Why responsible purchasing practices matter for sustainability and human rights? Check out the 8 reasons given by tea farmers and factories in Kenya

Why Rainforest Alliance is happy with Lara Wolters including #purchasingpractices as key amendment in the Legal draft report of the EU Parliament for the #EUCSDDD?

Because #responsible #purchasingpractices are exactly what tea producers in Kenya need from buyers, brands, and retailers. That was the conclusion of a workshop I held for Rainforest Alliance in #Kenya two weeks ago with #tea #producers in the tea producing region Kericho, amidst price hikes in production costs and low prices for tea.

Want to know more? ?? Check out these 8 reasons that Kenyan tea farmers and factories gave in the workshop I led two weeks ago on Responsible Purchasing Practices in tea producing region Kericho.

?? One. For tea farmers and factories to be able to produce sustainably with respect for nature and human rights, and meet these increasing sustainability demands from the market, the way business is done and tea is bought must change.

??? Two. The number ONE priority of tea producers is to receive a price for tea that covers the cost of producing sustainably with respect for nature and people, a true price.

??? Three. Price setting, payment terms and schedules come next.

??? Four. An increase in prices for tea may not be the only solution, but no other solution can do without increasing prices for producers

??? Five. Long-term, direct buying relations are preferred over indirect buying with intermediaries and via auctions

??? Six. Contracts must be reciprocal with mutual benefits, negotiated via dialogue, with mutual trust (built in a long-term relation) and transparency on price setting

??? Seven. #Investments are worthwhile to have, especially when first the above responsible buying practices are realized, leading to a true price, long-term relations and a partnership approach of buyers, brands, and retailers with producers.

??? Eight. Responsible Purchasing Practices are key for sustainable and equitable global supply chains and should be part of the core of companies' responsibilities in the #EUCSDDD

Producers themselves indicate that changing the way tea business is done is the only way forward to a more equitable an d sustainable world of production in which human rights are respected. The way that companies buy products and services - their business models and practices - has an impact on the risk of #environmental and #humanrights #impacts in their global value chains, and should therefore be part of their due diligence responsibilities in the #EUCSDDD. Producers at origin need value creation, financial space and long-term partnerships that is based on shared responsibility for #sustainability and #bizhumanrights in global value chains.

The terms of trade, the (low) price paid, the term of contracts, payment schedules, sourcing strategy (where, how and from whom to buy) are all business decisions that have an impact on sustainability risks and the ability of producers to be able to afford and #invest in sustainable production with respect for human rights. Buying directly or via auctions, is a crucial sourcing decision which should be part of the responsible purchasing practices agenda.

In 2019, 68.6% of global tea export volume is sold via #auctions which limits constructive dialogue and collaboration between producers and buyers, brands and retailers and a partnership approach to advancing sustainability and human rights. Governmental regulation on auctions should take this into account as well, such as the Kenya tea law prescribing a large part of tea produce to be sold via auctions, as this can have unintended adverse consequences for producers and buyers to work in partnership on sustainability.

The workshop on #responsible #purchasingpractices was a side-session of our meeting on a new #benchmark for #livingwage in the tea producing region Kericho (soon to be published) with the Anker Research Institute of Richard Anker and the Global Living Wage Coalition . Responsible purchasing practices are on the other side of the same coin of the ability of farmers and producers to pay a living wage to workers or earn a #livingincome and have a thriving business which is resilient to climate and other shocks.

Thanks, amazing team of colleagues to travel with in Kenya, visit tea fields, farms and factories, smallholders, cooperatives, meet so many stakeholders, tea brands and traders, even jointly plant trees in the forest: Robbie Hogervorst ? Anny Stoikova Sophie Boote Ginny Hain Alex Nene

Thanks for making our Kenya visit possible MICHAEL ONCHABO Julius Ng'ang'a Christopher W.

Let’s make sure that due diligence on purchasing practices is kept in the final report by the European Parliament and in the final EU Corporate Sustainability Due Diligence Directive as a key obligation of companies. This is what Rainforest Alliance advocates for, together with Fairtrade International , Fair Trade Advocacy Office (FTAO) and Solidaridad Network ( Fanny Gauttier Gert van der Bijl Elena Lunder Tytti Nahi Catarina Vieira Hyrske-Fischer Meri )

Read more here on the recommendations and position of Rainforest Alliance on the EU CSDDD to make it work for #smallholders and to create a #levelplayingfield for all companies with #sharedresponsibility in global value chains.

#sustainableagriculture #sourcing #procurement #buyers #suppliers #partnership #development #businesswithpurpose #businessmodels #fair #contract #terms #mutualCoC #goodagriculturalpractices #humanrights #duediligence #changetheworld #doingbusiness #bizhumanrights #EUCSDDD