Food prices increased 2.3% in 2024, and the USDA estimates that prices will creep up another 2.2% this year. Even so, rising grocery tallies don't seem to be deterring socially and eco-conscious consumers from paying a premium for fair trade produce.
“We're on the brink of a fair-trade breakthrough in the U.S.,” said Rob Desson, senior business partnerships manager for fresh produce at Washington, D.C.-based Fairtrade America, the U.S. branch of Fairtrade International. “We see substantial growth potential over the course of the next five to 10 years.”
While the U.S. has been slower to embrace the category than regions such as the United Kingdom and Canada, “the body of research showing Americans' increasing concern for sustainability and interest in purchasing more sustainable products is motivating the food and beverage sector to take action,” Desson said.
The Packer spoke with fair trade produce advocates and purveyors to learn more about the state of the industry and organizations' plans to move the category forward in 2025.
The impacts of premium pricing
While fair trade produce appears to be gaining momentum, the potential for U.S. tariffs on imported produce could present pricing challenges this year.
“With fair trade product there is already an additional premium, with that money going back to the farmworker communities,” said Joanna Jaramillo, marketing manager at Wholesum. With farms in the U.S. and Mexico, the Amado, Ariz.-based shipper and grower offers organic tomatoes, cucumbers, peppers, squash and eggplant certified through Fair Trade USA.
“With any additional pressure from tariffs, it does bring on those challenges of having customers and retailers opting into fair trade,” she said.
To make it easier for new retailers to jump on board, Wholesum recently changed the structure of its premiums.
“The amount was lowered a little bit,” Jaramillo said.
Though the decline in premiums led to some losses, volume sales have grown in recent years. The company is now working to get back on track in 2025.
“That means really pushing the program and highlighting those impact stories,” she said. “Whenever we have a chance to sell an item as fair trade only, there's an opportunity to bring back those funds.”
Kim Chackal, vice president of sales and marketing at Equifruit, a Montreal-based importer of Fairtrade International-certified bananas, points out that premium pricing can be a benefit to retailers rather than a deterrent.
“I had one retailer in particular tell me he was so tired after years of being told he has to make sure that he keeps his banana prices competitive with some of the larger players,” she said. “So, he went ahead and raised his banana prices across the board by 20 cents a pound. He saw absolutely no negative effect whatsoever. The consumer didn't notice, nobody cared and suddenly his profitability went up.”
She then pointed out to the retailer that he could sell even more fair trade bananas if he coupled his pricing strategy with a message about paying farmers fairly.
“You would have even more support, and you could actually use your banana table — which is the highest touch point in the entire grocery store — as a platform to share your values with your consumer and help drive loyalty,” Chackal said.
To continue connecting with retailers, Equifruit plans to increase its trade show presence in 2025, starting with the Southeast Produce Council's Southern Exposure in March. As in 2024, the company's message will emphasize the affordability of its bananas.
“We did an activation at SEPC Southern Innovations in 2024 where we printed fake $5 bills,” Chackal explained. “Half of them had branded messaging, and the other half looked like a real $5 bill. The idea was to trick you into thinking it was a five, but when you picked it up, you saw a shark on it.”
The phony bills were designed to drive home the message that it only costs consumers $5 more per year to switch to Equifruit Fairtrade bananas.
“We're going to really lean into that campaign message this year,” Chackal said.
Equifruit bananas are available in markets across Canada, including Costco, Walmart, Nature's Emporium and many more. The company expects to begin a trial with a large U.S. retailer later this year.
For retailers whose values align with fair trade, offering responsibly sourced produce isn't a hard sell. Whole Foods Market, for example, offers a variety of fair trade produce under its Sourced for Good program, including Wholesum tomatoes.
“We're proud to have more than 1,000 fair trade grocery items on our shelves,” said Kevin Doty, vice president of produce at Whole Foods Market. “Collaborating with organizations like Fair Trade USA and Fairtrade International help us continue to drive positive change in the way we source our food.”
Connecting with consumers
While retailer outreach will be a priority in 2025, consumer messaging will also be an important strategy for fair trade importers and growers. One of the most direct ways to get shoppers' attention, Chackal says, is through product packaging.
“We use very colorful packaging, and we always have a hook that's unexpected,” she said. “If you're picking up a bunch of Equifruit Fairtrade bananas, there's a little sticker on there that says, ‘I'm a total fan girl of fair pay.' In that very short sentence, the banana is telling you something about itself — that we're prioritizing fair pay for farmers.”
The company is known for its fun and entertaining approach to marketing, whether the platform is product stickers or social media.
“We have a lot of resources making sure that our Instagram and our TikTok are always reflecting whatever is happening in pop culture,” Chackal said. “We know that won't reach the masses, but we really put a lot of effort into it because when we are able to convert a customer and make them loyal to our brand, they become what we call a banana badass.”
Wholesum also uses its packaging real estate to tell the story of fair trade, and the brand runs consumer-facing social media campaigns and collaborations during Earth Month in April and Fair Trade Month in October.
While consumers have a basic understanding of what fair trade symbols mean, Jaramillo said, there is more work to be done.
“There is pretty good recognition of the Fair Trade-certified logo as something that is generally good — something better,” Jaramillo said. “[Consumers] tie social and environmental responsibility to it, but to define very specifically what it does or how it works, that's where there's a little bit of uncertainty.”
To help clear up some of the confusion around fair trade products, Fairtrade America is ramping up its education efforts in 2025.
“We're focused on raising consumer awareness as to why Fairtrade produce costs more,” Desson explained. “Choosing Fairtrade is slightly more expensive because it breaks the cycle of injustice and honors the way [certified farms] grow food that is better for people and the planet.”
To gain traction with consumers, he said, advertising and marketing at the POS is critical.
“We're looking to partner with retailers to invite shoppers into Fairtrade by increasing in-store signage and digital displays to reach shoppers at the moment they are making purchasing decisions,” Desson said.
The organization is also installing murals outside grocery stores across the country during Fair Trade Month — as it has for the previous five years — with each scene depicting a farmer who grows an ingredient in a certified product sold inside that store.
“This creatively introduces consumers to the farmers behind their food at the point of sale, helping to connect the dots of complex supply chains through beautiful artwork,” Desson said.