It's a question we get asked all the time. And no wonder, with all the terms out there surrounding coffee, it can be challenging to sort through them all.
What is Fair Trade?
Fair Trade USA began in 1998 with a mission to enable sustainable development for farmers and their communities. It is an overseeing organization which sets minimum pricing for trade, it also ensures safe working conditions. Originally focused on coffee, it now includes tea, chocolate, produce, apparel, and more.
Fair Trade certified roasters agree to pay the minimum pricing for coffee, set in 2011 at $1.40/lb, as well as an additional $.20/lb per year to fund community focused projects throughout coffee-growing areas.
Many in the coffee industry have speculated that Fair Trade USA’s alliances with large corporations have kept them from raising the minimum pricing of $1.40/lb for over ten years. Whatever the reason, with a minimum per pound price set so low, it is difficult for farms to become self-sustaining. It also prohibits farmers from pursuing quality unless they can negotiate prices much higher than the minimum.
Direct Trade—An Alternative Approach
In 2002, pioneer roasters such Stumptown began directly trading with coffee farmers. The goal was to encourage high quality coffee production, to open important channels of communication, and to negotiate pricing that works for both partners. This enabled coffee farmers to thrive, as well as connected their stories to specialty coffee drinkers.
Over the last ten years, Joe Bean has carefully built a network of direct trade partners. As in any relationship, it requires time, effort, and communication to develop—not always easy across continents and cultures!
But, we believe the end results are worth it—in reliable, quality coffee; thriving, long-term farming partners; and Coffee That Lifts Everyone.
(Ricardo Ureñas with Naomi & Alena Turiano)