Trade Aid - Making a World of Difference
Rainforest Alliance vs fair trade
     

McDonald’s now sell Rainforest Alliance (RA) certified coffee in their McCafés.  What is the difference between McDonald’s coffee, and Trade Aid fair trade coffee?

Rainforest Alliance certification requires privately-owned coffee estates and large-scale farms to meet a number of environmental criteria, but includes only minimal consideration for workers’ rights (essentially amounting to compliance with national minimum-wage laws in the producing country).

Trade Aid fair trade practice encourages and rewards farmer-run co-operatives to maintain high environmental standards (all our coffee is certified organic). At the same time, Trade Aid standards meet a number of strict social criteria, including payment of higher prices to farmers and payment of crop pre-financing, which is often critical for farmers in countries where their lending institutions are corrupt.

Why would McDonald’s choose Rainforest Alliance certification, instead of Trade Aid-level fair trade practice?

Their decision is driven by pure business logic: Rainforest Alliance coffee is cheaper than that bought through a high-bar sustainability-focused organisation like Trade Aid. McDonald’s knows there is demand for fair trade coffee but assume consumers won’t do their homework. Their logic goes like this: if we put a ‘sustainable’ label on our package, customers will be satisfied, so let’s choose the cheapest. What do customers know about different certification standards?

Well, some know a lot, and won’t let them get away with ‘low-bar’ sustainability.  

Why does Trade Aid support fair trade certification, and not Rainforest Alliance certification?

When farmers have no financial guarantee, they experience pressure to destroy their natural surroundings for short term financial gain. Fair trade relieves financial burdens that are often the motivation for destroying the environment. Given that Trade Aid’s practice offers a better deal for both farmers and the earth, we believe that this combination is a recipe for true positive social change.

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