Equitable Trade
Is a membership trade association that goes “Beyond Fair Trade” values and standards with the mission to incorporate a much broader and more meaningful set of social, business, environmental and ethically responsible principles and standards into business and trade practices. Equitable Trade (ET) has a distinguished mission.
ET certified products will be “fair traded”; that is, in the traditional sense that products are traded at a living wage that is compatible with the local community but, in addition, the source trading partner and the local community will also benefit from a supplemental investment made as part of ET practices. The typical “fair trade” price is derived from and added to the normal “market” price and this is often referred to as the “premium” paid to the seller over and above the “market” price. In addition, the buyer (i.e., wholesale trader, retail trader) pays a percentage of each purchase, for example 1% of gross fair trade sales, which is called a certification or trademark fee, in order to display the “Fair Trade” logo. In the case of Equitable Trade and, unlike Fair Trade associations where the entire membership fee is retained by the trade association, ET charges a membership, (trademark) fee of one per cent (1%) and retains 20% of that fee for administrative costs. The remaining eighty per cent (80%) is placed in a community investment fund that will be reinvested directly back into site-specific development projects that enhance and nurture vibrant, healthy communities and the ecosystems from which these traded materials are derived. Decisions regarding community investment projects will be developed in cooperation with each member who was assessed the one per cent fee. These reinvestment efforts, along with the improved trading processes described in the opening paragraph, thereby go Beyond Fair Trade and contribute further to the overall strengthening of the supplier’s/farmer’s ability to remain viable and financially sustainable while also improving the health and well being of the community and related ecosystem.
KFM Foods 