Dean’s Beans and the Fairer Trade
Brady provided a detailed description of the various Fair Trade labels and to which products they can be applied, but what is the real difference between them? Labels such as the TransFairUSA are applied to specific transactions, so you can be assured that the coffee or banana you are buying has met the Fair Trade criteria. However, this label does not ensure the company is committed to the goals and ideals behind Fair Trade in all their business.
Conversely, the Fair Trade Federation looks at the entire company, whether it is producer, wholesaler or retailer, and requires that they commit 100% to the Fair Trade ideals. Why does this make a difference? Unfortunately, as Fair Trade has gained popularity, some companies have taken advantage and used a few Fair Trade transactions as a marketing boost for their entire company’s public image.
One coffee company, Dean's Beans, has taken a different approach towards their Fair Trade model. Seeing some of the failings of the traditional certification labels and unhappy with the "great pretenders," they have chosen to become members of the Fair Trade Federation and commit 100% as a company to those ideals, and forego the TransFairUSA certification. They have found that there are less than "a dozen Fair Trade coffee companies in the USA." In fact, some of the larger companies (Starbucks, Seattle's Best, Green Mountain) that could make a significant impact in thousands of farmers lives have committed only to buying Fair Trade beans for 1-12% of their total purchases. And while farmers must meet stringent transparency and accountability guidelines, the companies purchasing the coffee are not held to the same standard, and often refuse to release the actual percentage of their coffee that is Fair Trade (a conspicuous requirement missing from TransFair).
While any size commitment to Fair Trade purchases is certainly positive, it sits a bit poorly when some of the loudest and proudest are sometimes the companies doing the least. "It's important to remember that Fair Trade is an economic agreement, it's not a type of coffee." With only 20% of Fair Trade eligible coffee being sold as such and the remainder going at conventional pricing, there is certainly a great opportunity for these companies to increase their purchases.
Dean's Beans has laid out a business model they hope others will adopt and raise practices above Fair Trade standards:
- All purchases from certified organic FLO cooperatives.
- All purchases at or above international Fair Trade price.
- Prefinancing whenever financially possible.
- Additional six cent/lb Social Equity Premium paid to farmers for distribution, development, internal expenses, or however they choose to use funds.
- An independent, public audit by Quality Assurance International of our Fair Trade practices, to be posted right here for all to see!
While it is positive such large companies from Starbucks to Wal-Mart to McDonalds have begun offering Fair Trade options, it is not enough. As consumers, it is our responsibility to seize the opportunity and demand more of a commitment to the entire idea of Fair Trade, and not be sedated with their small offerings, but rather push them to higher standards of business throughout their company.
Tags: coffee, deans beans, Fair Trade, fair trade federation, transfairusa

