How can fair trading change the world?

Objective: To explain why the trade system in LEDCs is unfair and keeps countries poorTo understand how fair trading can help LEDCs to develop

Outcome: Produced a leaflet to persuade members of the public to buy fair trade products.

Homework due in: newsletter completed

Research homework! Which fair trade products can you find?

Starter activity: Why is Ghana poor conclusion!

Just a bar of chocolate!

• On your map of the world colour in all the cocoa producing countries one colour

• Then, colour all the chocolate consuming countries another colour

Ext: What do you notice about all the location of the two groups? Use your key words to explain.

Example: The Cocoa Trade

This chocolate bar (use your imagination!) represents the cocoa industry in Ghana

Who should have the largest share of the chocolate bar?

1. The hard working farmer who grows the cocoa beans in order to earn an income for his family?

3. The UK/Spanish government who also take tax on any profits?

2. The Ghanaian government who take a tax on any profits made?

4. UK Supermarkets that sell the chocolate bar?

5. The multinational company that makes the chocolate bars from cocoa?

How is the chocolate bar shared?

Ghanaian Farmer8%

UK Supermarkets23%

UK owned Multinational Company

43.5%

UK Govt17.5%

Ghanaian Govt8%

How much do you all get?

• farmer 8 cents• cocoa buyers 7 cents• importer 14 cents• chocolate company 28 cents• shops 28 cents• government 15 cents

Is this Fair?

• A lot of people say NO!!

• Large companies and rich governments take profits away from poor farmers.

GhanaSaid to be the producer of the world’s finest cocoa, Ghana relies heavily on this trade, which is its second most important export after gold. The climate in Ghana, with its high temperatures and high rainfall, is perfect for growing cocoa. But despite it being so important an export, many of the two million cocoa farmers in Ghana earn less than £50 per year.

Read page 23

Explain why Ghana has problems with trade?

Why is Ghana so poor?• Today rich countries are still in control of the world’s raw

materials such as cocoa and coffee. • By charging high taxes for the import of processed goods and

lower taxes for raw materials, rich countries prevent poor countries from developing their own manufacturing industries.

• For example, importing cocoa beans to Europe is cheaper than importing cocoa butter, and cheaper still than importing chocolate.

• In addition, the demand for raw materials is declining as a result of technology and the development of substitutes.

• This has resulted in a fall in the world market prices for raw materials.

• So countries like Ghana remain poor even though they have plenty of raw materials.

What is Fair trade?http://www.youtube.com/watch?v=AAnc2zQ8evk

1) Who owns most of the big plantations in LEDCs

2) What is the problem for workers on plantations?

3) What is the problems with chemicals on plantations?

4) What problems do family farmers have?

5) Why is this system unfair?

6) What are producer organisations/cooperative?

7) What is fair trade?

8) What is the money used for?

9) How do they protect the environment?

10) Why will people pay a higher price?

11) How can consumers help?

12) What is the fair trade foundation´s job?

13) Name some fair trade products!

What can we do?

• Products with this sign are fairly traded

This means that farmers get :

• A fair price• Fair working conditions• More control over their own

lives

Where can I buy Fair Trade Products?

Here is a range of fair trade products available from most supermarkets

What’s in it for me?

• Not only do the Fair Trade products on sale taste delicious, you will also come away with the knowledge that you are helping others.

http://www.maketradefair.com

What is fair trade?

• Fair trade aims to change the rules of international trade.

• The Fairtrade Foundation was set up by CAFOD, Christian Aid, Oxfam, Traidcraft and the World Development Movement to ensure a better deal for producers from developing countries.

• It awards the Fairtrade mark for products as a guarantee that farmers and producers in developing countries are paid a fair price for their work, have safe and decent working conditions and that they are not exploited or mistreated.

Homework Task: Fair trade advertSkill: 1.5 Human processes

Use the sheets and the website provided to create an advert for Divine Chocolate persuading people why fair trade is better for development in the worldhttp://www.divinechocolate.com

This will be levelled – see below:Level 4: I can describe in detail how fair trade works and why it is better Level 5: I can explain some ways how fair trade can help change the lives of farmers Level 6: I can explain how fair trade can have an effect on the lives of the individual and of the country as a whole

Homework Task: Fair trade advertSkill: 1.5 Human processes

Use the sheets and the website provided to create an advert for Divine Chocolate persuading people why fair trade is better for development in the worldhttp://www.divinechocolate.com

This will be levelled – see below:Level 4: I can describe in detail how fair trade works and why it is better Level 5: I can explain some ways how fair trade can help change the lives of farmers Level 6: I can explain how fair trade can have an effect on the lives of the individual and of the country as a whole