Maurice Cummins (Fine Gael)

I welcome the Minister of State, Deputy Kitt, to the House.

We held a worthwhile debate on overseas aid in the House some weeks ago and today our focus is on fair trade at a time when we also celebrate Fair Trade Fortnight.

We should welcome the growth of Fairtrade towns and cities throughout our country. It is a welcome development and one that is extremely beneficial for schools, youth groups and the community in general. In Waterford, the One World Centre is doing great work organising workshops, projects and events that explore a range of development themes such as fair trade, human rights, sustainable development, cultural diversity, racism and many other subjects which greatly assist the community in understanding the needs of the developing world. It increases the understanding of economic, social, political and environmental forces which shape our lives and develops the attitudes, skills and values which enable people to work together and to bring about change. It also works towards achieving a more just and sustainable world in which power and resources are shared more equitably.

What is Fairtrade? It is a movement to help producers in developing countries gain fair access to their markets. It involves campaigning for a more just trading system. It involves small producers and helps them to sell their goods and produce directly to consumers in commercially developed countries such as Ireland. It helps those small producers to avoid the middle men who often exploited them in the past.

Danilo Nunez, a small sesame seed farmer from Nicaragua, states:

Fairtrade provides us with security when the market-price falls and allows us to survive as farmers. Without it, we would be swallowed up by large-scale agriculture and end up as farm labourers.

That brings home to us the importance of Fairtrade and highlights the need for us as a rich, developed country to ensure we do everything possible to promote and assist Fairtrade projects which, in turn, will help small producers like Danilo Nunez. Here in the Houses of the Oireachtas we serve Fairtrade tea and coffee and I welcome the Government's commitment to source Fairtrade goods wherever possible. Every little step helps and I note from recent statistics that, as the Minister of State stated, Fairtrade sales grew by about 75% again last year in Ireland.

Sub-Saharan Africa attracts less than 3% of global foreign direct investment. The least developed countries share in global exports has fallen steadily from 3% in the 1950s to the current level of 0.5%. Increased trade is central to sustained economic growth in these least developed countries. It is important to note that Africa has the potential to earn from trade many times more than what it obtains in official development assistance.

Ireland must be, and we are to a certain extent, to the forefront in providing assistance to enhance these countries' capacity to produce, deliver and sell goods. There is no doubt that the ability of a country to benefit from more liberalised trade depends on the strength and productivity of its domestic economy. Developing countries are more vulnerable and need more protection and we must ensure always in world trade talks that this protection is afforded to developing countries throughout the world. It is essential that the poorest and weakest countries are not overwhelmed and marginalised but, instead, are able to put forward and defend their own interests so the outcome is a just and equitable trading system which provides the greatest opportunities for those most in need.

The principles of the Fairtrade movement are ones which any Irish Government should continue to support and they include creating economic opportunities, capacity building, a fair-pricing structure, gender equality, safe and healthy working conditions and the protection of the environment. Researchers have found that Fairtrade has significant impacts on the lives of local producers which include greater economic stability, decreased child mortality, increased food consumption and increased educational attainment. Overall, it has been established that participation in a Fairtrade co-operative results in a better quality of life for all concerned.

By coincidence, a couple of hours ago I received correspondence from a constituent advising me that he will facilitate a group of Nepalese businessmen who will visit Ireland from 6 to 13 April. They hope to make contact with companies and organisations who may be interested in their products. Nepal is an extremely poor country with few of the economic and infrastructural advantages we enjoy in Ireland. It is one of the poorest countries in the world, with 30% of the population living below the poverty line and unemployment rates in excess of 40%. I hope that during this visit, the Minister of State or someone in his Department might meet the group and discuss its needs.

I wish to pay tribute to the staff and volunteers in the 26 towns and cities throughout this country which have already achieved Fairtrade status. Their work is extremely important in reminding us that we must use every means at our disposal to prevent exploitation of weaker and poorer nations and that by purchasing Fairtrade products we, as individuals, are helping in some small way.