Tea & Coffee focus: Fair enough?

THE GROWTH of the Fairtrade movement has undoubtedly been an important factor in helping put the quality and provenance of tea and coffee at the forefront of consumer concern.

According to industry body Fairtrade Labelling Organizations International (FLO), consumers worldwide spent £1.1bn on Fairtrade products last year. This is a 42 per cent increase on the previous year, and directly benefits more than seven million people - farmers, workers and their families in developing countries.

Pub operators including Shepherd Neame, Arkells, Laurel and Brains (see page 46) have moved their coffee offer to Fairtrade, recognising that it gives customers a warm glow that goes beyond the quality of their latte.

In the UK, figures from analyst TNS Omnimas show that the Fairtrade Mark is recognised by around three in five British adults. UK sales of Fairtrade products had an estimated value of £290m in 2006, an increase of 49 per cent year-on-year, and in 2007 sales are running at an annualised rate of more than £400m.

Hot drinks are at the core of this growth with Fairtrade sales of cocoa up by 93 per cent, coffee by 53 per cent, and tea by 41 per cent.

Ian Bretman, director of the Fairtrade Foundation, says: "Britain is the second largest Fairtrade market in the world and the figures reflect the public's appetite for Fairtrade and show great promise for the future.

"Consumers' increasing demand for Fairtrade products means that more farmers are able to sell more of their produce under Fairtrade terms, strengthening their organisations, building long-term relationships and increasing benefits to their communities."

However, consumers are also considering their own interests when making buying choices. Typhoo aims to address changing lifestyles with the launch of a range of fruit and herb teas, as well as speciality black teas - Assam, Earl Grey and English Breakfast - and a decaffeinated version.

Sue Jones-Smithson, channel marketing manager for Typhoo, says: "With consumer concerns about health and well-being impacting on the tea market, there has been more interest in alternative teas and, as a result, tea drinkers are incorporating these teas into their repertoire.

"Decaffeinated tea has grown by over 42 per cent over the past five years, but it can be difficult to source a decaffeinated tea out of home."

She adds: "Speciality is the fastest growing tea segment, up 14 per cent in the last year alone, as consumers are learning to indulge and experiment with new flavours. Fruit and herb teas are also attracting new drinkers to the market."