WFTO is a global network of organizations that represents Fair Trade principles. It’s an organization where a company could become a member and enjoy some benefits conferred by any trade agreement. WFTO members could establish close relationships and have lower trade barriers with each other. It allows them a larger market for their goods. It is interesting to know that 75% of the members come from the developing countries and they could have an immediate access to developed markets at lower tariff rates.
Each member of the organization has to sign a Guarantee System and respect the 10 principles of WFTO.
They are as follow:
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Creating opportunities for Economically Marginalized Producer
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Transparent and accountable business relations with suppliers and customers. Producers and workers are given a chance to participate in decision-making processes and have a voice within their organization.
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Responsible and trade fairly. The organization pays producers on time and according to mutual agreement. They handle quality problems fairly.
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The organization pays a fair price to producers, as mutually agreed by both sides
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No child labor or forced labor
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Commitment to non-discrimination, gender equity and freedom of association
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Ensuring safe and fair working conditions. The organization pays at least the applicable minimum wage, provides legally required benefits and manages working hours responsibly
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Where possible, assisting developing the capacity to support the marginalized producers that they work with
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The organizations expected to provide truthful information about its organization to the FT buyer
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Respects the environment and where possible sources raw materials responsibly
Source: WFTO
Applicants have to show 100% commitment to Fair Trade and apply all of the 10 Principles of Fair Trade to the supply chain in order to become a member.
WFTO includes fair trade producers, marketers, exporters, importers, wholesalers and retailers in over 70 countries in Africa, Asia, Europe, Latin America and the Pacific Rim.
