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Putting farmers and workers at the center of due diligence legislation

In an open letter, Fairtrade farmers and workers - supported by businesses - call for impactful and strong due diligence legislation, asking the European Union to include their voices and needs in negotiations.

[Translate to fr:] Ein Feldarbeiter läuft durch eine Bananen-Plantage und blickt nach oben links

[Translate to fr:] Fairtrade-Produzentenorganisationen fordern in einem Brief die Europäische Union auf, ihre Interessen in den Mittelpunkt der Sorgfaltspflichtgesetzgebung zu stellen

The rights of millions of farmers and workers remain unfulfilled today, even if the Universal Declaration of Human Rights was created over 70 years ago. Human rights and environmental violations are still prevalent in agricultural supply chains and legislation to help address these violations is critical.  In an open letter, Fairtrade farmers and workers - supported by businesses - call for impactful and strong due diligence legislation, asking the European Union to include their voices and needs in negotiations.

Despite strong voluntary initiatives, such as Fairtrade, legislation is necessary to guarantee entire supply chains assume shared responsibility for human and environmental rights. 
The positive news is that many developments are moving in this direction. For example, the European Commission recently presented its proposal for a broad due diligence law. 
The big question is whether the proposed set-up for due diligence legislation will actually result in positive impact for farmers and workers. 

Unfortunately, despite being a good start for negotiations, the European proposal needs to be bolder. The proposed law relies heavily on contractual assurances (e.g. codes of conduct) making it easier for lead companies to shift responsibility downwards in the chain instead of considering the role of their own purchasing practices behind human and environmental risks and violations. In addition, the directive should not encourage buyers to terminate business relationships if problems are discovered, but engage in dialogue and collaboration with the suppliers. 

Farmer organizations and workers are the most vulnerable within global supply chains in terms of power relations and in terms of share of the value. That is why Fairtrade certified producer organizations have written a letter in which they call on the European Union to put their interests at the center of due diligence legislation.

“Dialogue with the people negatively impacted by business practices is a fundamental principle in human rights and environmental due diligence. We, as rights holders, want our voices heard” reads an extract.
More than 270 producer organizations from Latin America, Africa and Asia have signed the letter that is sent to European officials May 25th. Over 40 of businesses support their message, among them HALBA, Maestrani and Pakka.
The producer organizations state that as long as legislation does not ensure that farmers and workers are able to earn a living income, their rights will remain under pressure. Even worse, if HREDD legislation and buying companies’ practices translate to additional costs absorbed entirely by producers , many of them would not be able to meet such requirements and be pushed out of the markets with consequent negative effects on the rights of farmers, workers and their families. Smallholder producers can only address human rights and environmental challenges if companies share the cost of compliance that enables them to take necessary action.
Therefore, as the producers state, legislation must:

•    Include a due diligence obligation for the entire chain and apply to all companies;
•    Promote collaboration and cost sharing;
•    Require companies to review and, where necessary, adjust their purchasing and trading practices;
•    Focus on living income and wages;
•    Enable meaningful stakeholder engagement with farmers and workers at every step of the process;
•    Prevent 'cut and run' and promoting long-term collaboration.

Legislation should begin by recognizing and establishing need for compliance, but also acknowledging the root causes. It should require companies to address the most serious human rights and environmental issues while working together with rights holders. Having more requirements and mandatory legislations does not automatically translate into substantial improvements on human rights on the ground.
The above elements, building on supply chain cooperation and having meaningful dialogue is necessary to ensure real impact.  Everyone has a role to play, and from a legislative point of view it is now up to the European Union officials to build this legislative proposal further to ensure tangible impact on producers’ livelihoods.