Promoting Fair trade & Sustainable Consumption in India · and retailing initiatives for...
Transcript of Promoting Fair trade & Sustainable Consumption in India · and retailing initiatives for...
The project - Pro Sustain Country India
Funding Total: 1,040,376 Euro. EU: 832,301 Euro (80%)
Duration 01.01.2010 - 30.06.2013
Lead Partner Hivos
Partners International Resources for Fairer Trade (IRFT), Fair Trade Forum India (FTF-I)
Associate - Shop for Change Fair Trade (SFC)
Overall Objective: To contribute to building environmentally sustainable production and consumption practices that help reduce poverty amongst poor farmers and handicraft producers in India.
Specific Objective: To create a consumer market for fair trade products in India that measurably contributes to the improvement of rural livelihoods and provides farmers and artisans with the resources necessary to follow environmentally sustainable production practices.
Beneficiaries of the Action
Poor Farming and Handicraft producing families across
India
+/- 900 000 women and men
Target Groups
SME Members of FTF-I & Shop for Change
10 Major Branded Product Manufacturers
100 Students each in 75 Colleges
90 Corporate Offices with Gift Program
350 000 Upper Middle Class Consumers
Ministries of Commerce; Textiles & Agriculture
Outputs of the Action
Building Environmentally sustainable Production
practices
Reduce Poverty amongst poor Farmers and
Handicraft producing families.
Measurably contribute to the improvement of
Rural Livelihoods
Create Awareness on sustainable consumption
practices
Create a Consumer market for Fair Trade
Products
Create A Retail Channel for Fair Trade
Where Pro Sustain started…
Main barriers Pro Sustain
addressed
Lack of consumer
awareness on Fair Trade
values & practices
Limited presence of ‘Fair
Trade’ products in markets
Conducive Policy
Environment 36.3
63.7
0
10
20
30
40
50
60
70
% S
tud
en
ts
Yes No
Awareness of Students of Fair Trade Concepts and Its Products
37.1
62.9
0
10
20
30
40
50
60
70
% R
esp
on
den
ts
Customers
Awareness of Fair Trade Concepts and Its Products
Yes
No
Ref; Baseline Survey, Conducted by FTF-I
37.1 % Customers Aware about Fair Trade
36.3 % Students Aware about Fair Trade
Age Profile of the Customers
18.8
34.7
23.4
8.9
3.6 3.96.7
0
5
10
15
20
25
30
35
40
45
50
15-19 20-24 25-29 30-34 35-39 40-44 >45
Age-Group
% C
usto
mers
Age Profile of the Students
29.2
56.9
13.9
0
10
20
30
40
50
60
70
15-19 20-24 > 25Age-group
% S
tud
en
ts
Main opportunity: Who are the Consumer Groups?
Urban Middle Class & Youth : Potential age group of 20 – 35 yrs
Ref; Baseline Survey, Conducted by FTF-I
More than 57 % Potential Customers are young
36.3 % Students Aware about the values of Fair Trade
Drivers for Mainstreaming Sustainable Consumption
Income Profile of the Customers
24.6
18.6
6.7
1.0 1.7
47.5
0
10
20
30
40
50
60
<25,000 25,000-
50,000
50,000-
75,000
75,000-
100,000
> 100,000 No Income
Monthly Income
% C
usto
mers
Income Profile of the Students' Family
13.9
26.625.1
16.9 17.6
0
5
10
15
20
25
30
35
40
45
50
<25,000 25,000-50,000 50,000-75,000 75,000-100,000 > 100,000
Income Per Month
% S
tud
en
ts
Income level shows potential to purchase of
Consumers
Fair Trade Brand for Shops
Fair Trade Label(Domestic)
Corporate Procurement & Gifting
Lobbying with government
Exhibitions
Youth Outreach programs
Strategies for Mainstreaming Sustainable Consumption
For Corporates:
-Corporate conclave
-Corporate Procurement
& Gifting
With Government:
Exhibition & sale of
natural products & Policy
suggestions
Tactics for Mainstreaming Sustainable
Consumption
Actress Shefali Shah
releases Corporate Combo
Marketing sustainable consumption
Celebrity Endorsements…the Bollywood connection!
Shabana Azmi
Purab
KohliS.C.Seker Anirudha
Gul Panang
EKA Band Shefali ShahParveen
Dabbas
Usha Uthup
& Ramsey Lewis
Post Awareness Willingness to Buy Fair Trade Products among
Students
68.9%
31.1%
Yes
No
75.7
24.3
0
10
20
30
40
50
60
70
80
% R
esp
on
den
ts
Customers
Post Awareness Preference to Buy Fair Trade Products
Yes
No
Need of Credible Brand &
Identifiable Label
Mainstream Product
availability
Communication training for
service providers
Consumer awareness
Media Engagement /
Effective use of social media
Celebrity endorsements
Need for Fair Trade
Curriculum in colleges and
schools
Engaging Government on
policy promotion
Corporate commitment on
procurement
Lessons on marketing sustainable consumption
RefL Survey, Conducted by FTF-I
Majority wish to buy Fair Trade
products when they were briefed about
its values
Engaging Government
Engaged with Government Ministries and other agencies to put sustainable
consumption and fair trade procurement in their activity agendas.
Government support ensured in terms of the promotion of Fair Trade at
exhibitions, in promotional campaigns and through retail collaboration.
Fair Trade product presence at two Nation-wide Exhibitions in years II and
III of the project.
Policy documents for promotion of Fair Trade submitted to at least three
ministries /departments of National Government.
Government resources or infrastructure were made available during and
after the project to promote sustainable consumption and Fair Trade.
Medium Small and Marginalized Entrepreneurs (MSMEs) in State
Governments have been sensitized and co-opted to hold Product
Consumer meets for Fair Trade Products
Policy Advocacy
Raised the issues and problems of producers at appropriate
levels/institutions to provide inputs for policy making to the
Ministries of Commerce & Trade, Environment, Textiles and
Handicrafts, Agriculture, Labour, such as -
unorganised women work force including artisans in the
studies being conducted by government agencies. Sensitised
them on how the Fair Trade approach helps to address some
of the issues on women participation in livelihood generation
activities.
to global issues and positioning of FTF-I within the global Fair
Trade Fraternity, issues on global standards on Fair Trade,
issues with member organisations and memberships, practice
of standards by members, etc,
Policy contribution to Govt of India’s 12th Plan
Components of social and environmental concerns and the upcoming global statutory regulations to ensure gender equity, fair wages and environment friendly practices/ processes and products that are free from child labor should be included as the core objectives of relevant Government Schemes.
Introduce a value chain fund to address the short term capital requirements of small producers
A single brand based on the ideals of Fair Trade to integrate marketing and retailing initiatives for handicrafts/ handloom/natural food/ tribal craft
A separate fund to support craft communities to get benefit of GI
There shall be clear guidelines towards integrating various government schemes that covers handicrafts sector such as schemes by Ministry of MSME, Ministry of Agriculture, Ministry of Rural Development and Ministry of Commerce
Outcome of Pro Sustain
Increased Consumer Awareness in four Major Cities in India
o Bangalore - Delhi – Hyderabad - Mumbai
o IRFT reached ca. 10.8 Million People
o FTF-I organized 10 Trade fairs & Awareness programs at various campuses
IRFT reached 40 Colleges = 25 000 Students, FTF-I reached 111 Colleges = 40 000 Students- Target was 75 Colleges & 7500 students
Over 125 Companies sensitized to incorporate Fair Trade Products in their Gifts
Fair Trade sales Increased from 3.62 Million Euro to 10 Million Euro - FTF-I and Shop for Change combined
Innovative approaches
Consumer Helpline on Fairtrade
Celebrity endorsements and youth sensitisation
FTF-I registered with ‘JustDial’ – India’s telephone directory service
Documentary “Fair Trade: A Way Forward” and its dessimination at various platforms
Organising CSR Conclave for corporate
Harmonising Inter – Agency
Information, Communication Systems
Regular Meetings
Shop for Change
14 Commercial Brands Certified
6 Producer Brands Certified
Available in over 150 Stores & on Line
By 2014 45 SFC Branded Shops Across India
7 000 Farmers Certified in 7 States
12.2 Million Certified products Sold
1.3 Million Consumers reached through Media
States in India with Fair Trade presence
New Delhi 2 Stores
Maharashtra 4 Stores
Gujarat 2 Stores
Himachal Pradesh 1 Store
Tamil Nadu 4 Stores
Haryana 1 Store
Uttarakhand 5 Stores
Kerala 1 Store
Karnataka 3 Stores
Rajasthan 4 Stores
Odisha 2 Stores
Total 30
At the end of the Project 112 Members
Increase in Artisan & Farmer Base from 80 000 to 200000 via its Members
Maintenance of Cross Cutting Issues
Human Rights
Gender Equality
Democracy
Good Governance
Children's Rights
Environmental Sustainability
o Are amongst the 10 Fair Trade Standards Practiced by Fair Trade
Organizations/Members
Learnings
Amount of Time & Effort to change Sourcing patterns
Government Involvement & procurement policy
Access to finance for Fair Trade producers
Maintaining the momentum post project with consumers and corporate buyers.
Easy and continued availability of Fair Trade products – supply chain management.
Develop a unified Marketing Strategy addressing retail, hospitality and corporate buyers – eg. Hotel IBIS use certified cotton, Airlines consume certified products
Addressing value chain development from farm to retail under Fair Trade
A strong partnership and cohesive approach to implementation challenges in a vast and varied country like India.
Way Forward…
Build on achievements of Pro Sustain in creating the
ecosystem for sustainable consumption and production.
Nurture the brands and channels created, deepen and
widen Fair Trade products and service to sensitized
consumers.
Address key challenges -
o Access to finance to strengthen green agri-value chain
o Improving access to markets for Fair Trade producers
o Capacity building of MSMEs to manage and grow their
basket of sustainable goods and services.
Introducing…..New project A2F
Continuation of EU-SWITCH Asia Support –EURO 1.28 million initiative
for 48 months started April 2014.
Partners – Hivos, IRFT, India Foundation for Humanistic Development
(IFHD) and Friends of World Women Banking (FWWB)
Picking up from where Pro Sustain concluded
Objectives of A2F
The overall objective of the action is that MSMEs
increasingly adopt sustainable technologies using
financial incentives and linkages with retail markets.
• Specific objective 1:- Promotion of sustainable practices
across the supply chain of MSMEs:
• Specific objective 2: - To incentivise access to finance for
MSMEs adopting sustainable procurement & production
practices.
• Specific objective 3: Promotion of sustainable
consumption through certified production & procurement
practices
Key components of A2F
Result Areas Outputs
1. Increased use of sustainable
technologies by 30 MSMEs leading to
diversification of green and fair
products
1. Comprehensive survey and report on low cost,
sustainable, post harvest technologies viable in target
locations
2. Database of technical experts and extension service
providers to facilitate capacity building of MSMEs
3. Case studies documenting MSMEs adoption of
sustainable technologies and diversification of green
and fair products
2. Improved access to finance for 80
MSMEs using sustainable production
and post harvest technologies
1. Policy paper(s) making the business case for green
finance of MSMEs to the commercial banking sector
2. Dissemination workshops for the commercial banking &
financing sector and relevant Government forums
3. Increased market linkages and
consumer demand for 30 MSMEs for
green and fair products
1. Policy paper to promote procurement of sustainably
certified products by Govt agencies.
2. Promotional materials & media outreach to corporate
buyers and 10 million middle class consumers
Thank You
On behalf of Hivos
Aruna Rangachar Pohl
Executive Director
India Foundation for Humanistic Development
[email protected] +919538821481
Skype: aruna.pohl www.ifhd.in