Break the Rules with Transparency Coffee
Traidcraft are the original rule breakers.
When unfair trade was the accepted norm, we broke rules to challenge and change this. 40 years on, Fairtrade commodities line shelves of supermarkets up and down the country, but our work is far from done...
The ridiculously low commodity coffee price is currently driving hundreds of thousands of coffee farmers and their families into financial ruin and migration. Coffee plants are being cleared on a massive scale and replaced by cocoa cultivation or other crops. The consequence: the loss of the livelihood of these families. The coffee industry has not yet found any effective answers to this catastrophic development.
We signed the Coffee Transparency Pledge in 2019, making 100% of our coffee costs transparent and public. For more information about the Coffee Transparency Pledge and to see our FOB (Free on Board) prices, see traidcraftshop.co.uk/coffee-transparency-our-pledge. We also registered two of our single origin coffees to the Transparent Trade Coffee Platform, declaring the exact amount of money which goes back to origin.
Not content with stopping here, we’re stripping back everything you thought you knew about fair trade and launching our very own Transparency Coffee.
Here, we’re breaking all the rules and publishing publicly (on the front of the packet, for all to see!) exactly how much farmers are paid, how much goes into shipping, roasting and packing and how much profit we make. This makes our coffee, to our knowledge, the first coffee in the world to do this. Yes, this could be seen as radical and revolutionary, however, it’s simply real fair trade in its purest form, as it was intended to be. We wonder, how many companies would treat you the same way?
We are reclaiming fair trade. Did you know that the average price paid on the New York C coffee exchange for non-Organic coffee adds up to about 53p, for non-Organic, Fairtrade coffee, the agreed minimum price is 71p, and for Organic and Fairtrade coffee, the agreed minimum price is 84p. We are publicly declaring that we have paid £1.32 directly to the growers who harvested the beans in this coffee.*
Here's a breakdown of the overall 'costs' section of the diagram you can see on the front of the packaging:
• All staff costs/salaries
• Building/warehouse costs including heating and electricity
• Discounts for customers (Fairtraders - a 20% discount equals 99p which represents a large proportion of these 'costs')
• Delivery costs (on average about 37p – or 7.5% of the cost of each product.)
• All IT costs
• All legal/auditing/certification costs
• All Marketing and Sales costs (advertising, marketing, trade events etc.)
• All Product Development costs
• All costs associated with trips to producers, external meetings etc.
• Costs of running a closed pension scheme
If you would like a breakdown of these costs to the penny, they are always available in our published accounts each year.
The profit of 15p is what we, Traidcraft plc, expect to make over the course of the year across all of our products. It is not possible to break down exact profit to each product yet as this requires a level of cost apportionment that we don’t yet have in place. This 15p multiplied by all of the products we sell means that at the end of the year Traidcraft plc will make a profit of around £150,000 on a turnover of around £5m. This profit is then used to buy more stock or invest in new machinery for the warehouse. It also means that we do not have to borrow quite so much from the banks to finance our work.
This Organic, fair trade and rule-breaking ground arabica coffee is a dark roast with a light, floral sweetness (strength 4), made using a blend of beans from Honduras and Sumatra. It’s also roasted in the UK – just down the road from our HQ, at Ringtons in Newcastle, in fact.
Available NOW >> Transparent Coffee
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