Abstract—Fair trade is a dream of an ideal trade. Fair trade
originated to protect all economic actors’ producer, trader, and
consumer. This issue escalated when classical failed to explain
why many countries (especially developing countries) suffered
a g reat loss due to international trade, particularly in the
agricultural sector. Classical theories tend to stand in the favor
of Developed Countries, so that free trade was focused more on
who wins and who loses. Agriculture has unique characteristics
that can not be equaled with any other sector. In fact
agricultural free trade policies often do not lead to fair trade.
Farmers as producers actually do not have a bargaining power.
However, fair trade is not a mere dream, as it can be actualized
by improving the institutional system, especially in Developing
Countries.
Index Terms—Fair trade, agriculture, farmers,
middlemen, Indonesia.
The authors are with the National Pingtung University of Science and
Technology, Pingtung 91201, Taiwan (e-mail: yusi_chic@yahoo.com,
the.ondowuzz@gmail.com).
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Cite: Ermita Yusida and Juwita P. R. Suwondo, "Is Fair Trade Really a Solution to Create Fairness in Agricultural Trade? — Case in Indonesia," International Journal of Trade, Economics and Finance vol.5, no.3, pp. 277-284, 2014.