All too often, Fairtrade produce is too hard to find. It is either hidden amid a plethora of organic goods or simply tucked away on a shelf, ensuring that only the truly ethical (not to mention determined) consumer can locate it.
However, Eileen Maybin, from the Fairtrade Foundation, feels that increased exposure to the Fairtrade logo will help customers to spot the goods they are searching for. “The international Fairtrade mark has made it easier to identify Fairtrade products, and we’ve had a positive response to it,” she says.
The Fairtrade Foundation introduced its latest logo in 2002, noting “it is very important that shoppers can locate the mark on busy supermarket shelves”. This is undoubtedly true, and the consolidation of Fairtrade under one easily recognisable brand has led to 50 per cent of adults now recognising the mark. According to Market and Opinion Research International (MORI), 55 per cent of the 25-34 age group know the brand. Identifying the produce is not a problem for the majority of people, and certainly not for those with a pre-meditated desire to buy Fairtrade.
However, finding it on the shelf is another matter.
Maybin hopes that a larger range of Fairtrade fresh produce will help the goods to become more prominent on shelves. She says: “As more and more products are supplied we hope the visibility of the produce in the stores will follow. The Fairtrade fruit bowl is increasing all the time.”
So should the major retailers be making more of Fairtrade? More statistics from MORI show that Fairtrade’s future is promising, as seven per cent of Fairtrade buyers bought into the brand for the first time in the past year. In addition, three per cent of all UK adults bought Fairtrade between May and June this year.
New customers mean more sales, a point not lost on Harriet Lamb, director of the Fairtrade Foundation, who says: “We are widening the appeal and enabling more and more new customers to join this growing trend. Price is emphatically not consumers’ only concern when they go shopping - they want the reassurance that farmers in developing countries receive a better deal.”
One of the leading Fairtrade supporters is the Co-operative Group, and in 2004 its Fairtrade sales topped £21 million. A substantial one in four of the bananas it sold during the year were Fairtrade, proving that if the product is effectively promoted then the rewards are irrefutable. Figures from the Fairtrade Foundation support this, and point to the potential future profits for retailers. The organisation’s latest figures state that sales of Fairtrade bananas in the UK increased by 43 per cent between 2003 and 2004, from 18,181 tonnes to 25,915t. Monetarily this translates to a value of £30.5m, a 26 per cent rise on the previous year.
But Fairtrade does not just generate money for its cause; it also brings fruit of a high quality to supermarket shelves. Spalding-based importer Malet Azoulay believes that the concept’s destiny depends on sustaining its exemplary reputation for high quality produce. Alan Forrester, business unit director at Malet Azoulay, says: “Our fruit is of a very high standard. Expansion of the Fairtrade market will be achieved by ensuring that consumers are happy to buy and continue to buy Fairtrade products on the basis of consistent quality and flavour.”
From the retailers’ point of view though, the biggest issue is not the quality of the produce or even how much is sold. Essential for supermarkets is a sustainable and reliable supply base, an issue understood by Fairtrade fruit supplier AgroFair.
Duncan White, AgroFair UK director, says: “We are working hard to increase the year-round supply of our produce. Once this happens, the items will inevitably receive more of a promotional focus, as retailers can be sure that they will not be left with a gap in the supply chain. Currently, Fairtrade pineapples are available throughout the year and so they get represented well.”
This, naturally, is easier said than done. But White remains confident that if commercially viable links can be established and maintained, then consumers will see more Fairtrade produce on the shelves. “The only problem is that it takes a couple of years to ensure that the supply base is there.
“For example, we’ve been investigating branching out into exotic fruit. But you must determine that the volumes required can be regularly produced, otherwise the retailers are left high-and-dry when there’s a shortage. Once we’re confident that the supply base is well established, then increased supply can begin.”
With 12-month supply established, everybody involved theoretically stands to benefit. Large retailers cash in on better margins offered by the Fairtrade premium while simultaneously enhancing their corporate image. Marginalised third world farmers receive a fair return for their work, and can use the extra capital generated by the premium for health care, clean water supplies, improved sanitation and other improvements.
Anna Gould, business development manager with importer Compagnie Fruitiere, supports this view by saying: “Recent figures suggest that UK consumers are buying into this important new sector of the fresh produce industry, which is very positive for the whole supply chain.”
Of course, it is important to remember that Fairtrade is not a charitable exercise set up to salve consciences, but rather a profitable enterprise. Speaking at Fairtrade’s 10th anniversary in 2004, Hilary Benn, secretary of state for international development, said: “The Fairtrade offer is not about charity or sentiment. It is about producers getting a fair price for a fair day’s work. It also allows consumers to do something personally.”
Benn was quick to note that there is no room for complacency if the trailblazing scheme is to continue to flourish: “It is important we recognise the supermarkets and the growing number of convenience stores that promote and stock Fairtrade products. However, we hope they are going to continue to increase the offer available in stores,” he added.
One way to avoid inactivity is to increase the amount of information on the project that is available in stores. Fairtrade produce is presently stocked alongside cheaper alternatives and organic produce, in order that the customer is presented with a choice. However, more information on what the Fairtrade Foundation aims to achieve would present the customer with the opportunity to make an informed choice.
The potential trade generated by such education is apparent, although Agrofair’s White warns that background must not dominate the product. He says: “There is a definite potential for more information to be printed on packs, highlighting what Fairtrade actually means. But public opinion suggests that consumers are only interested in digestible nuggets of information - they don’t want to trawl through hundreds of facts.”
White also suggests that education should not be presented in isolation, saying: “It is vital to give information out around promotional events, such as the annual Fairtrade Fortnight. It must be tied in, otherwise the message just gets lost.”
Despite the apparent under representation of Fairtrade produce, the majority of larger retailers have a strong Fairtrade history. Sainsbury’s currently sells a million Fairtrade bananas a week and remains committed to “finding a better way of going forward”. This included supporting its avocado growers in their transition to Fairtrade in 2004. Market leader Tesco has supported the scheme for over eight years and stocks more than 90 Fairtrade lines. These include own-brand Fairtrade grapes and mangoes, as well as a foray into flowers.
The most dedicated supporter is the Co-operative Group, which has introduced many Fairtrade firsts to its shelves. It pioneered the sale of mangoes, oranges, and bananas and has a wealth of information on its involvement with the scheme and how Fairtrade works on its website. This ethical responsibility led to the chain receiving the Multiple Retailer of the Year award at the Prestigious Retail Industry Awards in 2002, where judges cited its commitment to Fairtrade as a significant scoring point.
The rewards for promoting Fairtrade are not always physical accolades. They range from increased profit margins for retailers and growers, to a sense of wellbeing throughout the supply chain. White believes that if the retailers themselves are kept happy, then everyone stands to benefit. “If the deals negotiated work for the bigger stores then they work for us, the growers and the customers too. Hopefully, the time will come when Fairtrade goods are bought out of habit, and not as a novelty extravagance.”
The potential of Fairtrade looks set only to grow in the coming years. And although retailers are currently enjoying Fairtrade success stories, perhaps greater range, visibility and promotion would benefit all.
AND OUR SURVEY SAYS...
What follows is the range of Fairtrade fresh produce available in central London branches of some of the major supermarket retailers. Our straw poll findings reveals that there is a very limited range of Fairtrade produce in all the stores, and what is on shelf is hard to see, forcing customers to hunt for it.
There is no obvious point of sale material to alert the customer, and no information on what the scheme is or how it helps the growers. Essentially, the main focus is heavily slanted towards organic produce.
Understandably, retailers can only stock what is seasonal, and some stores hold a greater range than others. But here are the results of our straw poll, conducted on August 25:
SAINSBURY’S, NINE ELMS
• Coconuts - one tray, with small Fairtrade stickers on each coconut. Nothing specific pointing out Fairtrade.
• Avocados - one half-filled tray, again with stickers and nothing at the POS advertising the fact that they were Fairtrade.
• Bananas - two full shelves. Packs of seven, with Fairtrade written extensively across the packaging.
ASDA, CLAPHAM
• Pineapples - two whole shelves devoted to Fairtrade but no obvious signs pointing this out.
• Mangoes - two small boxes, with stickers on the fruit.
• Bananas - three small boxes, with stickers on the fruit.
• Oranges - three small boxes, with Fairtrade labels on netting.
MARKS & SPENCER, CLAPHAM JUNCTION
• Mangoes - space for a single tray, which was out of stock.
MORRISONS/SAFEWAY, WIMBLEDON
• Bananas - one tray of Fairtrade bananas. The tray was full, but there were no signs pointing it out, and it was hard to see.
TESCO, KENNINGTON
• Bananas - three large boxes, full, with Fairtrade written across the packaging.
• Mangoes - one box, well stocked with stickers on the fruit.
• Oranges - one box, Fairtrade on the netting.
• Lemons - one box, Fairtrade on the netting.
WAITROSE, KINGS ROAD
• Pineapples - one box. Did state on the POS label on the shelf quite clearly that they were Fairtrade.
• Avocados - one box. again with stickers on the fruit.
The Waitrose Foundation was clearly visible. Available on oranges and blood oranges, with a bit of information about the Foundation next to the product description on the shelf.
SOMERFIELD, PUTNEY
• Bananas - three shelves, well stocked. Fairtrade printed on packaging, but otherwise nothing to alert customers.
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