At a time when supply chains are tested and everyone is conscious about the prices of products on shelves, the Fairtrade Premium remains a lifeline to farmers in supply chains.
With commodities like sugar being integral to much of what we eat (and enjoy) choosing products that have Fairtrade ingredients or buying those Fairtrade ingredients yourself is crucial to supporting the farmers who farm them.
Where does sugar come from?
As reported by the Fairtrade Foundation in this article “Around 80 per cent of the world’s sugar is derived from sugar cane, grown by millions of small-scale farmers and workers.
Sugar Cane Sugar is one of the most valuable agricultural commodities. In 2013 its global export trade was worth $42bn, up from $10bn in 2000. For many countries, sugar is one of the most important sources of national income. For example, sugar accounts for 70% of the value of Cuba’s exports and 40% of exports from Belize.”
Data reported by Statista, states the global consumption of sugar amounted to 172.6 million metric tons in 2018/2019, and was projected to increase to about 171.8 million metric tons by 2020/2021.
Despite the millions of metric tonnes consumed each year, sugar is a difficult crop to make a profitable living from.
“Inflexible supply chains mean that sugar cane farmers depend on sugar mills to buy their cane and process it into cane sugar with mills also deciding how much farmers are paid. Exporting cane sugar is particularly difficult for many African Caribbean and Pacific (ACP) countries as markets in the EU and US are protected in favour of their own sugar beet growers and cane commercial farms. ACP sugar farmers have few options to diversify and depend almost entirely on cane sales for their incomes.” Fairtrade foundation
How does Fairtrade make things better?
This content was originally published on The fairtrade foundation
Fairtrade certification in sugar cane focuses on small-scale producers and there are 77 producer organisations representing more than 36,700 sugar cane farmers in 18 countries participating in Fairtrade.
The main economic provision of Fairtrade Standards in sugar is the Fairtrade Premium of $60 per tonne of sugar ($80 per tonne for certified organic sugar) in addition to the negotiated price.
In Malawi, investment of the Premium has improved food security for cane farmers while in Belize, investments in farming improvements have increased productivity by 21%.
Choose Fairtrade and you’re part of a global community fighting for climate justice, a fairer, better world. All Co-op branded products, including sugar are 100% Fairtrade – the easiest way to tell if you’re shopping a certified Fairtrade product, lookout for the Fairtrade mark on the packaging.
