Fair Trade Sustainability Alliance

F a i r T S A

General Presentati on

©Global Innovations for Fair Trade

What makes the FairTSA program unique?FairTSA developed a Fair Trade program with strong

requirements regarding environmental and social sustainability.

High professionalStandard, complyingWith all ISO requirements

Minimizing the Certification andLicensing effort

Maximizing the Benefit for Producers and theircommunities

Creating value for Buyers and consumers

Goals

FairTSA minimizes Certification & Administration

Using the established structure of ISO 65 accredited organic certification agencies

Accepting organic and other food quality certification systems as part of FairTSA requirements

Tailoring audits to their exact purpose, minimizing certification costs

Co-branding with certifiers and licensees

Increased accountabilit

y and transparency

Low overall system costs

No expensive parallel

inspections

Advantages for Consumers

FairTSA

Bio-agricert

Biocert India

Ceres

NASAA

QC&I

Agreco

Control Union

CCOF

BCS

Mayacert

Our collaborating certifiers represent more than 20,000 certified operations

FairTSA Cooperating Certifiers

Inspection

Players in the FairTSA Program

Global catalog of certifiers

FT Standard

Lice

nse

Au

dit

Social Pre./Fair Price

FairTSA

Licensees

Certification Producers

Products

Community Development Support

Training

Advantages of Separation between Standard Holder and Certifier

As FairTSA is only the standard holder, we are free to provide these services and still be in compliance with ISO guidelines, which prohibit certifiers from coaching, consulting and providing of marketing support.

FairTSA conducts independent audits of both cooperating certifiers and certified producers and randomly shadows inspectors

We are not in the certification business

Our focus is on: • Communication with all of our clients• Coaching of producers to help them become compliant and remain in compliance

with our standard requirements• Help with marketing of FairTSA certified products

Assurance of Fair and Above Market Prices

Prices for our certified products are 7% above prices for comparable products in the region (basis: farm gate price)

In addition, engagement in a Community Development Project has to be instituted, and an additional Social Premium of at least 3% of the farm gate price is due for capital investment in the producer community

The price is negotiated between the parties who are required to take the provision above into account, aided by Fair TSA

Additional: FairTSA may institute a Minimum Price if world market prices fall below production cost + reasonable margin

Ensuring Better Wages and Working Conditions

Ensuring Better Wages and Working Conditions by Goal-Oriented Inspections Inspectors check at least three (or more, depending on number of

workers) actual work contracts and attach copies to inspection report for review

Inspectors check if wage documentation is complete for all workers Inspectors check working and living conditions (if applicable) and

document non-compliances via digital photographs Inspectors conduct informal interviews with workers

Ensuring Sound Environmental and Stewardship Practices (organic operations) We accept NOP, European, Australian and Canadian organic regulations

as basically fulfilling our sound environmental practices requirements Currently, more than 95% of our producers are certified under the

above organic regulations In addition, we have requirements for:

the treatment of protected species, the preservation of valuable ecosystems sustainable waste management techniques

Ensuring Sound Environmental and Stewardship Practices (non-organic operations) FairTSA require best practices for agricultural operations, including

Crop rotation Minimization of run-off Use of compost Use of non-chemical crop protection practices

Limited use of pesticides with exclusion of most dangerous and persistent ones

The same additional requirements as for organic operations apply

FairTSA Community Development Service We have developed our own

innovative community development service

We regard our cutting-edge participatory community development program as the best way to leverage small farmers’ and workers’ engagement and investment in such projects can multiply the actual investment amount

Our participatory self-evaluation system allows for direct evaluation of the program and as such serves not only the community, but can also serve as a tool to demonstrate project progress and impact

Producer/community projects

Collaborative planning and

support

Socia

l P

rem

ium

Community Development

FairTSACertifierLicensee

Local NGO

Pro

ject

Au

dit

Pro

ject

Rep

orting

CD Service Fee

KDP*

*KDP=Key Development Partner, usually a processing facility with highly committed management

Scope of Certification Inspection (Audit):

Entity Audit scope and scheduleAgricultural producers in country of origin

Full scope of standard every year

Processing in country of origin Full scope of standard every year

Traders in country of origin Limited Audit very yearTraders, processors, manufacturers, co-packers in country of import

Limited audit every year, full certification for multi-ingredient products

Scope of Certification & Inspection:Agricultural Production Fair prices Appropriate working, living and

occupational health & safety conditions No discrimination because of race or

tribal association, gender, sexual orientation etc.

Freedom to unionize or create worker committees

Environmental sustainability (either organic or clearly described agricultural practices with limited pesticide use)

If applicable: Community development project progress

Fair T

rade

Scope of Certification & Inspection:Processing in Country of Origin

Fair wages Appropriate working and

occupational health & safety conditions

Product integrity: Audit trail Check for prohibited

ingredients Prevention of commingling

Labeling

Training Initial training consists of at least:

Studying of relevant documentation (Standard, Inspection and Certification Guide, System Plans and Inspection Reports, supporting literature)

A 4 hour on-site training session or live webinar A questionnaire to be successfully answered (85%) Operation-specific training before first inspection Review and feedback for first inspection report

We also have a train-the trainers program, where participating certifiers can have especially qualified personnel be trained for training their own personnel.

Types of Certified Products: Fruit, fruit purees, dried fruit, IQF fruit, grains, beans, herbs, seeds, nuts, oils, sweeteners

Double certification (organic/FT) Enhanced Community

Development visibility

Marketing Social responsibility

Double certification (organic/FT) Expansion of audit business

Cost-effective for existing clients New clients

Receive premium price Community Development

resources

Summary of Benefits of Engaging in FairTSA

Long-term relationship Marketing

For Producers

For Certifiers

For Licensees