The Fair Trade Movement Research Paper Example | Topics and Well Written Essays - 2000 words

The Fair Trade Movement - Research Paper Example The contemporary fair trade movement traces its roots back in the 1950’s when it was known as the Alternative Trade Organizations (ATO). Evidently, Alternative Trade Organizations were formed by humanitarian groups that sought to address the pertinent issue of poverty in the developing countries through alleviation measures. To this end, the humanitarian groups adopted the approach of cutting off the middleman from the supply chain of trade between small scale businesses in the Southern hemisphere and small scale producers in the Northern hemisphere (Warrier, 100). Evidently, Oxfam UK intervened by selling craftwork in Oxfam shops which were produced by Chinese refugees (Hutchens, 5). To this end, the result was increased amount of profits for the labour force in developing nations. In 1988, the Dutch chapter of the Alternative Trade Organizations, Solidarid, innovatively crafted a labelling mechanism. Evidently, it aided in the introduction of products within mainstream marke ts without betraying consumer trust in their acts of humanitarian assistance. Background Information In 1964, Oxfam UK formed the first Fair Trade Organization (Warrier, 100). In this regard, there were parallel interventions being undertaken in Netherlands. Consequently, an importing organization known as Fair Trade Original was created in 1967. To this end, Dutch third world associations started to sell sugar cane under the slogan, â€Å"by buying sugar cane, you offer poor people in third world countriea a chance in the sun of prosperity†. Moreover, the third world Dutch groups proceeded to sell Southern handicrafts and by 1969, they opened the first ‘Third World Shop.’ ... Consequently, this led to the creation of numerous Southern Fair Trade Organizations which established networks with the newly created Northern organizations (Hutchens, 5). Evidently, the North and South co-operation was centred on respect, dialogue, transparency and partnership. The mutual goal was towards achieving better equity in international trade. In addition, developing countries were engaged in international political platforms towards addressing the inequality and unfairness in international trade. In this regard, during the United Nations Conference on Trade and Development that took place in Delhi in 1968, the developing nations were addressing the issue of ‘Trade not Aid.’ To this end, the third world countries emphasized on the creation of mutual, and equitable trade partnership with the South. This was in defiance to the North’s approach which was involved in getting all the benefits and offering piecemeal benefits masqueraded as developmental aid. Evidently, development trade has been attributed to the growth of Fair Trade Movement since the late 1960s. Moreover, its growth is attributed to the responsive intervention against poverty as well as partly due to disaster emanating from the South. Its major focus during its inception was the marketing promotion of craft items. The eminent founders of the Fair Trade Movement were drawn from large humanitarian and religious organizations located in European countries. Consequently, collaboration with Southern counterparts led to the creation of Southern Fair Trade Organizations (Warrier, 100). Evidently, the Southern Fair Trade Organizations performed the work of