human rights and trade

Illegal settlements in the Israeli Occupied Territories

In 2008, trade was suspended with the illegal settlements in the Israeli Occupied Territories. The decision followed discussions with customer members (see member democratic participation) and was informed by the broad international consensus on the illegality of the occupation and the calls from representatives of the dispossessed in the region that a cessation of trade was desirable. No primary produce is now sourced from the illegal settlements and the removal of the very small amount of ingredients in own-brand composite products is being progressed.

Policy development

In early 2009, the Group agreed a new Human Rights and Trade Policy. This sets out the extreme conditions that need to be breached for the Group to suspend trade with a nation state or designated region or, in the case of a conflict, for it to suspend trade in a particular product.

Three primary conditions are set out in the Policy:

• Where democratic representatives of the indigenous population call for a cessation of all trading activity and consider such a course of action, and the additional economic hardships, as being less detrimental than the continuation of trading links. For example, Burma, where the democratically elected opposition party continues to call for economic sanctions.
• Where there is a broad international consensus that the status of a designated region is illegal and where there is evidence that trade is directly linked to the oppression of the population. For example, the illegal Israeli settlements, and the illegal Moroccan settlements in Western Sahara.
• Where there is strong evidence that trade is a contributory factor to the perpetuation of a conflict. For example, Sudan and the Democratic Republic of Congo.