New Fairtrade financial support charity launched: Prospero
Fairtrade producers have a major problem with access to capital, and many cooperatives are unable to pay their members for their produce until the cooperatives sell the product. This can take months. The farmers then become vulnerable to middlemen who pay them bad prices but who can offer them cash when they need it.
And even if Fairtrade cooperatives can get loans, huge interest rates of 20% are common.
That’s why access to relatively small loans (€10,000 to €20,000) at ‘low-or-no’ interest rates can make a world of difference to many poor communities. Prospero is a new Irish charity which has been set up with the backing and support of Fairtrade Ireland to provide loans at low or no interest to organisations in this situation.
(i) 100% of the money donated to Prospero will be used to provide loans or grants; there will be no deduction for overhead costs, and
(ii) when the loan is repaid to Prospero, the money will be ‘recycled’, so that Prospero supporters can see their money being used over and over again to benefit other communities.
To date, Prospero has made loans or given grants to Fairtrade certified organisations in Nicaragua, Honduras, Guatemala and Tanzania.
Prospero is supported by Bewley’s, Concern, Fairtrade Ireland, Insomnia Coffee Company, Irish Foundation for Cooperative Development and Mandate Trade Union, among others.
You can support Prospero by sending a donation to:
North Brunswick Street,
or directly to Prospero’s bank account at
AIB, Capel Street, Dublin: IBAN: IE84 AIBK 9311 0147 6321 81 (BIC: AIBKIE2D)
Or contact us at firstname.lastname@example.org