Abuse by Starbucks and others of the Fair Trade label?

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Black Gold Forums / STARBUCKS / Abuse by Starbucks and others of the Fair Trade label?

Author	Message
mica Member	# Posted: 2 Apr 2008 13:58 Reply Hi, I read in The Undercover Economist that fair trade is often used as a means to do price discrimination. This means that it is just used to sass out who is willling to splurge more cash on a good (in this case coffee) that is practically the same as the cheaper version (or actually, exactly the same). So when you buy that cup of farir trade starbucks for an extra 50 cents almost NOTHING is going to the producer per cup. Or to any other part in the chain but starbucks. They pay a few more cents per KILO and u pay 50 cents extra per CUP. I find this a real concern because I'd like to pay 50cents extra and know that AT LEAST half of it is going to the farmer, if not more, and not just .0000000001 per cent of it. Consumers need to pressure coffeee brands so that it is not enough to say "fair trade", and then go on to exploit the "tree hugger's intentions" in a new cuddly manner. Feedback?
Oistein Member	# Posted: 2 Apr 2008 14:38 Reply Hi Mica Good point indeed. Companies' mark-up prices on 'ethical' products is a real problem. Starbucks is now asking for people's ideas for how they can change their way of doing business. You should tell them what you just told us and vote for change on http://mystarbucksidea.force.com/ideas/viewIdea.ap exp?id=087500000004D0G#comments
cristina pastor Member	# Posted: 30 Jul 2009 02:02 Reply yeah, true fair trade means the same money in the companies' pockets as the price is higher, but i am not sure the farmer really ends up with more. and as the other members of these forum commented , not sure about this cooperatives functioning in Africa, are they really giving the right amount to the farmers or engrossing their pockets as well, becoming coffee lords? i do not think that poverty will really be overcome, not with the big wigs running the ball and like a leonard cohen's song said: the rich are getting richer while the poor are getting poorer. still I do believe that something in the economy legislation or some kind of pressure can be done to make the companies pay more.

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