Fairly Traded Goods

Holly Lynch Excerpts

Wednesday 7th March 2018 Westminster Hall

[Geraint Davies]

I very much agree. A small increment in the price in the supermarket makes a massive difference to the take-home pay of the producers, who are often exploited. The hon. Gentleman knows that a third of the world’s population live on less than $1 a day. We must ask, who are those people? How can we help them? How significant is that help? A few pence on the price of a banana makes a massive difference.

[Holly Lynch (Halifax) (Lab)]

My hon. Friend is making a powerful speech, and I congratulate him on securing the debate. It is Fairtrade fortnight, which presents a fantastic opportunity relating to his point about knowing who benefits. I congratulate the Fairtrade Foundation and others that host fair trade producers in the UK so that those producers can share their stories. Those stories are incredibly powerful and bring fair trade to life for lots of consumers in the UK. As much of that work that we can do, the better. It really does bring this issue to life for people.

--- Later in debate ---

[Harriett Baldwin]

I think the hon. Gentleman is indirectly alluding to another major supermarket that came up with a different approach. He will be aware that the hon. Member for Walthamstow (Stella Creasy) has been in touch with the Advertising Standards Authority and that it ruled on the situation today. I will not dwell on that, because it is a matter for the Advertising Standards Authority, but I join him in celebrating the fact that the Fairtrade brand has stood the test of time. As consumers, we all know and understand it. I welcome his championing of that. It is also important that, as a Labour and Co-operative MP, he highlights the work that the Co-op does in stocking Fairtrade brands.

I am happy to highlight the work that the Department has done over a long period to support Fairtrade and the principles it stands for of free, fair and inclusive trade. It is one of the cornerstones of our economic development strategy, which sets out our plans to promote economic growth and decent jobs worldwide, and ultimately to build a safer, healthier, more prosperous world. To do that, and to achieve those really stretching sustainable development goals by 2030, we will need to continue to work in partnership with businesses, non-governmental organisations, producers and consumers on the important agenda that the hon. Gentleman highlights.

The UK public have demonstrated enormous commitment to Fairtrade, not only in Wales but across the land. There are some 600 Fairtrade communities—including Ipswich, as we heard—and 1,000 Fairtrade academic institutions that help to promote the message. In 2016, the Fairtrade market in the UK generated £32.3 million in premiums, which is money that goes directly to farmers and workers in developing countries. Those communities lead on what the money is spent on, which empowers workers to decide what their priorities are. Last night, I had the privilege of meeting Ketra, a coffee farmer from Uganda, who pointed to the improvements that have occurred over time in her community as a result of that premium.

Fairtrade plays a vital role in ensuring that the rights of workers at the bottom of the supply chain are recognised—an important issue that the hon. Gentleman highlighted—and that businesses have the tools to prevent and stop exploitation. The Government are fully committed to supporting that through the Modern Slavery Act 2015.

[Holly Lynch]

The Minister is being very generous with her time. When the right hon. Member for Witham (Priti Patel) was Secretary of State, I met her to talk about the Fairtrade principles. One of the most exploitative industries around the world is mining—a point made powerfully by my hon. Friend the Member for Swansea West (Geraint Davies). Fairtrade Gold has done some fantastic work in the industry, and the former Secretary of State was interested in liaising with the Fairtrade Foundation to see what more DFID could do to apply Fairtrade principles to mining around the world. Will the Minister update us on whether that appetite is still there and whether there have been any new developments?

[Harriett Baldwin]

The hon. Lady raises a really important point that applies not only to gold, but to so many other minerals; some of the working conditions for people in the cobalt industry are absolutely scandalous. I will follow up on her point and elaborate more on what we are doing, because she makes a very powerful suggestion. When we buy phones, for example, we should know that the minerals in them have been mined in good working conditions.

We are working with Fairtrade to develop Fairtrace, a new supply chain mapping tool for cocoa, coffee and tea that will help UK brands and consumers to better understand where their products come from. Companies that have gone through the Fairtrace process include the Co-op and Ben and Jerry’s.

We face many great challenges. More than 40 million men, women and children are working in conditions of modern slavery around the world—a statistic that I find absolutely startling. We cannot help to lift millions of people in the developing world out of poverty without tackling the exploitation of workers in global supply chains. This debate has rightly brought gold and mined metals to the fore. Clearly, more trade on fair terms is the key engine for poverty reduction. Through fair trade, we can increase trade and create a progressive trade policy that increases prosperity for all, acts as a lever for equality and leaves no-one behind.