Fair Traders of Australia - Frequently asked questions
1. Why do I need Fair Traders accreditation?
Obtaining Fair Traders accreditation helps a business to counter the concept of ‘fairwashing’. ‘Fairwashing’ describes marketing claims by a company to make a product appear to be Fair Trade when it really isn't.
Given the growing consumer popularity for fair trade goods, many companies have begun to sell just one or two fair trade items alongside non-fair trade goods or use terms such as 'ethical' or 'direct' trade. When this happens there is no guarantee that the entire company is committed to the labour, pricing, environmental and social justice conditions of fair trade.
Becoming an accredited Fair Trader of Australia means that the fair trade claims you make for your company or business is open to scrutiny and have been independently verified. Fair Traders accreditation means that practices throughout production have been judged to be in line with the 10 Principles of Fair Trade and have aided the struggle against global inequality and poverty. You have committed to a journey towards ever more empowering business relationships with marginalised producers
By purchasing accredited Fair Trader of Australia products, consumers can be assured that their purchase is helping small scale producers and their communities.
2. What does it mean to be a Fair Trader of Australia?
A Fair Trader is a business or company that complies with the 10 Principles of Fair Trade and International Labour Organisation (ILO) conventions in their dealings with producers. A Fair Trader is a trader who has, and continues to, with the best of their ability, ensured that production has created opportunities for disadvantaged producers, is transparent and accountable, follows fair trading principles, pays producers a fair price, has guaranteed that there is no child or forced labour, ensures that there is freedom of association and gender equality, guarantees good working conditions, seeks to build the capacity of producers, promotes fair trade, and is environmentally sustainable.
3. How much does endorsement as a Fair Trader cost?
If your business is granted status as a Fair Trader, an endorsement fee will be invoiced based on annual sales turnover (net).
For businesses with:
- turnover less than $200,000 – the annual endorsement fee is $275 including gst
- turnover $201,000 to $500,000 – the annual fee is $550 including gst
- turnover $501,000 to $1million – the annual fee is $1,100 including gst
- turnover more than $1million – the annual fee is 0.1% to a max of $2,000 plus gst
4. What do my annual Fair Trader endorsement fees go towards?
Endorsement fees for the Fair Traders program go towards promotion and on going support for accredited Fair Traders. It enables the Fair Trade Association to develop more resources to promote Fair Traders as well as to develop projects such as the Fair Trade Zone at the Australian Gift and Homewares Association events. Endorsement is also reviewed every two years to maintain currency.
It should be noted that the fees generated do not cover our costs for this project. These costs are subsidised by our membership project.