Fair Rubber - Make the World a better place · Fair Rubber - Make the World a better place The aim of the Fair Rubber Association is the expansion and application of the concept of

FairRubber-MaketheWorldabetterplaceTheaimoftheFairRubberAssociationistheexpansionandapplicationoftheconceptofFairTradeforproductsmadefromnaturalrubber.IntheFairRubberAssociation,companiesengagedinrubberproducts,NonGovernmentalOrganizations(NGOs),andindividualsworktogether.TheultimateaimoftheAssociationistotherebycontributetoanimprovementoftheworkingandlivingconditionsoftheprimaryproducersofnaturallatex(rubber),aswellaspromotetheenvironmentallyfriendlyproductionnaturalrubber,aschemicalfreeproductionfirstandforemostbenefitsthoseengagedinthecultivationofthenaturalrubber.

ThemostimportantinstrumentofFairRubberistheFairRubberlogoforproductswhichfulfilthecriteriaofFairTradeinnaturalrubber.TheFairRubberAssociationinparticularensuresthepaymentoftheFairTradepremiumbybuyersofnaturalrubber.TheprimaryproducersofrubberdecidethemselveshowtheFairTradepremiumisspent.FairRubberalsohelps,ifrequested,producerpartnerswithFSC®certification.

WhatisFairlyTradedRubber?Thelowworldmarketpricespaidforrubber,makeitverydifficultforthetappers,plantationworkersandsmallfarmerstosupportthemselvesandtheirfamilieswiththeirownlabour.

ThisiswheretheFairRubberAssociationwantstohelp.PayingaFairTradepremiumtotheprimaryproducersensurestotheextentpossiblethatevenduringperiodsofdepressedworldmarketprices,thecostsofproductionarecoveredandthesuppliershaveasurplus.Cruciallythisallowsthemtoimprovetheirworkingandlivingconditions.ThedecisionastohowtheywouldspendtheFairTradepremium,ofcourse,remainswiththeprimaryproducers.

Equivalences

Therearecertificationsystemsthatcovermostoftherequirementsoutlinedinthisdocument–butnotallofthem;henceacceptanceasequivalentoftheseothersystemsrunsshortonsomeofthestandardsrespectively.Thesestandardsrequirementswillneedtobecheckedadditionallyasanadd-ontotheregularinspection. 1.CertificationunderEU-OrganicorrecognizedPGS,orFSCisacceptedasequivalent,ifadditionalcheckpointsareincludedduringinspectionrelatedtochapter4. 2.CertificationunderFairtradeInternationalorFTUSAisacceptedasequivalent,ifadditionalcheckpointsareincludedduringinspectionrelatedtochapter3. PleasefindoutmoreabouttheFairRubberAssociation,itsmembersandsuppliers,theproductsavailablewithFairlytradedrubber,andmuchmore–gotowww.fairrubber.org.AnintropackagetogetinvolvedaswellastheconstitutionoftheFairRubberAssociationcanbefoundhere:https://www.fairrubber.org/take-part/

FAIRRUBBERSTANDARDS Version3.1.–April2020 1. GeneralRequirements CriteriaandIndicators HL SH MeansofVerification

1.1 MissionStatement

Thereshallbeapubliclyavailablepolicyendorsedbytheownerormostseniormanager explicitlystatingthelongtermcommitmenttoforestmanagementpracticesconsistent withtheSustainableDevelopmentGoals(SDG).

X Policydocument

1.2 LegalLandtenure

Theplantation/cooperativeshalldemonstratedocumentation(includedassociatedmaps) withclearevidenceoflegal,longtermforestmanagementcustomaryoruserightsto managethelandsandtoutilizetheforestresourcesunderevaluation.

X X Documentation Mapswithboundaries Interviewswithforestmanagementstaff, localstakeholdersandgovernment agencies Additionalguidance: LegalUserightsmaybeassociatedwith -fee-simpleownership -long-termorrenewableleaserights -long-termorrenewableexclusive managementagreements -othermechanismsallocatinglong-term orrenewablemanagementrightsand responsibilitiestotheforestmanager

Theplantation/cooperativeshallprovideevidencethatlocalcommunitieseitherhavea clearanddirectcontrolovertheforestoperationsorthattheyhavedelegatedsuch controlwithfreeandinformedconsenttootheragencies.

X X Documentation(writtenagreements) Interviewswithforestmanagementstaff andrepresentativesoflocalcommunities

1.3 Compliancewithnational/internationallegislation

Theplantation/thesmallholdergroupanditsmembersshallcomplywith theapplicablenationalandlocallaws,ratifiedinternationalconventionsandobligatorycodesofpractice,relatingtothetopicscoveredbythisstandard.“

X X Noindicationthatnationallegislationisviolated.

1.4 LocalCommunities

Theplantationshallidentify,evaluateanddocumentthesocialimpactsresultingfromitsoperations,inconsultationwiththepeopleandgroups(bothmenandwomen)whoaredirectly

X

affectedbythemanagementoperations. InterviewswithForestManagersandlocalcommunities

Theplantationshalldemonstratehowithasincorporatedtheresultsofitsevaluationofsocialimpactsintoitsmanagementplanningandoperations.

X InterviewswithForestManagersandlocalcommunities Managementplan Operationalplan

Theplantation/cooperativeshallmaintainregularandongoingconsultationwiththepeopleandgroups(bothmenandwomen)whoaredirectlyaffectedbyitsoperationsinordertoidentifysocialimpactsandthepotentialtoavoidorreducesuchimpactsonanongoingbasis.

X X InterviewswithForestManagersandlocalcommunities Documentation Records

Adocumenteddisputeresolutionprocedureshallexisttoresolveconflictswithlocalpeoplesthroughconsultationaimingatachievingagreementorconsent,avoidingdamagetoproperty,resources,rights,andlivelihoods.

X X Procedures Interviewswithforestmanagementstaffandlocalstakeholders

Wheregrievancesareraised,theyshallberespondedtopromptlyandfairly. X X Records Interviewswithforestmanagementstaffandlocalstakeholders

1.5 InternalControlSystem(ICS) SH

AbasicICSisinplacewhichincludesthefollowing:-appointedandcompetentICSstaffresponsiblefortheoverallmanagementoftheICS-basicgeneralandsocial/environmental/labourrelevantdataonproducerlevel,regularlyupdated:-numberofworkerstypicallyhired,-importantdatarelatedtothefollow-upofspecificenvironmentalaspects;-risk-basedinternalinspections,with–atleast1inspectionperyearforLargeandMediumcooperatives,-atleast1inspectionevery3yearsforsmallcooperatives;-animprovementsystemfornon-compliances,withwrittenimprovementplansforcriticalissues.

X

2. SocialStandards CriteriaandIndicators HL SH MeansofVerification

2.1 Rightsofworkerstoorganizeandvoluntarilynegotiatewiththeiremployers X X SHabove20permanentemployeesoraccordingtonationallawifthisisstricter.

Interestedworkersshallbeabletoformand/orjoinorganizationsoftheirchoice(includinglabourunions)withoutfearofintimidationorreprisal,

X X Interviewswithforestmanagementstaff, workersandlabourunionrepresentatives

Interestedworkersshallbeabletoorganizeandbargaincollectively, X X Interviewswithforestmanagementstaff, workersandlabourunionrepresentatives

2.2 NoDiscrimination

Thecompanydoesnotdiscriminate,supportortoleratediscriminationonthebasisofrace,colour,gender,sexualorientation,disability,maritalstatus,HIV/AIDSstatus,age,religion,politicalopinion,unionorworkers’representativebodies,nationalextractionorsocialorigin,oranyotherconditioninrecruitment,promotion,accesstotraining,remuneration,allocationofwork,terminationofemployment,retirement,generaltreatmentintheworkplaceorotheractivities.

X X Documentsandrecords Interviewwithforestmanagementstaff,forestworkersandlocalstakeholders

2.3 Noforcedorbondedlabour

Thecompanydoesnotdirectlyorindirectlyengagein,supportortolerateforcedlabour,includingbondedorinvoluntaryprisonlabour. Thecompany/cooperativemustexplainthistoallworkers.


2.4 NoChildLabour

Thecompanydoesnotemploychildrenundertheageof15orundertheagedefinedbylocallaw,whicheverishigher.


2.5 Remuneration

Thecompany/cooperativeshallpaywagesthatmeetorexceedminimumforestindustrystandardsorotherrecognizedforestindustrywageagreementswherethesearehigherthanthelegalminimumwages.Whennoneoftheseexist,Thecompany/cooperativeshallthroughengagementwithworkersdevelopmechanismsfordetermininglivingwages


2.6 EmploymentConditions

Termsandconditionsofemploymentshallbeclearlyspecified X X Policiesandprocedures Documentation(contracts) Interviewswithforestmanagementstaffandlocalcontractors

Theplantationshalldemonstratethateachemployeeenjoysthesamebasicrightsandbenefits(remuneration,training,etc.),whichmeetorexceedalllegalrequirementsandthoseprovidedincomparableoccupationsinthesameregion.

X X Contracts Records(ofpayment) Interviewswithforestmanagementstaff,localcontractorsandLabourUnionrepresentatives

Theplantationshallensurethatallemployeeshavesocialinsurance(orequivalent)toprovidecompensationand/orongoingsupportintheeventofredundancyorworkplaceinjury.

X X Documentation Records Interviewswithforestmanagementstaff,andworkers

Thecompany/cooperativeshallpromotegenderequalityinemploymentpractices,trainingopportunities,awardingofcontracts,processesofengagementandmanagementactivities.


2.7 HealthandSafety

Plantationmanagersandsupervisingworkersshallhaveaworkingknowledgeofnationallawsand/orregulationscoveringhealthandsafetyofemployeesandtheirfamilies.

X Documentation(availabilityofapplicableguidelines/regulations) Trainingrecords Interviewswithforestmanagementstaff,localcontractorsandLabourUnionrepresentatives Fieldobservations

Safetyandhealthrequirementsshallbetakenintoaccountintheplanning,organizationandsupervisionofoperations.

X X Policiesandprocedures Operationalplans Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Workersshallbeprovidedwithpersonalprotectiveequipmentappropriatetothetaskstheyhavebeenassigned.

X X

Policiesandprocedures Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Workersshallbeprohibitedfromworkingwithoutthepersonalprotectiveequipmentthathasbeenprovided.

X X Policiesandprocedures Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Alltools,machines,andequipment,includingpersonalprotectiveequipmentshallbeinsafeandserviceablecondition.


Whereworkersstayincamps,conditionsforaccommodationandnutritionshallcomplyatleastwiththosespecifiedintheILOCodeofPracticeonSafetyandHealthinForestryWork.

X X Policiesandprocedures Operationalplans Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Noworklikelytojeopardizehealth,safetyormoralsshallbecarriedoutbyanyoneundertheageof18.


Aneffectivefirstaidprogrammeshallbeinplace,includingworkertraininginbasicfirstaidandtheprovisionofreadilyaccessiblefirstaidkitswithuptodatesupplies.


Thereshallbeawrittenemergencyplanincaseofseriousinjurytoanyforestworkeror contractor,whichincludesprovisionfortimelyevacuationtoanappropriatelyequippedmedicalfacility.

X Policiesandprocedures Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Incaseofaccidents,theplantationshallcoverallcostsassociatedwiththeworker’srecuperationanddamagetotheirhealth

X

Policiesandprocedures Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Thereshallbeprovisionforthesafetransportofworkerstoandfromtheirplaceofwork X X Policiesandprocedures Fieldobservations Interviewswithforestmanagementstaff,workersandcontractors

Theplantationshallmaintainaccurateandup-to-datework-relatedhealthandsafetyrecords(includingriskevaluationandaccidentrecords)andhastakenappropriatemeasurestoavoidrepetitionofanyaccidentsthathaveoccurred.

X Records Interviewswithforestmanagementstaff,workersandcontractors

Allworkersandcontractorsshallhavehadrelevanttraininginsafeworkingpracticeandwhererequiredorappropriateholdthenecessaryskillscertificates.

X Documentation Records Interviewswithforestmanagementstaff,workersandcontractors

Allemployeesandtheirfamiliesshallbeinformedofandtakepartinpreventionandcontrolprogramsforillnessesordiseasesendemictotheareathataffectforestworkersortheirfamilies.

X X Documentation Records Interviewswithforestmanagementstaff,workersandcontractors

3. EnvironmentalStandards CriteriaandIndicators HL SH MeansofVerification

3.1 Therateofharvestoflatexshallnotexceedlevelswhichcanbepermanentlysustained.

Guidelinesfortappingshallbemarkedontherubbertreesforangleandlengthofthecut. X X Fieldobservations Interviewswithforestmanagementstaff

1sttappingoftheblockshallcommencewhen60%ofthetreesintheclearingreachesagirthof50cm,measuredoverbarkataheightof120cmfromthehighestpointofgraftunion.

X X Fieldobservations Records Interviewswithforestmanagementstaffs

Allrubbertreeshavingagirthlesserthan45cmshallnotbetappedatthegrowthstagementionedabove.

X X Fieldobservations Interviewswithforestmanagementstaff

Theamountoflatexharvestedshallnotinflictsystematicallyonthetreehealthorincreasethetree‘svulnerabilitytodiseases.Tappingshallbeascloseaspossibletothevascularcambium,butwithoutinjuringthedelicatecells.

X X Fieldobservations Records Interviewswithforestmanagementstaffs

Thereshallbenoevidencethattheharvestingofmaterialfromthesiteisreducingthepotentialproductivityofthesoilinthelongterm.

X X Records Fieldobservations Interviewswithlocalexpertsandforestmanagementstaff

3.2 UseofPesticidesandhandlingchemicalwaste

Wherechemicalsareused,thereshallbeanup-to-datelistofallpesticidesused,includingtradename,activecomponent,quantityofactiveingredientused,dateofuse,locationofuseandreasonforuse.

X X Recordsofusedchemicals Invoicesandreceipts Fieldobservations

Wherechemicalsareused,allstaffandcontractorsinvolvedwiththeiruseshallhavereceivedtraininginhandling,applicationandstorageprocedures.

X X Trainingrecords Fieldobservations Interviewswithforestmanagementstaffandcontractorsinvolvedwiththeuseofchemicals

Wherechemicalsareused,proceduresforsafetransport,storage,handling,applicationandemergencycasesareimplemented.

X X Proceduresandrecords Fieldobservations

Anup-to-datelistiskeptofoff-sitelocationsforthedisposalofallchemicals,containers,liquidandsolidnon-organicwastes(includingfuelandoil).

X X Records

Thereshallbeadocumentedsysteminplaceforcollectingandkeepingsuchwastesafely, X X

andforsafetransportationtothelistedlocations. Reviewdocumentedsystem Fieldobservations Interviewswithforestmanagementstaff

Thereshallbenoevidencethatwasteproductsaredisposedofotherthanatthelistedsites,andinaccordancewithenvironmentallyappropriateandsafemethodsandapplicablelegalrequirements.

X X Fieldobservations Interviewswithstakeholders,forestmanagementstaffandcontractors

3.3 Waste

Wastegeneratedthroughharvestingoperations,on-siteprocessingandextractionshallbeminimised,e.g.byusingittoprotectsoilsorskidtrails.Wasteshallbedisposedinanenvironmentallyappropriatemanner.

X X Fieldobservations

3.4 EcosystemsandBiodiversity

Allforestoperationswithapotentialnegativeenvironmentalimpactshallhavewritten guidelines,definingacceptablepracticeswhichareavailabletoforestmanagersand supervisors,withregardtoerosioncontrolandtoprotectionofwaterresources.

X X Records Maps Fieldobservations Interviewswithlocalexpertsandforestmanagementstaff

Theguidelinesshallincludeasaminimumspecificprovisionstopreventerosionby identifyingareaswhicharesusceptibletoerosion,inwhichharvestingandother disturbanceisprohibited.

X X Guidelinesinmanagementplansand/oroperationalplansspecifyingprotectionofwetland,watersourcesandstreamsideprotectionzones Maps Fieldobservations Interviewswithlocalexpertsandforestmanagementstaff

Theplantation/cooperativeshallhaveconductedanassessmenttoidentifyHighConser- vationValues(HCVs),inconsultationwithconservationorganizations,regulatory authoritiesandotherlocalandnationalstakeholders.

X X Interviewswithlocalandnationalstakeholders,environmentalorganizations,localandnationalexpertsandforestmanagementstaff HCVassessmentdocuments

AllidentifiedHCVsaredescribedinthemanagementplan,providingsite-specificinformationtobetakentoenhancetheidentifiedattributes,followingaprecautionaryapproach.

X X Revisionofmanagementplanorrelateddocuments Interviewswithforestmanagementstaff

Rare,threatenedandendangeredspeciesandtheirhabitats(e.g.nestingandfeeding areas)thatarepresentorarelikelytobepresentwithintheforestareashallbe identifiedandlistedusingthebestavailableexpertiseandinformationavailable (e.g.IUCNredlist).

X X Managementplansandsupportingdocuments Maps Interviewswithstakeholders,localexpertsandforestmanagers

Themanagementplansandotherrelevantpoliciesandproceduresshallclearlyidentifyactionsthataretakentoprotect,maintainorenhancethepresenceofrare,threatenedorendangeredspeciesandtheirhabitats.

X Managementplansandsupportingdocuments Maps Operational/harvestingplans Interviewswithpersonnelandcontractors.

Whereinformationexistsonrare,threatenedandendangeredspeciesandtheirhabitats,specificmanagementactivities(and/orrestrictions)designedtoprotectthelocalbiodiversityshallhavebeendefinedandimplemented.

X Managementplansandsupportingdocuments Fieldobservations Interviewswithforestmanagementstaff

Theplantation/cooperativeshallhavesystemsinplaceinordertoensurethatall measuresaretakenagainstillegalorunauthorizedhunting,fishing,trappingorcollection.

X X Policiesandprocedures Recordsofcollection Fieldobservations Interviewswithstakeholders,forestmanagersandgovernmentagencies

4. FairTradeStandards CriteriaandIndicators HL SH MeansofVerification

4.1 FairTradePremiumandJointBody

X

AJointBodywithelectedworkermembersandappointedadvisorsfromthemanagementiscreated,withthepurposeofmanagingtheFairTradePremiumforthebenefitsofallworkers. Thenumberofworkers’membersintheFairTradePremiumCommittee(FPC)issignificantlyhigherthanthenumberofmanagementadvisors. Inthecaseofmulti-estatesthereareJBsateachaffiliatedplantationtothemulti-estate.TheremayalsobeacentralJBattheheadoffice.

X AnFPChasbeencreatedwithelectedworkermembersandappointedadvisorsfrommanagement.

TheJointBodyhasandfollowstermsofreference(ToR),inaccordancedefining: -TheaimsoftheJointBody;-Thecomposition(whoarethemembers);-HowworkersmembersoftheJointBodyareelected;-ProceduresoftheJointBodydeterminingatleasttermsofoffice,frequencyofmeetings,howdecisionsaremade,criteriaforselectionofFairTradePremiumprojects,documentation,andwhichreportsshouldbedelivered,whathappenstotheJointBodyifcompanyisdecertifiedordissolved; -Internalregulations,responsibilities,especiallywhoisresponsibleforfinances; -ThatalldecisionsonFairTradePremiumuseareapprovedbytheannualgeneralassembly(GA)ofallworkers; -ThedelegatesystemfortheGAwhereapplicable; -Howtheinterestsofmigrantandseasonal/temporaryworkersaretakenintoaccount; Inthecaseofmulti-estates,thereisasystemforelecteddelegatestorepresenteachaffiliateplantationifacentralJointBodyexists. Thetermsofreferenceareapprovedbythegeneralassemblyofworkersandmadeavailableinappropriatelanguagestoworkers.

X TheToRhascompletesetofrequirements. TheToRisfollowed. Thetermsofreferencehavebeenapprovedby thegeneralassemblyofworkers. Thetermsofreferencearemadeaccessibleto theworkersinappropriatelanguages. IncaseacentralFPCexists,thereisasystem forelecteddelegatestorepresenteachaffiliate plantation.

AseparateFairTradePremiumaccountisestablishedandworkerrepresentativesfrom theJointBody,andamanagementrepresentative,arejointsignatories.

X AseparateFairTradePremiumbankaccountis established.Both,workersrepresentativesfrom theFPCandamanagementrepresentativeare jointsignatoriesforthebankaccount.

AllworkermembersontheJointBody(JB)aredemocraticallyelectedbyworkers.Thisprocessisinlinewiththetermsofreferenceandproperlydocumented.Managementadvisorsareappointedbymanagement.

X TheelectionprocessisinlinewiththeToRandproperlydocumented

ThecompositionoftheFairTradePremiumCommitteereflectsthecompositionoftheworkforce,takingintoaccountgender,workareas,communitymembership,unionmembership,andwhereapplicable,migrant,temporary/seasonalandsubcontractedworkers.

X ThemakeupoftheFPCreflectsthecompositionoftheworkforce.

ManagementparticipatesactivelyandresponsiblyintheJointBodythroughitsadvisorsandassistsandsupportstheworkersintheadministrationoftheFairTradePremium. ManagementadvisorstotheJBhaveanon-votingadvisoryrole.Theyhavetherighttoblockexpenditure,ifproposedFairTradePremiumuseisillegal,fraudulentorifithasademonstrablenegativestructural,financialorsocialimpactonthecompany.

X ThemanagementrepresentativesintheFPCareregularlypresentinmeetingsandassistandsupporttheworkersintheadministrationoftheFairTradePremiumwithoutleadingtheprocessandwithoutimposingtheirviews. ThereisevidencethatmanagementhasnotvotedintheFairTradePremiumplanapproval.

TheJointBodymeetsandconsultswiththeworkerstounderstandworkers’needsandtodiscussprojectideasregularly.

X Meetingsareheldregularlyduringworkinghoursaccordingtoanapprovedplan.

Theseinformationandconsultationmeetingsareheldduringworkinghoursandaccordingtoameetingschedulepreviouslyapprovedbythemanagement,butdonotnecessarilyhavetobeheldduringageneralassemblyofallworkers. Theresultsofthesemeetingsarerecorded.

Mostminutescanbefound,eveninloosesheets ANDthedecisionsarerecorded,evenifnotfullyclearandsigned.

TheJointBody,asaresultoftheconsultationwithworkers,preparesayearlyFairTradePremiumplanthattakesintoaccounttheneedsofallthevariousgroupsofworkers.

X AyearlyFairTradePremiumPlanispreparedafter consultationwithworkers Theneedsofallthevariousgroupsofworkersare takenintoaccount. BudgetsarethereforalltheprojectsinthePlanandarereasonablyclosetoexpectedFairTradePremiumIncomeandprioritieshavebeenset. EachprojectintheFairTradePremiumPlanhas descriptionsthatinclude: •Purposeandobjectives; •Targetgroup(s)/beneficiaries(e.g.men,women orallworkers,migrantandtemporaryworkers,familymembers;community); •Activities: •Rolesandresponsibilities: •Projectbudget(total/annual); •Projectstartandenddate; •Howtheprojectwillbemonitored; •DateofapprovalofprojectbyGA.

TheJointBodyadministersthepremiumfundsresponsibly.ThereisnoevidenceoffavouritismandfraudinthemanagementoftheFairTradePremium.

X AdocumentedriskassessmentisundertakenforallmajorprojectsandreportedonattheGA. Allloansandinvestmentsarecarriedoutwithall necessaryformalitiesandguarantees.

TheFairTradePremiumbenefitsworkers,theirfamiliesandtheircommunitiesthroughFairTradePremiumprojectsthataddresstheirneedsandpreferencesasdecidedandadequatelyjustifiedbyworkers.

X Yes/No

TheJointBodymonitorsandreportsannuallyontheactivitiescarriedoutwithFairTradePremiummoneyandontheprogressofexistingprojectstoageneralassemblyofworkers.Thereportisdocumented.

X TheFPCmakesavailabletoallworkersanannualreportwithinformationonitsactivitiesandtheprogressofexistingFairTradePremiumprojects,includingthefollowinginformation: •DetailsonoverallFairTradePremiumincomereceived,expendituresandbalance; •Adescriptionofeachprojectthatisplanned,on-goingconcludedwithinthelastreportingcycle;

•Iftheactivitieswerecarriedout.Reasonifnot. •Whenweretheycarriedout? •Atwhatcost? •Wastheobjectiveachievedorareanyfurtheractionsneeded?

ThecompanyraisesawarenessaboutFairTradeatalllevelstoensurethatworkersunderstandthebenefitsofFairTrade,inparticular: -ThebenefitsoftheFairTradePremium; -Thedifferentfunctions,dutiesandpositionsoftheJointBody,otherFairTrade relatedcommittees,andtradeunion/electedworkerrepresentatives. Thecompanyensuresthatthemanagementatalllevels,includingsupervisors,understandstheimplicationsofFairTradeforthecompany’soperations(e.g.timeneededformeetingsduringworkinghours).

X AlllevelsofthecompanyknowandunderstandtheFairTradeconceptANDitsimplicationsforthecompany'soperations. AwarenessraisinghasbeencarriedoutregularlyANDthemajorityofworkersunderstandFairTradebenefitsandstructures.

ThecompanyexplainstoworkersthepurposeoftheFairTradePremiumandtherole oftheJointBodybeforetheworkersaregiventheopportunitytonominatetheir workermembersforelection.

X Yes/No

ThecompanyprovidesmeansfortrainingofJointBodymembers X TrainingforFairTradePremiumCommitteeworkermembersisprovidedinordertoensurethattheycancarryouttheirfunctions. Thistrainingtakesplacepartlyduringworktimeandisrepeatedforeachnewlyelectedorappointedrepresentative. AnnualtrainingforFairTradePremiumCommitteeworkermembersonparticipatoryprojectplanningandfinancialmanagementtakesplacepartlyduringworktime.

4.2 FairTradePremiumforSmallholderCooperatives X

ThestructureofyourorganizationmusthaveaGeneralAssemblyasthehighestdecisionmakingbodywhereallmajordecisionsarediscussedandtaken,equalvotingrightsforallmembersintheGeneralAssembly,andaBoardchoseninfree,fairandtransparentelections

X ThestatutesdefinetheGeneralAssemblyasthehighestdecision-makingbodyANDmembershaveequalvotingrights. Theelectionsoftheboardarefree,fairandtransparent.

Itneedstobeclearwhoisamemberoftheorganization.Therefore,theremustbewrittenrulestodeterminewhocanbecomeamemberandarecordofthemembersmust

X Clearcriteriainstatutesorotherdocumentsaboutwhoandhowtobecomeamemberbutnoadditional

bekept.

procedures. Memberlistwithrequiredinformationandamaximumof10%errors.

Therulesthatdeterminewhocanbecomeamembermustnotbediscriminatory.

X Membershiprulesexistandtheyarenotdiscriminatory.

Itmustbeexplainedtothemembershowtheycanparticipateintheorganizationsothattheycanhavemorecontroloverit.

X Theorganisationprovidedexplanationstosomemembersandhasaplantocoverallmembers.

AGeneralAssemblyisheldeveryyear.

X TheannualGeneralAssemblytookplace(evenifnotrecorded/poorlycalledorrecorded)ORpostponedforunderstandablereasons.

Annualreport,budgetsandaccountsarepresentedtotheGeneralAssemblyforapproval.

X AllreportswereformallypresentedtotheGeneralAssemblyandapprovalisdocumentedbutminormistakesarefoundinreporting.

Youmustplananddocumentatleastoneactivitywiththeintentiontopromotetheprogressofyourbusiness,organization,members,workers,communityand/orenvironment.TheplaniscalledtheFairTradeDevelopmentPlan.

X YouhavedevelopedaFairTradeDevelopment Planwiththedescriptions,objectives,timelines, responsibilitiesandbudgetofallplanned activities. Thewrittenplancontainsallnecessarydetails

BeforeyouimplementtheFairTradeDevelopmentPlan,youmustpresentittotheGeneralAssemblyforapproval.Youmustdocumentthedecisions.

X TheplanwasapprovedbytheGeneralAssemblyanddocumentedandlaterappliedwithoutchangesorwithjustifiedchangesthatareapprovedex-post.

YoumusthaveanaccountingsystemthataccuratelytrackstheFairTradeDevelopmentPlanexpenses,andinparticularidentifiestheFairTradePremiumtransparently. YoumustbeabletoprovethattheFairTradePremiumisusedinlinewithapplicablerules.

X AsystemisimplementedthatallowstrackingincomeandexpenditureandidentifyingPremium acceptable:unintentionalmistakes<1%found.

YoumustreporttheresultsoftheFairTradeDevelopmentPlantotheGeneralAssemblyeveryyearanddocumentthispresentation.

X WrittenreportpresentedtotheGeneralAssemblyandapprovalisdocumented

Youmustdesignandstartimplementingaprocessthatcollectsandanalyzesthedevelopmentneedsinyourorganization.

X Processdefinedandimplementedthatcapturestheneedsofmembers,workersand/orcommunity.