Not enough demand for Fair Trade coffee: Restrepo

Hernando Restrepo’s message to Canadians is simple: if you buy Fair Trade certified coffee, you’re ensuring a better quality of life for producers and their communities in developing countries.

Restrepo is in Canada this week as a representative of the Colombian Fair Trade Cooperatives Coalition. The coalition represents Colombian Fair Trade coffee producers.

Fair Trade is a trading partnership ensuring that producers in developing countries are given a fair price for their product and are treated with respect.

In the 16 years Fair Trade has been active in his native Colombia, about 25 Fair Trade producer groups have been formed. Restrepo says communities served by Fair Trade producer groups have seen a major impact.

Restrepo, who will be promoting Free Trade coffee in Toronto, Ottawa and Whitby, says this is the cornerstone of his message.

“The message is very clear,” he tells Axiom News through a translator. “When people consume products with the Fair Trade seal, the premium that is being paid by consumers is received by the producer so that they can improve their livelihood conditions.”

Restrepo, whose family has been involved in the coffee industry for generations, explains how Fair Trade affects producers and communities.

“Farmers get a higher premium than what the market would normally pay,” he says. “This added income improves livelihood.”

Premiums paid to these Fair Trade co-operatives have totalled US$13 million since 1991. This money has been used to improve housing, education, infrastructure and coffee quality. Fair Trade is also a transparent trading partnership. All transactions are audited by the Switzerland-based International Organization for Standardization (ISO).

Although the Fair Trade movement is growing, there’s still a long way to go, says Restrepo.

“Fair Trade coffee has been growing at a faster pace than the conventional coffee and even the specialty segment,” he says. Restrepo adds that he hopes this “trend will continue, because there is more supply of Fair Trade coffee than what the market actually buys.”

Substantially more, in fact. There are about 200,000 bags of Fair Trade certified coffee produced annually. Of these, only 100,000 are being exported due to lack of demand.