Fair trade (two words) is a concept, a way of doing business, a value system, an entire movement built through the convictions of hundreds of thousands of individuals across the globe. It is an attempt to facilitate trade not just on price, but on other considerations such as ethical and/or environmental. Fair trade is a type of alternative trade in which a fair deal for the entire supply chain is the guiding factor.
The philosophy is that everyone along the supply chain, from growers to consumers, gets a fair deal. For workers this means that they are treated with dignity and respect, paid living wages, have access to running water and electricity and have job security. They in turn provide a good life for their families which impacts on the communities in which they live.
Fair trade certifiers are independent third party auditors for social accountability and fair trade. Most certifying bodies include a social premium, added onto the product price, which goes directly back to the workers. This money is used for democratically agreed-upon projects that benefit the whole community.
These neutral parties guarantee that the products that carry their brand mark have been stringently audited according to fair trade standards. Examples of third-party certifiers are; FLO Fairtrade, Fair for Life, Rainforest Alliance, EcoCert Fair Trade and CU Fair Choice.
Stellar Winery is a privately owned enterprise in which the workers own a 26% shareholding.
Stellar Winery was the first organic winery in the world to be awarded Fairtrade certification from FLO e.V. In June 2011 Stellar joined the Fair for Life programme of Swiss-based IMO (Institute for Marketecology). Fair for Life audits Stellar for Fair Trade and social accountability. For more information on IMO and Fair for Life, visit www.imo.ch and www.fairforlife.net. Stellar's scoresheet is available on the Fair for Life website.
The Stellar workforce benefits directly from sales of fairly-traded wine and grapes. The Stellar Empowerment Trust is the organization that controls the premium funds. The Stellar Empowerment Trust serves as a forum for workers to identify their needs and manages the income derived from fair trade sales. This is done through the democratically elected Joint Body, the executive arm of the Trust. The Trust is the owner of the 26% shareholding in the winery and the workers are the Trust's beneficiaries.
Previously, the Trust initiated and managed projects designed to improve the quality of workers' lives and benefit surrounding communities. With the establishment of the more complex Multi-Estate, it was decided to establish a non-profit organisation, the Stellar Foundation, to manage the projects and serve as the entity in which all social responsibility activities of the Stellar group of companies takes place. For a more detailed explanation of the Trust and the Foundation, read here.
The work of the Joint Body is to liase between employees and management on matters of the shareholding and community projects. They are legally elected by the workers to represent them. The Joint Body manages the fair trade premiums on behalf of the workers/Trust beneficiaries. Their main aim is to negotiate better economic, financial and social benefits for the employees. Sub-Committees are responsible for various portfolios: for instance through the Workers' Committees the employees address issues such as hours of work and safety. The Health committee motivates employees to keep their properties neat and tidy. The work of the Neighborhood Watch is to protect the property and lives of the workers, while the Supervisors are in control of working teams.
A detailed review is available here.
The Fair trade projects at Stellar are initiated by means of a collective process among the Trust beneficiaries. Once a project has been decided upon, Stellar management is brought into the forum and ways and means are discussed and decided upon. The funds collected through premiums on sales of fairly traded wine are held in a trust account managed by the Trust and independent auditors. Some of our customers have elected to pay more than the required premium and selected a particular project to which these funds are dedicated. This has worked well in the past as it increases the focus on the project and provides a good marketing tool for customers.
Completed/Ongoing projects
Progress report:
On The Wish List:
Our Big Dream:
The Marie Malan Memorial Hall
The late Marie Malan was a great believer in self-help. She lived her life according to this principle and was a great inspiration to her colleagues.
Our dream is to extend the current community centre in Trawal, which is next to the sports field, into a multi-purpose venue with a media room and after-care facility that can host conferences, weddings, corporate functions and workshops. Our vision is for a centre that will generate sufficient income to pay for its maintenance and provide additional income for the community.