Central Africa, Central America, Central Asia, East Africa, East Asia, North Africa, North America, South America, South Asia and Himalayas, Southeast Asia, West Africa
Themes:
Community Development, Ecological Flourishing, Fair Trade, Human Empowerment, Human Rights, Labor
As the oldest and largest for-profit Fair Trade company in the U.S., Equal Exchange trades directly with 28 democratically run farmer co-ops located in 14 countries in Latin America, Africa and Asia. Its mission is to build long-term partnerships that are economically just and environmentally sound, to foster mutually beneficial relations between farmers and consumers and to demonstrate the viability of worker cooperatives and Fair Trade. They strive to build social and economic justice through the marketplace.
Innovation
A worker-owned organization, Equal Exchange trades directly with democratically organized small farmer cooperatives, provides producers with advanced credit for crop production, pays producers a guaranteed minimum price that provides a stable source of income as well as improved social services, provides high quality food products, and supports sustainable farming practices. Much of their success comes from close partnerships with food co-ops and faith-based alliances, as well as cafes, supermarkets, and natural food stores. Its Interfaith Program includes American Friends Service Committee, Catholic Relief Services, Church of the Brethren, Lutheran World Relief, Mennonite Central Committee U.S., Presbyterian Church (USA), Unitarian Universalist Service Committee, United Methodist Committee on Relief.
In 2003, a first of its kind collaboration with Progressive Asset Management was developed to help lead Equal Exchange to many new investors and was responsible for a significant portion of the new equity raised that year. Half of the Equal Exchange staff as well as representatives of consumer cooperatives, supermarkets, cafes, and restaurants have been taken on client tours to visit growers and meet with local non-government organizations.
Equal Exchange believes there are a number of different ways to interpret what is "Fair" but it stands to reason that the people who grow the coffee we drink in the morning should not be condemned to live in poverty for their efforts. They do not view the Fair Trade Model as limited solely to beverages, but as something that can and should be used for food, clothing and crafts. The company believes Fair Trade helps build pride, independence and community empowerment for small farmers and their families. In addition to coffee, Equal Exchange fairly trades organic chocolate bars, hot cocoa and baking cocoa, teas from India, and sugar packets.
Impact
In 2004, Equal Exchange grew sales from $13 million to $16.5 million with profits at $358,000 after worker-owner patronage and charitable contributions. Coffee sales grew by 550,000 pounds to over 2,500,000 pounds–1,250 tons– the largest growth in their history. They also had unprecedented success when they raised $776,000 of equity from Class B investor-supporters, the most equity raised in any year in their history.
Equal Exchange believes partners, products and possibilities cut to the heart of Fair Trade and represent tangible underpinnings to their mission and guiding principles. As a result they have reached 15 million people through the media, with about two-thirds of the various media pieces originating from their many alliances. In 2004, Equal Exchange and Lutheran World Relief introduced new “Organic Sisters’ Blend” in honor of women around the world and inspired by the enthusiasm and leadership of Women of the ELCA in supporting the 90-Ton Challenge, a year-long campaign led by LWR, Women of the ELCA and Equal Exchange to double the amount of fair-trade coffee purchased by Lutherans through the LWR Coffee Project. The 90-Ton Challenge ended last fall and exceeded the 90-ton goal: Lutheran congregations and individuals bought more than 99 tons of fair-trade coffee.
Inspiration
When you look deep into your cup of Equal Exchange coffee, tea, or cocoa, or feel a piece of chocolate melting in your mouth, consider not only the hard-working farmer, but also the myriad evolving and deepening relationships that have helped to bring you these savory products.
The World Inquiry editorial team edited this profile from the original submission of the interviewer or other source. The views expressed do not necessarily represent Case Western Reserve University, the Weatherhead School of Management or the Center for Business as an Agent of World Benefit. More >>