Adrian Ramsay - British farming
17 March 2010
Adrian Ramsay is Deputy Leader of the Green Party, and our general election candidate for Norwich South:
This week, representatives from the Fairtrade Foundation and the Ethical Tea Partnership will discuss whether the Fairtrade Foundation has a monopoly over fair trade. But what may be a more pressing issue is the monopoly of supermarkets over the British grocery market and their hold over farmers here in the UK.
Fairtrade Fortnight reminded us of the crucial importance of paying farmers a price that truly sustains their livelihoods. The Fairtrade Foundation has brought the transaction between producer and buyer to the attention of many consumers and companies. This can only be a good thing. Yet it is all too easy to let fair pay for UK farmers slip our minds when buying our groceries - after all, we could be forgiven for assuming that the farmer down the road is paid enough to stay in business and feed their own family.
British consumers have remained staunchly loyal to the principles of Fairtrade. In spite of the recession, Fairtrade sales rose to over £799m last year. Major companies are moving to Fairtrade in at least some of their products, and you can now buy a plethora of Fairtrade items in supermarkets. Of course, Fairtrade should not remain a niche market. The Green Party has long campaigned for changes to world trade rules to ensure that all producers receive a fair price - including producers here in the UK.
So why are the livelihoods of farmers in the UK still so overlooked by the big brands and supermarkets? Farmers' markets are going strong and British shoppers understand that food bought closer to home helps to support UK farmers' livelihoods; boosts the local economy and job market; and can improve animal welfare and benefit the environment. In short, there is consumer support for British farmers. Yet supermarkets continue to pay UK farmers below what is needed to sustain their livelihoods.
A recent BBC documentary entitled Britain's Really Disgusting Food, shone a spotlight on the pitiful rates that supermarkets pay farmers once they have creamed off the profit. According to the documentary, many UK farmers are paid below the price that it costs them to produce their goods. Every year this forces thousands of farmers out of business or into serious debt. Supermarkets control around 80% of the British grocery market. Their huge power means they can dictate prices to suppliers, pass on unexpected costs, and threaten to change suppliers if the farmer complains.
When a farmer works with the Fairtrade symbol however, there is a minimum starting point for price negotiations between producer and purchaser. This ensures that the producer receives enough to cover the cost of production and to make a living. It's time for the same principles to be applied in the UK and for British farmers to be released from the strangle-hold of the supermarkets.
With the creation of a supermarket ombudsman under consultation, perhaps the future looks brighter for Britain's farmers. But with the Big Four supermarkets having already tried to quash the proposal, it is clear that the ombudsman must be given real teeth. The Green Party has called for the ombudsman to be given real powers, such as the ability to demand evidence of how much farmers are paid compared to the retail price. Supermarkets must be made to conform to a legally binding Code of Practice with appropriate penalties for exploiting suppliers.
Supporting UK farming helps to provide much-needed employment, benefits our economy and strengthens links between producers and consumers. This is fundamental to making trade fairer domestically and benefiting society as a whole. The Green Party recognises the fundamental importance of those who work on the land in the creation of an ecologically sustainable and fair society. UK supermarkets must adopt a change in policy that supports fair trade with all farmers- whether abroad or at home. Otherwise, they risk destroying the life blood of British food.
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