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The Economics of Fair Trade - Harvard University

Journal of Economic Perspectives Volume 28, Number 3 Summer 2014 Pages 217 236 fair Trade is a labeling initiative aimed at improving the lives of the poor in developing countries by offering better terms to producers and helping them to organize. Although fair Trade certified products still comprise a small share of the market for example, fair Trade certified coffee exports were percent of global coffee exports in 2009 growth has been very rapid over the past fair Trade coffee sales have increased from 12,000 tonnes in 2000 ( fairtrade International, 2012b, p. 24) to 123,200 tonnes in 2011 ( fairtrade International, 2012a, p.)

Figure 1 Comparison of Fairtrade and Market Prices for Coffee, 1989–2014 Source: ... (In practice, this is only relevant for a few crops for which genetically modi-fied varieties are available to these farmers, namely cotton and rice.) For a product to be sold under the Fair Trade mark, all actors in the supply

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