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The Fairtrade Foundation has defended its effectiveness in the wake of a new report claiming that is an unfair system that fails to benefit the majority of farmers.

In its study, the Adam Smith Institute argued that ethical procurement of products such as coffee and bananas only offers a small number of farmers a higher price for their goods, with the majority of farmers left worse off.

However, Harriet Lamb, director of the Fairtrade Foundation, told the Guardian that the certification had changed the lives of millions of people in the developing world, and that the organisation was committed to increasing its success.

"Fair trade is already making a big difference to the lives of more than seven million people in the developing world, but there are millions more we'd like to reach," she said.

"2007 was a phenomenal year of growth for fair trade bananas, for example, with one in every five bananas bought from supermarkets now Fairtrade certified."

Figures published by analysts IGD revealed that more than one in four shoppers claim to have recently purchased Fair trade goods, compared to 11 per cent in 2003.ADNFCR-1231-ID-18485955-ADNFCR

Article Date: 27 February 2008

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