Bringing justice to fair trade in agri-food value chains

Whereas Fair Trade intends to improve smallholder welfare through higher and guaranteed farm-gate prices, little attention has been given to justice-oriented strategies that modify the value distribution within the supply chain. This article outlines the implications of applying a justice lens to Fair Trade operations, based on a detailed analysis of the institutional factors that determine the farmer’s share in the end price of the value chains of coffee, cocoa and bananas. We discuss several strategies to enhance the opportunities for strengthening smallholders’ bargaining position through structural changes in value chain organization and governance, with the ultimate aim to improve their livelihoods and welfare position.