When people or companies buy and sell goods we call it Trade.Trade is good for the buyer. They get the goods they need to live their lives or to keep their businesses going. Trade is good for the seller. The money they make keeps their business going and allows them to buy the things they need. 

But is this always fair? Sometimes one person or company gets a much better deal than the other. Why do you think this happens?

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What is unfair trade?

When people are buying and selling things, the buyer tries to get a low price, the seller a high price. But when one side forces the other to accept very low or very high prices, then this is unfair.

This can happen when big companies in Europe and North America buy things from people in poorer countries.   

Big companies try to get low prices for the things they need. The less they pay, the more money they will make. Some companies offer a very low price and say ‘take it or leave it!’ It is like bullying.

The people selling goods in the poor countries often have no choice. They must take the little that is offered or get nothing, even if this is not giving them enough money to live on.

This is unfair. What can be done about unfair trade?

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Can trade can be made fair?

Trade does not have to be unfair. If prices are fair, the sellers can earn enough money to buy the things they need and the buyers can still make money. Lots of charities, companies and people all over the world are trying to make trade more fair. There are even special Fair Trade products you can buy in supermarkets and shops.

If people in richer countries know more about Fair Trade, they can persuade shops and big companies to be more fair to the people they buy from.

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