Photo
by Hal Sadler
New
York City coffee shops offer customers coffee varieties from all over
the world. |
Twenty-one years later, Don Napo and the other 99 members of the cooperative
are doing better than most coffee farmers. While current coffee prices
worldwide give the farmers only about 30 cents per pound, the Las Colinas
Co-op members are getting $1.26 per pound on the fair trade market for
part of their crop. The Cooperative's president, Rene Santos, says: "By
selling a portion of our crop to the fair-trade market, we have been able
to pay off our debts, eat well, and continue working at a time when other
coffee farmers around us are going bankrupt." Because of the premium
price they receive, he says, "all of our children have been able
to continue with their schooling, which is really important to our families."
The Fair-trade Market
In addition to these benefits, the co-op members also used
a group fund built up through fair-trade coffee sales to improve the local
soccer field for the community that surrounds them. How does the fair-trade
market work to benefit these small farmers?
The fair-trade market consists of buyers and sellers who have agreed
to certain criteria for producing, selling, and marketing their products.
In exchange for fulfilling these criteria, the producers get a higher
price for their crop and the wholesale buyers get a "Fair Trade Certified"
label placed on the final product they sell to consumers. This label attracts
consumers who are concerned about fairness in the marketplace, assuring
them about the terms of trade involved in getting that product to the
supermarket shelf.
Individual coffee drinkers get the satisfaction of knowing that the money
they paid for that cup or bag of coffee resulted in a fairer recompense
for the farmer than the regular market provides.
Fair-trade Labeling Organizations International (FLO) supervises the
fulfillment of the criteria by producers and wholesale buyers alike. An
international coalition of fair-trade labeling initiatives, FLO spans
the globe with labels bearing different names, representing different
national initiatives, but attesting to the same criteria and monitoring
system worldwide. In the United States, Transfair USA manages the FLO
label and criteria.
Photo
courtesy Equal Exchange
Equal
Exchange, headquartered in Massachusetts, buys coffee at fair-trade
prices. |
As a producer for the fair-trade market, the Las Colinas Co-op must,
by nature, be an organized group of small-scale producers who own and
work their land and are not dependent upon hired labor in a major way.
They must also agree not to practice sex discrimination in accepting members
and not to pollute groundwater in coffee-washing processes. Business must
be conducted in an open, participatory manner, and accepted accounting
methods must be used and verified by the monitors. This reduces the risk
of fraud or of control of the group by a few individuals for their own
benefit. In addition, participation in FLO certification requires producer
organizations to set aside $5.00 for every 100 pounds of coffee sold.
The fund created is used for collective projects such as community improvements,
emergency medical expenses of members, or improvement in the coffee farms.
The Las Colinas Co-op sells part of its crop to Equal Exchange, only
one of various US coffee companies carrying the Transfair Label. As an
authorized user of one of the FLO labels, a company must:
- Purchase directly from organizations of small coffee producers approved
by the FLO.
- Pay the minimum agreed-upon "fair" price (now set at $1.26/lb.
for nonorganic coffee and $1.41/lb. for coffee certified as organic).
- Develop long-term, contractual relationships with producers, thereby
giving them more stability and control in the market.
- Produce high quality coffee.
While only a small portion of the coffee sold by participating coffee
companies carries the "Fair Trade Certified" label and comes
from places like the Las Colinas Co-op, fairly traded coffee makes a tremendous
difference in the lives of thousands of small, poor communities worldwide.
It provides more secure employment and conserves natural resources. The
more that consumers demand "Fair Trade Certified" coffee on
the shelves where they shop, the greater the market share for fairly produced
coffee and the higher the incomes of producers and buyers who play fair.
Photo
by Flor Loucel
Tomasa
Portillo is a member of the Fair-trade Labeling Organization (FLO).
|
Traditional Day-laboring Life
Don Napo and his colleagues in the Las Colinas Cooperative are a lot better
off than Rosa Aminta Vasquez, age 50, and her daughter, Morena, age 32.
They are daily-wage laborers on a traditional coffee plantation owned by
a wealthy family in El Salvador. Instead of steady, year-round work on land
they own and are improving, Rosa and her daughter have regular work as coffee
pickers only from November until around the end of January. They are paid
according to the quantity of beans they pick, which on a good day averages
out to about $4.00. Morena observes: "This isn't even enough to feed
our family for a day. But if we complain, we are fired."
They get no benefits to supplement their low pay. There is not even food
or water provided. Instead, they have to carry their rations with them
on the hour-and-a-half hike up the side of the San Salvador volcano to
reach the precious high-altitude coffee beans. They generally bring Morena's
children with them so that the oldest two (boys, age 15 and 17) can work
and the others can be watched. The whole work day, including the walk
up and down the volcano, occupies 12 hours.
In addition to the hard, physical labor, day laborers in the coffee fields
risk having the coffee they have picked stolen from them, thereby lowering
their daily earnings. Rosa says: "If our coffee isn't robbed in the
field by another worker, then it is robbed at the scales. When we turn
in the coffee to get paid, we can see that the scale says 60 pounds, but
it is written down as only 40 or 50 pounds. The owner's boss will just
say whatever he wants to, and, if we protest, they won't hire us back
the next day!"
Large coffee growers are notorious for having dismal working conditions
in their fields. Last year, the Guatemalan nonprofit organization called
Commission for the Verification of Codes of Conduct (COVERCO) did a comprehensive
study of labor conditions on large coffee plantations in Guatemala. Six
hundred workers in three different areas of the country were interviewed.
Of these, 80 percent were not paid overtime, and nearly 60 percent were
denied the legally mandated benefits of Social Security and access to
national health care. Conditions such as thesealso confirmed by
Guatemalan labor unions in legal action within Guatemalaresulted
in the US government's decision in October 2000 to deny Guatemala GSP
trade benefits. The GSP (Generalized System of Preferences) duty-free
trade program grants trade benefits only to countries that meet certain
standards.
Photo
by Marty Collier
Members
of Las Colinas Cooperative in El Salvador meet to plan future strategies.
|
Unfair Terms of Trade
In the regular "free" trade market, where prices for coffee and
other foods are set by speculation on futures exchanges and boards of trade,
God's people and creation suffer. When world coffee prices drop, wages to
farmers and coffee pickers in the regular market go down, but coffee prices
in stores around the world do not.
In the regular coffee market, care for the environment is not a priority
either. Water used to wash the husks off coffee beans is dumped into local
streams, thereby contaminating the water. On large plantations, trees
are cut down and lots of chemicals are used to grow the bushes faster
and fuller. The resulting erosion and chemical runoff harms the environment
and the people living nearby.
Numerous studies show that small farmers growing coffee in the traditional
waymixed into tropical forests under ample shadenot only produce
the best-tasting coffee but also do little harm to the environment. Such
small farms tend to be family-owned and operated or in the possession
of cooperatives such as Las Colinas, formed during programs of agrarian
reform.
Improving conditions on large plantations and supporting more sales from
small farms that are "Fair Trade Certified" is a major priority
of the fair-trade movement today. If more consumer demand existed for
"Fair Trade Certified" coffee, there would be more market incentives
for coffee to be purchased from places like the Las Colinas Cooperative
and for large plantations to improve working and environmental conditions.
Photo
by Hal Sadler
American
consumers can get any kind of produce any time of year thanks to the
global market. |
The Choice for Christians
In the United States, the "Fair Trade Certified" label appears
only on coffee and only in some regions of the country. But in Europe,
several FLO labels can be found on orange juice, chocolate, and bananas.
Approximately 5 percent of food shoppers in some European countries look
for these labels in their supermarkets, making fair trade a serious market
trend. In the United States, the percentage is much lower. The fair-trade
movement worldwide is now looking to US buyers to increase the amount
of fairly traded products purchased. But awareness on this issue is much
lower in the United States than in Europe.
As Christians, our choice is clear and our task is at hand. In Mark 4:30-32,
Jesus said that the kingdom of God "is like a mustard seed, which,
when sown upon the ground, is the smallest of all the seeds on earth;
yet when it is sown it grows up and becomes the greatest of all shrubs..."
Fairly traded goods may be only a small seed in the economy now. But if
we make a faithful response to these promising fair-trade initiatives,
fair trade can become a large plant, just as the mustard tree is. In this
way, we can all help to build God's kingdom, one cup of coffee at a time.
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