Pachacuti ladies

Pachacuti’s fair trade panama hats are produced by women’s co-operatives in the Andes mountains of Ecuador. Hat weaving is the principal source of income for these women living in their rural agricultural communities.

Pachacuti hats to be trimmed

Pachacuti hats ready to be trimmed

International, Highly Commended

Pachacuti - Sustainable Fair Trade Management System

The Coffey International Award supported by the Department for International Development
Highly Commended

If you do things well, do them better. Be daring, be first, be different, be just.

Anita RoddickInspiration for Pachacuti's founder and owner Carry Somers

Pachacuti’s fair trade panama hats are produced by women’s co-operatives in the Andes mountains of Ecuador. Hat weaving is the principal source of income for these women living in their rural agricultural communities. Pachacuti is the first company in the world to be Certified by World Fair Trade Organization against the Fair Trade Sustainable Management System Reg No UK001-2009.

Pachacuti hat Weavers

Pachacuti has increased the price paid for panama hats by 70% over the last 4 years.

We had heard for several years that the WFTO would be bringing out a certification for handmade products. This represents vitally important progress within the fashion industry where added value is not determined predominantly by raw materials but by all the processes involved in the creation of the finished article. 

Currently, a cotton top with a Fair Trade mark only has to use fairtrade cotton, but the cutting, sewing, embellishment of the garment does not have to adhere to fair standards.  We believed that the Panama hat would be the ideal first product to bear new certification as it once epitomised colonial rule and a Fair Trade panama would symbolise the power returning to the hands of the producers.   We were selected for the pilot and became the first company to receive the new certification label in December 2009.

We developed analytical tools and methodology to obtain feedback in simple, visual form as many producers are illiterate.  These tools improve our understanding of the entire supply chain and, together with our producers, we analyse where improvements need to be made and create an annual action plan. Our assessment also extends upwards through the supply chain, covering Pachacuti's UK office, shipping, packaging, staff/management relationships, green utilities, energy use and recycling.

The procedures we have put in place have provided a structured framework for assessing our quantifiable impact on poverty alleviation and on the development of our producers and their wider communities. 

Our supply chain, from raw materials, through producers to packaging and transport in the UK, has been verified by EU auditors who verified the supply chain in the UK and South America and certified that all practices and processes demonstrate social, economic and environmental responsibility.  Pachacuti was audited concurrently against ISO 9001, 14001 and the EU Eco Management and Audit Scheme.  As a result of our pilot work, we have been chosen to work on a new EU Geo-FairTrade traceability project.

Impact

Society benefits

  • Pachacuti has increased the price paid for panama hats by 70% over the past 4 years.
  • We pay $100 per month in pensions for elderly weavers who are unable to earn a living from weaving.
  • In 2008-9 $3000 was allocated to helping most needy women, together with a further $800 towards healthcare, including eye tests, glasses and cataract operations for our embroidery association.
  • The programme helps 172 pupils at school who are having difficulties academically, principally those from low income families. Our association is distributing a government grant to help these children in their studies and also co-ordinating two projects aimed at pre-school children, both 5 days a week, one aimed at care and nourishment and the other at education.

Business benefits

  • We have improved relationships with suppliers and increased our knowledge of their entire supply chain and production process, resulting in a better understanding of the root cause of delays and quality issues.
  • In May 2009 we employed a Production Manager to oversee QC and took her out to South America for 3 weeks in October 2009 to conduct quality workshops with each producer group. 16 months since commencing work on the SFTMS, quality issues have been reduced by 45%.
  • The programme has increased producer loyalty as we have developed with each producer group a targeted improvement programme.
Big Tick Award Logo 2010 - International
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Addressing Millennium Development Goal 1

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Addressing Millennium Development Goal 2

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Addressing Millennium Development Goal 3

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Addressing Millennium Development Goal 7

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Addressing Millennium Development Goal 8

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