How does FairTrade help sustainable development? Lesson objectives; To develop a greater understanding of sustainable development. To develop a greater knowledge of how FairTrade helps sustainable development. To be able to identify the advantages and disadvantages of FairTrade. (Level 5) To be able to describe how FairTrade is a form of sustainable development. (Level 6) To be able to explain how FairTrade encourages sustainable development economically, socially and environmentally. (level 7) Tuesday, March 15, 2016

1.What is trade? 2.What is FairTrade? 1.How does FairTrade help farmers? Starter- Quick re-cap

Fair Trade is where producers are paid a price for their product that covers the cost of production- despite changes in the price at market. Fair Trade products are often more expensive because an additional 20% is charged to consumers, called a social premium, this is invested in the local communities producing the products.

‘Everyone should buy FairTrade’ Totally agree Totally disagree

Advantages and disadvantages of FairTrade? AdvantagesDisadvantages Fair trade gives farmers a fairer price for their goods. Farmers are trained in the best farming methods, which are good for the environment. Consumers have to pay more for FairTrade products. The social premiums (profit from Fair Trade) go towards paying for schools and healthcare. The companies that sell FairTrade products often miss lead their customers as to where the product actually comes from. No child labour is allowed if farmers are part of FairTrade. Most FairTrade items such as soap and clothes are sold in specialised stores and therefore brought less frequently.

How do MEDCs benefit... Consumers know they are purchasing a product which is ethical, no child labour, organic, fair price, from co-operatives that are democratically run. Consumers can directly trace their purchase. Consumers can have a direct influence on the quality of life of LEDC producers through the goods they purchase. LEDC producers have more income to purchase MEDC processed goods (?).

Potential Drawbacks.... Niche market, therefore has a limited impact. It continues to support areas where there is overproduction. Critics suggest it encourages further overproduction by non-fair trade producers, therefore lowering prices further. It doesn’t encourage the development of secondary processing, which would generate higher prices. Market share drops during economic difficulties. It doesn’t solve the unfair trading practices which limit the development of LEDCs.

How do LEDC producers benefit... Farmers receive a fair and stable price for their products. Sell direct to the global buyers, cuts out local markets, maximising profits. Partial pre-payment allows more effective long-term financial planning. Producers have the opportunity to improve their lives through a social premium. Through co-operatives producers have greater collective bargaining with purchasers and supplies. Helps diversify into new markets and products, from ones where there is overproduction, via cheap credit. Help and advice with farming practices, thereby maximising yields.

In order for development to be completely effective it needs to be sustainable. Sustainable development has three main pillars economic, social and environmental. This means that trade must help development in a sustainable way. FairTrade therefore encourages sustainable development. Economic- improvement of human welfare- e.g. farmers are paid more for their crops Environmental- protection of natural ecosystems e.g. not spraying pesticide Social- enrichment of lifestyles e.g. farmers can send their children to school. Sustainable Development What is sustainable development?

Helping sustainable development or not? 1.Farmers spray pesticide all over their crops to prevent pests eating them. 2.Farmers get a fairer price for their crops and are able to send their children to school. 3.Social premiums from FairTrade help to improve schools and hospitals. 4.Farmers are trained in the best methods of production so that the soil is protected. 5.Farmers use harsh methods to farm the soil eroding it. 6.Children help out on farms instead of going to school. 7.Farmers are given free trees to plant to help prevent soil erosion so that the nutrients stay in the soil to grow crops.

Chocolate that makes a difference Theo Chocolate owner Joe Whinney believes that customers will pay more for their candy bars if they know they are investing in improving the lives of cocoa bean harvesters in the Democratic Republic of Congo. Ben Affleck is making the same bet nhttp:// n (4 minutes, 15 seconds)

Task: Either write a letter to a local Houston supermarket or to the chocolate companies to persuade them to stock/ produce fair trade

What your letter should include (success criteria): An explanation of what fair trade is An explanation of who buying fair trade makes the farmers in LEDCs life better Results of your questionnaire about fair-trade (pick suitable questions and present these as graphs- these graphs should be annotated to help explain the results.) An analysis of your results to explain why fair trade should be stocked in these supermarkets or produced by the chocolate companies. Things to consider: Layout and presentation Graphs (with annotations) Using suitable language

Criteria LevelDescription 5 You are able to describe how the trade system of the world works. You are able to describe how FairTrade works. You are able to describe the benefits and disadvantages of FairTrade. You use key terms appropriately and are able to structure you essay in an appropriate way. 6 You are able to fully describe and begin to explain how the trade system of the world works. You are able to fully describe and begin to explain how FairTrade works. You are able to fully describe and begin to explain the advantages and disadvantages of FairTrade for the different stakeholders involved economically, socially and environmentally. You recognise how FairTrade can lead to sustainable development. You are able to use key terms appropriately and can reach a plausible conclusion. 7 You are able to explain how the world trade system works and recognise how it is unfair for some stakeholders involved. You are able to explain how FairTrade works. You are able to explain the advantages and disadvantages of FairTrade for the different stakeholders involved economically, socially and environmentally. You are able to describe how FairTrade can lead to sustainable development. You primary sources of evidence (from questionnaire) to support your arguments. You present some of your findings graphically through maps and graphs. You are able to use key terms and reach a consistent conclusion.

Level 8+ 7 You are able to explain and evaluate how the world trade system works and recognise how it is unfair for some stakeholders involved. You are able to explain how FairTrade works. You are able to analyse the advantages and disadvantages of FairTrade for the different stakeholders involved economically, socially and environmentally and you show an appreciation of the different views You are able to evaluate how FairTrade can lead to sustainable development. You use well researched case studies and primary sources of evidence (from questionnaire) to support your arguments. You present your findings graphically through maps and graphs. You are able to use key terms throughout and reach a consistent conclusion.