Fundamentals of ethical trading in poorer countries: overview for the World Bank

As trade further globalizes, social and environmental concerns are emerging, in some cases rather quietly. Dominant market groups are setting a range of standards that their developing country suppliers must meet. For some major European food companies these are proving to be nearly as relevant as concerns for quality and safety. What is this "ethical trading" and how does it impact the development of food production and the value chain in developing countries that seek to export? Can the promotion of ethical trading standards improve a subsector's competitiveness in the marketplace or does it serve more as a catalyst for sustainable production and livelihoods? This paper addresses these emerging standards, their application, their role, and potential implications for governments and development agencies