<P> Many farmers around the world are unaware of fair trade practices that they could be implementing to earn a higher wage . Coffee is one of the most highly traded commodities in the world, yet the farmers who grow it typically earn less than $2 a day . When surveyed, farmers from Cooperativa Agraria Cafetalera Pangoa (CAC Pangoa) in San Martín de Pangoa, Peru, could answer positively that they have heard about fair trade, but were not able to give a detailed description about what fair trade is . They could, however, identify fair trade based on some of its possible benefits to their community . When asked, overall, farmers cited that fair trade has had a positive effect on their lives and communities . They also wanted consumers to know that fair trade is important for supporting their families and their cooperatives . </P> <P> Some producers also profit from the indirect benefits of fair trade practices . Fair trade cooperatives create a space of solidarity and promote an entrepreneurial spirit among growers . When growers feel like they have control over their own lives within the network of their cooperative, it can be very empowering . Operating a profitable business allows growers to think about their future, rather than worrying about how they are going to survive in poverty . </P> <P> As far as farmers' satisfaction with the fair trade system, the growers want consumers to know that fair trade has provided important support to their families and their cooperative . Overall, farmers are satisfied with the current fair trade system, but some farmers, such as the Mazaronquiari group from CAC Pangoa, desire yet a higher price for their products in order to live a higher quality of life . </P> <P> A component of fair trade is the social premium that buyers of fair trade goods pay to the producers or producer - groups of such goods . An important factor of the fair trade social premium is that the producers or producer - groups decide where and how it is spent . These premiums usually go towards socioeconomic development, wherever the producers or producer - groups see fit . Within producer - groups, the decisions about how the social premium will be spent is handled democratically, with transparency and participation . </P>

What would happen if there was no fair trade