Fair Trade CoffeeBy: Yalda Uyani

Brad Hallwood

Jesse Watt

Joy William

Agenda

Fact and Figures – Canadian Coffee Consumers

Effects of Coffee Trade

Fair Trade

Key Elements of Fair Trade

Compare the following coffee companies Tim Hortons Starbucks Ethical Bean

Facts and Figures about the Canadian Coffee Consumers

Canadians consume more than 40 million cups a day-an average of 2.6 cups daily for each coffee drinker

63 % of adult Canadians drink coffee on the daily base

Almost two-third of the coffee is consumed at home

Question

If so many people drink coffee, how is it possible that the famers are still poor?

http://vimeo.com/3983264

Effects of Coffee Trade

Small family farmers grow over 50% of the world’s coffee. Majority come from Brazil, Vietnam, Colombia, Indonesia, and Mexico.

When you buy a cup of coffee or a pound of your favourite coffee beans from the local shop, here is a breakdown of where your dollars go: 55% goes to the shippers and the roasters 25% goes to the retailers 10% goes to the exporters 10% goes to the growers

Effects of Coffee Trade

Unfair coffee trade can be seen as "sweatshops in the fields.”

typical field worker on a coffee plantation makes about $3.20 a day.

Unsafe working conditions also put the health of farmers and field workers at risk.

In many farms children are used for cheap labour.

Fair Trade

Fair Trade

Fair trade agreements guarantee that the farmers/producers receive a fair price for their products.

If it is labelled “Fair Trade Certified” then the product has met standards set by the Fairtrade Labelling Organization International (FLO)

TransFair is the organization that audits and certifies fair trade goods in Canada

Key Elements of Fair Trade

Producers are paid fair price

Fair trade helps improve the independence of the producers

Fair trade provides a safe and healthy working environment

Key Elements of Fair Trade

Decreases the risk of using Children for cheap labour

Work by women is valued and rewarded

Improves environmental practices and methods of production

Tim Hortons – Coffee Partnership

Provide financial assistance to improve quantity and quality of coffee – technical training

Consult with farmers – help them get their coffee to the market at the best time and best price

Provide educational and medical care assistance

Educate farmers – environmental management

Tim Hortons

Don’t disclose where they purchase their coffee from

Don’t state how much financial assistance is provided for training, education, and medical care

They serve more than 3 million cups of coffee per day, which is more than Starbucks

Starbucks – Fair Trade?

Starbucks Fair Trade Advertising:

http://www.facebook.com/video/video.php?v=116912161652952

Starbucks – Fair Trade?

The Good:

• Starbucks has been Fair Trade Certified since 2000

• Starbucks is the biggest purchaser of Fair Trade coffee – 39 million pounds in 2009

• The largest buyer of Fair Trade coffee in the world

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Starbucks – Fair Trade?

Class Questions:

• How many people drink Starbucks coffee?

Starbucks – Fair Trade?

Class Questions:

• How many people believe they are drinking fair trade coffee when at Starbucks?

Starbucks – Fair Trade?

Class Questions:

• Do you specifically ask for a certain brand / Ask them to brew a fresh cup for you?

• Most likely you are probably not drinking Fair Trade coffee…

Starbucks – Fair Trade?

The Bad:

• Less than 5% of Starbucks coffee sold is Fair Trade

• Starbucks charges more for Fair Trade coffee

• Starbucks very rarely features a Fair Trade coffee as its “Coffee of the day”

• Often you will have request a Fair Trade coffee and wait for it to be brewed

Ethical Bean Coffee

just. Better - Fair Trade Certified, BC Kosher Certified, Organic Cerified and B corporation Certified

One of Canada’s leading suppliers of 100% Fairtrade Certified organic and shade grown coffee.

Producers they purchase from are safe from the volatilities of the coffee market.

Ethical Bean Coffee

roasted in a 100% carbon neutral facility that has been designed to LEED (Leadership in Energy and Environmental Design) standards

Biodegradable and compostable cups and cutlery used at the roaster's on site café

bag-return program that invites consumers to drop off all empty coffee bags (even competitors) for storage until a suitable recycling solution is found

2010 Ethical Bean became a certified B Corporation. Their products, practices and profits result in positive change that benefit both environmental and social causes

Summary

Tim Horton’s does not purchase fair trade coffee

Starbucks purchases a few fair trade coffee products

Ethical bean purchases 100% fair trade organic coffee products and runs its cafes sustainably

Summary

It’s your choice as the consumer to purchase fair trade products

Emerging trend of sustainability and corporate social responsibility will pressure Tim Hortons and Starbucks to change their practices

Questions