Changing Big Business: The Globalisation Of The Fair Trade Movement

Changing Big Business Changing Big Business The Globalisation of the Fair Trade Movement Anna Hutchens Director of the Fair Trade Program, Centre for Governance of Knowledge and Development (CGKD) and Postdoctoral Fellow, The Regulatory Institutions Network (RegNet), The Australian National University, Canberra, Australia Edward Elgar Cheltenham, UK • Northampton, MA, USA © Anna Hutchens 2009 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical or photocopying, recording, or otherwise without the prior permission of the publisher Published by Edward Elgar Publishing Limited The Lypiatts 15 Lansdown Road Cheltenham Glos GL50 2JA UK Edward Elgar Publishing, Inc. William Pratt House 9 Dewey Court Northampton Massachusetts 01060 USA A catalogue record for this book is available from the British Library Library of Congress Control Number: 2008943833 ISBN 978 1 84720 971 9 Printed and bound in Great Britain by MPG Books Ltd, Bodmin, Cornwall Contents Acknowledgements List of abbreviations vi viii Introduction 1 1 ‘Game-playing’: rethinking power and empowerment 6 2 ‘Power over’ as global power in world markets 30 3 The history of fair trade 55 4 Networking networks for scale 78 5 Fairtrade as resistance 102 6 Fair trade as game-playing 133 7 Governance as ‘creative destruction’ 164 Conclusion: game-playing – the key to global empowerment 197 Appendix: fair trade on the political agenda References Index 206 210 229 v Acknowledgements The publishers wish to thank the following who have kindly given permission for the use of copyright material: The United Nations Development Programme (UNDP) Human Development Report Office for Figure 2.2, ‘Coffee prices and production in Ethiopia’, in Human Development Report (2005), International Cooperation at a Crossroads: Aid, Trade and Security in an Unequal World, New York: UNDP, p. 141. Dr Bill Vorley and the International Institute for Environment and Development (IIED) for Figure 2.3, ‘The “bottleneck” in the global coffee industry’, in B. Vorley and the UK Food Group (2003), Food, Inc.: Corporate Concentration from Farm to Consumer, London: IIED, p. 49. Professor Raphael Kaplinsky for Figure 2.4, ‘Coffee value chain’, in R. Kaplinsky (2006), ‘How can agricultural commodity producers appropriate a greater share of value chain incomes?’, in A. Sarris and D. Hallam (eds), Agricultural Commodity Markets and Trade: New Approaches to Analysing Market Structure and Instability, Cheltenham, UK and Northampton, MA, USA: Edward Elgar, p. 366. Professor Raphael Kaplinsky for Table 2.1, ‘Share of coffee in total export receipts’, in R. Fitter and R. Kaplinsky (2001), ‘Who gains from product rents as the coffee market becomes more differentiated? A value-chain analysis’, IDS Bulletin, 32(3), 8. Zed Books for Table 2.2, ‘World commodity price changes since 1980’, and Table 2.3, ‘Recent profit re