Fair trade and its role in sustainable development of agri-food system: A systematic literature review

Authors

  • Aleksandra Kowalska Deaprtment of Microeconomics and Applied Economics, Institute of Economics and Finance, Maria Curie-Skłodowska University in Lublin, Poland https://orcid.org/0000-0003-3854-951X
  • Ashura Salim Doctoral School of Social Sciences, Maria Curie-Skłodowska University in Lublin, Poland https://orcid.org/0009-0004-2953-9605
  • Louise Manning The Lincoln Institute of Agri-Food Technology, University of Lincoln, UK https://orcid.org/0000-0002-9900-7303

DOI:

https://doi.org/10.18559/ebr.2025.3.2181

Keywords:

Fairtrade certification, food trade, sustainability, agriculture, minimum prices, consumption, food governance, social equity, global value chains, PRISMA

Abstract

The ‘fair trade’ movement aims to promote equitable trade relations between developed and developing countries. By guaranteeing producers a fair price, it seeks to improve livelihoods of farmers and workers in marginalized regions. This review critically explores Fairtrade certification's impact on economic, social, and environmental sustainability of agri-food systems using PRISMA methodology and SWOT analysis. Key themes emergent from the reviewed papers include sustainable consumption, social equity and women empowerment, and governance in alternative food networks. Most sources focused on consumer behavior and Fairtrade, concluding that consumer-driven strategies are crucial for systemic change and long-term success. Fairtrade still faces obstacles including market competition with other certification schemes and uneven distribution of benefits between producers and supply chain actors. The final retail price is significantly affected by the value added by retailers, contrary to the Fairtrade mission, which can undermine confidence in the system.

JEL Classification

Equity, Justice, Inequality, and Other Normative Criteria and Measurement (D63)
Trade Policy • International Trade Organizations (F13)
Agriculture • Natural Resources • Energy • Environment • Other Primary Products (O13)
Agriculture in International Trade (Q17)

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Published

2025-09-30

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Section

Research article- regular issue

How to Cite

Kowalska, A., Salim, A., & Manning, L. (2025). Fair trade and its role in sustainable development of agri-food system: A systematic literature review. Economics and Business Review, 11(3), 7-37. https://doi.org/10.18559/ebr.2025.3.2181

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