9.4 Tables and charts

9.4.1 Export of handicrafts from India 1993/94 to 1999/00[1]

Export of Handicrafts (from 1993-94 to 1999-2000) Rupees in Crores
Item	1993-4	1994-5	1995-6	1996-7	1997-8	1998-9	1999-00
Carpets (Woollen)	1036.85	951.00	993.22	1363.05	1526.88	1719.24	1888.45
Carpet (Silk)	44.49	40.33	56.65	68.77	120.38	155.54	153.93
Carpet (Syn.)	6.26	7.55	12.62	10.73	144.13	139.16	93.65
Cotton Durrie	335.92	359.02	351.66	337.04
Total Carpets	1433.52	1357.90	1414.15	1779.59	1761.39	2013.94	2136.03
Art Metalware	688.50	804.68	924.94	971.46	1214.60	1324.16	1497.18
Woodware	101.17	101.36	153.46	218.70	221.822	86.04	348.95
HP Textiles	540.63	682.47	507.76	686.10	838.24	1033.98	1158.05
Embroidery and Crochet goods	571.94	895.96	785.80	1030.89	990.75	1159.42	1584.36
Shawls and Artwares	13.01	13.36	14.33	17.82	17.08	18.18	21.50
Zari and zari goods	34.15	57.19	47.73	54.57	70.34	74.95	83.52
Imitation jewellery	35.87	61.03	77.58	48.65	98.03	104.10	113.64
Misc. Handicrafts	378.27	523.57	695.94	787.02	902.32	1057.57	1116.40
Other than carpets	2363.54	3159.62	3207.54	3815.21	4353.18	5058.40	5923.60
Total exports of Handicrafts	3797.06	4517.52	4621.69	5594.80	6114.57	7072.34	8059.63
Total exports of H’crafts $m	$789.79	$939.64	$961.31	$1,163.72	$1,271.83	$1,471.05	$1,676.40

1 crore = 10m rupees = $0.208m

Figure 1 Exports of handicrafts from India 1993/4-1999/00

9.4.2 McConnell International global e-readiness chart (August 2000)

Source: Risk E-business: Seizing the opportunity of global e-readiness, McConnell International, August 2000, available from http://www.mcconnellinternational.com/ereadiness/report.cfm

Figure 2McConnell International global e-readiness chart (August 2000)

9.5 Sample market information for producers (Viatru)

Viatru (formerly world2market.com) produced a range of resources to help artisan producers export handicrafts to the USA market. Their intention was to develop their Visible Commerce Forum, with the support of other fair trade importing agencies, as a portal for suppliers and buyers. A selection of some of the original content, which is no longer publicly accessible on the Internet (Viatru’s web site closed in April 2001), is available on the cd that comes with this report. The material has been rebranded under the banner of the Sustainable Enterprise Portal – a new non-profit initiative from the original founders of world2market and Viatru.

The pages include materials relating to:

· Product development

· Catalogues and other resources

· US market product categories

· Communicating

· Retail seasons in the US

· Recycling and sustainability

Please see the Viatru folder on the accompanying cd.

9.6 IFAT Biennial Conference, Tanzania (June 2001)

IFAT, the International Federation for Alternative Trade (www.ifat.org), represents 160 fair trade organisations in 50 countries, including many craft producers, importers, ATOs and retailers. Nearly 200 participants attended their 6^th biennial conference in Arusha, Tanzania in June 2001.

Interim findings of this research were presented by Mike Webb as part of a workshop entitled E-commerce opportunities for fair trade, and feedback from producers and other stakeholders has been incorporated into this report. Some of the key recommendations of section 8, such as use of multimedia and using the Internet to gather market information, were demonstrated during the conference.

For further details, see IFAT’s own published report.

9.7 Fair trade, ethical trade and e-commerce

Handicraft production is a part of the fair trade or ethical trade movements. This appendix considers the wider picture of ethical trade.

‘Ethical trade is the trade in goods produced under conditions that are socially and/or environmentally as well as economically responsible. There is no definitive approach to ethical trade. Rather, ethical trade is a generic term applicable to a variety of initiatives which apply sets of social/environmental values to aspects of the production and marketing process. These initiatives include fair trade schemes, the in-house codes of practice of corporations, organic production, environmental codes, forest certification, and in the ethical sourcing initiatives of major Western retailers.’

Ethical trade and sustainable rural livelihoods, 1999[2]

As handicrafts are a part of this larger ethical trade industry, it is worth considering how e-commerce might affect the movement as a whole. We have seen in the main report how the handicraft market started in the 1970’s and encouraged consumers to pay a premium for hand made crafts (with the implicit idea of fair trade - purchasing from a micro enterprise in the Third World must put money into the hands of the poor). However over the years crafts that have been produced in Third World countries have made their way onto the shelves of high street traders, and there are few agencies that can command a premium for their goods. Sales of handicrafts through ATOs are in decline and one of the major players, Oxfam, has recently pulled out from sourcing product direct. We have noted that the gift market is sizeable, and that the handicraft market has been subsumed into the more general market (see section 4).

For many other products that might be branded fair trade or ethical, the trend is opposite to the handicraft experience. Instead of fair trade handicrafts being marginalized by competing commercial products, fair trade or ethical products in other sectors have been brought into mainstream business – to the benefit of producers, retailers and consumers.

Certification of sustainably managed forests began in the early 1990s. The boxed example of B&Q below illustrates how ethical or fair trade has been brought into the mainstream of commercial activities. Organic farming standards have existed for over 50 years. While consumers have been willing to pay more for organically produced food, organic products are now increasingly becoming mainstream. In the mid 1990s the first fair trade food product was coffee. Fair traded coffee and chocolate are both currently entering main stream trading. More recently, ethical standards for manufacturing industry have gained a higher public profile, and new initiatives concerning natural resources are still being developed such as those for horticulture and fisheries.

The over-riding factor affecting ethical trade is the market. Both fair trade and organic agriculture have distinct markets. The fair trade market dealing exclusively in products from developing countries accounts for US$ 300-500 million in retail sales each year in Europe and the USA. The world organic market is worth US$ 11 billion, US$ 500 million of which comes from developing countries[3]. The early advocates of forest certification targeted commercial buyers rather than consumers, and consequently certified forest products compete in the same market as conventional products. According to some estimates, certified forest products accounted for 15% of the timber market in certain countries in 1999. However, most of this will comes from developed countries.

A DIY approach to supply chain management

B&Q is the largest home improvement retailer in the UK and well known for its stance on environmental and social supply chain management issues. The sector was one of the prime targets of NGO campaigns on forest management issues in the 1980s, questioning the sustainability of UK companies’ timber supplies from tropical forests.

B&Q realised that it had no idea where the wood in its products was coming from and started to develop a systematic programme on environmental supply chain management. Alan Knight, B&Q’s Environmental Policy Controller, puts this proactive approach down to the early recognition by top-level management that the company should develop its own agenda on environmental supply chain management.

In 1991, the company undertook a Supplier Environmental Audit and announced its first timber targets: to have identified all its sources by the end of 1993, and then to ensure that all its timber products would come from well-managed forests by 1995. As a way of meeting its goal, the company decided to support the Forest Stewardship Council (FSC) certification scheme, which provides independent verification that products come from well-managed forests. B&Q committed itself to ensuring that all timber products would be independently certified by the end of 1999; in fact it achieved 99.1%, the bulk of which was accounted for by FSC certification.

B&Q has been through a number of changes in the way that it works on supply chain issues. Its first audit consisted of a forty-page questionnaire on purely environmental issues, which a significant number of suppliers did not even reply to. By 1991, B&Q had concluded that there was unlikely to be significant progress until the environment was made a commercial issue for suppliers. This led to the introduction of an environmental policy in 1994 that stated that ‘B&Q will delist suppliers who show no commitment to improving their environmental performance’.

In 1995, B&Q replaced its Supplier Environmental Audit with QUEST (Quality, Ethics and Safety) which it describes as ‘the process through which we assess both the quality and environmental performance of our supply base’. It is based on ten principles which include environmental policy and awareness, environmental action and achievements, working conditions in developing countries and packaging and environmental claims.

Suppliers are rated from A-E for each of the ten principles and a league table was published in 1998. In 1995, B&Q had announced that all 619 of its suppliers would have to demonstrate a thorough understanding of their life-cycle impacts backed up with an action plan to address them. B&Q’s target was that by the end of 1999 all their suppliers would have a B grade for the first three principles listed above and an A grade for timber (ie all from FSC certified forests). In the autumn of 1998, only about 20% of their suppliers had reached these grades. However, by intensifying the assessment programme B&Q achieved 84% by the end of 1999.

B&Q’s policies are evidently affecting developing country producers. Interviews carried out in South Africa in 1999 clearly identified requests from buyers such as B&Q as the catalytic factor in the implementation of certification in the South African forest industry.

Wherever possible B&Q is attempting to ensure that its direct suppliers take on board environmental and social concerns and pass them back along the supply chains, thereby spreading the responsibility and reducing the cost to B&Q and the need for external verification. This has been incorporated into the QUEST system through Principle 8, which requires suppliers to know the working conditions of any factory used in developing countries and to take action to improve these conditions.

B&Q stresses the importance of building trust and mutual respect with suppliers. However, it remains a hard-nosed international buyer, which makes no long-term commitment to suppliers, however good their environmental performance.

Source: Robins and Roberts, 2000[4]

Fair trade and organic markets are growing at 10-25% per year. Although the figures can seem impressive, growth is from a low base[5]. Fair trade accounts for only 0.01% of global trade, and although, by some estimates, organic produce will account for 15% of the world food market by 2006, this estimate appears to assume an unusual adoption curve where current price premiums (sometimes more than 50% above non-organic products) will continue despite expansion in production and in the number of consumers. This is an unlikely assumption. Demand for ethically produced items currently outstrips supply, although this is partly due to difficulties in meeting market quality requirements. There are considerable price inelasticities for some ethically sourced products, but unsophisticated producers are often unable to meet quality standards.

Some commentators argue that ethical trade produce will only ever appeal to affluent consumers, but others say that if the main objective of ethical trade is to increase returns to producers, then producer price, which is a relatively small element of the total price, can be raised without significant cost to the consumer. Conjecture about the ultimate size of the ethical market may be a red herring, at least in some sectors, because of the ethical criteria that are starting to be developed by major retailers/importers.

For some products within the next few years, it may no longer be a question of how large the ethical market is because the ethical market may have become the market; something already evidenced from the application of ethical criteria to sourcing of fresh produce.

The common ground on all these different initiatives are shared elements of ethical trade such as a custodian body to set ethical standards, third-party verification of compliance with standards, use of label or a logo to show compliance with standards, transparency regarding certification process and access to findings.

In Approaches to Ethical Trade (Burns and Blowfield, 1999)[6] the authors suggest that ethical trade could be characterised by its approach. They suggest four basic models – those which intend to ‘change the climate’, ‘from the top’, ‘from the grassroots’ and ‘developing the toolkit’. Figure 32 below gives some explanation of these terms. The table includes some of the opportunities and limitations of each approach. The final column has been added by this study.

Approach	Focus on	Led by	Examples	Opportunities & Limitations	Lesson learnt	ICT roles
Changing the climate	Motivation	NGOs/ Consumers/ Government/ the Media/ share-holders	Campaigns. Ethical consumerism and boycotts. Lobbying for/against regulation.	O - Give companies a financial incentive for ethical behaviour. L - Effectiveness limited to certain products, companies and markets.	NGOs, funders and government need to invest in long-term strategies to keep up pressure for ethical trade.	Ease of lobbying, organisation of dispersed group eased by cheap communication, access to Media eased (eg email BBC news!)
From the top	Innovation	Leadership companies	Socially responsible business policies. Social enterprises – eg fair trade. Ethical investment	O - Leadership companies create new markets or modify existing one by demonstrating that profits can be made ethically. L - Vulnerable to economic downturns and pressures from shareholders.	If ethical trade is not to be an add-on it needs to be embedded in the governance processes of companies.	Access to other company profiles and governance rules, transparency eased (reduced cost to publish reports on-line)
From the grassroots	Participation	Worker and community organisations/ Trade Unions	Trade union and worker activism. Codes of conduct at a local level.	O - Grassroots participation ensures that intended beneficiaries actually gain from ethical initiatives. L - There is a lack of capacity in the South to engage at a technical, strategic and governance level with initiatives being developed in the North.	It is crucial to strengthen the capacity of Southern organisations to participate in and implement ethical trading initiatives.	As Changing the Climate. Inclusion of Southern-based organisations eased, initiatives now possible from South (through email lists, website portals, etc)
Developing the toolkit	Expertise	Service providers/ new standards bodies	Social auditing. Monitoring and verification. Consultancy, research.	O - Development of tools allows more companies to take on ethical concerns. L - There is a danger that ‘ethical trade’ could become a self-perpetuating industry without being effective on the ground.	There is a need for standards to ensure that approaches to ethical trade are effective and trusted.	Possible development of kite marks, ease of transparency (publication of studies, verification by consumer and producer feedback, etc)

Figure 3 Four approaches to ethical trade, with ICT roles

Burns and Blowfield 1999 suggest that these initiatives share a number of key features:-

· They are voluntary

· They rely on the power of consumers or investors choice

· Many are still relatively young

9.7.1 ICT and ethical trade

How then will e-commerce or general ICT opportunities affect this trend in ethical trade? Once again the distinction between the handicraft market and other markets cause considerable differences in the approach to ICT and e-commerce applications. Based on the research into handicrafts we make a number of observations in Figure 33 (we have related these to NRET's research on ethical trade (Blowfield, Malins, Maynard Nelson, 1999).[7]

	Constraints to private sector’s role in ethical trade development.	Possible ICT impact
Retailers	Consumer expectations regarding quality and price. Insufficient quality and quantity of produce. Erratic supply. Cost of ethical auditing of producers.	While handicrafts are constrained by the need to touch and feel, ethical manufacture, organic produce and sustainable woods need not be so constrained. Direct sales may be facilitated by e-commerce but the practicalities of B2C Internet sales remain a challenge and limitation (see section 6.1) B2B opportunities for tracking and enhancing supply chains may greatly enhance ethical trade. ICT exchange of information may lead to greater transparency and ease of auditing producers.
Importers	Insufficient quality and quantity of produce. Erratic supply. Cost of ethical auditing of producers. Too many standards/codes.	As above. B2B opportunities for supply chain efficiencies and tracking.
Exporters/Traders	Limited knowledge of export markets. Overly lengthy supply chains. High cost of loans. Suspicions of public sector and development agencies. Price fluctuations. Poor infrastructure.	Strong enhancement by ICT as exporters are enabled to see and access markets in Europe and US. Possible direct marketing to retailers avoiding middle men. ICT will not affect key problems of finance.

Certification bodies	High cost of certification (particularly if done by foreign consultants). Limited in-country capacity.	ICT may offer new opportunities for self certification, eg as conducted by the Uganda banana growers.
Banking	Reluctance to invest in agriculture. Poor organisation of producer and trader groups. Weak understanding of ethical objectives.	ICT may allow networking and organization of like-minded producer or trader groups. ICT discussions of ethical objectives possible (advocacy and lobbying).
In-country processing industries	Poor infrastructure (eg power, roads, storage). Low-quality standards. Limited knowledge of export markets. Unsupportive policy environment. High cost of loans. Inappropriate technology and poor skills-base.	ICT may address knowledge of export markets. New opportunities for networking resulting in advocacy and lobbying for policy changes. Expanded knowledge base on technology.
In-country service industries	High cost of loans. Unsupportive policy environment. Poor skills base.	As above.

Figure 4 Possible ICT impact on ethical trade

From Figure 33 we can see the different natures of the markets offer most opportunities in e-commerce and ICT support of supply chains.

9.7.2 The micro view

At the grass root level, ethical production of goods can be a useful livelihood strategy (see section 7 for three case histories showing handicraft production as a livelihood strategy). There are the usual complex mix of opportunities and costs surrounding each ethical livelihood strategy. For instance:

• Natural Capital - many ethical trade schemes require some form of long-term tenure because they use perennial crops, thereby excluding the landless.

• Financial capital - However, production for ethical markets does incur additional expenses, the main one being the cost of certification which is as high as US$ 10,000 for organic, and US$ 13,000 for a community-managed forest. For fair trade, the cost of producer assessment seems to be included in the fee paid by European buyers to use the fair trade label. In reality, few small producers appear to incur certification costs directly as they are met by buyers or development agencies.

• Human capital - Smallholder production systems typically depend on family labour supplemented by some hired labour. Access to labour in these systems is affected by gender, age and marital status. For instance, women are less likely to have access to family labour than men, older people are more able to access family labour than younger ones, and non-married people have less access than married ones.

• Social capital - inequities in an indigenous institution may be carried over; for instance, where traditional land tenure disfavours access by women or migrants.

• Physical Capital - lack of physical capital accounts for the failure of some producers and buyers to exploit opportunities in the ethical market place. For instance, poor quality sawmills have hampered sales of certified timber

Like the specific handicraft sector of fair trade, ICT is unlikely to directly affect the producer. The main aspects will be :-

• Natural Capital – opportunities for accessing national government policies – thereby giving people the possibility of forming an advocacy or lobbying group to change policies that restrict land ownership (giving indigenous people the rights to their land).

• Financial Capital – identification of lending organizations and communication with them may be enhanced by ICT. At the most basic level (mobile) telephones have increased communication potential.

• Human Capital – ICT is unlikely to affect labour inequities or lead to new opportunities for accessing labour requirements. ICT might yield increased knowledge of global markets and the processes required for certification and offer distance learning for required new skills.

• Social capital - ICT offers the opportunity for building social capital beyond the immediate community. Friends in distant places can sometimes open doorways.

• Physical capital – apart from perhaps affecting the financial constraints of the livelihood outcomes, ICT is unlikely to affect physical constraints. Lobbying for the provision of basic infrastructure might be affected by ICT.

· The conclusion then is that fair trade ATOs will increasingly work with fair trade consumables such as food products. This shift will include working closer with commercial retailers, and that this tactic will assist the developing world.

· Handicrafts is often undertaken by landless people, and this shift to food products is unlikely to help those specific clients.

· However, there are considerable opportunities with e-commerce within this shift. Once a consumer accepts a particular product, such as fair trade tea, then reordering over the Internet is likely to be acceptable to them. B2C opportunities for food products are likely to be much greater than for handicrafts (once the regulatory and quality-control hurdles have been addressed). Similar B2B opportunities will exist to both enhance the supply chain and to increase market share.

· The general difficulties of e-commerce eg trust, security of data, etc, will remain a challenge for this sector, as will access of the poor to ICT.

9.8 Selected literature survey on ethical tourism, e-commerce and community development

1. Tribes Travel

http://www.tribes.co.uk/fair.htm

This is a fair trade travel company that is one of the UK’s leading exponent of sustainable and responsible tourism.

2. Association of Independent Tour Operators

http://www.aito.co.uk/home/index.html

Produces a holiday directory of smaller, independent tour operators - some of these companies are signing up to ethical guidelines and work closely with local community tourism initiatives

3. Campaign for Environmentally Responsible Tourism

http://www.c-e-r-t.org/

Runs a certified kite-mark scheme for tour operators who have committed to implement environmental policies. The tourism industry has the potential not only to protect the environments in which it operates but also to damage the very attributes which tourists travel to see. Companies joining C.E.R.T. must follow stringent environmental guidelines before they are allowed to incorporate the C.E.R.T. logo in their literature and marketing activities.

Tour operator members of C.E.R.T. are recommended to use locally owned services - hotels, lodges and transport companies - to ensure that as much revenue as possible stays within, and therefore benefits, local communities. Travellers are encouraged to purchase local goods and to be selective when it comes to buying souvenirs. The money that visitors spend on transportation, food, lodgings, guides and park fees supports local economies and helps to create jobs and provide a sustainable economic infrastructure.

4. Survival International

http://www.survival-international.org/

An organisation supporting tribal peoples, it stands for their right to decide their own future. As many tribal peoples' livelihoods are threatened by tourism development, it is increasingly involved in helping communities fight to maintain their access to land destined for tourism development

5. Tourism Concern

http://www.tourismconcern.org.uk/

Tourism Concern is a UK-based charity working for constructive responses to problems about tourism’s impact on communities and the environment both in the UK and worldwide. They look at the way tourism affects the people and environments in tourism destination areas. Tourism Concern raises awareness of tourism's impact with the general public, with government decision-makers and within the tourist industry itself - and they provide an information base for campaigners and students of tourism.

5a) Tourism Concerns Fair Trade in Tourism International Network, report on international forum 21-22 November 2000

http://www.ethical-junction.org/campaigns/respon_tourism/ej_cpn_rt_download.rtf

A paper discussing the issues to do with fair trade in tourism including the problems that communities face and the role of governments and the industry’s big operators.

6. Voluntary Service Overseas (VSO)

http://www.vso.org.uk/campaign/tourism/index.htm

VSO's WorldWise Tourism Campaign aims to put the case for fairer tourism on the public agenda and stimulate action in which everyone can take part. If travelling to the developing world the online travel advice centre gives practical advice from local people and VSO volunteers so the traveller can get more from their holiday and also benefit the communities in which they stay.

7. British Airways Tourism for Tomorrow Awards

http://www.british-airways.com/tourism/

The British Airways Tourism for Tomorrow Awards recognise and encourage sustainable tourism initiatives worldwide. Projects are judged on how they benefit and involve the local community and protect the cultural, built and natural environment. Winning projects are seen as role models for tourism development.

8. Equations

http://www.equitabletourism.org/

Indian non-profit ethical tourism organisation.

9. World Tourism Organisation Global Code of Ethics

http://www.world-tourism.org/frameset/frame_project_ethics.html

10. Tearfund survey ‘Putting Ethics into Practice’

http://www.tearfund.org

The report is focused on ethical tourism in developing countries. The general conclusions offer a challenge to operators to respond to consumer demands by becoming more ethical, to take a longer term view of their operations and to integrate charitable giving and training into their normal business practice. The report suggests 10 actions that tour operators can take now.

11. United Nations Conference on Electronic Commerce and Tourism – New Perspectives and Challenges for Developing Countries

http://www.unctad.org/ecommerce/event_docs/geneva_etourism_agenda.pdf

‘The change that the tourism industry is experiencing presents an opportunity for developing countries to improve their relative position in the international market if they embrace the business models and technology of e-commerce’.

‘Many players in the tourism market are re-inventing themselves today as ‘infomediaries’. In order to succeed they must establish themselves as a credible brand with positive consumer recognition.’

With the medium of the Internet now small or remote destinations/ businesses at these destinations with well-developed and innovative websites can now have ‘equal access’ to international markets.

9.9 Sources and accompanying CD

9.9.1 Bibliography and links

A case study of electronic commerce in Nepal, Larry Press, Seymour Goodman, Tim Kelly and Michael Minges, International Telecommunication Union (ITU), 2000

http://som.csudh.edu/fac/lpress/articles/nepalcase.htm.

Analysing E-commerce for Development, Richard Heeks, IDPM, University of Manchester, UK, 2000 http://idpm.man.ac.uk/idpm/diecomm.htm.

Approaches to Ethical Trade: impact and lessons learned, Maggie Burns and Mick Blowfield, NRET,1999. See http://www.nri.org/NRET/burns_final.pdf.

Being Digital, Nicholas Negroponte, Coronet 1996.

China’s Golden Shield, Corporations and the Development of Surveillance Technology in the People’s Republic of China, International Centre for Human Rights and Democratic Development, Greg Walton, 2001.

http://www.ichrdd.ca/english/commdoc/publications/globalization/goldenShieldEng.html.

Creating a fair trade partnership through a fair trade global communication system, Angelo Caserta, NEWS! (Network of European World Shops), September 2001. http://www.citinv.it/equo/news/ and http://www.worldshops.org/news/ftgcs/.

Development and international cooperation in the twenty-first century: the role of information technology in the context of a knowledge-based global economy, UN-ECOSOC report of the Secretary General, E/2000/52, May 2000. http://www.un.org/documents/ecosoc/docs/2000/e2000-52.pdf.

E-commerce: accelerator of development? IDS Policy Briefing Issue 14 September 2001. http://www.ids.ac.uk/ids/bookshop/briefs/brief14.html.

E-commerce and development report 2001, UNCTAD, 2001.

See Trends and Executive Summary at : http://www.unctad.org/en/docs/ecdr01ove.en.pdf.

E-commerce for development: prospects and policy issues, Andrea Goldstein and David O’Connor, OECD development centre technical paper No 164, September 2000. http://www1.oecd.org/dev/publication/tp/TP164.pdf.

ECOTA Fair Trade Forum Annual Report 2000, ECOTA, Bangladesh.

Electronic and Mobile Business for Industrial Development, UNIDO and Ericsson, December 2000. http://www.unido.org/userfiles/PuffK/ericsson.pdf.

Ethical Trade and Sustainable Rural Livelihoods, Blowfield, M.E., Malins, A., Nelson, V., Maynard, Gallat, S.; Chatham, Natural Resources Institute, 1999.

http://www.nri.org/NRET/old/nracre.pdf.

Fair Trade in Europe 2001, a survey prepared by Jean-Marie Krier, EFTA (European Fair Trade Association), January 2001. http://www.eftafairtrade.org/pdf/FT_f&f_2001.pdf.

Giftware, 2001 Market report, Key Note 2001.

HEED Bangladesh Annual Report, 1999-2000, HEED Bangladesh 2001.

Home Furnishings, 2001 Market report, Key Note 2001.

Home Shopping, 2001 Market report, Key Note 2001.

Information and Communication Technologies, Poverty and Development, 1999, Richard Heeks, Institute for Development Policy and Management, University of Manchester. See: http://idpm.man.ac.uk/idpm/diwpf5.htm.

Lessons for Development from the ‘New Economy’, Richard Heeks, IDPM, University of Manchester, UK 2000 http://idpm.man.ac.uk/idpm/dislesson.htm

OECD Emerging Market Economy Forum on Electronic Commerce, Issues Paper, Robin Mansell, January 2001. http://www1.oecd.org/dsti/sti/it/ec/act/dubai_ec/products/Dubai_issues.pdf.

Okinawa Charter on Global Information Society (2000). http://www.dotforce.org/reports/it1.html.

Pro-poor tourism: harnessing the world’s largest industry for the world’s poor, Dilys Roe and Penny Urquhart, International Institute for Environment and Development, May 2001. See: http://www.poptel.org.uk/iied/pdf/tourism11.pdf.

Pro-Poor Tourism: Putting Poverty at the Heart of the Tourism Agenda, by Caroline Ashley, Charlotte Boyd and Harold Goodwin, Natural Resource Perspectives, Number 51, Overseas Development Institute, London. March 2000.

See: http://www.odi.org.uk/nrp/51.pdf.

Risk E-business: Seizing the opportunity of global e-readiness, McConnell International, August 2000. http://www.mcconnellinternational.com/ereadiness/report.cfm.

Secrets & Lies (Digital Security in a Networked World), Bruce Schneir, Wiley 2000.

Social Accounts 1999/2000, Traidcraft Plc, at www.traidcraft.co.uk.

The Age of Access (The new culture of hypercapitalism where all of life is a paid-for experience) Jeremy Rifkin, Tarcher Putnam, 2000.

The Fair Trade Difference: People, Partnership and Principles (report on IFAT’s 6^th Biennial Conference, June 9-15 2001, Arusha, Tanzania), IFAT.

The Reality of Sustainable Trade, Robins, N. and S. Roberts (eds.) 2000., IIED,

London. See: http://www.iied.org/pdf/Reality_complete.pdf.

Tourism and Sustainability: new tourism in the Third World, Martin Mowforth and Ian Munt, Routledge, 1998.

Tourism: Putting Ethics into Practice, January 2001, G. Gordon and C. Townsend.

See: http://www.tearfund.org/acting/tourism.pdf.

9.9.2 Key organisations and people consulted

10,000 Villages

Dwight McFadden, Jr.

Marketing Director

web: http://www.villages.ca/

ASHA Handicrafts

Lucas Caldeira

Director

web: http://www.peoplink.org/scripts/web_store/web_store.cgi?page=./products/in/ah/index_frames.htm&cart_id=312309.22387

BRAC Bangladesh

S.M. Sajid

General Manager

web: www.brac-aarong.com

Centre for the Promotion of Imports

from developing countries (CBI)

web: www.cbi.nl

ECOTA Forum

Nurul Islam

Director

web: www.peoplink.org/ecota

HEED Handicrafts

Elgin Saha

Director HEED Bangladesh

web: http://www.heedbangladesh.org/

IFAT (International Federation for Alternative Trade)

Carol Wills

Director

web: www.ifat.org

MJ Associates (undertook research on ethical tourism for section 8.6.3.)

Sussex Innovation Centre

Sussex University

Brighton BN1 9SB

UK

tel: 01273 234681

NEWS! (Network of European World Shops)

web: http://www.worldshops.org/

OneNest

Victor D. Morgan, Jr

web: www.onenest.com

PEOPLink

Daniel Salcedo (Director)

web: www.peoplink.org and www.catgen.org

Traidcraft Plc

Andy Redfern

International Director

web: www.traidcraft.co.uk

Viatru

Derek Long

Co-founder and Director of Supplier Relations

Viatru (closed in April 2001)

Now at:

Transparency Centre

web: http://www.transparencycenter.org

9.9.2.1 Acknowledgements

In addition to those listed above, we acknowledge the contribution of the following:

Sarah Andrews at MJ Associates for the literature survey on ethical tourism; Immanuel Bundellu, Manager ASHA Handicrafts, for collecting the Indian producer data and organisation of workshops; Angelo Caserta, author of the NEWS! study Creating a fair trade partnership through a fair trade global communication system, who jointly presented a workshop at the IFAT conference in June 2001; Jackie Corlett, Managing Director, Motif, Bangladesh for discussion on design; Terry Gibson of Chapel UK for contributions on use of multimedia; Graham Gordon, Senior Policy Advisor, Tearfund, for background information on fair trade and ethical tourism; Papri Halder, Manager HEED Handicrafts, for setting up producer workshops in Bangladesh and general liaison ; Brad Hamrlik, PEOPLink, for information on CatGen software; Matt Hearn at Gamos Ltd for background research; Michael Jenkins of MJ Associates, for outline of ethical tourism business models and creative thinking on disintermediation strategies ; Modestus Karunaratne, Gospel House Handicrafts Ltd, Sri Lanka, for discussions on e-commerce opportunities; Joanna Schouten (formerly PEOPLink European office) for information on training in digital media; Surendra Shahi (Mahaguthi Handicrafts, Nepal and Partner Liaison at PEOPLink) for his interview; Christopher Raphael, ASHA Handicrafts IT, for technical support in India.

We also wish to thank all the producer groups who gave their time and energy to be involved in this study, in particular those linked to ASHA Handicrafts (India), HEED Handicrafts (Bangladesh) and those who contributed as part of the workshop at the IFAT conference in Tanzania.

9.9.3 Accompanying cd-rom

The accompanying cd-rom contains the following materials in these folders:

Report folder: The main report and appendices in Word (doc) and Adobe Acrobat (pdf) formats.

Viatru folder: Sample market information sheets published by Viatru (see section 9.5 above)

Video folder: Sample video sequence featuring the Bangladeshi pottery producer Nitai Mrith Shilpa (Nitai Clay Industry), showing how their pots are made (HEED Handicrafts, Bangladesh) (wmv format – needs Windows Media Player). Click the following links to play the video or right click to save to your hard disk.

· Play full video for 28.8 Kbps modem (1.2 Mb)

· Play full video for 56 Kbps modem (2.1 Mb)

· Play sample clip (low bandwidth, 0.5 Mb)

· Play sample clip (high bandwidth, 3.6 Mb)

Archive folder: Sample archived web pages of on-line stores selling craft products (see section 9.5 above)

Powerpoint folder: Powerpoint present to producers (January 2002)

e-comm2002.ppt

9.9.4 Gamos Ltd and Big World

This research has been conducted by the community development specialists Gamos Ltd and the UK charity Big World.

Gamos Ltd (www.gamos.org) is a community development consultancy with wide-ranging experience of research and impact evaluation, specialising in the sustainable application of ICT.

Big World (www.big-world.org) is a UK charity specialising in the appropriate use of ICT (Information and Communication Technology) to meet the information needs of the poor.

Gamos and Big World are currently engaged in the following research and pilot projects:

· Piloting community telecentres in Soweto and Mexico City aimed at urban youth

· Vocational training centres in East Africa: using digital media to enhance the delivery of training materials, and piloting the exchange of training materials between centres in Kenya, Ethiopia and Uganda

· Case study of how ngos are using a broad range of ICT to benefit their target communities in sustainable ways

· Piloting and evaluation of using digital media in local languages to empower community health agents

· Piloting and evaluation of various digital tools to empower communities and community groups to create, publish and manage local content (including open source).

Contact information:

	Mike Webb Big World 12 Spurfield Hurst Park West Molesey Surrey KT8 1RS UK Tel 0845 130 5050 Fax 0845 127 4358 www.big-world.org Email: mike@big-world.org
Dr Simon Batchelor Gamos Ltd. 231 Kings Road Reading Berkshire RG1 4LS UK Tel 0118 926 7039 Fax 0118 935 1374 www.gamos.org Email: simon@gamos.org

ã Gamos Ltd, 2002.

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[1] Ministry of Textiles Annual Report 2000/01, Gov. of India http://texmin.nic.in/annualrep/ar01_c09.html

[2] Blowfield, M.E., Malins, A., Nelson, V., Maynard, Gallat, S. Ethical Trade and Sustainable Rural Livelihoods; Chatham, Natural Resources Institute, 1999. http://www.nri.org/NRET/old/nracre.pdf

[3] Blowfield, Malins, et al, 1999.

[4] The Reality of Sustainable Trade, Robins, N. and S. Roberts (eds.) 2000., IIED,

London. See: http://www.iied.org/pdf/Reality_complete.pdf. p26.

[5] Blowfield, Malins, et al, 1999.

[6] Approaches to Ethical Trade: impact and lessons learned, Maggie Burns and Mick Blowfield, NRET,1999. See http://www.nri.org/NRET/burns_final.pdf.

[7] Blowfield, M.E., Malins, A., Nelson, V., Maynard, Gallat, S. Ethical Trade and Sustainable Rural Livelihoods; Chatham, Natural Resources Institute, 1999. http://www.nri.org/NRET/old/nracre.pdf