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Report 3 (of 5): Danish Delight!
- Denmark
Introduction
Denmark is known for its eco-friendly
attitude, with legislation and products actively protecting
the environment. Environment, animal welfare and product
quality as well as greater nutritional and energy
values are all judged to be of great importance to
Danish consumers. Denmark meets these needs by being
one of the leading countries involved in organic farming,
highly experienced in cultivating and marketing organic
produce. However, Danish consumers are not only demanding
organic produce. Despite many supermarket chains trying
to squeeze out small product lines such as Fairtrade
goods in preference for larger profits, there is a
growing movement in support of Danish fair trade.
Urtekram is one Danish company dedicated
to the manufacture and distribution of organic and
natural products. The company is based in the rural
town of Mariager sur Color on the Danish mainland
of Northern Jutland. What's special about Urtekram
is that it offers products manufactured in accordance
with a policy of ethical and environmental sustainability.
Apart from using 100 per cent organically produced
raw materials, the company only purchases products
and raw materials from producers and suppliers whose
workers enjoy reasonable terms of employment.
Urtekram
Urtekram takes its name from a very
old Danish word meaning 'good things'. The company has
supported organic farming and the environment for many
years and all Urtekram. Since the company was established
over 25 years ago, Urtekram's product range has grown
to include both food and non-food products, including
breakfast cereals, chocolate, shampoos, body lotion,
soap and toothpaste.
The company prides itself on its ethically
sound practices. It has a comprehensive policy on
staff welfare. All staff work in small groups, deciding
their own hours, fitting their working hours around
other commitments such as children. Their new 'eco-factory'
is the first in the world to be government-audited
and is subject to strict regulations from the Department
of Environmental and Food Control. These include not
only environmental considerations such as the choice
of building materials and levels of power consumption,
but also issues of fair trade, such as buying ingredients
only from companies where the workers receive decent
wages and work under reasonable conditions.
Urtekram's offices in Denmark
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Organic Production
Denmark is among the top five organic
countries in Europe with organic produce accounting
for approximately 5 per cent of the total food sales.
One of the main advantages in Denmark is that organic
produce is controlled and vetted by the government,
which has given consumers confidence with regard to
the authenticity of products. The brand 'OrganicDenmark'
is an umbrella for various joint international marketing
activities including trade fairs, promotions in retail
chains and the individual companies' own branding
activities. More than 40 Danish companies have joined
forces under the brand to gain exposure for their
products and increase international demand. Among
them are Thise, an innovative organic dairy, and Urtekram,
which is known for its multi-product assortment in
organics.
Urtekram's products have a number
of organic certifications depending on the item. Food
products are stamped with Danish government seal of
approval, the Ø label, and the Swedish organic standard,
Krav. Urtekram's non-food products are certified by
the Swedish Conservation Board's 'Bra Miljøval' seal
for good environmental practice. The products are
also stamped with the Nordic 'Swan' label, which assesses
environmental impact. Producers and manufacturers
must apply for a licence to use the Swan label on
their products before they can be sold on the Nordic
market.
Global Fair Trade
Commodities like coffee, tea and chocolate
are produced in the warmer climates of the South.
The prices paid for these have not risen in real terms
over the past 40 years, unlike many other products,
and often drop below the cost of producing them. As
a result many people who grow these crops have to
work harder and longer for less money. Small farmers
without direct access to the market have no other
option than to sell their crop to local traders who
can, and frequently do, exploit them.
Fairtrade is a trading partnership
based on dialogue, transparency and respect seeking
greater equity in international trade. It contributes
to sustainable development by offering better trading
conditions to, and securing the rights of, marginalised
producers and workers, especially in the South.
Fairtrade is based on a clear set
of internationally agreed criteria, which are independently
assessed and monitored. Fairtrade certifications are
the only independent consumer guarantee of fair trade.
Key elements of Fairtrade include:
- Creating opportunities
for economically disadvantaged producers.
- Transparent and accountable
management and commercial relations to deal
fairly and respectfully with trading partners.
- Promoting producers' independence
by improving management skills and access
to new markets.
- Payment of a fair price
that has been agreed through dialogue and
participation, which provides fair pay to
the producers and can be sustained by the
market. Fair pay is prices considered by
producers themselves to be fair, and which
takes into account the principle of equal
pay for equal work by women and men.
- Prompt payment by Fair
Trade buyers, importers and intermediaries
to producers and other partners and, whenever
possible, help producers with advance payments
for pre-harvesting.
- Gender Equity where women
are always paid for their contribution to
the production process and are empowered
in their organisations.
- Minimum health and safety
working environment for producers.
- Respect for the environment,
where an economic activity does not cause
environmental degradation by maximising
the use of raw materials and packaging from
sustainable sources; minimising pollution
caused by transportation, minimising waste
and energy consumption; and promoting the
use of technology that respects the environment.
- Fair Trade highlights the
need for change in the rules and practice
of conventional trade and shows how a successful
business can also put people first.
As set out by the International
Federation for Alternative Trade (IFAT) http://www.ifat.org/ |
Fair trade is all about ensuring disadvantaged
small farmers and workers in developing countries
can gain more control over their lives by participating
in decisions that affect them. Environmental conditions
are also important in fair trade: producers are required
to implement environmental improvement plans, and
the use of dangerous chemicals is banned.
Fair Trade Production
Although Urtekram specialises in organic
produce, it is also heavily involved with ensuring
as many as possible of its products and raw ingredients
have been sourced using fair trade standards.
Fair trade products are bought from
suppliers around the world and include:
- Coffee from Nicaragua and Mexico
- Tea from India
- Cocoa, chocolates and sugar from
Switzerland.
The Max Havelaar Fair Trade Certificate for Denmark
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These are all stamped with the Max Havelaar
Fair Trade certificate, which offers access to international
trade with good conditions for farmers and workers in
disadvantaged parts of developing countries so that
they can build a better future for themselves. The Max
Havelaar Foundation which owns the trademark, works
with co-operatives of small farmers and plantation holders
in developing countries, companies who import fair trade
products and wish to be licensed, and consumers.
Each producer or importer of coffee, chocolate, tea,
honey, bananas or oranges can be considered as a potential
licence holder. They must comply with certain conditions
of trade and be prepared to submit to checks. Companies
can contact farmers' co-operatives and plantations
that are registered with Max Havelaar for offers on
their produce. These labelled products are currently
available in more than 2,700 supermarkets in Denmark.
Urtekram also deals directly with
farms in Turkey and Uganda, which supply a number
of raw ingredients. These include:
- Sultanas, dried figs, dried apricots,
chick peas, red lentils and hazelnuts from Turkey.
- Dried bananas, pineapples and mangoes
from Uganda.
Since buying produce from Uganda Urtekram
has been closely involved with the farms, setting
up its own partnership with two small factories to
ensure farmers and workers are paid and treated fairly.
In Turkey, the produce bought by Urtekram ensures
that both farmers and workers are also guaranteed
fair prices and wages. Although these are based on
agreements and partnerships and not certification,
Urtekram has a long-standing commitment to working
with producers and suppliers to ensure fair trade
standards are met.
Promoting Fair Trade
There are three principal importers
of fair trade produce, who account for over 75 per
cent of all sales in Danish world shops. Butik Salam
and U-Landsforeningen Svalerne both specialise in
handicrafts, sourced mainly from Asia, while Urtekram
specialises in food products. Previously the biggest
Danish fair trade importer, U-landsimporten, is now
acting as the main Danish Fairtrade non-government
organisation (NGO), working to promote imports and
disseminate information about the unjust trade relationship
between North and South. They are working closely
with Urtekram in the importing and marketing of fair
trade produce, with the aim of strengthening the Danish
fair trade movement.
The two organisations are well matched
to help take fair trade to the mass Danish market.
Urtekram specialises in marketing, quality control,
organic knowledge and distribution, while U-landsimporten
brings its fair trade knowledge and networks. By joining
forces, both are hoping that Fair Trade will become
a brand in Denmark before too long and help producers
in developing countries to build their capacity. Already
fair trade is being supported by the Ministry of Environment
and the Danish Parliament who both use Fairtrade labelled
products in their offices.
Working Together
Many fair trade producers seek to
use organic practices, although fair trade does not
exclude producers who are unable to meet organic standards
as priority is given towards the most marginalised
producers. Organic certification, on the other hand,
is intended to produce high quality food with minimum
environmental impact, but does not specifically seek
to empower producers or guarantee special prices.
Combining the two principles, Urtekram has shown that
ethical and environmental sustainability can make
selling organic and fair trade products a profitable
business for all involved.
For further information, please contact:
Organic Organisations
International Federation
of Organic Agriculture Movements (IFOAM)
Head Office
c/o Ökozentrum Imsbach
D-66636 Tholey-Theley
Germany
Tel +49 6853-919890
Fax +49 6853-919899
Email: HeadOffice@ifoam.org
Website: http://www.ifoam.org/
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Fair Trade Organisations
Organic Websites
http://www.aboutorganics.co.uk/
http://www.oganic-denmark.com/
http://www.organic.dk/
http://www.ocia.org/
The Organic Crop Improvement Association is one of
the world's largest organic certification agencies.
The website has a good links page.
Fair Trade Websites
http://www.fairtrade.dk/
Website of the Fair Trade movement in Denmark.
Further Reading
Books from ITDG Publishing
Social Responsibility in the Global
Market: Fair trade of cultural products
Mary Ann Littrell
£21.00, Sage Publications Ltd, 1999, ISBN: 0761914641
The Small Farmers' Guide to Alternative
Farming Techniques
by Allan Williams and Neville Graham
£7.95, ACT Press, 1998, ISBN: 9768056657
In order to encourage producers to
consider viable alternatives to the current unsustainable
production systems, the authors have developed this
guide, based on substantial research and experience,
to provide small-scale producers with an environmentally
friendly, easily understood, implementable and affordable
action plan, using diverse farming designs and traditional
agricultural knowledge. The action plan includes objectives,
steps to be taken, numerous alternative farming systems,
organic solutions for pest control and a glossary
of herbs and companion plants. An invaluable tool
for all those supporting agricultural transformation
- NGOs, educators, producers and advisers - with colour
photos, diagrams and glossary.
Books from the New Internationalist
Magazine
The No-Nonsense guide to... FAIR
TRADE
Edited by David Ransom
£7.00, NewInt
Books from Earthprint
Environment and Trade: A Handbook
Economics and Trade Unit (ETU) and International Institute
for Sustainable Development (IISD)
US$20, 2000, ISBN: 1895536219
This book is also available to download for free
by clicking on the link below:
www.earthprint.com/unep/download/2555.pdf
This document is an output from
a project funded by the UK Department for International
Development (DFID) and the European Commission (EC)
for the benefit of developing countries. The views
expressed are not necessarily those of DFID or the
EC.
Acknowledgements
ITDG would like to thank Dorte
Hougaard and Mette Søgaard at Urtekram for providing
input into this paper.
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