They also ensure that producer’s fair-trade standards are followed (Worldcentric.org 2014).Challenges Facing Fair-TradeGains of fair-trade are unequally distributed with the major flaws emanating from the characteristics of the certification. Certification system creates a twofold bias against the world’s poorest developing nations. First, the cost of certification is found to be more expensive for the disadvantaged countries, all the other things are relatively equal. Sliding scale structure creates an avenue where certification becomes less costly for the large consumer organizations than their smaller counterparts. Also, costs of compliance with fair-trade standards that include alterations in the administrative and agricultural practices that lead to an overall rise in working hours are higher for smaller organizations. It is due to the lower economies of scale and lower productivity (Sylla 2014).FindingsFair-trade certified articles are mainly based on products exported by Latin America nations. Coffee has a 36 percent certification demand, tea 9.3 percent demand; bananas have an 8 percent demand and vegetables stand at 9.1 percent. These products were the top certified products of the year 2009. One out of two fair-trade certified products is cocoa, coffee or bananas. Gains Of Fair-Trade: Groups Involved In Fair-Trade System.
Mankiw, N G. Macroeconomics. New York: Worth Publishers, 2007. Print.
Sylla, Ndongo Samba. 'Fairtrade Is An Unjust Movement That Serves The Rich | Ndongo Samba Sylla'.the Guardian. N.p., 2014. Web. 2 Dec. 2014.
Worldcentric.org,. 'Fair Trade | World Centric'. N.p., 2014. Web. 2 Dec. 2014.
Fair Trade Organizers who hold Fair-trade certificates
All certified products
South America & West Africa
South America & Central America
East and South Africa
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