Growers benefit from smart Fairtrade deal

FSC CEO Graham Clark and GM Marketing Vili Savou at the sugar packaging plant.Photo: FSC

Through smart negotiations and perseverance, FSC has been able to secure sugar sales utilizing the
Fairtrade accreditation. Fiji’s Cane Producer’s Association, which is part of the sixty-six member grower
associations that are affiliated to Fairtrade globally, was set up in 2012 to safeguard the interests of
sugar cane farmers in Fiji.

About Fairtrade

Fairtrade was launched in the 1990s in several European markets. The main objective of the organization
was to improve the position of small sugar cane growers in developing countries, (and communities that
depended on them for their livelihood) as their products were being undervalued in the global sugar
markets. In 2000, Fairtrade was launched in the UK.

The main economic provision and benefit of Fairtrade Standards in sugar, is the Premium of US60 per
tonne of sugar above the negotiated purchase price.

Fiji, which is 100% Fairtrade Certified has been supplying to customers globally for the last two decades.
FSC is primarily involved in the negotiation and sale of sugar.

This Premium of US60 per tonne is paid directly to the Fiji Cane Producer’s Association and is mostly used to pay for fertilizer, herbicide,weedicide and utilities like electricity and water. The association has in the past also used the premium to invest in mechanical harvesters.

Through Fairtrade Certification and by working in partnership with FSC, sugar cane farmers can get
improved access to international markets and develop the necessary business skills and technical capacity
to become more competitive. Currently ninety-nine farmers’ organisations representing 62,700 small
holder cane farmers are part of Fairtrade Certification of Sugar.

FSC Chief Executive Officer, Mr. Graham Clark says “this latest commercial deal with Fairtrade has come
about through some effective negotiations with a European based sugar refiner, to purchase 15,000
tonnes of Fairtrade certified sugar which was shipped during 22nd of September 2017”.

Each of Fiji’s three growers co-operatives in the three mill areas will each benefit to the tune of
US300,000 each as a result of the supply of this Fairtrade Sugar to Europe.

Clark adds “this is very good news for growers, and further demonstration of FSC’s drive to channel as
many benefits to growers as they can”.

Even more encouraging, is that this latest commercial deal has also eventuated close to the conclusion of
our EU preferential agreements over a month ago, on 30th September 2017.