Posts Tagged ‘sustainable


Fair Trade vs Cooperative

When we are going to talk about fair trade, so the first thing that will be crossed our mind is reducing famine and poverty. How we are going to be care more about anything in this business world and doing some good deeds for a sustainable market. In short word, we are going to have a very short chain in supply chain management.

The best idea will be (depends the product that will be sold) :

1. supplier – manufacturer – end user

2. supplier – retailer – end user

3. supplier – end user

So, in other word, fair trade seems so idealistic for a better world where everyone could be have a happily ever after business.

But, I think rather we choose fair trade, why we don’t use cooperative?

As we knew that cooperative already helped many countries for making their people became independent until today.

In Germany, they have Deustche Zentralgenossenschaftbank (DZ Bank) (A central cooperative bank), which is still gains  its power in banking field as one of the big 5 banks in Germany until today, was a cooperative in credit. This cooperative concept helped their economic issues during World War II and solved it.

In Denmark, there is Pastor Christiansone who established farming cooperative that will help Danish economic. And not to forget mentioned in Scotland for cotton-spinning cooperative by Robert Owen that grown up to help their economics too.

Cooperative concept, I think once again, maybe better than fair trade.

In fair trade we need fair trade organization such as WFTO (World Fair Trade Organization) for giving a label which product will classify as fair trade product. Yet for cooperative, it will make you more independent as a group to develop better welfare for their members and country too.

But, still once again, this one still my wild thinking. Not really deepen one. And just for your information, I also like Fair Trade concept yet I like Cooperative concept better.


Fair Trade Me

Fair Trade Me

When I said, ‘Fair Trade Me’, actually I want to make a mindset for everyone to be more aware about fair trade concept (not the label) in this world. What is the function of Fair Trade? What is the importance of Fair Trade? Why we should concern about Fair Trade? And could we put it as one of our lifestyle in the future?

Not being a hypocrite, I’m doing this article also to accomplish my desire about retail management in economic research for my job yet from sustainability in living perspective. Maybe you found that the economic or business concept will not walk harmoniously with sustainable development for people mindset about business players. Hold on! Don’t think too much about business people so reactively. For better explanation about it, you can visit my posterous at .

When you said sustainability in living, so it is also PEOPLE responsibility about what should happen in this world for the best. So, it also means business people should be more concern and aware about sustainability in living. Before we are going to talk about Fair Trade (FT) furthermore, let’s we talk about sustainability in living briefly.

Sustainability in living is one of lifestyle that hopefully will happen in this world start from now and over and over again until this world gone (hopefully never happen). Sustainability in living is the concept that happened because of the people consciousness for earth’s changing. The first issue about sustainable development started in Rio de Janerio in 1992 and well-known as Agenda 21. Agenda 21 is the first summit for nations’ awareness about global warming and environmental issues. Based on United Nations (UN), Agenda 21 (also known as Rio Declaration) is a declaration on environment and development; and the statement of principles for sustainable management of forest where this first summit held in Rio de Janerio, Brasil, 3 to 14 June 1992 ( ). Furthermore this summit resulted the Commission on Sustainable Development (CSD) in December 1992 that will observe and be concerned about the progress of Sustainable Development in every aspect in this world.

Then, what is Sustainable Development?

Sustainable development was defined in the Brundtland Report by the world commission on the environment and development, in 1987, as “development that meets the needs of the present without compromising the ability of the future generations to meet their own needs”. Unfortunately, this definition remained unclear and the guidance for countries to develop sustainable development policies is very small. Then, in Rio Summit 1992, sustainable development definition has been developed until today.

Further, Garvare and Isaksson (2001) surmise best:

“Sustainable development is defined as the process to reach a steady state where both humanity and nature thrive”. (pp. 12)


Therefore there are 3 important aspects in sustainable development which are social, economic, and environmental aspects.

The Environmental Aspect:

The environmental aspect in sustainability development can be defined as preserving the natural resources of agriculture to meet the predictable needs of future generations as it maintains other eco- systems influenced by agricultural activities. It means that the current generation should be responsible in managing and protection the natural resources in order to avoid the damage of environment. Further, Fuch and Lorek (2004) stated that individuals must protect the environment for the sustainability of the planet. The current generation must manage their activities for protecting the environment.


The Economic Aspect:

The economic aspect of sustainable development can be defined as a wise, efficient and innovative act for the current and future demands in order to have an adequate, safe, and reliable supply of food and raw materials. Bower (1997) stated that sustainability development is consisting the economic development, which including the future generation welfare, that satisfies the issues for sustainability.

Economic approach which taken as policy must incorporate with the conservation of environment. Torjusen et al (2004: 24) states that organic food agriculture helps the protection of environment. It can be concluded that organic food can incorporate with the protection of environment.

The Social Aspect:

Sustainable development emphasizes the welfare of human being both the current generation and the future generation (Lin, 2006:5). It emphasizes that the chance to exploit the resources of future generation must be the same with the chance to use the resources of current generation. The importance of changing values in terms of a decreasing social relevance of meals, and increasing value of ecological aspects and consumption habits in terms of upbringing, health concern, and life style (Fuch and Lorek, 2004:12). It means that individual should not only consume the resource but also preserve the environment. Individuals and organization (business or non-profit) should realize and take responsibility for their activities to achieve a better life of community, and give the similar potential to the future generation.



Figure Scheme of sustainable development: at the confluence of three preoccupations UNESCO, 2001

So, from those explanation, we can assume that fair trade could be one of sustainable development solution. If you still ask why? Now it’s the best time to explore what is Fair Trade!

Fair trade according to my free translation (after read some sources) is a system in a company how its show their concern and awareness in equality rights and justice in trading that used in the markets to achieve sustainability in living. Mostly this fair trade issue will use in agriculture and manufactured company and influence about supply chain management. Fair trade will make a company to get their materials directly from supplier or small business company so they can cut some middlemen yet the company still gain their profits because their product’s price still comparable with the products from non-fair trade company.

Fair Trade movement is happening in middle or end of 2007. So, it’s still a young movement yet many events and agreements that already happened. So far, I only know one organization who can give fair trade certification called FTL (Fair Trade Label). But basically, every fair trade organizations will register into WFTO (World Fair Trade Organizations). These organizations are ensuring producers to get fair prices, services, and everything they need equally.

So, how about you? Are you already fair trade minded enough?


Man for Others = Fair Trade

Fair Trade = Man for Others ??

I love a quote “Man fo Others” from my brother’s former high school slogan. He gained his high school’s degree from Johannes de Britto High School in Jogjakarta. It’s a single sex school for men yet they have their sister’s school named Stella Duce 1 High School that for ladies. Well, I know… We are not going to talk about my former school (Stella Duce 1) either my brother’s high school. I just love their slogan coz’ this slogan is exactly fit for fair trade issues in business field.

Let’s see why this “Man for others” is good enough to describe the definition of fair trade.

Firstly, what is Fair Trade?

Fair Trade is a system in a company how its show their concern and awareness in equality rights and justice in trading that used in the markets to achieve sustainability in living.

Mostly this fair trade issue will use in agriculture and manufactured company and affected supply chain management. Fair trade will make a company to get their materials directly from supplier or small business company so they can cut (too many) some middlemen yet the company still gain their profits because their product’s price still comparable with the products from non-fair trade company.

Fair trade will challenge company’s and consumer’s awareness about sustainability in living for any products. It means for companies, they need to arrange and have a wise policy when they are going to produce their products. And for consumers, it means they need to be more concern about every product that they use in their live and how it’s produced before.

So, when we are going to talk about fair trade, we are going to oppose exploitation of children labors, slave labors, sexual harassment for woman labors, inappropriate wages, bad waste management, and unsafely working place.

According to Sister’s Kate Fair Trade Gazette Weekly Magazine, there are eight basic principles of Fair Trade which are:

1.Fair wages for artisans.

The company ensures the living wage for the artisans so they will have appropriate living and produce high quality product as the result.

2.Fair prices for growers.

The company ensures the farmers to receive fair market-priced for their crops.

3.Safe working conditions.

Sweat shop and forced children labors are prohibited.

4.Community development.

Company provides a good social responsibility in developing community such as establish schools, sanitation and health waste systems, and health care centre together with the community to improve their quality of life.

5.Direct market access.

It ensures the growers, the producers, and the artisans earn fair wage for their products yet the price is still reasonable for the consumers.

6.Democratic decision-making.

Fair trade cooperatives engage in democratic decision-making in their work cooperatives and community development programs.

7.Environmental protection.

The company must be concerned about environmental issues such as energy use, waste management, etc.

8.Sustainable farming.

Farmers should have a sustainable farming that means the farm must use natural fertilizers, the soil should be free hazard chemicals, the seeds should be organics, etc.

As a conclusion, so fair trade is one of solution in sustainable development. Because with this fair trade products, it means that companies and consumers are totally concern about a better live for other people. This concept will be the same like the quote ‘Man for Others’ before. When we are already realized and concern about others so it means we already help this earth to have a better future, reduce poverty, and hopefully it will be sustainability in living for our offspring.

So, when you are in market/grocery/shop, find the package that has a ‘fair trade’ stamp/label on it or ‘fairly trade’ stamp/label on it! When you do it, it means you already saved and helped many people and it will pay it later for you with a better environment in living in this earth as our heritage.

Let’s having ‘fair trade = man for others’ moment now!



August 2020

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 226 other followers

My Flickr Pics - The art of amateur photography