Building the bridge between responsible consumers and Fairtrade-certified farmers
Activities
Mission & Values
Our Mission
The FairCapital Consumer Cooperative (Fair2C) supports Fairtrade-certified farmer organizations with financing and raises awareness for products carrying the Fairtrade Max Havelaar mark.
Fair2C enables consumers to allocate part of their savings to directly support Fairtrade-certified farmer organizations. In turn, farmers gain improved access to financing and can sell more of their products under Fairtrade conditions. This strengthens the Fairtrade value chain and increase the supply of Fairtrade-certified products for Fair2C members and all responsible consumers.
We are committed to fostering fairer trade conditions for farmers by financing only Fairtrade-certified organizations. In addition, we ensure fairness to our members by providing access to a mature, lower-risk portfolio that is also financed by institutional investors like Stiftung Abendrot. Members enjoy full voting rights and an annual redemption option.
Our Values
We always aim to be fair, transparent and sustainable
Fair
We are committed to fostering fairer trade conditions for farmers by financing only Fairtrade-certified organizations. In addition, we ensure fairness to our members by providing access to a mature, lower-risk portfolio that is also financed by institutional investors like Stiftung Abendrot. Members enjoy full voting rights, a small dividend and an annual redemption option.
Transparent
We ensure that 100% of the capital contributed by Fair2C members is used to offer additional short-term financing to selected farmer organizations of FairCapital's portfolio. All details are disclosed in our impact report. Members receive regular updates on the cooperative’s activities, we disclose our audited accounts, and we hold an annual General Meeting to provide a complete and transparent overview of our progress and impact.
Sustainable
We believe in holistic sustainable development - socially, environmentally and economically. Our support for Fairtrade farmer organizations is aligned with our commitment to safeguarding the long-term interests of our members and all stakeholders involved.
What We Do
Financing Facilities
Each new Fair2C member buys at least one cooperative share for CHF 5’000). This capital contributed to Fair2C is used 100% to provide financing to farmer organizations to maximize our impact while we strive to keep our operating costs low.
Credit lines are the most common form of debt financing provided by Fair2C. These enable farmer organizations to buy more production from their members under Fairtrade conditions, and to export it.
The interests paid by farmer organizations on their credit lines are Fair2C’s revenues. Most of our cooperative’s net profit is distributed among Fair2C members in the form of dividends.
Tripartite Figure
Fair2C signs loan contracts with farmer organizations according to a tripartite scheme. These reduce the risk of the financing offered by Fair2C, guaranteeing repayment and preserving its members’ capital.
Here is how it works, with the example of coffee:
A farmer organization is approved to receive a credit line from Fair2C. To access the funds, it must present signed commercial contracts with coffee importers. Once the contracts are accepted, Fair2C disburses the funds.
After a few weeks, the importers pay Fair2C the agreed amount for the coffee.
The farmer organization collects the coffee and ships it to the importers.
Fair2C forwards the amount to the farmer organization, after deduction of the loan amount and interest.
Community Building
Fair2C not only offers financing solutions but also aims to raise awareness for products with the Fairtrade Max Havelaar mark.
To this end we organize events for our members and the general public. In November 2023, we held our first event at the Kaffeerösterei Seehallen in Horgen.
During the event, we enjoyed guided tours of the roastery and tasted Peruvian coffee made from beans grown by Fairtrade-certified smallholder farmers.
Want to know more? Follow us on our social media channels
Recognition
The work in impact investing by Fair2C and its service provider FairCapital SA has been recognized by several media and personalities of the Fairtrade movement.
Endorsement
Rolf Buser, the first CEO of Fairtrade Max Havelaar Switzerland
Rolf has been a member of Fair2C since its inception. In a recent interview, he shared his valuable insights with us, reflecting on his experiences and vision for the Fairtrade system.
Read the transcript from this inspiring conversation in our LinkedIn article, listen to it on this YouTube video or find the main key takeaways on our social media.
