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Why we all need Fair Trade
International trade may seem a remote issue, but when commodity prices fall it has a catastrophic impact on the lives of millions of small scale producers, forcing many into crippling debt and countless others to lose their land and their homes. Many Canadian farmers are themselves victims of massive foreign agricultural subsidies.
World prices for agricultural raw exports from developing countries, such as coffee beans and cocoa paste have collapsed over the last decade by as much as 70% while consumers in the developed countries are still paying the same price for transformed goods.
Record short term profits earned by food processing giants & import/export intermediaries are not sustainable for anyone..
Why?
For small-scale producers and hired labour it means..
Declining income (often below production costs) and working conditions
Children leaving school and working in abusive conditions
Fathers leaving the farm to look for work often as illegal migrants
For developing countries it means..
Declining hard currency income much needed to service external debt and maintain social services
Collapsing infrastructure, health and education services
For consumers it means...
Paying the same price as before
Declining product quality
Globally it means...
A world economy that contributes to inequality and insecurity (political and health wise)
A trend towards large scale commercial agriculture practices which contribute to global warming
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