80 Peruvian SMEs benefit with fair trade project

(Lima, April 10, 2014).-  More than 80 small and medium-sized enterprises (SMEs) from Arequipa, Cusco, Junin, Lima and Puno  benefitted from the two phases of the Pilot Project for the Fait Trade System in the Peruvian Textile and Manufacturing Cluster, promoted by Promperu with the support of CAF, Development Bank of Latin America, and executed by the Italian Consortium CTM Altromercato in its second stage, with the purpose of promoting social and economic development in the referred regions of the country. 

Precisely, some of those enterprises had the opportunity of showing their products manufactured in first quality alpaca fiber, with novel designs and excellent manufacturing, in the inaugural show of PERU MODA 2014, dedicated to the companies of the Fair Trade. 

This project has the support of more than one million new Soles from CAF, channeled resources of the Italian Cooperation Fund, and developed in two phases: The first started in 2010 to provide training and technical assistance to the textile and manufacturing cluster, which sensitized 200 companies at the beginning of the Fair Trade; the second stage started in 2013, aiming at obtaining the Fair Trade certification that would allow them to access and participate in the trade network of fair and Ethic Trade.

Eleonora Silva, CAF's Director Representative in Peru, pointed out that the textile and manufacturing sector is particularly important, as it is made up mainly by SMEs of different regions of the country, which use approximately 70 percent of the low income female work, but with a great potential for advancement.  

She highlighted that this project will not only provide training to the textile cluster, but will also promote the participation of Peruvian SMEs in national fairs such as Peru Moda and international fairs such as Ethical Fashion Show. In addition, it will allow them to establish contact with international buyers in addition to placing their production through the 130 associations and cooperatives that manage 350 world stores in Italy.

The Pilot Project for the Fair Trade System in the Peruvian Textile and Manufacturing Cluster constitutes the first experience in which a multilateral financial entity and a governmental institution join to develop methodologies and instruments with the purpose of implementing best practices in fair trade in the country.