Fair Trade Certified | Transfair USA

Fair Trade certification on flowers is a guarantee that growers meet strict social and environmental standards and that workers receive a premium to invest in community development. Fair Trade certification means you can feel good about the source of your flowers-that workers receive fair wages and protection from pesticides, that growers are taking steps towards environmental sustainability and that communities benefit directly from your purchases.

How much do Fair Trade flowers cost?

Prices for Fair Trade flowers are set in a contract between the grower and the importer. The price must be set at a level that covers the grower's cost of production and compliance with Fair Trade standards. Buyers should seek to establish a long term, stable relationship with growers. In addition to the contractual price, importers must pay a social premium of 8% for bouquets from Kenya (a lower premium because it's a value-added product) and 12% for flowers from all other origins. This premium is calculated on top of the FOB country of origin price (e.g. FOB Quito, Ecuador).

What happens to the premium money?

Importers transfer the premium funds directly into the bank account of the farm's joint body, an organization made up of elected worker representatives and management representatives that are responsible for the management of those funds. The joint body consults with all workers on their development needs and manages the projects that the workers decide to fund. So far social premiums have been used to fund day care centers, scholarships, adult literacy programs, and housing funds. Joint body representatives receive training in accounting and financial management and must account for all expenditures. TransFair USA audits these financial transactions to ensure complete traceability of the funds.

Who certifies Fair Trade flowers?

TransFair USA is the only certifier of Fair Trade products in the US. TransFair USA is a member of the international network Fairtrade Labeling Organizations (FLO), which sets uniform standards and pricing and inspects farms for member labeling organizations in 21 countries. Fair Trade flowers were first introduced to the European market in 2001, so many growers have been certified for over 6 years.

Is there a fee for participating US companies?

TransFair USA charges importers a license fee of $0.015 per stem on all Fair Trade Certified flower purchases. Approximately half of this fee is used to cover the costs of chain of custody audits by TransFair USA and standards development by FLO. The other half goes toward promoting Fair Trade Certified products to consumers and the industry through public relations, marketing and grassroots campaigns.

What is the availability of Fair Trade Certified flowers?

There are currently over 30 Fair Trade Certified growers in Ecuador, Colombia, Kenya, Tanzania and Zimbabwe that produce more than 1 billion stems per year. The majority of this volume is roses, but carnations and various kinds of fillers are also available.

Who needs to be licensed by TransFair USA?

The first owner of the flowers in the US needs to be licensed with TransFair. This licensee pays the fees outlined above and reports quarterly on purchases and sales. Any wholesalers buying Fair Trade flowers in bulk and making them into mixed bouquets that will bear the Fair Trade label will also need to be licensed with TransFair and report quarterly to us. Only the first US owner of the Fair Trade flowers will pay the license fee.

How can my preferred grower(s) get certified?

Your preferred growers are welcome to apply for Fair Trade certification. You can have them contact us directly to discuss standards, processes and cost of certification.

Where can I view the Fair Trade flower farm standards?

Fair Trade farms must comply with both the Generic Standards for Hired Labor and the product-specific Flower Standards. These can be viewed here: Generic Fairtrade Standards and Flowers and Plants Fairtrade Standards.

How often are farms inspected and what's involved in the inspections?

Fair Trade farms are inspected at least once a year and may receive a surprise inspection as well. The FLO inspectors spend about a week at each farm, depending on its size and other complicating factors. Dozens of workers as well as surrounding community members are interviewed; the financial records of the grower and the joint body are audited; and fields, packing stations and storage areas are inspected to ensure environmental, safety and health standards.

Are Fair Trade flowers also organic?

Fair Trade certification ensures that farms comply with rigorous environmental standards governing the use of pesticides, conservation of water, treatment of wastewater, protection of ecosystems and more. There is an extensive list of agrochemicals that are completely prohibited on Fair Trade farms, and other agrochemicals that must be phased out over time. Fair Trade flower farms must transition to integrated pest management and make progress towards organic production techniques. At this time, there are no Fair Trade flower farms that also hold an organic certification, but we hope to see some farms make the transition to organic in the future.

Is Fair Trade certification regulated by the government?

Fair Trade certification is not regulated by any government. Rather, the Fairtrade Labelling Organizations network provides uniform standards for all member organizations around the world. FLO's Fair Trade standards have been endorsed by political leaders around the world, including Tony Blair and Nelson Mandela, as a powerful alternative to foreign aid.

How can TransFair USA help me market Fair Trade Certified products?

TransFair USA offers a full line of point of sale promotional materials and sell sheets free of charge to importers, distributors and retailers. We will be creating pieces just for flowers by August 2007. Order them here. TransFair USA's Public Relations team would be happy to talk with you about publicity support, and TransFair USA's Business Development team can work with you directly on other marketing ideas.

For more information, please contact flowers@transfairusa.org or call 510-663-5260.

This page last updated: October 17, 2007



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