Fair Trade FAQsGeneral
Coffee
Chocolate
Handcrafts
OrderingGENERAL QUESTIONS ABOUT FAIR TRADEWho are LWR’s Fair Trade partners and what do they do? Our partner for the LWR Coffee Project is Equal Exchange, a worker-owned cooperative dedicated to Fair Trade. Equal Exchange was founded over 20 years ago with the intent to build a better food system, one that supports family farms, organic methods, democratically-run cooperatives, and honesty and fairness in the trade of high quality food. Equal Exchange makes a long-term commitment to the farmer associations they work with. They negotiate fair prices with the farmers based on actual production costs, cost of living, product quality and the quantity. Equal Exchange pays part of the contract up front (providing credit) and pays a social premium. The association agrees to invest this premium in services for their members and communities, such as water systems, roads, education and medical care. For each pound of coffee, tea, cocoa, sugar and snacks purchased through LWR, Equal Exchange donates $.20 to the LWR Small Farmer Fund, which supports LWR’s projects with small-scale coffee farmers. Our partner for the LWR Chocolate Project and the LWR Handcraft Project is SERRV, a nonprofit organization with a mission to eradicate poverty by providing opportunity and support to artisans and farmers worldwide. SERRV, who imports, packages and distributes Divine Chocolate, has worked to help artisans and farmers for more than 55 years by marketing their products in a just and direct manner. SERRV donates 4% of annual LWR Chocolate Project sales to Lutheran World Relief to support our projects.
Why does LWR support Fair Trade? The answer is simple: Fair Trade is in line with Lutheran theology and our values, and it serves our mission of ending poverty, injustice and human suffering. Fair Trade not only ensures that people get fair prices for their quality products, it also gives them the tools they need to work their way out of poverty:
The Fair Trade system encourages and teaches farmers to diversify and to use environmentally friendly farming practices, which leads to food security, better nutrition and higher soil quality. Fair Trade also provides a way for artisans, especially mothers of young children, to earn income and acquire business skills while carrying on cultural traditions.
By increasing awareness of and consumer demand for Fair Trade items, you are helping small-scale farmers and artisans around the world.
Are Fair Trade products more expensive than similar, conventional products? Not necessarily. Fair Trade products can cost less, the same, or slightly more than conventionally-traded products of similar quality because—even though the initial price paid to the farmers is higher—Fair Trade cuts out some of the middlemen between producers and consumers. This keeps costs down. However, because most Fair Trade items are produced in small batches, the price per item can be higher. When Fair Trade products do cost more, keep in mind that the extra money you are spending is going to small scale farmers and artisans and toward the betterment of their communities. For many, the additional cost is minimal in light of this extra benefit.
What is the difference between Fair Trade and free trade? The theory of free trade contends that if everyone has equal access to markets and all barriers to trade are removed (tariffs, taxes, etc.), everyone in the world will eventually benefit from paying lower prices for what they need. The point of free trade is to buy and distribute goods as cheaply as possible, and benefit is measured only in terms of money. In this model, large corporations from industrialized countries tend to win and small-scale producers tend to lose. Fair Trade recognizes that true free trade does not exist in this world because producers do not all have equal access to markets. Small scale farmers and artisans in poor, rural regions of the world simply do not have access to the information, capital and organization that would give them a chance at competing against large, powerful corporations. Fair Trade aims to level the playing field by helping these small producers form associations so they can compete in the world market. Fair Trade places value on people’s well-being and measures benefits not only in terms of money but also in human and moral terms such as:
COFFEEIs Fair Trade coffee also organic or shade-grown? Fair Trade certification alone does not guarantee that products are organic or shade-grown. However, the majority of Fair Trade coffee does fall into one or both of these categories. Many of the small scale-farmers that sell coffee to Equal Exchange have cultivated coffee on the same small plots of land that their parents and grandparents used to plant coffee trees. They know that growing their coffee in ways that preserve the ecosystem will allow them to continue farming high-quality coffee on that land for years to come. Equal Exchange’s organic products are certified organic by Oregon
Tilth, a USDA-licensed certifying organization; however, coffee farmers
seek organic certification from a variety of different certifying bodies
depending on their nationality and the nationality of their target
markets. Organic coffee production encourages multiple layers of shade
coverage.
Can individuals participate in the LWR Coffee Project, or just congregations? Individuals are welcome to order coffee! When purchasing through the online store, just type “LWR COFFEE PROJECT” in the box that asks for your Congregation/Organization.
Why does LWR partner with Equal Exchange, a for-profit company? LWR values its partnership with Equal
Exchange because of Equal Exchange’s mission-based business model and
commitment to Fair Trade standards. (It is America’s oldest and largest
100% Fair Trade coffee roaster.) Like its coffee-farming partners
overseas, Equal Exchange is a worker-owned cooperative. It builds
long-term relationships with the coffee farming cooperatives. And, Equal
Exchange donates a portion of the proceeds from coffee purchased
through the LWR Coffee Project to our Small Farmer Fund, to support projects that help small farmers.
Is it okay to sell coffee at church? I thought Jesus overturned the tables of the merchants in the temple. In the Bible, the moneychangers outside the Temple were extorting the people who were coming to the Temple to worship. They were taking advantage of others’ plights and hindering their ability to worship God. Today, we who live in the USA and other prosperous nations are the moneychangers. Whether we know it or not, we are taking advantage of others in this world, hindering their ability to worship God because we hinder their ability to live. It calls into question who we actually worship: God or money? We need to look into our cups when we drink and ask, “Are the few pennies I am saving by purchasing conventional coffee a faithful choice? Who is it helping? Who is it hurting?” And most importantly, “Who am I really worshipping?” Asking questions like these about coffee “filter” into other areas in our lives, raising awareness, and making us wiser and more faithful consumers.
CHOCOLATEWhere do the cocoa beans come from?
We would like to sell chocolate as a fundraiser for our youth group. How do we go about doing that?
Why did LWR become a part owner of Divine Chocolate — a for-profit company? Every time LWR funds a project with one of our partner organizations, we make an investment. This situation is no different. By joining in partnership with the farmers of Kuapa Kokoo, we are equipping and empowering them to take a more active role in the cocoa industry by helping them establish Divine Chocolate and build the market for their cocoa products in the United States. As part-owners, the members of Kuapa Kokoo are involved in the business decisions from “bean to bar,” and benefit not only when they sell their beans at a Fair Trade price, but again when they receive a share of the profits from the sale of their cocoa products.
I heard that there is a big problem with child labor in cocoa. How do I know Divine Chocolate isn’t engaging in this practice? One of Fair Trade’s strongest aspects is that products that are certified as Fair Trade have been independently verified by a third-party auditor. Divine Chocolate buys their cocoa from Kuapa Kokoo, a 45,000 member cocoa cooperative (who also owns 45% of Divine Chocolate). They are certified by FLO (the Fairtrade Labelling Organization), and undergo an annual audit every year to make sure they are in compliance with all of the Fair Trade standards. The Fair Trade standard around child labor is that children under 12 cannot engage in the most dangerous aspects of the profession (in this case, handling pesticides or using a machete), and children cannot work on the farm at the expense of going to school. This allows children to help out their parents without compromising their safety or education. Auditors do not (and cannot) check each farm on every audit. They determine compliance by checking a random sample of farms, as well as looking at the cooperative’s own policies and enforcement of the Fair Trade standards. If either is found to be unacceptable, they are suspended until the problems are corrected. Suspensions can and do happen, and most cooperatives are able to correct these problems with education to their members and by strengthening their internal controls. Currently, Fair Trade Certification is the closest that chocolate manufacturers (and consumers) can come to tracing their cocoa back to the farm level. Conventional traders might be able to tell you which country their cocoa came from, but they have no way of knowing what conditions for those farmers are like or how much they actually got paid.
HANDCRAFTSAre products from the LWR Handcraft Project Fair Trade Certified™? No, but in dealing with the artisans who provide the handcrafts, SERRV follows Fair Trade principles. Because handcrafts have so many different variables to consider (the materials that go into the product, the skill required to make the product, the cost of living in various countries), it is difficult to set minimums and standards that can be applied across the board. Those standards are necessary for certification. Instead, Fair Trade Organizations (FTOs) like SERRV
(LWR’s partner) work with low-income artisans to build their businesses
and market their products directly to the consumer. FTOs help artisan
cooperatives to maintain strict criteria related to workers’ pay and
environmental standards.
How can I sell handcrafts at my church? Choose from three pre-selected packages of handcrafts—or select the
specific products you want to have at your Fair—and receive a 10%
discount off the retail price. Then, unpack the box, set up your display
and sell! Request a no-obligation Fair Trade Fair information packet.
I know an artisan group who needs help bringing their products to market. How can they be a part of the LWR Handcraft Project? LWR’s partner, SERRV, works directly with organizations in Africa, Asia, Latin America and areas of poverty in the U.S. who are working with marginalized groups of people. Organizations working with SERRV have a mission to socially and economically improve lives and communities. They work with organizations which operate by fair trade principles. They do not work with individuals, small family groups, or U.S.-based organizations importing products from the developing world. When choosing new groups, SERRV evaluates a number of things: the impact the group has in their community, their level of experience, if their products will sell in our market, and if we think that the relationship is sustainable in the long-term. This is determined through an application process which includes a questionnaire, written correspondence, personal discussion, and often an on-site visit to the group. Each year, SERRV is contacted by approximately 250 groups either directly, or through returned Peace Corps volunteers, travelers or mission contacts. Because they work intensively with groups and foster long-term relationships, they add about 2-6 new groups each year. This is a very limited number, and SERRV must often turn away groups that are doing very good work in their communities. If you are thinking about applying to be one of SERRV’s partners, ask yourself the following questions, answering yes or no:
If you answered yes to all of these questions, please review SERRV’s producer partner criteria. If after reviewing these criteria you would like an application packet from SERRV, contact our Producer Relations Department:
ORDERINGIf you are ordering coffee, you can set up an account with Equal Exchange. They will send an invoice with your order that can be paid when you receive your products. Call 774.776.7340 to speak directly with a customer service representative.
There is no minimum order for coffee; however, all orders must be done by the case. If you order four cases or more, you receive free shipping on your order.
How do I order Fair Trade products? The easiest way to order is here online, through the Coffee, Divine Chocolate, and Handcrafts pages of this website. You may also order by phone using a credit card. For coffee: Call Equal Exchange at 774.776.7340. Mention the LWR Coffee Project when you place your order. |
