Fair trade in Spain grows, but still lags behind EU peers

Turnover reaches €156.2 million in 2023

by Lorraine Williamson
Fair trade growth in Spain

Fair trade in Spain recorded a turnover of €156.2 million in 2023, an increase of €10 million compared to 2022. This represents a growth rate of 7%, reflecting a recovery after the Covid-19 pandemic, according to the Spanish State Coordinator for Fair Trade (CECJ).

What are fair trade products?

Fair trade products are goods that ensure fair compensation and working conditions for producers, often in developing countries. These products adhere to social, economic, and environmental standards that promote sustainability and reduce exploitation. Common examples include coffee, cocoa, tea, sugar, bananas, textiles, and handicrafts. Certification labels, such as Fairtrade, guarantee that these products meet the required standards.

Growth after years of stagnation

Fair trade sales in Spain have steadily increased since 2020, though previous growth rates were modest, ranging from 0.3% to 1%. The 2023 growth is primarily attributed to rising revenues from importing organisations and increased sales of fair trade products by conventional companies.

Consumer spending trends

In 2023, the average Spanish consumer spent €3.20 on fair trade products. Supermarkets and large retailers accounted for 82% of these sales, followed by the catering sector (12.7%) and specialised fair trade shops (5.1%).

Food dominates the market

Food remains the cornerstone of fair trade in Spain, contributing over 96% of total sales. Cocoa and confectionery lead the category, comprising 76.8% of sales, followed by coffee at 15%. Non-food products, including textiles and household goods, represent just 2.7% of the market.

Certifications and origins

Nearly 96% of fair trade sales involve products certified with the Fairtrade label. These goods originate from 131 cooperatives and producer organisations across 46 countries. Key trading partners include Peru, India, Uganda, Paraguay, and Guatemala. Latin America is the primary source of Spain’s fair-trade imports, with Africa and Asia following.

Room for growth

Laura Rubio, director of the CECJ, highlighted Spain’s untapped potential for fair trade development. “Although we are still far from being at the level of other European countries, Spain has significant growth opportunities,” she said.

Rubio cited France as an example, where fair trade sales surpassed €2.1 billion in 2022. She attributed this success partly to France’s legal recognition of the sector. The CECJ is urging Spain to include fair trade in the forthcoming Social Economy Act to accelerate its growth.

Challenges ahead

While the sector is recovering, Spain’s per capita spending on fair trade remains low compared to other European nations. Addressing regulatory gaps and increasing public awareness will be key to boosting Spain’s fair-trade market in the coming years.

 

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