Version 0.1

Approved by the FI General Assembly on 4th July 2019

Contents

INTRODUCTION
Purpose and Objectives
Compliance with the CodeAnnual Reporting
Code Review and Oversight
Fairtrade’s Vision, Mission & Values
Definition of Fair Trade
Values and Principles underpinning
the Fairtrade Organizational CodeACCOUNTABILITY

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INTEGRITY

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Principle 6. We are honest, trustworthy andtransparent about how we work
6.1 Annual Reporting
6.2 Communication / Public Information Disclosure
6.3 Working with the Media
6.4 Data Governance
6.5 Conflict of Interest
Principle 7. We govern our affairs in a responsible,
democratic and transparent way
7.1 Global governance and ownership
7.2 Member Governance
7.3 Legal Compliance
7.4 Decision Making Roles and Responsibilities
7.5 Membership
Principle 8. We practice what we preachin relation to fair and sustainable trade
8.1 Procurement Policy
8.2 Ethical and Fairtrade Sourcing
8.3 Living Wages
8.4 Environmental Management and Impact

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PARTNERSHIP

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Principle 1. We manage resources
responsibly and ethically
1.1 Financial Management and Reporting
1.2 Maintaining Responsible Levels of Reserves
1.3 Fraud and Corrupt Practices
1.4 Value for Money
1.5 Ethical investment and fundraising
1.6 Trademark Protection
Principle 2. We strive to be effective
and deliver positive impact
2.1 Global Strategy
2.2 Key Performance Indicators
2.3 Impact reporting and MEL
Principle 3. We take responsibility for our actions
3.1 Complaints and allegations
3.2 Whistleblowing
3.3 Risk Management

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RESPECT

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Principle 4. We respect, protect and champion
human rights, and fight for those disadvantaged
in international trade
4.1 Human Rights
4.2 Protection of Children and Vulnerable
Adults from violence and abuse
4.3 Gender Equality and Women’
Economic Empowerment
4.4 Workers’ Rights
Principle 5. We respect, value and nurture
those who work for us
5.1 Code of Conduct
5.2 Child Protection
5.3 Sexual Exploitation and Abuse
5.4 Harassment and Anti-Bullying Policy
5.5 Human Resources
5.6 Work force Security
5.7 Diversity and Equal Opportunities
5.8 Workers’ Representation

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Principle 9. We collaborate and coordinate
our efforts as one global organization
9.1 Strategic Planning Processes
9.2 Membership roles and responsibilities
9.3 Territorial Rights and Interests
9.4 Resourcing the Global System
Principle 10. We build partnerships andcollaborate for greater global impact
10.1 Farmers’ and Workers’ Organizations
10.2 Movement for fair and sustainable trade
10.3 Stakeholder engagement and participation
10.4 Fairtrade Supply Chain Partners
10.5 Corporate Partnerships
10.6 Policy, Advocacy and Global Campaigning
10.7 Professional networks and forums

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APPENDICES

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Appendix 1: Glossary of Terms
Appendix 2: Background to Values and Principles

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Introduction

Fairtrade International has adopted this Fairtrade
Organization Code (hereinafter referred to as the “Code”)
to provide a clear framework for how we implement ourvalues, principles, policies and procedures across allof our work as a Global System, and to ensure that we
operate with high standards of behaviour, accountability
and ethics.
The Code aims to deliver on Fairtrade’s vision andmission to make international trade work better for
farmers and workers, drive positive impact in achieving
better livelihoods for producers and uphold and promote
human rights and dignity for all, delivering Fairtrade’scontribution to the achievement of the Sustainable
Development Goals.
The Code sets out standards for our practice, rather thangoals or targets, which are covered by our Theory of
Change and Strategic Plans. The Code is approved andoverseen by the Fairtrade International Board of Directors
and the General Assembly.
Purpose and Objectives
The purpose of the Code is to deliver Fairtrade’s visionand mission to transform international trade in favour of
disadvantaged small farmers and workers by building
greater trust and credibility with our stakeholders, partners,
funders and the general public through the adoption ofgreater transparency, accountability and effectiveness in
how we operate as a global System.
Objectives
1. To clarify and deliver against agreed standards of goodpractice expected of all Fairtrade Members (including
Fairtrade International, licensing and marketing
operations, producer networks and FLOCERT).
2. To provide assurance to Fairtrade stakeholders:
partner organizations, business partners, licensees
and trading partners, funders and donors, country
governments where we operate, members of ournational organizations, farmers’ and workers’organizations, supporters of our movement,
consumers and members of the general public.
3. To enable effective self-regulation and compliance,and deliver continuous strengthening andimprovement of our system and operations.

Compliance with the CodeOnce approved by the General Assembly, the Code isbinding on all Members1. It applies equally to Fairtrade
International, FLOCERT, National/Regional Fairtrade
Organizations, Fairtrade Marketing Organizations andProducer Networks who are part of Fairtrade’s global
governance system. Small Producer Organizations, HiredLabour Organizations or Traders are covered by ourStandards and Certification System, and as such are notcovered by the Code.
The Code contains commitments requiring Members to
adopt certain policies and procedures to implement theCode (as specified in the support package described
below) and to ensure that such policies and procedures arecompliant with relevant national or international legislation
and regulations. Members are encouraged to include
references to local legislation or regulations in their own
policies and procedures as part of interpreting the Codewithin the context of their own local or national situation.
Alongside the Code, there will be a support package
for Members, including a Fairtrade Organization CodeAssurance Framework document, which will provide
indicators to support Members to be able to demonstrate
and report compliance with the Code. Further, thesupport package will include a schedule showing wherea Policy/Procedure is (i) mandatory (MP), i.e. must be
implemented by Members within a certain timeframe,or (ii) recommended (RP), i.e. is recommended to be
adopted by Members voluntarily at their own discretion.
Some sections will not require separate or additional
policy/procedure development at Members’ level
but will reflect organizational Good Practices (GP) by
Members. Finally, also part of the support package, theGuidance Manual plus model policy templates for agreed
mandatory policies or procedures will aid Members intheir implementation of the Code.
Each Member is required to designate a senior staff
member to act as their organizational champion of
Code compliance, and to work with their own Boards/
Governance bodies and leadership teams to delivercompliance and ensure timely and accurate reporting
against the compliance indicators contained in the CodeAssurance Framework.

1 When referring to “Members” or “Fairtrade Members” this means a reference
every organization contributing to the delivery of Fairtrade’s governanceand goals: Fairtrade International Central Office; FLOCERT; Regionaland sub-regional Fairtrade Producer Networks and offices; National or
Regional Fairtrade Organizations and Fairtrade Marketing Organizations.

THE CODE3

INTRODUCTION

Annual Reporting

Code Review and OversightMember organizations are required to report annually
to Fairtrade International on their implementation of theCode. This annual reporting will cover:Oversight of the contents of the Code and Member
compliance will be provided by Fairtrade International’s
Governance Committee, who will provide an annual
report to the Board on overall Member compliance,and make recommendations to the Board and General
Assembly for any revisions of the Code or other actions
arising from Member non-compliance with the Code.

•• the adoption of agreed mandatory Policies andProcedures, including progress since the previous
report•• any breaches of the Code identified or investigatedduring the previous 12 months and remediation
measures taken•• actions and priorities to improve compliance against
the Code, provide training or further capacity building
to enable its effective implementation.
Fairtrade International’s Ethics and Compliance Manager
will facilitate the process of reporting and collation of a
global report drawing on each Member Organization,
against the Code Assurance Framework. Fairtrade
International will provide System-wide oversight ofreporting deadlines, and provide recommendations to theGovernance Committee, based on the global report. The
Governance Committee will review the report and submit
any recommendations to the Fairtrade International Board.
Failure by any Member to submit an annual report will be
addressed as part of the annual Compliance reporting
process above. Fairtrade International will designatea responsible person to explore the reasons with theMember concerned, and agree a plan of action.

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THE CODE

Every three years, the Governance Committee willconduct a full review of the Code itself, and of complianceand reporting patterns, and make recommendations
to the General Assembly via the Board. Decisions overchanges to the Code or compliance process are taken by
the General Assembly.
Members wishing to propose any amendments orrevisions to the Code should raise these in the first
instance with Fairtrade International’s Ethics andCompliance Manager.

Fairtrade’s Vision, Mission & Values

All Members of Fairtrade International commit to work
towards achievement of the global Fairtrade Vision andMission, and embed these appropriately into their own
statutes/constitutions, ways of working and internal andexternal communications.
Definition of Fair Trade
As a partner in the global Fair Trade movement we also
share the following vision and definition for Fair Trade as awhole, of “a world in which justice, equity and sustainable
development are at the heart of trade structures andpractices so that everyone, through their work, canmaintain a decent and dignified livelihood and develop
their full potential”.
“Fair trade is a trading partnership, based on dialogue,transparency and respect, that seeks greater equity
in international trade. It contributes to sustainable
development by offering better trading conditions to,and security the rights of, marginalized producers
and workers – especially in the South. Fair Trade
Organizations, backed by consumers, are engaged
actively in supporting producers, awareness raising andin campaigning for changes in the rules and practice of
conventional international trade.”2

Our vision and mission are reflected in the values, by which
we commit to work together so that we set an example
for the changes we seek in others. Therefore we will work
collaboratively and seek to empower those who wish to
be partners in our mission. Trust is a crucial factor in ourwork and we will be mindful of our responsibilities to those
who place their trust in us. Embracing transparency andstakeholder participation is an important way that we will
be accountable for our work.
It is from our vision and mission statements, and otherfundamental documents of the Fairtrade System (theFairtrade International Constitution, our Theory of
Change, our Brand Guidelines) that we draw the four
values and ten principles that sit at the heart of the Code.
These are not meant to be an exhaustive list of the values
that we as individual members may have within our own
organizations, but are values that govern the way that wework together, fulfil our responsibilities, are accountableto our stakeholders, and drive effective collaboration andtrust with each other.

Fairtrade’s Vision is of a world in which all producers
can enjoy secure and sustainable livelihoods, fulfil theirpotential and decide on their future.
Fairtrade’s Mission is to connect disadvantaged
producers and consumers, promote fairer trading
conditions and empower producers to combat poverty,
strengthen their position and take control of their lives.

2 Definition of Fair Trade as adopted by Fairtrade International and World
Fair Trade Organization, and now incorporated into the International Fair
Trade Charter https://www.fair-trade.website

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Values and Principles underpinning the Fairtrade Organizational CodeFour values sit at the heart of ourCode: accountability, respect,
integrity and partnership. From these
we draw 10 principles for how we act
responsibly to live out these values
in practice. These principles in turndrive the commitments to follow
agreed policies and procedures, andensure that all parts of the Fairtrade
System are clear about their roles
and responsibilities.

ROLES ANDRESPONSIBILITIESPOLICIESAND PROCEDURES

PRINCIPLESVALUESVALUEACCOUNTABILITY

PRINCIPLE
1. We manage our resources responsibly and ethically.
2. We strive to be effective and deliver positive impact.
3. We take responsibility for our actions.

RESPECTINTEGRITY

4. We respect, protect and champion human rights, and fight for those disadvantaged ininternational trade.
5. We value, respect and nurture the people who work for us.
6. We are honest, trustworthy and transparent about how we work.
7. We govern our affairs in a responsible, democratic and transparent way.
8. We practise what we preach in relation to fair and sustainable trade.

PARTNERSHIP

9. We collaborate and coordinate our efforts as one global system.
10. We build partnerships and collaborate for greater global impact.

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THE CODEACCOUNTABILITY
Accountability for our action and impact lies at
the heart of trust and confidence in the Fairtrade
System. This requires us to:•• manage all financial resources and other assets
responsibly and ethically (Principle 1)•• continually monitor that we are achieving thegoals and objectives of the Fairtrade System,
and are effective in what we do, so that our work
delivers positive impact (Principle 2)•• address any issues, concerns or allegations
that may be made about Fairtrade, and haveappropriate mechanisms to deal with them
responsibly (Principle 3).

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Principle 1. We manage resources responsibly and ethically

ACCOUNTABILITY
PRINCIPLE

1. We manage resources
responsibly and ethically
1.1 Financial Management andReporting
1.2 Maintaining Responsible Levels ofReserves
1.3 Fraud and Corrupt Practices
1.4 Value for Money
1.5 Ethical Investment and Fundraising
1.6 Trademark Protection

1.2 Maintaining Responsible Levels of Reserves
Reserves are needed for working capital and to covertemporary shortfalls in income and unforeseen increases
in expenditure so that Members can continue to operate
at all times, or can withstand sudden financial shocks.
As part of any financial and risk management process,the governance bodies of each Member of Fairtrade
International are responsible for setting out a reserves
policy as appropriate to the size of the organization, thenature of its work, and any local regulatory requirements
associated with organizational registration or legal status.
Members are required to report to their own governancebodies, members or key funders on the level of any
reserves held as part of statutory annual reporting.
1.3 Fraud and Corrupt Practices

1.1 Financial Management and Reporting
Fairtrade is committed to effective and accountablefinancial management, and transparency in our financial
operations. This includes:•• Managing financial resources responsibly, accounting
for all monies received and expended•• Producing budgets, forecasts and quarterly and annual
accounts, and regularly reviewing and updating these•• Taking action to identify and reduce financial risk•• Ensuring financial management systems are legallycompliant, and adopt best practices as relevant totheir country/ies of operation and regulatory guidance•• Being effective in the use of resources, and minimisingfinancial wastage•• Producing and publishing annual audited financial
statements.

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THE CODEThe Fairtrade System recognises its responsibility tosafeguard resources in an economical and ethicalmanner. The Fairtrade System is committed to taking
a robust and systematic approach to the prevention
and detection of fraud and other corrupt practices, andmaintaining a culture of honesty, integrity and opposition
to fraud and corruption.
Fairtrade Members should adopt clear policies andcontrol plans to prevent, detect and act on any
evidence presented of fraudulent or corrupt practices.
Commitments must apply to all persons acting on behalfof the Member, such as officers, employees, consultants,
contractors and agents or other intermediaries. Every
individual and organization contracted by Fairtrade
should be made aware of their personal responsibility andobligation to conduct Fairtrade activities ethically and incompliance with the law. Members have a duty to reportany and all suspected cases as part of compliance withthis Code, including reporting to relevant authorities orregulatory bodies where necessary.

ACCOUNTABILITY

1.4 Value for Money

1.6 Trademark Protection

We are committed to delivering value for money as
an integral part of our organizational strategy and will
pursue efficiency, effectiveness and economy alignedwith Fairtrade’s ethics and values in order to deliver
sustainable impact. The Fairtrade System will seek toadopt good practice and incorporate Value for Money
principles in all of its activities, recognising the need tobalance between ethical and sustainable practices andfinancial considerations. The responsibility for pursuingvalue for money lies with the governance bodies of each
Member. Members are required to develop and implementa Value for Money Policy or statement documenting how
they ensure they drive value for money. All individuals
contracted by Fairtrade, should also be made aware of their
responsibilities to deliver value for money.

The name Fairtrade, the Fairtrade symbol and theregistered FAIRTRADE certification and brand trademarks
are valuable assets registered in over 160 countries,
and their correct usage is central to the integrity of the
Fairtrade System, and the trust placed in it.

1.5 Ethical investment and fundraising
Fairtrade International and its Members will seek
to ensure that money raised and invested by theirorganizations do not conflict with the stated values andprinciples of the Fairtrade System.

Members of Fairtrade’s Association have the right to use
the Mark and to license usage by third parties according
to the approved Guidelines and Manuals. Fairtrade
Members are required to sign a Licence Agreement with
Fairtrade International in order to licence the use of the
FAIRTRADE Mark for an agreed territory, and commit toprotecting the ownership, use and intellectual propertyof the FAIRTRADE Mark (and relevant brand, program oringredient labels) at all times. Fairtrade Members mustensure they implement a control system to ensure correct
use of Fairtrade’s name, brand and certification Marks intheir own materials, by third parties, and to correct any
misuse of Fairtrade’s name or trademarks.

Members are responsible for laying out clear policies forwhere and how they apply ethical criteria to applications
for, or acceptance of, monies. Such policies shouldreflect any consensus agreement on specific sectors
or issues, which may represent significant risk for the
global system. Members shall seek where possible tohold and invest their money with financial institutions thatcan demonstrate that they operate satisfactory ethicalinvestment policies of their own.

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Principle 2. We strive to be effective and deliver positive impact

ACCOUNTABILITY
PRINCIPLE

2. We strive to be effective anddeliver positive impact
2.1 Global Strategy
2.2 Key Performance Indicators
2.3 Impact Reporting and MEL

2.1 Global Strategy

In line with our vision, mission and values,
Fairtrade sets out long term strategic plans over
3-5 year horizons, in a participatory process
involving the Members and key stakeholders,
overseen by the International Board, with final
decision making on the strategic framework
approved by the Members at the General
Assembly. Each Fairtrade Member is responsiblefor developing and adopting its own strategicplan, for engaging with their stakeholders in its
development, approval and dissemination, andensuring sign off by their respective governancebodies and/or memberships.
2.2 Key Performance Indicators
Fairtrade is committed to establishing and monitoring its
own performance and progress in relation to the agreed
Global Strategy. This is done through identification andagreement of tangible key performance indicators (KPIs)
reflecting the specific agreed outcomes and impact of
the Global Strategy (in line with our Theory of Change
framework), as well as indicators for assessing the
Fairtrade System’s operational effectiveness.
The Fairtrade International Board is responsible forestablishing agreed KPIs in line with the Global Strategy,
to guide operational decision-making and inform theallocation of system-wide financial resources andinvestments. Members are responsible for establishingand monitoring data collection systems including
KPIs to monitor progress relevant to their roles andresponsibilities, and for reporting into the global system
according to their assigned KPIs and agreed timelines.

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THE CODE

2.3 Impact reporting and MEL
As part of Fairtrade’s commitment to delivering positive
impact, it is critical to understand where and how the
global Fairtrade System is delivering progress against its
Vision and Mission. Fairtrade’s Theory of Change (TOC)
provides a clear Monitoring, Evaluation and Learning(MEL) framework for identifying the expected types of
outputs, outcomes and impact generated through ourown interventions in global markets and supply chains.
This system is also designed to identify and learn where
Fairtrade is not making sufficient progress, so as tosupport evidence-based changes to the way we work,
and identify additional or alternative approaches to take.
Responsibility for reviewing or updating the TOC lies
with the global MEL team, with final decisions takenby the Fairtrade International Board and the General
Assembly. Fairtrade Members commit to establishingeffective monitoring and evaluation processes in order tocontribute to reporting on the size and scope of Fairtrade,
provide evidence of benefits and impact, and support
independent evaluations of Fairtrade’s effectiveness.
Fairtrade’s MEL Programme is committed to following
the principles of ISEAL’s Impacts Code and to external
evaluation of compliance with the Code.

Principle 3. We take responsibility for our actions

ACCOUNTABILITY
PRINCIPLE

3. We take responsibility for ouractions
3.1 Complaints and Allegations
3.2 Whistleblowing
3.3 Risk Management

3.1 Complaints and allegations
Upholding credibility in the Fairtrade System requires ourorganizations to act swiftly and professionally to deal withany complaints or allegations about the quality or deliveryof our services, or actions of our staff or any consultant
or contractor acting on Fairtrade’s behalf. Allegations
may result from a breach of Fairtrade values, policies andprocedures or the Code of Conduct by a staff member,consultant or contractor. Complaints may also include
expressions of dissatisfaction with the quality or deliveryof Fairtrade’s services.
Members must have in place clear processes andprocedures for dealing with allegations and complaints
received either internally or from third parties, including
analysing the nature of the allegation or the complaint,
escalating issues within the Fairtrade System or with
relevant authorities as required, protecting the identities
of complainants, and communicating the process andoutcome of any investigation triggered.

3.2 Whistleblowing
Fairtrade encourages all staff and contractors to raise
any concerns that they may have about the conduct ofothers or the way in which the organization or global
system is run.
Members commit to establishing and implementinga Whistleblowing Policy designed to ensure thatconcerns about possible inappropriate conduct, illegal
or dangerous activities or other forms of malpractice arebrought swiftly to management’s attention, and reported
into Fairtrade International’s global Whistleblowing
scheme. The policy will enable and encourage employees
to raise genuine concerns about possible wrongdoing
at work without fear of reprisal and to reassure themthat such matters will be dealt with professionallyand effectively. Policies should designate responsible
individual(s) with whom employees may safely raise theirconcerns, and ensure those receiving reports are fully
trained in the procedures to follow, including where andhow to report into the global Whistleblowing scheme.
All Members are committed to ensure any Whistleblowing
Policy takes into account any national regulations governing
reporting to authorities, public information disclosure, andbest practice in not-for-profit sector governance.
3.3 Risk Management
Fairtrade is committed to creating an organizational
culture that enables the global System to achieve its
objectives through appropriate management of risk.
Sound risk management practices help to ensure that
we take advantage of opportunities whilst also mitigating
threats to our strategic objectives and business. All
Fairtrade Members commit to establishing and operatinga system of risk oversight and management to identify,
assess, monitor and manage risks related to the conductof their own activities. Members also have an obligation
to contribute to Fairtrade’s global risk management
system, reporting any known System-wide risks arisingfrom their own activities or assessments or actions being
taken to mitigate or obviate these.

THE CODE11RESPECTFair trade is a trading partnership built on mutual
respect, and respect for the human dignity and rights
of all people is a core value we live by in the Fairtrade
System. This means Fairtrade Members should:•• uphold and champion the human rights of those
involved in international trade, in particular
the men, women and children in communities
around the world who are associated with
Fairtrade supply chains (Principle 4)•• respect, value and nurture all those working for
Fairtrade organizations as employees, contractors
or volunteers (Principle 5).

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THE “CODE”

Principle 4. We respect, protect and champion human rights,
and fight for those disadvantaged in international trade
RESPECT

PRINCIPLE

4. We respect, protect andchampion human rights, andfight for those disadvantaged ininternational trade

All individuals acting or travelling on Fairtrade businessmust be made aware of their responsibility to follow
procedures, including timely reporting of any suspectedcases of breach of standards and/or policies designed
to protect children and vulnerable adults. (See also
Sections 5.2 and 5.3 below on Child Protection and Sexual
Exploitation and Abuse.)

4.1 Human Rights
4.2 Protection of Children and Vulnerable
Adults from Violence and Abuse

4.3 Gender Equality and Women’s
Economic Empowerment

4.3 Gender Equality and Women’s
Economic Empowerment

Gender inequality remains a major barrier to humandevelopment globally. Fairtrade is dedicated to promoting
equality and enabling women and men to access thebenefits of Fairtrade equally.

4.4 Workers’ Rights
4.1 Human Rights
All Fairtrade Members commit to demonstrating anorganizational commitment to human rights, as enshrinedin the United Nations (UN) Convention on Human Rights,
and embedded in frameworks such as the UN Guiding
Principles on Business and Human Rights. Fairtrade
should seek to operate to the same standards on humanrights as we expect of the businesses and supply chainswith whom we work through our standards, certificationand programmes. Members’ human rights statements andpolicies should reflect the universal nature of human rights
for all regardless of race, religion, ethnicity, disability, age,
displacement, caste, gender or gender identity, sexual
orientation, poverty, class or socio-economic status.
4.2 Protection of Children and Vulnerable
Adults from violence and abuse
Fairtrade Members are committed to upholding all humanrights and ensuring that our actions are in accordance withthe principles enshrined in the UN Declaration of Human
Rights and the UN Convention on the Rights of the Child,especially those articles focussing on the protection of children
and vulnerable adults. These principles, along with relevantInternational Labour Organization (ILO) Conventions on Forced
and Child Labour and commitments in the UN Global Compact
are enshrined in Fairtrade Standards for Small Producer
Organizations, Hired Labour, Contract Production and Traders.
In the framework of this code, all Members commit
to developing and implementing internal policies andprocedures designed to protect the wellbeing of children
and vulnerable adults in communities associated with
Fairtrade supply chains, and to safeguard them fromany form of violence or abuse and that are in line withinternational conventions, good practices and domestic law.

The Fairtrade Gender Strategy seeks to promote genderequality and women’s empowerment in producer
organizations by building women’s and girls’ power andautonomy, and to deliver a transformative approach togender mainstreaming in the Fairtrade System.
Fairtrade Members are encouraged to demonstrate theircommitment to achieving gender equality in global supply
chains and in the Fairtrade System itself, showing where
and how their strategies, plans, programmes and/or
partnerships contribute to the achievement of the goals
in the Gender Strategy, as appropriate to the size andresources of their organization, their role in Fairtrade andthe nature of their work. (See also Section 5.6 below on
Diversity and Equal Opportunities.)
4.4 Workers’ Rights
As a movement dedicated to ensuring every person
can, through their work, maintain a decent standard ofliving, Fairtrade is committed to promoting and protecting
workers’ rights, as enshrined in the Conventions of theInternational Labour Organization.
Members should publish their commitment tochampioning workers’ rights, including the right tofreedom of association and collective bargaining, andto listening to and disseminating the perspectives ofworkers in Fairtrade supply chains. Members should seek
opportunities to collaborate internally and with external
partners, trade unions and workers’ rights organizations
to address the continuous improvement of workers’ rights
and working conditions as laid out in Fairtrade Standards,
and Fairtrade International Workers’ Rights and Living
Wages strategies. (See also Section 5.7 below on
workers’ representation within our own organizations.)

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Principle 5. We respect, value and nurture those who work for us

RESPECT
PRINCIPLE

5. We respect, value and nurture
those who work for us
5.1 Code of Conduct
5.2 Child Protection
5.3 Sexual Exploitation and Abuse
5.4 Harassment and Anti-Bullying
5.5 Human Resources
5.6 Diversity and Equal Opportunities
5.7 Workers’ Representation

5.1 Code of Conduct
All Members commit to developing and implementing a
Code of Conduct, which requires those employed by,contracted to or representing them externally to upholdthe values, principles, policies and procedures of theorganization. Members must ensure that all individuals
commit to comply with their Code of Conduct, haveprocedures in place to deal with any breaches of their
Code of Conduct, and ensure high-level oversight
including through their own governance bodies.
The Code of Conduct should apply to Board members,
Board Committee members, directors, employees
and staff members, contracted consultants, individual
contractors, volunteers, student assistants, interns, andimplementing partners and responsible parties engaged
by Members of the Fairtrade System for the delivery of
projects or activities and therefore working in Fairtrade’s
name. Members must ensure that any incidence of
breaches of their own Code of Conduct are also reported
in a timely manner into Fairtrade International’s global
compliance system, and any other affected Members
should be alerted where necessary.
5.2 Child Protection
The Fairtrade System upholds children’s rights tosurvival, development, protection, and participation as
set out in the United Nations Convention on the Rightsof the Child. We believe that child protection is both acorporate and an individual responsibility, and every
person who shares in the work of Fairtrade also sharesin the responsibility to take every precaution to protect
the children and families we serve.

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THE CODEAll Members commit to developing and implementing
an internal Child Protection Policy and Procedure forall staff, consultants or others working on an employedor voluntary basis, which lays out clear guidelines
for safeguarding children’s wellbeing. The policy andprocedure should be clearly referenced in any Code of
Conduct as per Section 5.1 above.
5.3 Sexual Exploitation and Abuse
Fairtrade has a zero-tolerance towards sexual exploitation
and abuse, and is committed to the prevention andprotection of all individuals from all forms of sexual
exploitation and abuse. We understand sexual exploitation
as the actual or attempted abuse of a person in a positionof vulnerability, differential power, or trust, for sexual
purposes, including, but not limited to, profiting monetarily,socially or politically from the sexual exploitation ofanother. Sexual abuse refers to the actual or threatened
physical intrusion of a sexual nature, whether by force orunder unequal or coercive conditions. All sexual activity
with a minor is considered as sexual abuse.
Fairtrade Members must adopt policies laying out the
responsibilities of staff, Board and Committee members,
consultants and contractors, volunteers or interns tocontribute to the prevention of sexual abuse. These shall
include clear procedures for addressing any allegations
or concerns, ensuring the safety and protection of any
potential victim of abuse, and for preventing any future
harm. A commitment to uphold policies and proceduresshould be part of the Member Code of Conduct.
5.4 Harassment and Anti-Bullying Policy
Fairtrade Members are committed to providing a safe
and suitable working environment, in which there ismutual trust, respect and confidence. Members must
operate zero-tolerance towards any form of harassment
or bullying that causes employees or other persons to feel
intimidated, insecure or offended.
Bullying may occur face-to-face, by email, telephoneor letter and can take the form of spreading malicious
rumours, unfair treatment, aggressive behaviour towards
another person, picking on or regularly undermining
another person, or unfairly denying someone training ordevelopmental opportunities. Bullying can take place
between senior and junior people, or between peers.

RESPECT

Members commit to adopting clear policies to prevent
harassment and bullying, and integrating these into theirstaff Code of Conduct. Members’ policies should ensure
appropriate mechanisms are in place for detecting, reporting
and remediating any report of harassment or bullying, withclear procedures for staff and managers to follow.
5.5 Human Resources
As a Fairtrade System committed to upholding the humandignity and value of all those work, or who wish to work,in our organizations, Members commit to operating
human resource policies designed to:•• recruit and retain a skilled and diverse workforce•• enhance workforce competencies through effective
professional development and training•• provide effective leadership and performance
management for the organization•• drive organizational effectiveness and change
programmes, adapting to the external environment,
financial forecasting, emerging strategies and directions•• provide appropriate remuneration and benefits toemployees and contracted organizations and individuals•• ensure compliance with relevant employment, healthand safety legislation and drive best practice.
Members should demonstrate how they operate
professional human resources management, as
appropriate to their size, income and nature of their work.
All Members should put in place a core set of humanresource policies.
5.6 Work force Security
Fairtrade International and its members agree to adopt
appropriate measures to protect workers, consultants,
and contractors working in conflict countries or regions,or in places where their physical integrity and life can be
put in danger.

5.7 Diversity and Equal Opportunities
Members commit to practising inclusion and nondiscrimination on the basis of sex, age, religion, race,
ethnicity, economic status, caste, citizenship, sexual
identity, ability/disability and urban/rural locality.
Members will be able to demonstrate a clear policy
commitment to equality of opportunity for all employees,
and aim to ensure their workplaces are free of all formsof discrimination. These should be embedded within theircore employment policies and procedures, applied torecruitment processes, and reported and monitored aspart of organizational governance systems. The objective
is to create and sustain a work environment that supports
and assists every person to reach his or her maximum
potential.
Members are encouraged to adopt policies suitable totheir own organizational size, role and national legislative
frameworks to contribute to the achievement of genderequality within their own organizations and employment
practices, as a complement to commitments to driving
gender equality in Fairtrade supply chains and producer
communities (as outlined in Section 4.3 above).
5.8 Workers’ Representation
As part of Fairtrade commitments promoting andprotecting workers’ rights, as enshrined in theConventions of the International Labour Organization, we
seek to ensure fair working conditions and constructive
relationships between management and employers within
our own organizations, based on mutual trust, respect
and regular dialogue.
According to their size and the nature of their work,
Fairtrade organizations should establish an official system
for representation of workers’ voices with management,
and ensure employees are freely able to join trade unions
or other forms of worker association, according to theirown choice. Members commit to operating transparent
systems and processes for negotiating any changes
to working conditions, policies or procedures affecting
employees.

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INTEGRITY
Operating with integrity means that Fairtrade follows
its own principles and values, and that we:•• are honest and transparent in sharing truthful
information about who we are, what we are doing
and how well we are performing (principle 6)•• organise and govern our organizations anddecision making processes in a transparent,
responsible and democratic manner (principle 7)•• hold ourselves to at least the same standards
that we expect of others in terms of fair andsustainable trade practices (principle 8).

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THE CODEPrinciple 6. We are honest, trustworthy
and transparent about how we work
6.3 Working with the MediaINTEGRITY
PRINCIPLE

6. We are honest, trustworthy andtransparent about how we work
6.1 Annual Reporting
6.2 Communication / Public Information
Disclosure
6.3 Working with the Media
6.4 Data Governance
6.5 Conflict of Interest

6.1 Annual Reporting
Transparency is a core principle of Fairtrade’s way ofworking, and Fairtrade is committed to providing clear
and accessible information about our strategy, our plans,
what we are achieving, how we are spending monies
entrusted to us in pursuit of agreed goals, and where weneed to change and improve what we do and how.
Members must publish annual reports according to bestpractice on reporting in their respective sectors and national
regulatory requirements. Annual reports must include
summaries of audited financial accounts, comply with
reporting requirements of regulatory bodies in their countriesof registration, and be approved by their Boards of Directors
and Trustees. Members must disseminate their Annual
Reports to stakeholders and make them publicly available.
6.2 Communication / Public Information Disclosure
Fairtrade aims to speak out powerfully and with one
voice as a global movement. Our communications seek
to drive the conversation about the need for change ininternational trade and about Fairtrade’s own role as acredible and significant actor driving positive impact forfarmers and workers.
All Fairtrade communications should be aligned withthe principles and guidelines outlined in Fairtrade
Communications Strategy, Fairtrade’s Brand Handbook andMark Management guidelines, as well as the Media Crisis
Management Procedure (see section 6.3 below). It is vitalto Fairtrade’s integrity that our communications are open
about the context of poverty, inequality, human rights andthe realities of Fairtrade’s work, acknowledging problems
as well as providing evidence in support of positive impact
messages. This puts the Fairtrade System on the front foot,being honest about those challenges, rather than being
defensive and reacting to criticism as it comes.

Fairtrade recognizes the important role of the media indriving public engagement and understanding of the needfor fairer global trade and the work we do. The developmentof professional contact with journalists locally, nationally orinternationally is an important part of managing Fairtrade’soutreach and reputation. Fairtrade seeks to work proactively
with the media to bring stories to their attention, as well
as respond in a timely manner to any stories, requests for
information, or in response to allegations about the impact
and effectiveness of our own work.
Fairtrade Members should deal openly and transparently
with the media, insofar as this is in line with policies andprocedures regarding protection of vulnerable people,
data protection and commercial confidentiality. Members
must ensure that there is a clear point of contact
responsible for dealing with media enquiries swiftly andefficiently. Individuals should be trained in good practice
media management, and be familiar with Fairtrade’s
media crisis and risk management policy and procedure.
6.4 Data GovernanceFairtrade collects, processes, transfers and uses
producer, licensee and trader data for the purposeof compliance with our standards and certification
processes, for assessing the impact of Fairtrade, creating
reports and providing support to Fairtrade Producer
Organizations. Members also collect data in relation
to market-based activities, from individual supporters,organization representatives, funders and donors, andfrom suppliers and other contracted partners.
Members shall treat any information received fromanother Party, including any reported data, internal
policies and training documents, as confidential.
Members must ensure that their employees,
representatives, consultants and or other contracted
partners adhere to policies regarding confidentiality.
Confidentiality obligations do not apply where disclosure
may be required by law or by governmental authorities, or
if information has already been made public elsewhere.
Members must have a clear data protection and privacy
policy in place, and be transparent in the purposes
and processes for any data collection, data use andprocessing or data sharing within the Fairtrade System.
Data protection and privacy policies must be compliant
with national and/or international legislation.

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RESPECT

6.5 Conflict of Interest
The Fairtrade System works with many different
stakeholders to achieve secure and sustainable
livelihoods for Farmers and Workers. As such, employees
and consultants of Fairtrade Members often work withproducers and traders, receive confidential informationfrom both sides and may even act as a mediator fornegotiations. Employees, Directors, Board or committee
members or consultants must exercise the utmost goodfaith in all transactions involved in their duties, and theymust not use their positions with Fairtrade Internationalor with its Members, or knowledge gained from theirposition, for their personal benefit or to benefit one party
to the disadvantage of the other.
Members must implement an approved Conflict ofInterest policy, which defines certain typical conflicts ofinterest that could arise within their operational context
and the appropriate procedures and possible remedies
to be applied.

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THE CODEPrinciple 7. We govern our affairs in a responsible,
democratic and transparent way
7.3 Legal Compliance

INTEGRITY
7.
PRINCIPLE

We govern our affairs in a
responsible, democratic andtransparent way

7.1 Global Governance and Ownership
7.2 Member Governance
7.3 Legal Compliance
7.4 Decision Making Roles andResponsibilities
7.5 Membership

7.1 Global governance and ownership
Fairtrade International’s General Assembly is the highest
authority within the Fairtrade System, and is the bodythrough which Members exercise their responsibilities andpowers as owners of the Association. 50% of decisionmaking votes are held by Producer Networks and 50% by
National/Regional Fairtrade Organizations. All Members
have the right of representation by way of Delegates at
the General Assembly via their membership groups. The
Board of Fairtrade International is elected by the General
Assembly to provide year-round governance of the global
Fairtrade System. Its membership is based on nominations
representing Producer Networks, National/Regional
Fairtrade Organizations and independent members.
Members commit to actively participate and exercise
their ownership rights and responsibilities through the
General Assembly and International Board, according
to the rules and procedures laid out in Fairtrade
International’s Constitution.
7.2 Member Governance
All Members are responsible for establishing andoperating their own effective governance bodies. Good
governance is accountable, transparent, compliant withlaws and regulations, responsive to stakeholder needs,
efficient, equitable, inclusive and participatory, and in linewith relevant statutory guidance and best practices fororganizations of similar nature and size.

Ensuring Fairtrade organizations operate according
to the laws and regulations of their country/region iscentral to the integrity of our global Fairtrade System. All
Fairtrade Members are required to be legally registeredentities in their own country of operation and must ensure
they meet legal obligations and reporting requirementswith regard to relevant authorities. Members should
ensure that they include professional legal advice andoversight in all relevant organizational, financial, policy
development, human resources, contract development or
dispute resolution processes.
Fairtrade Members respect anti-trust and competition law
when engaging in discussions with competitors (eg. othercertification, licensing and labelling bodies or commercial
suppliers working in the same sectors, productcategories and markets), as well as the implications ofcompetition law for any negotiations leading to licensing,trading deals or commercial partnership development.
7.4 Decision Making Roles and Responsibilities
The Fairtrade System respects the autonomy ofMembers to freely make decisions relating to their own
organization, provided that such decisions do not conflictwith the overall direction of Fairtrade, or resolutions anddecisions of the General Assembly, and respect the
Policy and procedures on territorial rights and interests(see section 9.3 below).
7.5 Membership
Membership of Fairtrade International is open to National
or Regional Fairtrade Organizations or Producer Networks
operating within a defined geographical location. The
process and criteria for applications for membership,
and the rights and obligations of Members are laid out in
Section 4 of the Fairtrade International Constitution. The
Governance Committee and the Board are responsible forreviewing any application for new membership. Decisions
on membership are taken by the General Assembly.
Members may be subject to sanctions by the Boardor the General Assembly for any major breach of therights, membership obligations or compliance reporting
requirements of the Fairtrade System.

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Principle 8. We practice what we preachin relation to fair and sustainable trade
8.3 Living Wages

INTEGRITY
PRINCIPLE

8. We practice what we preach inrelation to fair and sustainable
trade
8.1 Procurement Policy
8.2 Ethical and Fairtrade Sourcing
8.3 Living Wages
8.4 Environmental Management andImpact8.1 Procurement Policy
Members will operate clear, transparent and open
processes when procuring (or issuing tenders wherethese apply) for supplies, equipment and services,and ensure that contracts are managed with goodadministrative practices and sound business judgement.
Members commit to dealing fairly and transparently with
their suppliers, including paying fair prices for services.
Fairtrade Members’ own Code of Conduct will apply
to procurement of goods and services (including
management of contracts and grants) to govern theperformance, behaviour and actions of Members’
governance bodies, employees or related parties, andto ensure vested interests or conflicts of interest are
avoided. Members’ procurement policies will ensure open
and transparent processes for all contracting or tendering
for goods or services above an agreed value, as set by
their own governance structures.
8.2 Ethical and Fairtrade Sourcing
Members are encouraged to model best practice inprocurement of ethical, Fairtrade and sustainably certified
goods and services for their offices, events or otheractivities, wherever these are available in their local market.
Where Fairtrade certified goods are not available, orfor products and services not currently covered by
Fairtrade standards, Members should apply ethicaland sustainability criteria, or other relevant recognised
certifications wherever they can. Members are encouraged
to seek to source goods and services from companies
able to demonstrate their commitment and actions to drive
positive social, environmental and economic sustainability,
alongside other considerations on value for money, as partof any contracting or evaluation of supplier options.

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Members will uphold and promote payment of living
wages both internally and in relation to any service
providers and procurement policies. As a minimum,
Members will ensure they source from, and partner with,organizations able to demonstrate full compliance with
relevant national legislation governing minimum wage
levels. Recognising that in many countries, national
minimum wage levels still sit below poverty lines,
Members will seek to pay above minimum or industry
standard rates where necessary and possible, and apply
available calculations of living wages where these exist.
Members are encouraged to support coalitions andplatforms established in their own main country/region ofoperation, to improve wage levels to close any gap between
existing levels and benchmarks for living wages, to the bestof their ability, according to their own size and capability.
8.4 Environmental Management and Impact
In recognition of the global environmental and climate
emergency, Members commit to environmental
sustainability and climate change prevention, and to
improved environmental outcomes in their work towards
Fairtrade’s goals to improve livelihoods for small-scale
farmers and workers through better trade.
Given the need for urgent action to address environmental
and climate impacts, Members will demonstrate anorganizational commitment to environmental sustainability
and improved environmental outcomes in their own
internal operations, seeking to minimise negativeenvironmental impacts wherever possible in relation totheir size, nature of work and influence. This includes
travel, office and property management, procurement ofgoods and services, events, meetings, or use of vehicles
and equipment. Members will encourage all employees
or other contracted parties to be responsible in their own
behaviour and their use of natural resources to the best of
their own ability.

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Principle 9. We collaborate and coordinatE
our efforts as one global organization
PARTNERSHIPPRINCIPLE

9. We collaborate and coordinate
our efforts as one globalorganization
9.1 Strategic Planning
9.2 Membership roles andresponsibilities
9.3 Territorial Rights and Interests
9.4 Resourcing the Global System

9.1 Strategic Planning Processes
The global Fairtrade System is committed to aparticipatory and democratic approach to strategicplanning, and to ensuring the effective collaborationand co-ordination of Members in the establishment,
monitoring and reporting, and review and evaluation ofstrategic plans. Members commit to actively participate
in global strategic planning processes, and to a spiritof cooperation and solidarity in the interests of building
consensus over contextual analysis, strategic directions,priorities and plans. Members shall support the fullparticipation of Producer Networks and their membership
through the strategic planning process to ensure thevoices and reality of small farmer organizations andworkers in Fairtrade are clearly heard. Members should
respond to requests for information or feedback in atimely manner, and collaborate within their membershipgroups and relevant working parties to facilitate theprocess of final decision by the General Assembly.
9.2 Membership roles and responsibilities
Members commit to fulfilling their own statedresponsibilities as laid out in the Fairtrade International
Constitution, this Code and any existing or futureMembers’ Agreements or relevant resolutions of Fairtrade
International’s General Assembly or Board. In order tomaximise efficiency, and focus skills and experience,
Fairtrade Members seek to respect the roles of otherparts of the Fairtrade System, bring in relevant expertisefrom others when needed for their own work, and avoid
duplicating the roles of others.

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9.3 Territorial Rights and Interests
When it comes to territorial matters, Fairtrade Members
commit to treating each other fairly and respectfully,
and to following the policy on Territorial Rights andInterests adopted at the General Assembly in 2018,
and the processes laid out therein for consultation andinformation sharing.
9.4 Resourcing the Global System
In order to ensure a robust global system, Fairtrade
is reliant on collaboration and partnership amongst
Members to provide sufficient resources to deliver thecore functions and programmes agreed as part of the
global strategy. Members are required to pay annual
membership fees as determined by the Fairtrade
International Board in accordance to the Constitution.
Members will not withhold or make any offset against
their membership fees, unless agreed by the Fairtrade
International Board. Members are encouraged tocollaborate with each other and with Fairtrade International
to secure major partnership funding for agreed
programmes and initiatives, and to leverage relationships
with governments and major funders in the service ofthe global System, especially where collaboration could
result in greater resources being mobilised than would
be possible by an individual Member. Members may alsomutually provide financial or in-kind assistance to eachother without any intervention by the Board of Fairtrade
International, but in the interests of full transparency all
Members should declare any assistance received orprovided by other parts of the Fairtrade System.

Principle 10. We build partnerships andcollaborate for greater global impact
10.2 Movement for fair and sustainable trade

PARTNERSHIP
10.
PRINCIPLE

We build partnerships
and collaborate forgreater global impact

10.1 Farmers’ and Workers’
Organizations
10.2 Movement for fair andsustainable trade
10.3 Stakeholder engagement
and participation
10.4 Fairtrade Supply Chain Partners
10.5 Corporate Partnerships
10.6 Policy and Advocacy
10.7 Professional Networks
and Forums

10.1 Farmers’ and Workers’ Organizations
As an organization whose vision and mission is to secure
better livelihoods from international trade for farmers
and workers, Fairtrade works in close partnership withorganizations of small producers and workers, and isproud to be the only global product certification schemethat is 50% owned by Fairtrade producer networks.
Fairtrade seeks wherever possible to collaborate with thewider movements representing small-scale farmers andartisanal miners, with the cooperative movement and withworkers’ rights and trade unions in pursuit of a common
vision to improve the livelihoods and terms of trade, wage
and income levels, safe and secure working conditions,fulfilment of human rights and actions to reduce negativeenvironmental or social impacts from international trade.
We are committed to listening to the voices of small scale
farmers’ networks and movements and to internationallyrecognised workers’ rights platforms and trade unions,in the development of our standards, policies andprogrammes. We value and support common platforms
and partnerships to drive systemic change at local,
national and international level.

The organizations that make up Fairtrade International arepart of a bigger Global Fair Trade Movement, united by
a common vision, purpose and set of shared principles
as laid out in the International Fair Trade Charter. We
are committed to collaborating across our movement
to campaign for trade justice for farmers and workers,
and secure more opportunities for disadvantaged
producers to secure a fairer deal for their products. We
work together to advocate the principles and practices
of Fair Trade towards government and intergovernmentalorganizations and as part of established public
procurement processes.
The Fair Trade Movement is also part of a wider platform
for ethical and sustainable trade, and for responsible,
trustworthy certification of supply chains and products
made, grown or harvested in line with credible and robustsocial, environmental and economic standards. Fairtrade
International works closely with partners as part of the
ISEAL Alliance to develop and implement common codesof good practice in managing credible sustainability
standards. Members collaborate locally, nationally or
regionally with a range of producer platforms, civil society
and NGO networks, other certification or ethical labellingbodies, ethical trade initiatives and academic institutions
to build common good practice, share insight andlearning, advocate for shared policy goals, drive publicawareness and consumer behaviour change, or engage
with government in supporting innovative alternativemodels of trade and production.
10.3 Stakeholder engagement and participation
Fairtrade has a partnership approach to trade, and thecontribution of many stakeholders to its development
ensures that we remain rooted in the real experiencesof producers, businesses, civil society organizations,
government policy makers, researchers and membersof the public.
Fairtrade therefore seeks to ensure the meaningful
participation and listen to the experience and insightof key stakeholders in our governance, our standard
and policy setting processes, business innovation
approaches, programme development, advocacy andcampaigning initiatives. Members commit to ensuring
effective and timely communication with stakeholders in
relation to new information or developments in the global
Fairtrade System.

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PARTNERSHIP

10.4 Fairtrade Supply Chain Partners

10.6 Policy, Advocacy and Global Campaigning

Fairtrade’s partnership approach to working withbusinesses in global supply chains relies on building
relationships that are mutually respectful, accountable
and responsive. Maintaining effective customer relations
with licensees, traders and other private sector partners is
critical to the trust they place in us, and to value for moneyfor businesses engaging with the Fairtrade System.

To achieve the radical shift Fairtrade seeks to a fair,sustainable global trading system, Fairtrade must workwith others who share our vision to bring about greatersystemic change, and bring its own insight and experiencefrom practising an alternative approach to the attention of
government and other decision makers and influencers.

Members commit to operating high standards ofcustomer service for supply chain partners andtimely involvement in any standards, policy or otherdevelopment that may impact upon their business,ensuring their voices are heard alongside others.
Fairtrade Members must also fulfil their duties tochallenge business partners when necessary, always
maintaining a culture of respect.
Fairtrade Members are encouraged to collaborate with
Fairtrade corporate partners to develop and leverageappropriate insight and learning from their supply chain
experience, and to inform the ongoing strengthening of
the Fairtrade System. Where there is good alignment ofpolicy and vision, Fairtrade organizations may work withprivate sector partners on joint platforms for influencing
industry, government or other stakeholders for the benefitof farmers and workers.
10.5 Corporate Partnerships
The Fairtrade System respects the autonomy ofMembers to freely make decisions relating to the fundingof their own organization and to enter into corporate
partnerships, provided that such decisions do not conflictwith the Constitution and decisions of the General
Assembly and respect the Policy and procedures onterritorial rights and interests of other members.

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THE CODEAt the heart of Fairtrade’s approach to policy andadvocacy, Members commit to amplify the voices of
farmers and workers in key policy debates, supportingthem to confront policies at the national, regional andglobal level that impede fair trade and sustainablebusiness. Fairtrade will also support platforms for
producers, civil society and consumers to work
together for government policies that create an enabling
environment for fairer trade. Fairtrade Members also seek
to engage the public in thinking about the actions they
can take individually, or within families and communities,
including purchasing and product choices and theactions they can take to influence greater change, and tochampion and support local communities in forging theirown local campaigns for Fair Trade.
10.7 Professional networks and forums
The global Fairtrade System is part of a wider movementof professional, standards and certification, agriculturaland manufacturing, not-for-profit, social enterprise andcivil society organizations engaged in building social
justice, global sustainability and more equitable trade. As
such, we have much to contribute to, and learn from, ourpeers at local, national and international level.
Fairtrade Members are encouraged to contribute toprofessional networks and forums relevant to their status,
size and the nature of work, and to draw on training, bestpractice or codes of conduct within their own sector.
Fairtrade Members are encouraged to join and take part ininitiatives or common cause campaigns where these could
contribute to addressing opportunities or threats facing the
Fairtrade System and the communities we represent.

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Appendix 1: Glossary of Terms

Accessible: easy to reach, approach, speak to or use.
Presented in a form, format, language or media that is
appropriate to the audience and readily usable.
Accountability: the processes through which anorganization makes a commitment to respond to andbalance the needs of stakeholders in its decision
making processes and activities, and delivers against
this commitment (Pathways to Accountability, the GAP
Framework One World Trust, 2005).
Advocacy: a systematic and strategic approach toinfluencing governmental and institutional policy andpractice change. In Fairtrade it refers to policies andpractices that create an external environment in which
fairer trade practices can flourish, and which provide
a platform for the needs and voices of marginalised
small-scale producers and workers to be heard andunderstood.
Allegation: an accusation, made by a third party,
claiming that a Fairtrade operator is violating Fairtrade
policies and procedures, is damaging Fairtrade
International’s reputation or is misusing the FAIRTRADE
Certification Mark. Furthermore an allegation can include
claims against a Fairtrade operator not certified by FLOCERT to violate the Fairtrade standards.
Anything of Value: includes cash, gifts, gratuities, travel,
meals, entertainment and offers of employment. Also may
include event sponsorships, consultant contracts, andcharitable contributions made at the request of, or for the
benefit of, a Third Party’s employee, their family, or otherrelations, even if made to a bona fide charity.
Association: the Association of Fairtrade Labelling
Organizations International (or Fairtrade International)
acting collectively through its Central Office or one ormore of its Members.
Bribery: the offering, promising, giving, accepting or
soliciting of an advantage as an inducement for an
action which is illegal, unethical or a breach of trust.
Inducements can take the form of Anything of Value,
including gifts, loans, fees, rewards or other advantages(taxes, services, donations, favours etc.). (See also
definition for Anything of Value)
Board: the Board of Fairtrade International elected
through the General Assembly.
Brand Mark: the Association’s corporate identity symbol
and trademark.

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Campaign: a project designed to mobilise public or otherstakeholder support towards a defined change goal.
Central Office: the Central Office of Fairtrade
International, which provides professional andadministrative support to the governance bodies of the
Association and which coordinates specific tasks tosupport and encourage global system functioning andany other functions as directed by the Board.
Child Labour: work that deprives children of theirchildhood, their potential and their dignity, and that isharmful to physical and mental development (IPEC/ILO).
See also glossary terms: Worst Forms of Child Labour;
Hazardous Child Labour.
Child Protection: actions, policies and proceduresthat create and maintain environments in which children
are protected from all forms of exploitation, violence orabuse, and their rights and needs are respected.
Child Rights: the rights as listed in the 54 articles of theUnited Nations Convention on the Rights of the Child(UNCRC).
Civil Society/Civil Society Organization (CSO): civilsociety is “the arena, outside of the family, the state andthe market, where people associate to advance commonsocial interests” (CIVICUS Civil Society Index). Civil
Society Organizations (CSOs) include Non-Governmental
Organizations (NGOs), not-for-profit organizations,charities, community-based organizations, religiousorganizations, trade unions, foundations and otherinstitutions outside of the corporate or government sectors.
CLAC: the Cooordinadora Latinoamericana y del Caribe
de Pequeños Productores y Trabajadores de Comercio
Justo, or the Latin America & Caribbean network of
Fairtrade farmers and workers.
Collective Bargaining: a process of negotiation
between employers and a group of employees aimed
at agreements to regulate working salaries, working
conditions, benefits, and other aspects of workers’
compensation and rights for workers.
Complaint: an accusation, made by a third party, against
Fairtrade services, Fairtrade conduct and/or Fairtrade
staff/representative and/or consultant claiming that
this person or organization violated Fairtrade policies,
procedures and regulations or Fairtrade Services, or
damaged Fairtrade’s reputation.
Confidentiality: a state of keeping information private
or process of protecting it from disclosure that could be
harmful to an individual or organization.

APPENDICES

Consent to Release: a document in which a producer
organization, or other certified entity, authorizes, uponrequest, any member organization to release its individual
data to a third party outside the Fairtrade System.

Expert Body: an independent expert body in which thecomposition is solely based on the expertise needed ona particular subject matter under discussion without arequirement for membership group representation.

Constitution: the Constitution of Fairtrade International,
as amended from time to time by the international Board,and approved by the General Assembly.

Fairtrade Activities: the collected activities to be
performed by Fairtrade International and its Members
in pursuance of Fairtrade, as reserved to Fairtrade
International or allocated to any of its membership groups(NFOs and PNs), all as described in the Constitution andas resolved by the General Assembly from time to time.

Corruption: the abuse of entrusted power for private gain.
Data: data collected, processed and used by Fairtrade
International whether this be individual organizational,
operational or business data of certified producer
organizations (POs) in which the identity is clearly shown.
Development: process of bringing about positive andsustainable change or progress.
Dignity: the feeling of having decision making power,
freedom and autonomy over life choices, of having selfworth and self-confidence, and having the respect of others.
Disability: a long term physical, mental, intellectual or
sensory impairment which in interaction with various
barriers may hinder full and effective participation insociety on an equal basis with others (UN Convention on
Rights of People with a Disability).
Disadvantaged: those who are in a social or
economically unfavourable position in relation to others,or are excluded from opportunities available to others. In
international trade disadvantaged farmers and workers
are those who face barriers in accessing markets and/or
employment on fair terms delivering a decent livelihood.
Diversity: recognition of every individual as unique andrespect for differences, in relation to issues including
race, ethnicity, gender, sexual orientation, socioeconomic status, age, physical or mental abilities,
religious or political beliefs, or other social or cultural
background or ideology.
Due Diligence: research and analysis of an organizationin preparation for a programme, business transaction or
activity, prior to signing any contractual agreement.
Effectiveness: the degree to which actions andinterventions are successful in delivering the desired result.
Efficiency: performance against time and resource
parameters, measuring inputs and outputs, including
value for money, and the quality of outcomes delivered.
Ethical: in accordance with rules or standards for correct
conduct and practice, whether they be social, financial/economic or environmental.

Fair Trade Advocacy Office: a joint initiative of Fairtrade
International and the World Fair Trade Organization
based in Brussels, which co-ordinates advocacy andcampaigning in favour of fair trade and trade justice.
Fairtrade Africa: the member organization of Fairtrade
International representing the network of Fairtrade
Producers in Africa and the Middle East.
Fairtrade Association: Fairtrade Labelling Organizations
International e.V., acting collectively through its Central
Office or one of more of its Members (Fairtrade
International Constitution).
Fairtrade Assurance Scheme: the rules and procedures
established by Fairtrade International ensuring adequate
and credible oversight of implementation, verification
and use of the Fairtrade Standards and the licensing ofIntellectual Property of Fairtrade International.
Fairtrade Intellectual Property: any Fairtrade
Trademarks and any other intellectual property of Fairtrade
International, including the Fairtrade Standards, theFairtrade Assurance Scheme, the domains and websites ofFairtrade International, any studies, reports, overviews andother materials created by or for Fairtrade International.
Fairtrade International: the abbreviated term used torefer to Fairtrade Labelling Organizations International e.V.
FAIRTRADE Mark/Fairtrade Certification Mark: theregistered trademark owned by the Association.
Fairtrade Marketing Organization (FMO): an
organization with the main purpose of promoting Fairtradein territory where no National/ Regional Fairtrade
Organization is registered, and which has a contractual
relationship with the Association.
Fairtrade Member: organization contributing to thedelivery of Fairtrade’s governance and organization
including Fairtrade International’s Central Office;
FLOCERT; Regional and sub-regional Fairtrade Producer
Networks and offices; National or Regional Fairtrade
Organizations and Fairtrade Marketing Organizations.

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APPENDICES

Fairtrade Products: finished products certified toFairtrade standards, or product categories eligible forcertification.
Fairtrade Proprietary Assets: any Fairtrade Intellectual
Property and any entities owned or controlled, in whole orin part, by Fairtrade International, as well as any financial
assets, real estate and any other tangible or intangible
assets owned or controlled, in whole or in part, by
Fairtrade International.
Fairtrade Producers: farmers and workers involved in
the producer organisations that are certified to Fairtrade’s
Producer Standards.
Fairtrade Standards: the Fairtrade International
Standards, including Producer and Trader Standards,
Product Standards and Guidance Documents,
established and amended by Fairtrade International fromtime to time.
Fairtrade System: the organizational structures, existingfrom time to time, for the purpose of realizing Fairtrade
and the Fairtrade Activities, with such organizational
structures being currently composed of Fairtrade
International, its subsidiaries, its Members, Applicant
Organizations and Fairtrade Marketing Organizations.
Fairtrade Trademarks: any registered or non-registeredtrademark owned by Fairtrade International.
Farmers and Workers: individual farmers, workers,
artisans or equivalents; including those who are members
or employees of Fairtrade Producers and Producer
Organizations.
FLOCERT: the global certification body for Fairtrade,
offering verification services to Fairtrade organizations
globally. It operates as a subsidiary to Fairtrade
International, to act independently of the standard-settingside of the organization, ensuring quality and credibility of
the Fairtrade certification system.
Fraud: a deliberate deception to secure unfair or unlawful
gain, or to deprive a person or organization of a legal
right. Fraud includes false representation, failure todisclose information or abuse of position.
Freedom of Association: the right of workers andemployers to establish and join organizations of their own
choosing, and to organize freely and not be liable to bedissolved or suspended by administrative authorities.

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Gender: the socially ascribed characteristics andopportunities associated with being a man or a woman,and the relationships between them. In contrast, sexrefers to the physical characteristics and differences
between males and females as determined by biology.
Gender equality: The concept that all human beings, men
and women and boys and girls, are free to develop theirpersonal abilities and make choices without the limitations
set by stereotypes, rigid gender roles, or prejudices.
Gender equity: Fairness in the distribution of
responsibilities and benefits between women and men; thismay require temporary positive measures to compensate
for the persistent disadvantages women experience.
Gender mainstreaming: the process of assessing theimplications for women and men of any planned action,
including legislation, policies or programmes, in any area
and at all levels. It is a strategy for making the concerns andexperiences of women as well as of men an integral partof the design, implementation, monitoring and evaluationof policies and programmes in all political, economic andsocietal spheres, so that women and men benefit equally,
and inequality is not perpetuated. The ultimate goal ofmainstreaming is to achieve gender equality.
Gender sensitivity: The demonstrated ability to take
into account gender issues in development strategies
and actions.
General Assembly (GA): the General Assembly of
Fairtrade International, which brings together representativesof all Member organizations, Producer Networks andsubsidiary bodies, according to the rules and procedures
laid out in the Constitution and terms of reference.
Good Practice: a recommended technique,methodology or approach that has been shown throughprevious experience or research to work well, reliably,
produce desirable results.
Governance: the way in which an organization is
managed at the highest level, and the systems for
decision making over its policies and practices.
Guidelines: information and advice to aid theestablishment of a particular area of work or course ofaction, which can include rules, principles, checklists,
examples, model planning documents or procedures.
Human Rights: the basic rights and freedoms thatbelong to every person in the world from birth to death,as laid out in the Universal Declaration of Human Rights
and reflected in international conventions, and in regionaland national legislation.

APPENDICESISEAL: also known as ISEAL alliance, the global
membership organization for driving credibility of global
sustainability standards, of which Fairtrade International
is a member.
Legislation: a law or set of laws adopted by a Government.
KPIs: Key Performance Indicators which are related
to certain measurable criteria, and which are used toevaluate the performance of the Fairtrade International
Central Office, Fairtrade Members and Fairtrade
International’s CEO.
Licence Agreement: a contracted agreement between a
Fairtrade Member and a business which sets out the terms
and conditions for the use of the FAIRTRADE Mark (or othertrademark) on products certified to Fairtrade standards.
Licence Fee: the fee paid by a business or otherpartner to a Fairtrade Member for use of the FAIRTRADE
Certification Mark (or other Fairtrade Ingredient/ProgramMark) on products certified to agreed Fairtrade standards.
Licensee: a business or organization who has signed a
Licence Agreement with a Fairtrade Member.
Media Crisis: a situation that exists in the media
or social media that has, or risks having, a serious,
negative and long-term impact on an organization, or an
organization’s reputation.

Non-disclosure Agreement (NDA): means anagreement signed between an individual or organization(either internal or external) for the purpose of sharing
specific data relating to Fairtrade’s operations, producer
and trader partners with that particular member
organization, in line with Confidentiality policies.
Non-discrimination: fair and unprejudiced treatment of
all categories of people.
Non-governmental Organization (NGO): an
organization on a local, national or international levelthat is independent of government or international
governmental organizations. NGOs usually operate on a
not-for-profit basis, are typically rooted within civil society
networks, and exist to further a particular social, political,
economic or environmental cause.
Not-for-profit (NFP): an organization with rules that do
not allow it to distribute profits or assets to its members,
management or anyone else with whom it is operating,but which reinvests on an ongoing basis into its mission
and objectives.
Participatory: allowing opportunities for individuals orgroups to join in with a process of decision making ordevelopment.

Member: see Fairtrade Member.

Partner: individuals, groups of people or organizations
that collaborate with Fairtrade Members to achieve
mutually agreed objectives.

Membership: the legal status of being a full member ofFairtrade International from the date of acceptance assuch by Fairtrade International until termination of suchstatus, both in accordance with the Constitution.

Partnership: an ongoing working relationship with one
or more Fairtrade Members and/or stakeholders, rooted
in a shared vision, with mutually agreed objectives,
programmes and resource allocation.

Monitoring, Evaluation and Learning (MEL): theprogramme of monitoring and impact assessment that
Fairtrade uses to assess progress against our vision andstrategy, and which supports learning and improvementin the Fairtrade System. Fairtrade’s MEL system iscompliant with ISEAL’s Impacts Code.

Personal Data: any information concerning the person
or material circumstances of an identified or identifiable
natural person.

National/Regional Fairtrade Organization (NFO):
a member of Fairtrade International operating the
Fairtrade Mark which includes awareness raising for
Fairtrade, licensing of the Fairtrade Mark and representing
Stakeholders within a defined geographical territory inwhich Fairtrade Products are sold or where the market for
Fairtrade Products may be developed and with support
from businesses and civil society organizations.
Network of Asian and Pacific Producers (NAPP):
the member organization of Fairtrade International
representing the network of Fairtrade Producers in Asiaand the Pacific Region.

Policy: a document outlining principles, rules andguidelines that have been formulated or adopted by anorganization to guide its overall conduct, decisions or a
specific course of action, in line with its vision and longterm goals.
Producer Network (PN): a regional network of
Fairtrade Producers who work together to advance theircommon interest, providing technical support, shared
policy, advocacy and joint programming, and who
represent Fairtrade Producers in the governance of the
Fairtrade System.
Producers: see Fairtrade Producers.
Standards: see Fairtrade Standards.

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APPENDICES

Stakeholders: any or all individuals or groups with aninterest in Fairtrade’s success in delivering its intended
results, which can affect or are affected by Fairtrade’s
policies and/or actions. For the purposes of thisconstitution it shall include (without limitation) all those
who contribute to its work financially or in kind, or havea mandate to represent Farmers and Workers and canhelp the Association address the needs of those groups.
It shall also include other Fair Trade networks andemployees of the Association.
Strategy: Fairtrade’s Global Strategy, usually adopted for
3-5 years, and approved by the General Assembly.
Supply Chain: see Value Chain.
Sustainable development: development that meets theneeds of the present without compromising the ability of
future generations to meet their own needs.
Theory of Change: a method that explains how anintervention, or set of interventions, may be expected
to lead to a specific development change, drawing on
causal analysis based on available evidence. Used to
guide the development of evidence-based strategies,
with assumptions and risks spelled out, as well as
for evaluation and learning about what is working or
hindering progress, so that approaches may be adjusted
for better impact.
Third Party: Any stakeholder or partner organization withwhom Fairtrade interacts in the course of their Fairtradeactivities, including but not limited to: ministries andgovernment officials, producer organizations, member
organizations (Producer Networks and National Fairtrade
Organizations), Fairtrade Marketing Organizations,companies, NGO’s, Donors, UN organizations and otherpartners and individuals.
Trade Union: an organised association of workers in aworkplace, profession, trade or group of trades formed
in order to protect and promote their rights and interests.
Trade unions are usually independent of employers, buthave close working relationships with them.
Trader: any individual or enterprise actively engaged in
the buying, selling or processing of Fairtrade products,
or any operator who takes legal ownership of Fairtrade
products.
Transparency: an organization’s openness about its
activities, providing information on what it is doing, where
and how this takes place and how it is performing.

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Value Chain: the process by individuals and enterprises
produce and receive raw materials, add value to themthrough various processes to create a finished product,and sell the finished product to customers. Also often
referred to as a supply chain.
Volunteer: a person who willingly gives their time for thecommon good and without financial gain. This includes
formal volunteering that takes place within organizations
in a structured way, and informal volunteering acts
by supporters giving their time outside of a formalorganizational system.
Whistleblower: a member of staff, volunteer, contractor
or partner who reports suspected wrong-doing, including
suspicion of fraud, misuse of resources, neglect of duties,
breach of human rights or risk to health and safety.
Workers’ Rights: the legal rights and claimed humanrights relating to labour relations between workers andtheir employers, and enshrined in labour and employment
laws – covering issues such as pay, benefits and safe,
respectful working conditions.
Worst Forms of Child Labour (WFCL): the forms ofchild labour as defined by Article 3 in ILO Convention 182,
including slavery, trafficking, debt bondage, forced orcompulsory labour, forced recruitment for armed conflict,prostitution, pornography, illicit activities, drug production
and trafficking, or any work likely to damage the health,safety or morals of children.
Youth Inclusive Community Based Monitoring andRemediation (YICBMR): a local community and child/young person centred approach (used in several Fairtrade
producer communities) for establishing locally-owned andimplemented systems for identifying and remediating risks
to child wellbeing, and protecting the rights of children
and young people.

Appendix 2 – Background to Values and Principles

Fairtrade International’s Constitution lays out some
important principles in managing a global Fairtrade System:•• Equity – recognizing the rights and responsibilities of
all Members towards furthering the objectives of the
Association in relation to their capacity to do so.
•• Fairness – recognizing the need for all Members to betreated reasonably and to have their views heard indecision-making processes.
•• Transparency – recognizing the need for Members toshare information with each other and to respect theconfidence of such information shared by others.

Fairtrade’s Brand Handbook from 2010, is also rooted
in the following set of values underpinning how we
express our brand in behaviours, words and imagery bothinternally and externally:•• Action•• Integrity•• Respect•• Challenge•• Optimism•• Non-discrimination – recognizing the need for rules toapply consistently to all Members.
•• Mutual respect – recognizing that a diversity ofopinions and experiences can strengthen the ability of
the Association to further its objectives.
•• Justice – recognizing the responsibilities of all
Members towards the prevention and elimination of
unfair trade practices affecting Fairtrade Producers.

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