Understanding license fees
To sell products with the FAIRTRADE Mark, companies must sign a license agreement with Fairtrade Canada, committing to proper labeling and the payment of a license fee based on sales volume.
What are Fairtrade license fees?
Fairtrade license fees are payments made by companies (licensees) that use the FAIRTRADE Mark on products. These companies pay a fee to Fairtrade licensing bodies – like Fairtrade Canada - in exchange for the right to use the FAIRTRADE logo and branding on certified products.
These fees are separate from:
- the Fairtrade Minimum Price, which is paid to producers,
- and the Fairtrade Premium, which is a development fund managed by producers or workers.
What do Fairtrade license fees fund?
Fairtrade license fees play a vital role in sustaining and strengthening the global Fairtrade system. These fees are paid by companies that use the FAIRTRADE Mark on their products and are based on sales volume. License fees support the broader infrastructure that ensures Fairtrade delivers on its mission: to create fairer trading conditions, empower producers, and drive systemic change in global supply chains. From setting and enforcing standards to empowering farmers, developing markets, and advocating for sustainable trade policies, license fees are a key enabler of Fairtrade’s impact.
License fees help fund the entire infrastructure that makes Fairtrade work, including:
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Producer support and training
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Standard setting and monitoring
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Market development
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Living income and living wage strategies
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Advocacy