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04 Jun 2008

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Britain leads 'leads the way' in ethical shopping

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British shoppers lead the way in Europe when it comes to shopping ethically, according to new research from grocery think-tank IGD.

British shoppers are “significantly more likely to purchase ethically”, IGD's Ethical Shopping in Europe report shows.

“Until recently, ethical food shoppers were seen as niche. Now as many as seven out of ten Europeans we surveyed buy ethically at least some of the time.

" A quarter are dedicated shoppers who consider two or more ethical factors when shopping,” IGD chief executive Joanne Denney-Finch told IGD's Global Retailing conference.

“Priorities vary across Europe. the French are most interested in environmental issues, the Dutch are concerned about animal welfare, local sourcing is a priority for Poles an British shoppers are interested in a wide range of ethical issues.

"But there is immense growth potential for brands that can develop and emphasise ethical credentials, and tailor them to local markets at the appropriate time,” she added.

The report unveils strikingly different behaviours and priorities around Europe.

• Britain is at the forefront of the ethical shopping market, with 41% incorporating more than one ethical issue into their buying decisions. British shoppers are most likely to follow through their interest in ethical products into actual purchases and in particular, more likely to buy free range or Fair Trade products.

• One in three (34%) German or Dutch shoppers are dedicated ethical shoppers.

• 31% of French shoppers are dedicated ethical shoppers. However, France has an additional 37% of shoppers who only sporadically buy ethical products

• Fewer than one in seven Spaniards (12%) or Poles (14%) are dedicated ethical shoppers. Price (54%) and availability (36%) are seen as key barriers to the further growth of ethical shopping across Europe.

“The current combination of rising commodity prices and the global credit crunch could slow the rise of ethical shopping but is unlikely to reverse it.

"Ethical shopping is based on deep-seated beliefs and people will not backtrack on these lightly,” said Denney-Finch.

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Ramesh Panavalli : Ethical Trading Manager ; CSR Div 30 Jun 2008 09:00:39
IGD research on Ethical shopping and claiming the fact that Britain leads ethical shoppers comes as a huge hit when Primark and Tesco comes into limelight on ethical issues. Primark immediately sacked the there factories with whom they were working with claiming the fact that they were deceived by the suppliers. However this is not the solution. The retailer needs to work with the factory and understand the factory capacity and capability with whom they are working. Though the retailer does not own the factory , it is for them to see that ethical trading standards are met by the factory including the local wage , freedom of association , proper age documentation , proper health and sanitary conditions etc.. Most children work because their families are poor and their labour is necessary for their survival. Discrimination on grounds including gender, race or religion also plays its part in why some children work. Impact speaks on child labour research which state that some employers falsely argue that children are particularly suited to certain types of work because of their small size and "nimble fingers". Primark sub contractors were mostly doing the sequin work through children . I would also argue to the fact that subcontractors must be disclosed while making the supplier agreement by the retailers so that audits can be done across the supply chain . Stakeholder engagement is the other important method where retailers can ensure that the factories can be educated and there are no unethical practices. This is an extreme tough challenge for Britain which is the home of the best value added fashion brands . Ramesh Panavalli : Ethical Trading Manager : Corporate Social Responsibility
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