The farmers and workers in the cotton supply chain are either under paid or exploit the labour by employing child labour or denying the social security benefits, health and education they rightfully deserve.

In the Developed nations, the minimum wages and social security benefits are governed by a sound Government policy. The workers and farmers are organized adequately to demand from the Government what they rightfully deserve. The consumers pay a higher price for the produce. In this process, the internalization of social and environmental costs is taking place.

In the developing nations, however, the farmers and workers are not adequately organized and government policies are not adequately framed or implemented resulting in a situation that through cheaper labour and exploitation the produce can be made cheaper. Often, the traders end up deriving the maximum benefit and the producers and workers in the supply chain suffer with no choice, but to exploit the labour force.

If we want to change this, we need to create awareness among all the stakeholders on these issues and intervene in the entire supply chain stimulating efficiency and implementation of social accountability and environmental standards. When the consumers compensate through higher or better price, it is a win-win situation for all.

Thus, Solidaridad’s vision on sustainable economy and fair trade is:

• Participation in the economy will be the core of a strategy directed at the abolition of poverty and neglect.