Bridging the Market Divide

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Bartholomew Johnston
5 years ago
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1 Bridging the Market Divide The Advocate of Philippine Fair Trade Inc. Experience We envision sustainable Fair Trade enterprises, an enlightened consumer base and a growing circle of mainstream businesses adhering to and working towards a responsible and equitable society. - APFTI Mission Statement

APFTI: A History of Building Bridges APFTI: A History of Building Bridges The Advocate of Philippine Fair

Through the years we have assisted small and medium enterprises at various stages of their growth and

Our strengths and expertise have sharpened through the years one step at a time.

2 APFTI: A History of Building Bridges APFTI: A History of Building Bridges The Advocate of Philippine Fair Trade started as an association of Fair Trade practitioners in the country. Through the years we have assisted small and medium enterprises at various stages of their growth and development. APFTI has grown together with them. Our strengths and expertise have sharpened through the years one step at a time. We are assisting enterprises in an Integrated approach from Raw materials sourcing, Product Development and Design, building their capabilities through empowerment trainings and bridging markets through trade linkages and facilitation.

In the last 5 years we have assisted a total number of 518 cottage, small and medium enterprises.

3 Gaining Ground towards developing a Service Oriented Institution We have gained ground in the delivery of product development, empowerment trainings, trade fair facilitations and business consultancy services through the years. In the last 5 years we have assisted a total number of 518 cottage, small and medium enterprises. These enterprises have moved into servicing local and international mainstream markets. The development of both Food and Crafts enterprises are now being given equal attention as we evolve into a full pledged service institution.

Bridging Producers and Markets Nationwide To date APFTI has operations in 13 of the 16 Regions in the Philippines covering 36 provinces and 120

4 Bridging Producers and Markets Nationwide To date APFTI has operations in 13 of the 16 Regions in the Philippines covering 36 provinces and 120 towns and cities. We connect resources, people and events together to create sustainable and responsible enterprises the possibilities are endless.

In Shared Partnerships with our Cooperators: Partners

of our partner agencies APFTI has achieved a gamut of

For the past 5 years, in tripartite agreements with

have been instrumental in the staging of almost 85

5 In Shared Partnerships with our Cooperators: Partners in Building Bridges Through the continuous assistance of our partner agencies APFTI has achieved a gamut of landmarks on enterprise development in the country. For the past 5 years, in tripartite agreements with DTI, LGUs and other stakeholders in the regions, we have been instrumental in the staging of almost 85 market and trade fair events, both regional and international, in the country. This generated approximately P292M in sales for both our domestic and international markets.

6 The value-chain of a Handicraft Enterprise. (Framework of a bridge towards the consumer) Sourcing and Harvesting of Raw materials Materials Preparation and Semi-processing of raw materials for product development Product Development and Design Finishing Techniques Processes (Lamination/For ming/sewing) Packaging, Storage and Warehousing Marketing, Distribution and Sales Customer

7 What goes into the bridge? APFTI Programs in bridging the Market Divide Technical Assistance Product Development and Design Booth Design and Visual Merchandising Producer-Buyer Matching and Market Information Technical Research and Publications Web-Design and Desktop Publishing Empowerment Trainings and Capability Building Product Development Courses Food and Crafts Marketing Courses Productivity and Quality Management Courses Enterprise Development Courses Technical Skills Trainings Market and Trade Fair Facilitation Market Awareness Tours Trade Fair Participation Market Information Advocacy and Networking Colloquia and Conferences E-Bulletin Fair Trade Audits Business Consultancy

8 Fair Trade Principles Fair Trade Principles Creating opportunities for economically disadvantaged producers Transparency and accountability Capacity-building Fair price Gender equity Good working conditions Protection of child rights Environmental sustainability Promotion of Fair Trade

9 APFTI s Training and Design Arms for Product Development: Conduits to Success

10 Reaching the Reaching the World Together with our trading arm, the Filipinas Fair Trade Ventures Circle incorporated we continuously build new bridges so that the producers we assist can discover new areas to explore and come home with a promise of hope and development for the people they work with.

11 FFTV: Helping in bridging the gap. AFPTI Capacity Building through Fair Trade Empowerment Trainings Filipinas Fair Trade Ventures Circle Incorporated Technical Development Trade Facilitation Fair Trade Aligned Supplier Base

12 Filipinas Fair Trade Ventures Filipinas Fair Trade Ventures Circle Incorporated Was set-up in 2002 to complement the services provided to micro and small enterprises by the Advocate of Philippine Fair Trade Inc.

13 Improving our grassroots producer s lives through Fair Trade as we promote the Philippines finest crafts and food products worldwide. FFTV s s Vision

14 FFTV s s Mission FFTV endeavors to contribute to poverty alleviation by addressing the need of micro and small enterprises for market access. We provide an alternative market access for these enterprises to exhibit their products and explore the gamut of possibilities for trade.

15 Who buys our products Who buys our products Importers, wholesalers and retailers from - Australia - Germany - Thailand - France - Mexico - Spain - USA - Italy - UK - The Netherlands Fair Trade Organizations Ten Thousand Villages - USA Oxfam Trading Australia Commercio Alternativo Italy Local Rustan s Commecial Corporation Echo Store BPI Asset Management Hotel Intercontinental

16 Manila FAME Oct 2002 Manila FAME Oct 2002

17 Manila FAME April 2003 Manila FAME April 2003

18 Manila FAME Oct 2003 Manila FAME Oct 2003

19 Bangkok Gifts Fair 03 Bangkok Gifts Fair 03

20 Ambiente 2004 Ambiente 2004

21 Manila FAME April 2004 Manila FAME April 2004

22 Manila FAME Oct 2004 Manila FAME Oct 2004

23 INDEX FAIR 2004 INDEX FAIR 2004

24 Ambiente 2005 Ambiente 2005

25 Manila FAME April 2005 Manila FAME April 2005

26 Manila FAME Oct 2005 Manila FAME Oct 2005

27 Ambiente 2006 Ambiente 2006

28 Manila FAME April 2006 Manila FAME April 2006

29 Manila FAME October 2006 Manila FAME October 2006

30 Ambiente 2007 Ambiente 2007

31 Manila FAME April 2007 Manila FAME April 2007

32 Hong Kong July 2007 Hong Kong July 2007

33 Catalogue

34 Web Site : Web Site :

35 Market Distribution Local 28% North America 9% Asia 2% Europe 61%

36 Market Distribution Local 25% Europe 41% North America 11% Asia 23%

37 Issues and challenges: Suppliers Issues and challenges: Suppliers Production capacity Product quality Communication facilities Banking facilities Financing Limited skills Pricing Source of raw materials Expensive product development process Packaging-source of appropriate packaging materials

38 International buyers International buyers Demand for cheap products Competition with other Asian countries Buyers perception that Phil. handicrafts are expensive Exchange rate fluctuations Decreased demand due to financial crisis Buyers market Delayed payment Unreliable buyers

39 Local buyers Competition among exporters tapping the market Filipino attitude on imported product Concept of fair trade not yet prevalent Small volume buyer Delayed payment terms

40 Possible solutions Possible solutions http//.

Asia s Fashion Jewellery & Accessories Fair March Exhibitors Survey Report

Asia s Fashion Jewellery & Accessories Fair March Exhibitors Survey Report 1 Survey Summary Total number of exhibitors 383 Total number of collected onsite survey 254 Overall onsite survey response rate