Fairtrade Fruit Market in the UK Refresh Conference 2010 Mark Varney Head of Business Development, Fairtrade Foundation.

Fairtrade Fruit Market in the UKRefresh Conference 2010

Mark Varney

Head of Business Development, Fairtrade Foundation

The Fairtrade Foundation’s Vision“Our vision is of a world in which justice and sustainable

development are at the heart of trade structures and practices so that everyone, through their work, can maintain a decent and

dignified livelihood and develop their full potential.”

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US

cen

ts/lb

Fairtrade

New York

Jan 1989 June 2007Jan 1996 Oct 1999

Frost damage

in Brazil 1994

Drought in Brazil 1999

Drought in Brazil

1997

Collapse of International Coffee Agreement 1989

NB Fairtrade price = Fairtrade minimum price of 121 cents/lb + 10 cents/lb premium*

When the New York price is 121 cents or above, the Fairtrade price = New York price + 10 cents

* Premium was increased from 5 cents/ lb on 1 J une 2007

The NY price is the daily closing price of the second position Coffee 'C ' futures contract at the NY Board of Trade © Fairtrade Foundation

The Arabica Coffee Market 1989-2007: Comparison of Fairtrade and New York Prices

October 2001

30-year low of 45 cents

March 2003

Fairtrade Standards

Social, Organisational and Gender Environmental

Economic

The Fairtrade Community

Business

Campaigners

Founders and Funders

UK Sales of Fairtrade Products 1999 - 2009

2009: 12% increase from 2008

Fairtrade Fruit Available in the UK

Recent and Upcoming Fairtrade Produce Launches

Melons - Dec 2009

Vegetables - May 2010

Sweet Potato (Costa Rica) - TBC

COODAP - Smallholders in Brazil

Homegrown – outgrowers and farms in Kenya

Asoproagroin – Costa Rican Smallholders- diversification from Pineapples

Fairtrade is the top-of-mind ethical label for one-third of people

When asked about ethical / environmental labels on products, Fairtrade was mentioned spontaneously by 32% of people.

Unprompted, Combined Mentions, 2010

Top 5 Fairtrade Products Recognised

Labels Seen Most Often On…

Fairtrade and local- compatible not contradictory

Both focussed on provenance; links between consumer and producer

Fairtrade Towns groups often supportive of Local produce Fairtrade and Local directories Promoting links between Fairtrade and UK

Farmers Cumbria and Thanet planning events in 2011 Many councils feature Local in their Fairtrade

resolutions

1. Increasing Fairtrade’s impact on producers’ lives

2. Shifting public opinion and consumer lifestyles to make Fairtrade the norm

3. Expanding business engagement with Fairtrade from just compliance to deeper commitment

4. Growing Fairtrade’s share of key markets to propel sales to a new level

5. Scaling up and developing the Fairtrade Systems

Fairtrade Foundation 5 Year Strategy: Tipping the Balance

Driving consumer demand forFairtrade fruit- 2009

470,001 people went bananas for Fairtrade

• Hundreds of events around the country

• Significant participation and engagement on-line

• Asda, Sainsbury’s, Tesco and Waitrose promoted event on-pack

• Extensive media coverage with Advertising Value Equivalent of £4.8 million

Fairtrade Fortnight 2010 The Big Swap

Focus on 2 key consumer segments Objective of building awareness,

understanding and purchase Exploit success of social media and other

online channels Support of Sporting and other celebrities Activity kicking off in August at The Big

Chill Festival in conjunction with Bompas and Parr

2010 and Onwards: Fairtrade Fresh Fruit Campaign

Bompas & Parr

Their work operates between food and architecture as they explore how the taste of food is altered through synaesthesia, performance and setting.

‘Culinary event masterminds’, The Guardian

‘The 15 people who will define the future of arts in Britain’, The Independent

Continue to drive distribution and product / category switches in Grocery Multiples

Maximise opportunities in Foodservice channel

Olympics 2012

Increasing awareness and understanding of Fairtrade and Fairtrade Fruit and increase purchase

Future Strategies to growFairtrade Fruit

Tipping the Balance

Mark Varney

[email protected]