Why Fair Trade?
We now have the opportunity to proactively address the shadow, or toxic side of the jewelry industry in a truthful way. The emotional trigger issues, such as mining, blood diamonds and a host of other concerns actually make our industry a very easy target. We can embrace this opportunity or we can continue to live in denial. If we choose the latter, we run the risk of unsympathetic people running full page ads in the New York Times, simplifying the complexities to push their own agendas—similar to what happened with the fur industry in the seventies and eighties.
Most important here are the moral questions that require truthful soul searching. Would you or your customer feel good about a wedding ring if it was created by maltreated labor or materials that trashed the environment? Is ignoring this question morally acceptable? Does our expression of love (and that is often what jewelry is about for us and the customer) just extend to our intimate ones; or beyond them to the greater human family? Or is your jewelry business, what you really pay attention to, just about love of the bottom line? If that is the case, what will that leave when you die? It takes real courage to even consider these issues, but there is a greater danger for those who ignore them.
As a nation, some of the most immanent perils are rooted in a culture that encourages the perspective that we can buy, fight or manipulate our way into safety. Yet there is another more effective approach. My company designs and manufactures contemporary versions of ancient European, tribal knot work motifs that symbolize the interconnectedness between individuals and communities. The matrix of every business, its source of wealth, comes from communities. Communities that are strong are based on circles of fair exchange, not pyramids where all the benefit goes to a select few at the top.
Instead of always trying to be on top, what if, within the context of sound economics, we directed some of our attention to weaving a tapestry of truly mutually beneficial relationships between us and those communities who we do business with, all the way down our supply chain?
I believe that there is more than enough wealth to go around. The Fair Trade initiative in our industry is an opportunity to make the world a better, safer place.
Challenges Ahead
The initial challenge is creating a set of Fair Trade criteria. We need to set up standards for our own work place and for our suppliers. This is going to be difficult.
Each situation in the developing world is different. Take something that seems as uncontroversial as child labor. The sweat shop or slave labor issue is cut and dry. But is it wrong for a 17 year old who works in a cutting factory supporting a family, even though the legal working age might be 18? How about the ten-year old, working with his father, learning to make hand woven chains with techniques that have been passed down through generations in a Balinese village? Do we want to stop that? I was an educator for Native Americans in New Mexico before my wife and I started our company and many of my high school students were selling jewelry that they made to help their family—technically child labor. If we approach the situation in an arrogant manner, trying to quickly impose rules, we may end up doing harm.
Another issue is, how are we going to garner a buy in from people who would never consider Fair Trade? Right now, much of what we have going on not just in our industry but in all industry, is micro-colonization—where some multi-national companies extract wealth from communities and transfer the money to other places, leaving communities basically impoverished. Sometimes even a few nickels a day may be the difference between hunger and ease, yet people are denied those nickels. I saw this first hand when I did medical work as a volunteer in the slums in Haiti for two years back in the eighties.
Unfortunately, many people still work on the paradigm that the only way to get ahead is to step on someone below you. The American consumer would happily pay those nickels, but class, social and business issues, here and in developing countries, prevent those nickels from turning into schools, clinics and wells.
These companies at the most extreme end are those who should be embraced in our dialog. They can be our greatest teachers and friends. Even small movements in the right direction can have a huge impact. If we can convince them, we can convince everyone. The last thing we need with Fair Trade is to create more polarities and adversarial relationships. It is much more constructive to welcome everyone and have a really big tent. This is the carrot approach.
On the other hand, there is the stick. For Fair Trade movement to gather enough momentum in our industry, we need to find ways to show how it is in their best economic interest, at least from a public relationship point of view and from a business point of view, to change their business approach. When a business is disconnected from its communities, you risk a backlash. This happened with companies like Nike in the past and it is happening with Wal-Mart now.
One thing that Martin Rapaport suggested in the meeting is that we need to put more money into communities in the developing world. My experience in the developing countries where I have lived have taught me that it is not that simple. If the people in these poor communities do not feel that the project is their own, then the development money may just go down the drain. Development that really improves the long term well being of poor communities takes more than just money—it takes a strong commitment from all and real heart.
Another issue is that once Fair Trade catches on, there will need to be monitoring and some kind of certification process which will take money. You can be sure that some people will jump on the band wagon without really caring about the issues. We see this now with some large corporations—it is called, “green washing.”
Creating Momentum
If we want to create momentum, we have to show the industry how it benefits them. It is important to get that data from surveys which measure how the image of Fair Trade can bring more business. There was a woman at the JCK meeting statistical evidence of a strong, national supported Fair Trade.
Presenting the issues to the industry is partially a matter of marketing. Some people will join in right away because it is a natural way for them to express what they believe in. For the rest, we need to show the many reasons why a movement toward Fair Trade can be in their best interest. If a trigger issue hits the press exposing a level of duplicity, a Fair Trade based company is poised to take advantage of it and gain market share from their competition.
We also have to market Fair Trade to the consumer. Given the choice, without a doubt most people would choose to support Fair Trade companies if the price differential is within reason.
As soon as possible, we need to set up a network of manufacturers and suppliers who are trying to implement Fair Trade policy. Perhaps we could start some kind of trade association. Otherwise, the retailers will have no place to turn to even if they believe in Fair Trade.
To facilitate this, we need to kick start this whole thing with a national conference as soon as possible. We need to bring everyone together with specific objectives to hammer out a basic framework. The conference has the potential to draw a huge amount of positive press for the sponsors. Sponsorship should be at various levels to allow smaller companies as well to contribute.
For now, it remains critical that prominent leaders in the industry, like Martin Rapaport, continue to stand behind this issue. After we have established a framework, we can continue the concept through dialog groups, blogs and other meetings at major trade shows.
Reaping The Benefits
By embracing Fair Trade, you get the satisfaction of working for the greater good. Using our economic power compassionately allows you to feel more connected to the miraculous, mysterious gifts that life offers.
It is also good business practice to be generous and to share the wealth. In my experience, everything cycles back around. There is a large and growing demographic who are concerned about Fair Trade. You can look at the testimonials on my website (www.celticjewelry.com) and see that many of my customers purchased from me in part because of the ethos of my company which is based on Fair Trade. These are the same people who buy organics—one of the biggest growth industries. They are wealthy and educated. They want their purchases to support their values. Fair Trade is a really good marketing opportunity to differentiate yourself from your competition.
Once these customers find you, they will keep coming back because they like dealing with a company that matches their core values. You can read the dozens of testimonials on our website, people I have never met, to see how much loyalty being fair and generous can build.
Over time, those who build their business on the concepts of Fair Trade are going to pick up market share from those who ignore the issue. I cannot imagine how the issue of Fair Trade is not going to become more prominent over time. It adds value to your company and your product.
At the same time, we have to be patient. Getting a complex manufacturing or retail business to be a hundred percent fair trade may never happen, but we can start to move in that direction. I have a long way to go in my company. Yet even baby steps, over time, add up.
The Fair Trade movement is about creating a circle with many relationships, all based on fairness and altruism. I believe Fair Trade has the potential to generate more wealth for ourselves and the communities that support us. Some Native People in the US have spoken of considering decisions in light of those who will come seven generations ahead of us. We are all connected in one circle and the more we support each other, the better off we will all be.
Marc Choyt is president of Reflective Images Inc, a designer jewelry studio. The work can be viewed at their website, www.celticjewelry.com and www.reflectivejewelry.com He is currently writing a book on alternative business approaches entitled the Circle Manifesto. To read more of his ideas, you can visit his business blog at www.circlemanifesto.com
