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Current Position:Home » News » Marketing & Retail » Retail » Topic

Fairtrade bucks economic trend with 19% sales growth

Zoom in font  Zoom out font Published: 2013-02-26
Core Tip: Estimated retail sales of Fairtrade products in the UK in 2012 reached £1.57 billion, a 19% increase on sales of £1.32 bn in 2011.
Estimated retail sales of Fairtrade products in the UK in 2012 reached £1.57 billion, a 19% increase on sales of £1.32 bn in 2011. Cocoa, sugar and bananas have all seen significant growth at respectively 21%, 35% and 15% increase over 2011.

Wine, gold and herbs and spices have all grown. Areas that have remained steady include coffee, tea and cotton. Critically, said the Fairtrade Foundation in an announcement launching Fairtrade Fortnight, this means a significant increase in Fairtrade Premiums, the extra that producers receive for business or social development, in 2012 compared with 2011.

“Fairtrade sales continue to confound expectation in the midst of the current tough economic climate,” said Fairtrade Foundation’s new CEO Michael Gidney. “The UK public have developed a lasting appetite for food and goods traded on fairer terms with producers, and forward thinking businesses are responding energetically to this by providing a wider range of products.”

2012 saw several major initiatives in the chocolate category - Maltesers’ switch to Fairtrade, the introduction of Bubbly by Cadbury Dairy Milk, and the roll-out of the full range of Green & Black’s bars – that have resulted in the impressive growth of 21% in Fairtrade cocoa and also contributed to strong growth in Fairtrade sugar sales.

Growth in sugar sales was further boosted by Morrison’s converting all its own label range to Tate & Lyle Fairtrade sugar and Ben & Jerry’s completing the conversion of its full range to Fairtrade. Bananas growth was mainly driven by the Co-operative switching all its bananas to Fairtrade.

Meanwhile, companies like Divine Chocolate, Cafédirect, Traidcraft and Equal Exchange have brought out many attractive new products and Fairtrade got another boost during the London 2012 Games when Fairtrade wine, tea, coffee, chocolate, sugar and bananas were served at all Olympic venues.

The Fairtrade Foundation says 2013 is already off to a good start, with more businesses ‘going further for Fairtrade’ like Divine Chocolate launching itsBee Happy range, the Co-operative switching all its roses to Fairtrade, and Kit Kat 2-finger going Fairtrade, nearly trebling the company’s purchases of cocoa and sugar on Fairtrade terms.

Michael Gidney, who took over as Chief Executive in November 2012, says the Fairtrade Foundation remains ambitious for the future, and today publishes the Fairtrade Foundation’s new three-year strategy, Unlocking the Power of the Many, to take the UK Fairtrade market beyond £2 billion by 2015.

“Together – producers, businesses and the UK public – we hold incredible power to deliver even greater impact and wider change,” he said. “Let’s use it. Let’s unlock that power and change trade for good.”

 
 
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