Changing the system can feel like lonely work. That’s why it’s so important for organisations that put people and planet first above profit to have access to networks of like-minded businesses working towards similar goals. The more we see of each other – and the more we’re able to collaborate together – the easier it is to see the difference we’re collectively making.
We recently spoke with Jette Ladiges, Chief Executive at German online fair trade wholesaler and retailer El Puente, about the importance of networks and verification like People and Planet First for businesses trying to change the system. We also learned about her career in ethical trade and her hopes for how the sector will change in the next 15 years.
You’ve been involved in ethical trade for quite a few years now. What drew you to working within this space originally?
My journey into ethical trade began during my university years. I pursued a fashion design course in Germany, then moved to New Zealand in my twenties and started working with a fashion company. This company primarily focused on empowering women facing barriers to employment, such as women of minorities or women who had been to prison.
While working there, I studied sociology and political science, eventually earning a Masters in Business Management. During my studies, I realised that I didn’t want to work within a conventional business framework, where profit was prioritised above all else. Instead I sought out organisations that operated differently, emphasising social impact over profit maximisation. This led me to start working for Trade Aid, a social enterprise and fair trade business in New Zealand.
What was your time with the World Fair Trade Organization like?
I spent about five years with the World Fair Trade Organization (WFTO) as a Partnership Manager. In this role, I managed projects and facilitated networking between the WFTO and organisations like the Social Enterprise World Forum (SEWF).
Working within these networks was enlightening. I got to see a diverse array of movements up close, and how they were all offering unique solutions to global issues. It was incredibly fulfilling to help these networks collaborate and amplify their collective impact.
But it also highlighted the relatively small size of this sector compared to the broader business world. To be heard, we must unite and amplify our voices. By pooling resources and working together, we can more effectively achieve our common goals.
Moving on to your current role, tell us a bit about El Puente and how you came to join them after being with WFTO.
El Puente has a rich history spanning 50 years. It began as a student movement in Germany aimed at supporting people during times of political and social upheaval in Nicaragua in the 1970s.
Our unique structure is designed to ensure that our entire supply chain has a stake in the business. We have five shareholder groups, each owning 20%: our trading partners from the Global South; El Puente employees; an educational association; the world shops (where we sell our products); and individual shareholders, including founders and end consumers committed to our mission. Importantly, 100% of our profits are reinvested into our mission.
Currently, we have about 50 employees in our office and warehouses and we collaborate with 100 trading partners globally. Our primary products are food, coffee, fashion and homeware, all of which are 100% fair trade. This commitment to fair trade extends to our partners in the Global South, most of whom are also WFTO members.
Why is verification important for purpose-driven businesses?
In today’s market, many businesses claim sustainability, which can be confusing for consumers trying to tell genuine commitments apart from mere marketing. Verification is crucial as it provides an independent confirmation of a company’s claims, ensuring authenticity and transparency.
Moreover, the verification process requires businesses to rigorously examine their practices, offering a structured approach to continuous improvement. It can seem daunting, but it is a valuable journey that helps businesses align more closely with their ethical goals. Acknowledging that there is always room for growth is an essential part of this process.
What about the People and Planet First badge in particular?
For El Puente, the People and Planet First badge stands out for two key reasons.
First, it serves as a powerful communication tool, succinctly conveying our core values – putting people and the planet above profit. It clearly differentiates us from conventional businesses.
Second, being part of the People and Planet First network provides a sense of community and collaboration. Social enterprises often feel isolated, competing against companies with substantial advantages. Engaging with like-minded ethical businesses offers invaluable support and inspiration, reinforcing the idea that our collective efforts are making a significant impact
How have you seen the ethical trade industry change over the last 15 years?
There is now a broader recognition that the current economic system is flawed. For most of my life, the narrative of unlimited growth and profit maximisation dominated, suggesting the world would get better under this model.
However, there is growing awareness that systemic change is necessary, as those with the least power are disproportionately negatively affected by the current system. This shift has strengthened various movements advocating for change, making them more prominent and influential.
What are your predictions for the next 15 years?
The progress we’ve seen is evident in new legislation, such as the EU’s Green Claims Directive and Deforestation Regulation, which mandate true sustainability in business decisions.
While we should celebrate these advancements, it’s important to recognise the need for further improvement. For instance, these laws were not developed with input from the Global South, the regions most impacted by them.
Despite this, I remain hopeful. There is a growing political will to address issues like deforestation, land ownership and Indigenous rights. Although these measures alone won’t overhaul the entire system, they signify a positive direction toward meaningful change.
Support enterprises that put People and Planet First. Show them that they’re not alone by joining the global campaign and being part of People and Planet First Week (18-22 November 2024). People and Planet First Week will spotlight enterprises worldwide that are changing the way business is done.