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Fairtrade Finland (Reilu kauppa ry)

Reilu kauppa tekee töitä sen eteen, että kehittyvien maiden pienviljelijöillä ja maataloustyöntekijöillä olisi mahdollisuus reiluun toimeentuloon ja päätösvalta omasta tulevaisuudestaan.

Lobbying Activity

Meeting with Jussi Saramo (Member of the European Parliament)

12 Jun 2025 · Omnibus and corporate sustainability

Meeting with Katri Kulmuni (Member of the European Parliament)

23 May 2025 · Reilun kaupan työ sekä yritysvastuusääntely

Meeting with Elsi Katainen (Member of the European Parliament)

2 Mar 2023 · Corporate Sustainability Due Diligence

Response to Sustainable corporate governance

23 May 2022

Fairtrade Finland welcomes the opportunity to give feedback on the proposed CSDD Directive. The proposal is an important milestone in corporate accountability. It sets an ambitious goal of transforming corporate behaviour and encouraging a sustainable future. However, to be fully effective and avoid un-intended consequences, it should take a risk-based and proportionate approach in accordance with UNGP’s and OECD Guidelines and not limit the scope of due diligence to “established business relationships” or a restricted number of companies. At its core, the human rights and environmental due diligence framework is a rightsholder centric instrument. Fairtrade hopes that this will be clearer in the final directive. In this feedback, Fairtrade concentrates on pointing out, how rightsholders’ interests should be considered. For example, attention should be paid to smallholder farmers who are responsible for producing a third of the world’s food supply and play an important role in several global value chains. Important actors when talking about climate change a) already face impacts b) play a strong role in mitigation. However, there is quite a strong chance that their interests can be left out of due diligence frameworks. They are often located several tiers from a company that will be covered by this legislation and are often in a disadvantaged position in comparison to their buyers. The same is true for others working in both, EU and global value chains but not in a formal employment relationship or in a self-employed capacity. While not covered by the scope of the proposed Directive, these actors will still be impacted as part of value chains of larger companies and their position should be given special attention. In addition to essential elements of a due diligence framework such as access to justice and effective remedy, we see 4 points that need to be addressed to include smallholder farmers and artisans. 1. Stakeholder inclusion should play a stronger role at every step of the due diligence process. It should be clarified that it must be gender inclusive and that special attention must be paid to groups in vulnerable situations. 2. Purchasing practices should be a mandatory part of the due diligence process. Already now, we can see that a large portion of producers globally (not just smallholder farmers but across sectors) receive prices below the costs of production, accept short lead times and other unfavourable terms. Due to asymmetrical power relations, they often do not have the bargaining power to negotiate otherwise. 3. The directive itself does not sufficiently emphasize that disengagement should be seen as a last resort measure. Operators would be rather encouraged to suspend commercial relations if there is a reasonable expectation that due diligence efforts will not succeed in the short term; or terminate the business relationship if the potential adverse impact is severe. Severe impacts are often systemic (such as child labour) and cannot be addressed in the short term – cooperation and investments are needed. CSDD should include clear provisions on steps required before resorting to disengagement framing it as a last resort measure. 4. It is great news that the prohibition of withholding a living wage is included – now it is also important to include an obligation for companies to address living incomes – to include the livelihoods of smallholder farmers. Living income and wages are instrumental for the realisation of the right to an adequate standard of living but can also be seen as a pre-condition for the realisation of all human rights. Living wages refer to the remuneration a worker receives on the basis of an employment contract. By contrast, living income (understood as the income received by a self-employed person) is not protected in the Annex. An explicit reference to living incomes in the Annex is thus essential.
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Meeting with Taneli Lahti (Cabinet of Commissioner Jutta Urpilainen)

27 Aug 2021 · Human rights due diligence