Vending International
Meeting the demands of a more socially aware consumer
According to The Fair Trade Foundation, the UK is one of the world’s leading Fairtrade markets, with more products and more awareness of Fairtrade than anywhere else. With it comes an increasing awareness of other ethically produced goods - and a demand that all trade take place on a level playing field. Vending International investigates…
Published:  16 February, 2010

The FAIRTRADE Mark ensures that the producers of goods have received what has been agreed to be a fair price, as well as the social premiums to invest in the future of their communities. Talking of coffee farming, the Foundation explains: “Around 70% of the world’s coffee farmers are small scale growers and they face particular disadvantages in the marketplace. Fairtrade’s mission is to make trade work for marginalised or disadvantaged producers, and therefore is a global agreement that the system should offer champion purchase of sustainable coffee from organisations of small coffee farmers explicitly.” The Foundation believes that in its 13 years of existence in the UK, Fairtrade has proven to be an extremely successful model of how people centred trade can effectively reduce poverty and improve livelihoods.

Brands rising to the challenge

Only last month the Association welcomed a move by Green & Black’s to switch its entire range of chocolate bar and beverage products to 100% organic and Fairtrade in 30 countries by the end of 2011.

Harriet Lamb, Executive Director of the Fairtrade Foundation commented: “Green & Black’s launched the first product to carry the FAIRTRADE Mark in 1994, the Maya Gold chocolate bar. We are delighted by this new chapter in our relationship as it demonstrates the company’s ongoing commitment and means that even more cocoa farmers from the Dominican Republic and other developing countries will be able to participate in Fairtrade. In addition to cocoa, Green & Black’s will source other organic Fairtrade certified ingredients such as sugar, vanilla and coffee for its ranges, opening up new markets for Fairtrade farmers around the world.”

A move like this undoubtedly reflects consumer demand. Research commissioned by the Fairtrade Foundation, launched to coincide with World Fair Trade Day last year, shows more UK consumers than ever before – 70% of the population – recognise the FAIRTRADE Mark, up from 57% in 2007.

The survey showed that recognition is at its highest with 35-44 year olds (76%) and fastest growing with 25-34 year olds (76%). It confirms that more women than men recognise the Mark, reflecting the main shoppers in most households.

The TNS CAPI OmniBus findings also show understanding of the concept behind the Mark has increased, with 64% of the population linking the Mark to a better deal for producers in the developing world, which means the message is getting through. The research shows that it is also influencing everyday purchases throughout the country, with 1 in 4 of the UK’s shoppers regularly buying several products carrying the FAIRTRADE Mark.

Demand for Fairtrade products significantly increased across all sectors in 2008. In particular, the public’s appetite for Fairtrade products in schools, colleges and universities nearly tripled from 10% to 29%. Demand for Fairtrade products in hotels and B&B’s has risen from 1% to 23% and in workplaces has more than doubled from 9% to 21%. People also want to see more Fairtrade available in cafes, restaurants and pubs (25% to 34%) and in local shops (20% to 32%) and on the move when travelling (14% to 25%).

The Vending Industry is in a perfect position to encourage ethical purchases and thus help the movement, while benefiting from its success. A business that serves ethical drinks and snacks from machines, to both staff and clients, is sending out a clear corporate message - that theirs is a business that cares. In the education sector, ethical goods will be very much in demand from those that have an understanding of the way in which trade so often benefits only the developed countries. As Martin Luther King quite rightly said: “Before you’ve finished your breakfast this morning, you’ll have relied on half the world.” Quite unbelievable then that even in a world where we have up to the minute news telling of horrific poverty, so many companies still refuse to behave more ethically towards the producers of their goods.

Voting with our wallets

Ethical Consumer explains the power of the consumer well: “Even small, everyday purchases, such as coffee, tea, breakfast cereal, bread or bin bags are a vote for something. Favouring organic produce is a vote for environmental sustainability and fairtrade is a vote for human rights." It highlights a report by the Co-Op that says that consumer spending on ethical goods and services has grown almost three-fold in the past 10 years.

The Manchester-based bank’s latest Ethical Consumerism Report says the UK market was worth an estimated £36bn in 2008 compared to £13.5bn in 1999.

In comparison, overall consumer spending rose by 58% during the same period.

Sales of Fairtrade products increased 30-fold in the same period, growing from £22m in 1999 to £635m in 2009. The bank expects spending on Fairtrade goods to break through the £1bn barrier in 2010.

The Rainforest Alliance

There are other ‘ethical’ labels, such as the US based conservation charity Rainforest Alliance – certified farms, estates and plantations, where working and social conditions are improved with the extra money paid for more sustainable tea and coffee production. Although foods can be both Fairtrade and Rainforest Alliance certified, in practice it tends to be either one or another.

The Rainforest Alliance works with farmers to ensure compliance with the standards for protecting wildlife, wild lands, workers' rights and local communities. Farms that meet these rigorous standards are awarded the Rainforest Alliance Certified seal.

Rainforest Alliance Certified means: Less water pollution; less soil erosion; reduced threats to the environment and human health; wildlife habitat is protected; less waste; less water used; more efficient farm management; improved conditions for farm workers; improved profitability and competitiveness for farmers; more collaboration between farmers and conservationists.

Kraft Foods, parent company of The Kenco Coffee Company, is continually working to reduce the environmental impact of its activities, preventing pollution and promoting the sustainability of the natural resources upon which it depends, while providing high quality products that meet the needs of its consumers.

A primary focus for the company has been on issues related to product manufacturing, such as reduction of air emissions, waste water effluent and solid wastes. At Kraft Foods’ Banbury coffee production site, where the bulk of Kenco coffee is manufactured, 85% of the plant’s electrical energy requirement is generated on site by Combined Heat and Power units (CHPs), while the company has invested heavily in technology to remove coffee solids from the waste water stream used in the production process before it returns to the local municipal treatment works. The site is also ISO 14001 certified.

Kraft Foods has been working in the area of coffee sustainability for over 15 years, having a series of country based projects as well as being a contributor to the Common Code of the Coffee Community project, a global initiative which seeks to define sustainability in the coffee sector.  Since 2003, Kraft Foods has been working with the Rainforest Alliance, a leading independent non-profit environment organisation, and has helped advance the availability of coffee from Rainforest Alliance Certified™ farms into the mainstream. Kraft Foods’ focus on sustainable sourcing has helped to drive growth in the number of Rainforest Alliance Certified™ farms. The programme assures consumers that the products they are buying come from farms that meet demanding standards for environmental, economic and social improvements. 

Now all beans for the entire Kenco freeze-dried coffee range and for the roast and ground range of Kenco Westminster Medium Roast, Kenco Sustainable Development Medium Dark Roast and Kenco Italia Dark Roast are sourced from Rainforest Alliance Certified™ farms.

Ethically Sourced Hot Chocolate

The Kenco Coffee Company was the first UK company to source cocoa for its hot chocolate products from Rainforest Alliance Certified™ farms. The company has worked with the Rainforest Alliance to open up new supplies from certified sources in West Africa since 2006. The entire Suchard Away From Home portfolio contains cocoa sourced from Rainforest Alliance Certified™ farms.

By using indirect distribution and routes to market it is also helping to minimise the environmental impact of transportation. The company is also is proactive in the area of paper cup recycling, being a founding member of The Paper Cup Recovery and Recycle Group, whose aim is to find a practical solution to the disposal of paper cups in the UK.

 “While you go shopping for delicious Fairtrade food and drink, people in the developing world are earning a decent living, feeding their family, putting their children through school. Fighting poverty.” - Oxfam

Other Vending companies such as Cafe Direct, Fairtrade Vending, Aimia, Mars and Lavazza all offer ethically produced goods under different banners. Whether it’s Fairtrade or other initiatives that aim to shift the unfair balance of power so that the developing countries get a fair deal, it’s time to vote with our wallets and make sure that what comes from our machines is ethical.






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