Skip navigation |

Impact Study – Fair trade in Bangladesh

Traidcraft regards positive social impact as the ultimate goal in all its activities. Accordingly, impact assessment is given strategic priority across both the trading company and the charity.

Family group in Bangladesh

We aim to implement a holistic approach that balances cost-effective routine monitoring and evaluation with expensive one-off, in depth studies of our impact. Routine monitoring and evaluation is essential and allows us to improve our practice regularly.

Measuring impact

A good example of this is the way in which we work with suppliers to the trading company where we measure progress against a set of mutually agreed social and environmental impact criteria.

In-depth studies are costly and beyond the financial resources of Traidcraft on a routine basis. Instead, we collaborate with Universities to develop and raise funds for impact assessment projects, ideally PhD studentships.

Good examples of these are the PhD studies on craft producers in Bangladesh and cane producers in Malawi reported below. These studies enable us to gain a deep and detailed understanding of our impact with a particular group of producers, which provides us with strategic guidance.

Our work in Bangladesh

Traidcraft is undertaking a 3-year study to research the impact of its fair trade activities in Bangladesh. This is in collaboration with the Geography Department of Durham University. The study is funded by the UK’s Economic and Social Research Council. The researcher is Ann Le Mare and her principal supervisor is Professor Jonathan Rigg.

Title

To assess the impact of fair trade initiatives on the livelihoods of producers and the wider community.

Aims

  1. To understand the benefits and risks that are felt by producer groups and how these relate to wider livelihood strategies.
  2. To appreciate the economic and social forces that influence economic performance and that contribute to gaining market access for poor and marginalised groups.
  3. To analyse the links between fair trade producer groups and the enabling relationships that contribute to successful trade and thus to poverty alleviation.

The main findings of this (i.e., the Bangladesh) study to date are:

  • Fair trade employment reduces the material and social effects of poverty
  • Fair trade provides a model of good employment practices, whilst still making a profit
  • Understanding fair trade needs to include the experiences and meaning given by people in the South. In this case, the producers in Bangladesh attach Christian, Islamic and Asian values to fair trade.

Progress

The ESRC (Economic and Social Research Council) funded research between Traidcraft plc and Durham University is in its final year. The research has been a successful collaboration between the two partners, and will provide Traidcraft with independent, rigourous research on the developmental impact of fair trade employment and partnerships. The research has also been done in close collaboration with Traidcraft fair trade suppliers in Bangladesh.

After three visits to Bangladesh to carry out the research, which combined a survey of 566 women (half of which are fair trade handicraft producers) and a range of qualitative methodologies (life histories, focus groups, semi-structured interviews), the task throughout this year has been to analyse the data and to write the thesis, due to be submitted in September 2007.

The analysis has followed the themes identified in last year's Social Accounts. The findings have been discussed with the Traidcraft fair trade suppliers in Bangladesh and with staff at Traidcraft.

In addition presentations have been given at several conferences and fair trade forums during 2006 and 2007. Such discussions have furthered the understanding and interpretation of the data from the research.

It is expected that this process will continue, and further presentations will be held at Traidcraft, in Bangladesh, and with other organisations.

Longitudinal studies

The new longitudinal studies, that grew out of the PhD research, have been started, the first interviews carried out in February 2007.

With the cooperation of two Traidcraft fair trade suppliers in Bangladesh, two groups of new handicraft producers will be followed through the course of their lives.

Ann Le Mare (the PhD student) and a local researcher conducted the interviews, including both quantitative and open ended questions. It is the intention that a range of methodologies will be used during the course of this study.

Both of the researchers were struck by the level of poverty and disadvantage faced by the women, and by their eagerness to join the fair trade groups. They had been asked if they would like to take part in such a study and they agreed. As one woman said, "Do not forget about us. You must come back."

Our work in Malawi

In the autumn of 2006, we started a similar PhD studentship in collaboration with Newcastle University.

This study will research the effect of Traidcraft's plc's trading with our sugar suppliers in Malawi, the Kasinthula Cane Growers Association. Field work will commence during summer 2007 and from 2008 onwards preliminary findings will be available.

Back to information on trade.