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Frequently Asked Questions

Producer Recognition Agreement

Why do I have to sign an agreement if I’m already certified with FLOCERT?
  • You must sign a Producer Recognition Agreement with Fair Trade USA® if you sell products on fair trade terms to Fair Trade USA Registered Buyers.
  • Given that the final product bears the Fair Trade Certified™ seal, it is our responsibility to ensure that the producer organization has received the benefits of the fair trade price and premiums for products sold to Fair Trade USA Registered Buyers.
  • The Producer Recognition Program is necessary to create greater transparency and visibility along the supply chain.
I am already registered. Do I still need to sign the agreement?
  • Yes. Thank you for registering in the past. Signing a new agreement is now part of the Producer Recognition Program for producers certified with FLOCERT.
Why do I need to sign an agreement now when I didn’t have to in the past?
  • Our 1,400 Registered Buyers, along with the North American market in general, are requiring increasing levels of transparency and traceability in their supply chains. Buyers want to know more about where their product comes from, who produced it, and how Fair Trade Premiums were invested and the impact they are having. Through the Producer Recognition Program, we aim to meet this demand for information to continue growing the fair trade market to ultimately benefit small producers.
Is the agreement mandatory?
  • Yes, it is mandatory for all FLOCERT certified producer organizations that sell products to Fair Trade USA Registered Buyers. If you have received an invitation to participate in this program, it is because your products are currently being sold to one of our Registered Buyers in the US.

Fees

Will signing this agreement require me to pay a fee? 
  • No, there is no fee.

Recognition Program

Do you accept FLOCERT certification?
  • Yes. Fair Trade USA appreciates that producers have worked hard to achieve FLOCERT certification, so we recognize and accept FLOCERT certificates. It is not necessary to undergo a second fair trade audit to sell to Fair Trade USA Registered Buyers based in the US.
What are the requirements of the Producer Recognition Program?

The requirements are:

  • Sign the online Producer Recognition Agreement (with DocuSign) and share your FLOCERT certificate within 30 days of receiving this invitation.
  • Every quarter, you must report your sales on fair trade terms, and every year send information on the use of the premium, as requested.
  • Additionally, you must notify Fair Trade USA of any changes about the status of your certification.
What will happen if I do not sign an agreement with Fair Trade USA?
  • If your group does not participate in the Producer Recognition Program, Fair Trade USA cannot grant you an Authorization to Trade. As of December 31, 2020, Fair Trade USA Registered Buyers of coffee will no longer be able to purchase products under fair trade terms from a producer organization that does not have their Authorization to Trade. The registration deadline for producer organizations of all other commodities (cocoa, tea, coconut, sugar etc.) is June 30, 2021.
How do I report my fair trade transactions?
Most of my sales are to FLOCERT operators. Do I still need to report these sales to Fair Trade USA?
  • Yes. Fair Trade USA needs this information to facilitate product transparency and traceability from the producer organization all the way to our Registered Buyers. A lot of fair trade products are sold through intermediaries from other countries before arriving at our market. Therefore, we need purchases and sales information from all actors in the supply chain in order to guarantee the credibility of the fair trade value chain and to ensure that producers are receiving all the benefits they deserve.
Will the reports that I send to Fair Trade USA violate my contract with FLOCERT?
  • No. Your information and transactions are yours and not the property of any certifier or third party.
Is there any other audit if I am certified with FLOCERT?
  • Fair Trade USA does not require a second fair trade audit if a producer organization already has a valid FLOCERT certificate. However, there are cases where, due to discrepancies in the information presented, Fair Trade USA may conduct a verification visit to clarify those discrepancies and train the organization on data management.
Will I get a certificate when I participate in the Producer Recognition Program?
  • Yes, you will receive a certificate as a Recognized Producer with Authorization to Trade, as well as a Fair Trade USA ID number. Your certificate will be renewed and issued each calendar year and will be active for one year or until the expiration of your FLOCERT certificate, whichever comes first.

Data Use and Disclosure

What will Fair Trade USA do with my impact information?
  • Fair Trade USA shares impact information with buyers and consumers to expand the fair trade market and to share your positive results.
What will Fair Trade USA do with my transaction information?
  • Transaction information is only shared with your specific buyers, not publicly.
What will Fair Trade USA do with my FLOCERT audit report, if I decide to share it?
  • Audit reports are strictly confidential. Fair Trade USA only collects audit reports to analyze the most common non-conformities across hundreds of producer organizations to improve the focus of its producer support programs.