Organic by Design TEXTILE EXCHANGE

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1 Organic by Design TEXTILE EXCHANGE

2 We work closely with organic cotton producer groups to help build supply and closer value chain relations.

3 Five years of production growth Fiber (mt) Over the past five years we have seen organic cotton production jump from 37,000 to over 240,000 metric tons 539 % growth From 0.1% of world supply to now over 1% 209, , ,872 37,799 57, % 0.20% 0.55% 0.76% 1.10% Textile Exchange Farm & Fiber Report, 2010

4 Five years of retail growth Billion (USD) Over the past four years organic cotton retail sales increased from 1 to over 4 billion USD 298 % growth 5 Predicted to reach US$19.8 billion by (Global Industry Analysts, Inc. 2010) Textile Exchange Market Report, 2010

5 Where organic cotton comes from China -Xinjiang District United States of America -California -New Mexico -Texas Latin America -Brazil -Nicaragua -Paraguay -Peru Africa -Benin -Burkina Faso -Mali -Senegal -South Africa -Tanzania -Uganda -Zambia Europe, Middle East & North Africa -Egypt -Greece -Israel -Kyrgyzstan -Syria -Tajikistan (new) -Turkey South East Asia -India -- Andhra Pradesh -- Gujarat -- Karnataka -- Orissa -- Madhya Pradesh -- Maharashtra -- Rajasthan -- Tamil Nadu -Pakistan Textile Exchange Farm & Fiber Report, 2010

6 Farm Engagement... TEXTILE EXCHANGE

7 Our mission The Farm Engagement program mission is to expand organic fibre agriculture as a viable means of economic development and social and environmental improvement, for farming communities globally, particularly in the South.

8 Our values Our values We believe cotton that is produced organically and with integrity should be the flagship of the cotton industry We are committed to supporting fair and transparent value chains We are committed to promoting the environmental, social and economic stability that organic farming delivers to farmers, communities and our planet

9 Our vision Our vision Organic cotton farmers enjoying access to stable and rewarding value chains Well organized and well informed Producer Groups Environmental sustainability Farming families enjoying secure access to nutritious food Organic by design

10 Why organic... TEXTILE EXCHANGE

11 Agriculture and Poverty There is an intimate relationship between poverty and agriculture. Three quarters of the 1.2 billion people who live on less than a dollar a day, work and live in rural areas. Repeated studies have shown that agriculture is key in the fight against poverty. Organic belongs here.

12 Why focus on cotton? Nearly 50 percent of all textiles are made of cotton An estimated 100 million people are involved in growing cotton, in over 100 countries Cotton farming is intricately linked to the world s food supply through cotton seed Conventional farming consumes roughly 150 grams of pesticides and fertilizers to produce enough cotton for a single t-shirt Linked to development issues and inequalities

13 What is organic... TEXTILE EXCHANGE

14 Defining organic Organic crops are grown on land that is certified by an accredited independent organization. Organic production prohibits the use of: - genetic engineering - irradiation - sewage sludge - toxic and persistent synthetic pesticides and fertilizers

15 What is organic cotton A way of producing more sustainable cotton Combines traditional with modern technical research Addresses human wellbeing and economic development A certification scheme

16 What is organic agriculture Production system that sustains the health of soils, ecosystems and people Relies on ecological processes, biodiversity and cycles adapted to local conditions Based on principles of health, ecology, fairness and care

17 The organic cotton farm system Beneficial & Harmful Organisms Association Crops Animals Crop Rotation Border Crops The balance equation : Soil Periphery Crops use of locally adapted varieties + the reduction of nutrient losses + the use of locally available organic material and green manuring + a wide rotation + fostering natural balances + mechanical and manual weed control = no need for synthetic inputs'. Van Elzakker, B (2009) Agro Eco, Louis Bolk Institute, The Netherlands

18 What are the benefits... - for growers TEXTILE EXCHANGE

19 A mechanism for improving well-being and economic development Organic premium Food security and nutrition Farmer organisations Empowering women Income diversity and value adding Community-based spin-off opportunities

20 Health and safety Conventional farmers can be exposed to harmful chemicals, and there is often no protection provided or worn. The use of chemicals can also endanger the farming community i.e. accidental poisoning, residue on food crops, and water system disruption. Organic farmers are not exposed to chemicals and therefore do not need protection. Their food and water supplies are not effected by the pesticides used for cotton. Workers rights, including child labour, are more likely to be complied with. Rotation crops contribute to food security.

21 Health and safety Aldicarb, parathion, and methamidopho, three of the most acutely hazardous insecticides to human health as determined by the World Health Organization, rank in the top ten most commonly used in cotton production. WHO suggests that there are about 3m instances of pesticide poisoning a year, resulting in over 20,000 unintentional deaths Image Source:

22 Food security and nutrition Crop Role Crop Rotation Examples of Crop Intercropping Trap Crop Border Crop Periphery and Plantation

23 Producer organisation Well organised knowledge-intensive producer groups working cooperatively to share costs, boost efficiencies and achieve economically viable production quotas improve security of organic production

24 Income diversity Organic cotton producers tend to grow a range of crops for market which helps farmers spread risk and diversify income streams

25 Value-adding Other crops grown as part of the organic system opens up opportunities to add value before the product leaves the farmgate; shifting the producers up the value chain

26 Empowering women Without the use of pesticides, organic farming is female friendly this has a huge impact on household budgets, food production and how the income is allocated

27 Economic opportunities The premium price for certified organic cotton makes it profitable for the farmers. But just as importantly other financial support: sales commitments and timely payments help farmers invest in their businesses and communities TEXTILE EXCHANGE

28 Community-based spin-off opportunities Creates new streams of work and income Women in the workforce

29 Does it produce cotton? Research shows in the longer-term well-established, well managed organically grown cotton produces similar yields to non-organic (or better) In adverse conditions (drought or flooding) organic agriculture is more resilient Organic agriculture is proving to be a better choice in an age of climate change

30 What the farmers say Analysis of KPIs across Regions Africa Latin America 1 India Baseline 0 Environment Agronomics Social Development Economic Development Health & Education Food Security & Nutrition Our assessments in 2009 indicated that a high number of organic farmers felt positive about their ability to farm well and have the knowledge and skills to manage environmental issues. Farmers also report benefits to food security, and aspects of socio-economic development Textile Assessing Sustainability Report, 2010

31 What are the benefits... - for brands & retailers TEXTILE EXCHANGE

32 Organic certification Differentiation in the market Integrity of production through a certification process Cotton can be traced back to the farm

33 More green consumers

34 An increasing number of people want to know Photo: EJF What is in your product? Who made it? Where? Is it safe to make and use? Under what conditions?

35 Organic by design... TEXTILE EXCHANGE

36 Find a Producer online Improving visibility Profile of producer groups and their products Enable farmers connect with brands and brands to find farmers Informing consumers farmer visibility available to all Visit: FarmHub.TextileExchange.org/Find-a-Producer

37 Organic is knowledge -intensive Knowledge-intensive farming: farming today with the future in mind High quality products: innovative, and environmentally and socially responsible Food security for farming communities: Encourages the planting of food crops Mitigating climate change: more resilient to climatic stresses such as drought and less carbon emissions

38 Knowledge as ultimate renewable resource Organic is knowledge-intensive not resource intensive... And knowledge is a renewable resource!

39 Organic by Design... Not by Default Find out more:

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