The Fair Trade Certified label pictured on product packaging from pact
Fair Trade Certification is designed to help companies commit to fair standards for workers and our planet while clearly and accurately communicating their impact. Transparency, accountability, and third-party verification have always been core to our model, and we are proud to share that our organization is aligned with upcoming EmpCo criteria for sustainability labels.
The European Union’s Empowering Consumers for the Green Transition Directive, also known as the EmpCo Directive, amends the Unfair Commercial Practices Directive to ensure that companies are not making false claims about their social and environmental impact. The directive is going into effect on September 27th, 2026.
How the EmpCo Directive Makes Change:
- The directive bans the use of sustainability labels that do not follow eligible certification programs or have not been established by public agencies. It defines what types of programs are approved, including third-party verification.
- The directive prohibits the use of vague or misleading sustainability claims. This means that companies cannot exaggerate positive impact, misreport scope, or claim that that a product is “sustainable” without verification.
How Fair Trade Certified™ meets EmpCo Requirements
Independent Certification and Third-party Verification
Fair Trade USA utilizes a third-party certification system to ensure fair oversight and verification of our standards. Compliance is monitored through rigorous audits which are conducted by independent 3rd party auditors, and certificates are only issued once non-conformities are closed. Fair Trade USA is also a code-compliant member of ISEAL and is aligned with ISEAL’s credibility principles and Code of Good Practice. This provides “recognized excellent performance” as defined in the Directive.
Expert Governance and Stakeholder Consultation
Fair Trade Certified Standards are governed by an independent Standards Committee, ensuring that the criteria are technically sound, credible, and relevant for the respective context and scope in which we operate. Standard development, revisions, and any other updates to our model are conducted in consultation with key stakeholders including global producers, fulfilling the Directive’s push for inclusive and relevant sustainability criteria.
Control of Claims/Labels and Public Accountability
Fair Trade USA enforces clear procedures for label and claim use, preventing generic environmental claims that the directive seeks to ban. Every product with the Fair Trade Certified label has been grown, harvested, and/or crafted against our standards and will be continuously monitored in accordance with our program. We also maintain an allegation and complaint system, allowing program participants including workers on certified farms, factories, and fisheries to report misuse. This is a key transparency feature required for credible certification schemes.
Continued Credibility and Compliance
As regulations and consumer expectations continue to evolve, companies increasingly need trusted systems that support transparent sourcing and credible sustainability claims. Fair Trade USA’s certification model helps connect responsible business practices with measurable impact for producer communities around the world. Through independent verification, strong standards, and compliance with directives like EmpCo, we work to support a more transparent and equitable global marketplace.
Learn more about Fair Trade USA’s standards and certification approach on our Standards page.