The movement to alter the terms of trade so that producers in developing countries achieve a higher share of the profit is known as:

(a) Free trade
(b) The highly indebted poor countries initiative
(c) Trade liberalization
(d) Fair trade

Explanation: The first phase of organized fair trade was initiated in the mid-1950s when European Alternative Trade Organizations started to trade directly with “disadvantaged” producers in developing countries. To market these products, an ideological business model was created, with several thousand volunteer-staffed retail “ World Shops”, located primarily in Europe and North America The emergence of a Fair Trade label can be traced back to 1988, when a church-based NGO from the Netherlands began an initiative that aimed to ensure growers were provided “sufficient wages”. The NGO created a fair trade label for their products, Max Havelaar, named after a fictional Dutch character who opposed the exploitation of coffee pickers in Dutch colonies. Over the next half decade, Max Havelaar was replicated in other countries across Europe and North America, with a number of similar organizations, such as Trans Fair and Global Exchange. In 1997, the various national labeling initiatives formed an umbrella association called the Fair Trade Labelling Organizations International (FLO). A common Fair Trade Certification mark was launched in 2002. Since this time, Fair Trade has gained legitimacy, growing exponentially and evolving into the most widely recognized ethical label globally. As of 2013, Fair Trade certified organizations operate in 70 countries and encompass over 1.3 million farmers and workers (Fair Trade International, 2013)
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