Coffee shop chain Starbucks has announced that its 700 UK and Ireland branches are to sell only Fairtrade coffee by the end of next year.
The firm hopes the switch will stop a decline in sales caused by the economic downturn, while reassuring customers that growers are receiving a fair price for their coffee crops.
From the Telegraph:
The Fairtrade Foundation, which gives certification to growers who were given at least 92p for every pound of their coffee beans, estimated that 100,000 farmers in Africa, Asia and South America will benefit from the decision.
At present, only six per cent of coffee sold by Starbucks qualifies as Fairtrade. The company claims that it will now become the world’s largest buyer of Fairtrade coffee.
The company hopes the move will boost revenues. Earlier this week, it warned that its global sales would be down this year. After years of aggressive expansion in the US, Australia and UK, the company has been closing hundreds of outlets hit by reduced demand.
Howard Schultz, the company’s chairman and chief executive, told The Independent: “We’ve done something that’s far beyond what any coffee company has done before.
“This is a long-term commitment, which will not only benefit our farmers, but will give our customers the assurance that the coffee they’re buying in Starbucks … is at a price that will allow sustainability for those people who need it most.”
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9 Comments
This is a facinating and very welcome move on all sorts of levels.
1. Its counter intuitive to do this in a recession. I wonder what thee focus groups have been telling them about a renewed demand for fairness? presumably what Labours have aid about the shibbolith of the 40p top tax rates.
2. It validates the “liberalism as movement” idea. its only 15 years ago or so when fair trade was disgusting coffee and the preserve of organic chic pea shops and church stalls. Viral is over used as a word but it does show how a single, simple, VALUE can spread rapidly via a social movement.
3. campaigning oppertunity for the interweb kidz. Who’ll be first wih afacebook group calling the next big player to go completely fairtrade. From memory you still can’t get fair trade coffee at all in cafe nero and have to ask in costa coffee though it costs nothing extra.
who’ll be the first big super market to go 100% fair trade? I know M and S is but Starbucks is the equivalent of Tesco’s and for the party to call for Britain to be the worlds first fair trade nation? make star bucks a tipping point event and get all the great and the good to shift over to 100% fairtrade for August 2012 (the olympics) ?
4. perhaps its time to step up a gear
I presume the wholesale price of coffee is fixed in dollars but the Fairtrade benchmark (92p/lb) is fixed in pounds, so a weak pound means more growers will be paid a price higher than the benchmark.
Fair trade does more harm than goodand helps to keep the poor poor. It is immoral and disgusting that western countries support this cult.
“We’ve done something that’s far beyond what any coffee company has done before.”
Hype aside, what about AMT? And will my hot choc be fairtrade too?
As for fairtrade being a ‘cult,’ I’ve noticed a lot of nanny libertarians use this line. If people choose to pay more for their coffee, why shouldn’t they?
It reminds me of a communist I was speaking to yesterday who claimed that tips were ‘immoral’ because they encouraged low pay. The parallels between libertarianism and communism bear teasing out.
If people choose to pay more for their coffee, why shouldn’t they?
I don’t know who “Libertarian” is (honest Guv) but I doubt any object to people having that choice – so long as it remains a choice.
By spooky coincidence I asked, as usual, for a Fairtrade latte at Starbucks in Glasgow yesterday but was told that Fairtrade beans were only available if I wanted to bring on a heart attack with some outlandishly chlosterol-laced Christmas chocky-coffee type thing.
But the young lady cheerfully said that “all our beans are certified if that makes you feel better”. “No it doesn’t” I replied, feeling immediately guilty of undue grumpiness.
“We’ve done something that’s far beyond what any coffee company has done before.”
Oh, really?
McDonald’s was touting their Rainforest Alliance beans in the UK nearly two years ago:
http://www.timesonline.co.uk/article/0,,2095-2534368,00.html
Meanwhile, Tully’s Coffee — a large and also Seattle-based chain — has used 100% Fair Trade beans since over a year ago.
And just now Starbucks acts like they invented coffee ethics?
Unfortunately, per Libertarian, Fair Trade has been an idea that has failed to live up to its promises for 17 years now. It’s fine for massive big box stores, but the industry has gone so much further with things like Direct Trade, etc.
Just to clarify, Starbucks is NOT going 100% Fair Trade certified with its coffee in the UK.
The announcement applies to it’s sales of whole bean espresso and espresso drinks only.
It’s a positive step for sure, but perhaps Helen would be willing correct the title and article?
The problem with Starbucks isn’t their approach to Fair Trade (they employ the marketing skills of the people who saw Nike out of the sweatshop rows in the 80s) but they way they treat their staff and franchise owners.