Community Investment

Many people think of better prices and higher incomes as the main benefit of Fair Trade. But Fair Trade fosters sustainable community development as well, enabling rural farmers and farm workers to invest in their communities on projects that impact their organizations and their communities as a whole. Fair Trade farmer organizations from Ecuador to India have invested Fair Trade "social premiums" into alternative income generation projects, community infrastructure, disaster relief programs, home improvements, and more.

Credit programs are perhaps the most overlooked benefit of Fair Trade, and arguably one of the most critical. For disadvantaged farmers, access to affordable credit is elusive. But with Fair Trade, producer groups are able to make small loans for housing, medical needs, education, livestock and small businesses, at very low interest rates.

"I was planning to go Ohio to work in a factory because the prices I was receiving before Fair Trade were not enough to maintain my farm and family. Thankfully, our cooperative's sales of Fair Trade bananas increased, and I have been able to stay with my family. Fair Trade has increased the income of our members, decreased migration, provided employment opportunities to the community, and improved the self-esteem of small-scale banana producers."

"The number one impact Fair Trade has brought is the pension fund. In our old age, the kids are not looking after their parents so much and now we can manage without having to depend on them. We are very happy about this. The difference the pension fund has made is like a blind man gaining sight."

"For us Fair Trade was like a revolution. Before, this house was not ours. Now it is."

"Our garden roads which were earlier in very bad condition have been developed because of Fair Trade. All the workers, schoolchildren and local people have benefited, as good communication always helps in developing the society. I hope we will be able to take up more development programs by Fair Trade in the near future."

"Fair Trade is very useful for the poor people like me. Fair Trade has helped to purchase essential items with a very low interest for my home and thereby enhanced our standard of living. The sewing machine issued to me from the Fair Trade funds is found to be very useful and I can earn an extra income. I sincerely wish that more employees will be benefited from Fair Trade."

"I will never forget the help which was given by Fair Trade during the most difficult period of my life. I would like to thank the consumers who have bought the teas and paid extra premiums. My life ahead, which was looking bleak, now looks bright, and I am happy that my children will have a house that they can call their own."

"Through the Fair Trade premium, we are getting the financial assistance we need for the education of our children and the purchase of cows. Doing small-scale business, we are able to generate extra income, which has improved our lives."