128
The initial Fairtrade premium was used to buy mills and computers to assist producers’ cooperative. Green Net operates paying the small producers in advance, and
those producers organised into groups buy the paddy and store them. Once rice is
grown, they are milled and delivered to Green Net for packaging and trade, as Green
Net receives export orders and systematises sales. Thai rice is traded with countries
as Germany, France, Italy and the UK.
According to Becchetti et al. (2012) analysis, fair trade is an opportunity to
increase the market access for small producers and to reduce the vulnerability of
producers who depend on “monopolistic transportation intermediaries” (Becchetti
et al. 2012, p. 119). Drawing from reviews, those authors rejected the existence of
stereotypical exclusive relationships between fair trade affiliated producers and the
fair trade channel, as some farmers continued to sell part of their production at the
local market and to intermediaries. Becchetti, Conzo and Gianfreda’s tested hypothesis demonstrated that fair trade affiliation added economic value more than on the
control groups, showing an increase in income of fair trade affiliated producers. The
latter were able to sell a higher percentage of their production, keeping family size
and the amount for self-consumption equal in both groups compared. This meant
that 1.100 producers secured a higher income while working with assurance of a set
of good working conditions. Becchetti et al. (2012) remarked the importance of
promoting a culture of impact studies to explore further and assess this alternative
in trade.
9.5.2 Bolivian Quinoa Case
The present example demonstrates that globalisation can have side effects, and a
model to include small farmers can also increase inequalities in the presence of
economic growth. While several authors recommend impact evaluation of fair trade,
Carimentrand and Ballet (2010) stress that numerous studies about the impact of
certification schemes and fair trade exist. According to them, most studies indicate
the positive effects of fair trade on “artisans, agricultural producers, and employees”
(Carimentrand and Ballet 2010, p. 3); however their study reports on a counterexample: the negative effects of quinoa peaking production to attend the fair trade
export market.
Quinoa production from Peru, Bolivia and Ecuador summed 17,747 metric
tonnes in 1970. In 2005 their production together had reached 53,443 metric tonnes.
It is reported that Bolivian quinoa production has increased from the 1990 onwards,
according to Carimentrand and Ballet (2010). Thus, Bolivian quinoa production
departed from 344 tonnes in 1990, to deliver 1423 tonnes in 2000, and 7641 in 2006
(Carimentrand and Ballet 2010). In the case studied, quinoa is grown in eight
administrative provinces from the Bolivian Altiplano, and each province is divided
into municipalities that include different communities. The middle of the year 2000
is marked by the arrival of agro-industrial business hiring producers to attend large
commercial contracts given the increasing demand for quinoa in the global market.
A. C. Ribeiro-Duthie
The initial Fairtrade premium was used to buy mills and computers to assist producers’ cooperative. Green Net operates paying the small producers in advance, and
those producers organised into groups buy the paddy and store them. Once rice is
grown, they are milled and delivered to Green Net for packaging and trade, as Green
Net receives export orders and systematises sales. Thai rice is traded with countries
as Germany, France, Italy and the UK.
According to Becchetti et al. (2012) analysis, fair trade is an opportunity to
increase the market access for small producers and to reduce the vulnerability of
producers who depend on “monopolistic transportation intermediaries” (Becchetti
et al. 2012, p. 119). Drawing from reviews, those authors rejected the existence of
stereotypical exclusive relationships between fair trade affiliated producers and the
fair trade channel, as some farmers continued to sell part of their production at the
local market and to intermediaries. Becchetti, Conzo and Gianfreda’s tested hypothesis demonstrated that fair trade affiliation added economic value more than on the
control groups, showing an increase in income of fair trade affiliated producers. The
latter were able to sell a higher percentage of their production, keeping family size
and the amount for self-consumption equal in both groups compared. This meant
that 1.100 producers secured a higher income while working with assurance of a set
of good working conditions. Becchetti et al. (2012) remarked the importance of
promoting a culture of impact studies to explore further and assess this alternative
in trade.
9.5.2 Bolivian Quinoa Case
The present example demonstrates that globalisation can have side effects, and a
model to include small farmers can also increase inequalities in the presence of
economic growth. While several authors recommend impact evaluation of fair trade,
Carimentrand and Ballet (2010) stress that numerous studies about the impact of
certification schemes and fair trade exist. According to them, most studies indicate
the positive effects of fair trade on “artisans, agricultural producers, and employees”
(Carimentrand and Ballet 2010, p. 3); however their study reports on a counterexample: the negative effects of quinoa peaking production to attend the fair trade
export market.
Quinoa production from Peru, Bolivia and Ecuador summed 17,747 metric
tonnes in 1970. In 2005 their production together had reached 53,443 metric tonnes.
It is reported that Bolivian quinoa production has increased from the 1990 onwards,
according to Carimentrand and Ballet (2010). Thus, Bolivian quinoa production
departed from 344 tonnes in 1990, to deliver 1423 tonnes in 2000, and 7641 in 2006
(Carimentrand and Ballet 2010). In the case studied, quinoa is grown in eight
administrative provinces from the Bolivian Altiplano, and each province is divided
into municipalities that include different communities. The middle of the year 2000
is marked by the arrival of agro-industrial business hiring producers to attend large
commercial contracts given the increasing demand for quinoa in the global market.
A. C. Ribeiro-Duthie