What is the difference between Fair Trade and ethical trade?
Ethical trading means companies are involved in a process of trying to ensure that the basic labour rights of the employees of their third world suppliers are respected. Fairtrade Labelling aims to give disadvantaged small producers and workers more control over their own lives. It addresses the injustice of insufficient income for a decent living and insufficient market access by guaranteeing that producers receive fair terms of trade and fair prices or wages – however unfair the conventional market is. On top of the Fair trade minimum price, the Fairtrade labelling system guarantees a premium for producer organizations or workers bodies to enable them to invest in social, economical or environmental improvements.
