fairtrade Premium in Tofassadaga, Mali.
© Fairtrade 2011
What is the Fairtrade Premium?
The Fairtrade Premium is just one of the many benefits farmers receive from participating in Fairtrade. The Fairtrade Premium is an additional sum of money paid on top of the agreed Fairtrade price.
This money goes into a communal fund for workers and farmers to use to improve their social, economic and environmental conditions.
© Fairtrade 2011
The Fairtrade Premium is set by the FLO Standards Unit and remains the same, even if the producer is paid above the Minimum Price for the product. Read about how Fairtrade Standards, Prices and Premiums are set here.
Decisions on how to use the Premium are made democratically by producers within the organization or hired workers in a joint body.
© Fairtrade 2011
At the Shilcho Primary Cooperative the Premium has been used to build two new school buildings and install electricity.
© Fairtrade 2011
In 2009–10, Fairtrade producer organizations reported receiving a total of € 51.5 million in Fairtrade Premium income.This was an increase of 22 percent over the figure reported for 2008.
Rohalaki Club used the Fairtrade Premium money to set up a Women’s sewing and craft centre.
© Fairtrade 2011
How is the Fairtrade Premium used?
The Fairtrade Premium is intended to be a flexible support that farmers and workers can use to meet their specific needs and those of their communities.Accordingly, Fairtrade farmers and workers use the Fairtrade Premium in hundreds of different ways.Main areas of investment include Community, Education, Environment, Health, Gender Equity Programs and Investment in Business Development
© Fairtrade 2011
All information contained in this presentation and more can be found in the full report, “Monitoring the Scope and Benefits of Fairtrade” (PDF) at www.fairtrade.net.
