Select Committee on International Development Fourth Report


146. The private sector's primary contribution to poverty reduction is through generating and sustaining economic growth. Clearly, however, the manner in which private sector entities trade, invest, employ staff and address their social and environmental impacts also has a profound impact on poverty reduction and human development.

147. This report does not limit its discussion of the private sector's contributions to development to this one chapter: many other sections of this report address this central issue — for example, the discussion of employment in Chapter 4, taxation in Chapter 3 and PPPs in Chapter 5. However, in this Chapter we consider a number of specific aspects of private sector impacts on development: private sector 'value chains' (the generic value-adding functions of an organizations, including its supply chains), trading practices, Corporate Social Responsibility (CSR), co-operative enterprises and business networks.

International trade

148. It is axiomatic that global trade practices and structures impact directly on poor people's capacity to participate in economic growth. The arguments for trade justice are well-documented: for instance, it is estimated that if African exports were to grow by 1% this would translate into revenue flows of more than $40billion per year.[303] Changing unfair systems and practices requires actions by governments and the private sector, and donors can support both. This report will not look at the issue of trade justice in depth; the Committee's position on this subject was clearly set out in our recent report on the WTO Hong Kong Ministerial and the Doha Development Round.[304] We will focus instead on the trading practices used by companies in their supply chains — often described under the umbrellas of 'ethical' or 'fair' trade.

149. Before beginning this discussion, however, it is worth re-stating the primary conclusion from our report on the Doha Development agenda, namely that the Doha Round must ensure that liberalisation commitments put "trade at the service of development."[305] Practically speaking, this means the WTO prioritising agreements in areas that have the potential to contribute the most to poverty reduction. To enable the identification of these pro-development proposals — and the positioning of these proposals at the top of the agenda — the WTO needs to promote a culture of balanced and publicly available economic analysis of the effect of different trade initiatives on individual countries and groups within countries.[306]

150. 'Ethical trade' — defined for the purposes of this report as the assumption of responsibility by a company for the labour and human rights practices within its supply chain[307] offers the private sector a direct route to contributing to poverty alleviation. 'Fair trade' largely refers to the same practices and has become synonymous with the fair-trade certification scheme under which products are sold in Western supermarkets.[308] For a product to be fair-trade certified, the importer selling it in the West pays a fee to the Fairtrade Foundation and pays a minimum price to one of the Foundation's registered producers, which must provide a decent wage for workers and support community projects.

151. The last few years have seen an upsurge in popular and market interest in ethical sourcing and trading. UK shoppers have become the world's biggest purchasers of fair-trade products.[309] However, as the International Institute for Environment and Development emphasised to us, "Although sales in fairly-traded products are growing they are a very small component of total supermarket sales. The issue is therefore about how to mainstream fairness, equity and the development agenda into supermarket supply chains".[310] There is also an issue around equipping consumers with clearer information so that they can make informed purchasing decisions based on the fair trading and ethical standards.[311]

152. Studies estimate that two thirds of global trade takes place between and within major trans-national companies.[312] The supply chains of these companies clearly offer a major potential window of opportunity for leveraging better employment conditions and fairer prices for developing country suppliers. Larger companies can play an important role in providing long-term opportunities for small-scale enterprises as suppliers or distributors. Oxfam has termed such relationships, "Alternative supply chains […] those that increase market power, income, savings and/or choice of poor producers in their interactions with companies."[313] This issue will be explored later in this chapter in the Corporate Social Responsibility sub-section.

153. Dan Rees, Director of the Ethical Trading Initiative (ETI) — a DFID-supported alliance of companies, trade unions, development and campaigning groups working to improve the lives of workers in global supply chains[314] — praised DFID's support for fairer trading practices: "To DFID's credit, it has had a programme of ethical trade since 1997; it has supported, amongst others, the Ethical Trading Initiative [and] the fair trade movement".[315] He expressed the opinion that, in regard to ethical trading, "One of the things donors do best is give money" and that the UK Government, "Should do that and it could do more of that".[316] Mr Rees went on to recommend a package of other measures by which the UK Government can support ethical trade: firstly, creating the right enabling environment; secondly, focusing on the widespread implementation of labour standards — "Encouraging governments to act like governments and to enforce labour laws and to raise the bar in terms of creating that ethical environment"; thirdly, developing a "more coherent approach to ethical trading" across government — with other departments such as the Department of Trade and Industry (DTI) matching the levels of commitment shown by DFID — and; finally, ensuring that government procurement policy conforms to ethical standards.[317] Mr Rees told us, "The government in general [...] could have a more coherent approach to ethical trading [...] I hear much from DFID but I do not hear nearly so much from DTI."[318]

154. Albert Tucker, former Director of Twin Trading and now an independent consultant, also had recommendations for DFID's policies in this area. He stated that, "One of the things DFID has been very strong at is piloting approaches, but where I see a weakness is bringing that to the mesh of business and private sector life and linking that in […] How that learning is shared and applied, I think is a weakness".[319] DFID should be scaling up successful pilots and assessing their contributions to systemic change — and sharing its valuable research as widely as possible.[320] The examples given by Mr Tucker included DFID's sudden exit following 3-year programmes supporting the coffee trade in Tanzania and the cocoa trade in Ghana, and its one-off guarantee for the Divine Chocolate Company.[321] Mr Tucker proceeded to express a concern about current financing arrangements: "We are putting costs back to suppliers and the poorest in the chain […] I think donors can look at how to mitigate that in the way they apply funding, because I think there is a very strong focus on the market side."[322] He also highlighted the need for donors to engage with the private sector over support to young entrepreneurs, through, for example, apprenticeships.[323] DFID should seek to embed its support for ethical trading in a package of wider measures, including improvements to the enabling environment; the widespread implementation of labour standards; a more coherent approach to ethical trading across government and the development of an ethical code to govern government procurement policies. In addition, DFID needs to build up a more sustainable approach to supporting fair trade, with long-term, predictable funding a priority. Adequate consideration must be given to scaling-up pilot programmes and disseminating learning. As part of the increased focus on youth employment that we recommended in Chapter 4, DFID should seek to expand its work in supporting young entrepreneurs. DFID must engage with companies to ensure that fair trade schemes do not push costs back to suppliers and the poorest in the supply chain.

155. The ETI has demonstrated that securing commitment to a basic ethical code (albeit a voluntary one) from companies is possible. The Initiative also has a valuable scrutiny role: in 2005, the alliance scrutinised the performance of some 6500 factories and farms worldwide, employing approximately 2.5million workers, and effecting 30,000 individual improvements in conditions.[324] The ETI agreed that more independent scrutiny of company operations is needed.[325] However, the Alliance was not set up to be a monitoring initiative: DFID's support of £0.5m annually — plus company contributions - do not run to this. More commitment from other government departments, notably DTI (see Paragraph 158), would help the ETI to develop a monitoring function. Whilst Dan Rees, the Director of ETI, advised against the development of some form of "ethical scorecard", given the current huge variations in company practice, he concurred that the ETI or a similar body could be constructed to fill an important gap in regards to improved scrutiny of ethical trade.[326] Marks & Spencer were effusive in their support for the ETI — which has helped "develop a consensus between many retailers, trade unions and NGOs on the management of labour standards in global supply chains" — and supported the need for DFID to look at how "the ETI can play a more active role in addressing development issues."[327] The ETI has demonstrated that securing commitment from companies to a basic ethical code is possible. However, the ETI currently has no ability to monitor ethical trade and there is a global gap in formal scrutiny. We suggest that the ETI could be usefully expanded into a monitoring mechanism that ensures more independent scrutiny of company operations. To enable this, sufficient funding arrangements should be put in place, which will need to include increases to DFID's current contribution of £0.5million per year, in conjunction with seeking further funding from corporate members of ETI.

Corporate Social Responsibility and beyond

156. Demands for greater corporate responsibility have been stepped up in the last two decades due to a range of factors, including the growth of multinational corporations; economic liberalisation; privatisation of basic services and evidence of companies' negative social and environmental impacts. In response to these changing circumstances, the corporate sector has worked through various phases of response, summarised by Sumi Dhanarajan, Head of Oxfam's Private Sector team, as follows:

157. Many companies have responded to criticism by developing Corporate Social Responsibility (CSR) codes. NGOs such as ActionAid, whilst highlighting that CSR has important benefits, have criticised voluntary codes for being insufficient standards for the protection of human rights and the environment.[329] Lord Brett, Director of the ILO in the UK, was also pessimistic about CSR policies: "We look at all the CSR reports of British multinationals and half of them leave more than a little to be desired. They are, at best, opaque and quite often misleading".[330] Others criticised CSR policies for the 'bolt-on' nature of their implementation, lack of 'teeth' and roots in Northern PR strategies rather than developing country supply chains.[331] Christian Aid's findings on what lies 'behind the mask' of CSR are indicative of many of the charges levelled against companies by civil society: for instance, Shell's oil spills and ineffective community development projects in Nigeria and British American Tobacco's violations of pledges on health and safety amongst Kenyan and Brazilian tobacco farmers.[332]

158. As the logical corollary to these criticisms, many civil society organisations support stronger regulation of corporate behaviour through the implementation of international codes for multinational companies such as the OECD Guidelines for Multinational Enterprises and the UN Norms on the Responsibilities of Transnational Corporations and Other Business Enterprises with Regard to Human Rights. As Dominic Eagleton of ActionAid told the Committee, whilst these frameworks are voluntary, and retain a number of inherent flaws in their implementation mechanisms, they do at least form a basis for redress.[333] However, Dr. Claire Melamed of Christian Aid expressed concerns about cross-Whitehall coordination on implementing these codes.[334]

159. ActionAid suggested that a step further towards stronger regulation would involve securing responsible company behaviour through the legal requirements of company HQ countries.[335] This would enable communities subject to corporate abuses in countries of investment to hold Western companies to account through the companies' own national legal systems. In the UK, a number of NGOs under the Corporate Responsibility Coalition and the Trade Justice Movement banners are seeking such requirements through the Company Law Reform Bill, which had its Second Reading in the House of Commons in May 2006. The coalitions are trying to secure amendments to the Bill to require companies to annually audit their impact on the environmental and human rights and to enable people overseas who are harmed by the activities of a British firm to take action against the company in a UK court.[336]

160. Whether or not civil society organisations succeed in their demands for greater regulation of corporate behaviour, it seems, as Lord Brett said, that "CSR is here to stay."[337] A number of witnesses stated their belief that companies are going beyond the more superficial aspects of CSR to recognise that commercial advantage and high ethical standards can proceed hand in hand. For instance, the Institution of Civil Engineers' (ICE) written submission stated that, "CSR is evolving and as Gordon Brown recently stated, it has moved far beyond traditional philanthropy towards the heart of business management." The ICE believed that this reflected the UK Government's lead in this area, with a Minister for CSR and a CSR academy.[338] As Alaric Fairbanks of Durham University pointed out, though, the focus has remained overwhelmingly on multinationals and, so far, far less emphasis has been placed on the development of CSR in indigenous enterprises, particularly SMEs.[339] Whilst a number of companies are 'going beyond' PR-driven CSR policies to implement responsible behaviour in their core business operations, many policies remain superficial, 'tick box' corporate gestures, rather than meaningful attempts to grapple with social and environmental impacts. Furthermore, the CSR focus is concentrated in the multinational business sector, rather than on SMEs, which are often over-represented in industries with high social and environmental impacts. DFID must seek to re-dress this balance. We urge the Department to support improved implementation of international codes for multinational companies such as the OECD Guidelines for Multinational Enterprises. This will entail lobbying for far greater collaboration and coordination across Whitehall and introducing Government initiatives to push companies into CSR policies.

161. One potential case study of a new way to assess the impact of business on poverty reduction is a form of corporate-NGO 'peer review' trialled by Oxfam and Unilever. In 2004-5, Oxfam joined forces with Novib (Oxfam Netherlands) and Unilever to support an innovative research project in Indonesia, which explored how, and to what extent, the operations of Unilever Indonesia have an impact - positive or negative - on poverty in Indonesia.[340] Both partners found the project to be highly beneficial. Walter Gibson of Unilever told the Committee that Unilever wished, "To follow up the research that we did with Oxfam, really to understand more about the people at the extreme ends of the value chain and what would make a difference to them.[341] Oxfam was allowed unprecedented access to a company's employees and operations, and was largely pleasantly surprised by Unilever's positive impacts in Indonesia:

    "We found that Unilever Indonesia, in terms of its direct relationship with its employees, was very good […] More than 300,000 people made their livelihoods in Unilever Indonesia's value chain, so the impact of that on poverty reduction is pretty immense."[342]

162. Oxfam were excited about future possibilities of using this new model for assessing company operations: "One of the big roll-outs of this report is simply to take the methodology out there".[343] The Oxfam-Unilever project exploring the links between business and poverty reduction in Indonesia is an exciting new model for assessing corporate behaviour and ensuring that growth benefits 'the base of the pyramid'. DFID should, in its ongoing dialogue with business and civil society organisations, support similar projects, where they are likely to assist poverty reduction through private sector growth.

Co-operative Enterprises

163. As democratic member organisations, co-operatives — when performing efficiently — can exemplify a private sector model that provides many benefits for poor people. Co-operatives can be any kind of business and they operate in most sectors of economic activity. Globally the co-operative movement provides employment for more people than multinationals, supplying over 100 million jobs.[344] As with most private sector actors, co-operatives do not tend to start from a poverty reduction viewpoint, but contribute to this goal by providing economic opportunities to marginal economic actors (producers, workers or consumers).[345] However, as Stirling Smith of the Co-operative College said, co-operatives "are part of the private sector but a little bit different", with an ability "to provide a link between the formal part of the economy and the informal sector", to enable "collective entrepreneurship" and to "provide access to markets that the individual, small farmer could not possibly achieve."[346]

164. Co-operatives fell out of fashion with development actors in the 1980s and 1990s.[347] Renewed support for co-operatives, however, seems to be emerging, as Lord Brett, Director of the ILO in the UK, told the Committee:

    "Co-operatives in Africa had a bad reputation because they were seen to be top-down, state-driven standards... Therefore the word "co-operative" — a bit like the word "trade union" in Eastern Europe - had a problem in post-single-state Africa, but it is a key because, as has been said, it brings people together, it provides local training and leadership, it is multi-functional... We think this is a very cost-effective way of bringing assistance which will not blow away in three years... We think it is a major area for further investment."[348]

165. DFID appears to be having a resurgence of interest in co-operatives, with its recent publication of a policy note on the issue[349], a £50million grant to rural electricity co-operatives in Bangladesh extended in 2005 and its Strategic Grant Agreement (SGA) with The Co-operative College (launched in 2003). Under the SGA, the Co-operative College leads a consortium of co-operative enterprises and agencies in providing education, information and outreach services about co-operatives. The aims of the SGA are twofold: "to work within the UK co-operative sector to promote awareness of the MDGs and to build the capacity of the co-operative sector to deliver appropriate and effective help to co-operatives in the South".[350]

166. The Co-operative College was enthusiastic about the SGA, and will be seeking renewed support from DFID when the Agreement expires in March 2007.[351] Mr. Smith pointed out the mutual benefits of the SGA for the College and DFID, "[The SGA] has been enormously helpful for us in raising our game in terms of international development work. It has helped DFID in terms of policy exchange and policy development [...] We are having some success in terms of shifting developing discourse to include co-operatives."[352] Co-operatives — when performing efficiently — represent a private sector model that provide many benefits and opportunities to poor people. We hope that the resurgence of interest in co-operatives is not a passing fashion: co-operatives represent a cost-effective and sustainable way to support PSD. DFID's Strategic Grant Agreement (SGA) with the Co-operative College has been mutually beneficial, helping both partners to raise the profile of co-operatives as key contributors to PSD. We support the need to put in place a new SGA with the Co-operative College when the current Agreement expires in March 2007.

167. Co-operatives can provide an effective vehicle for the large-scale provision of electricity and water[353], as DFID's £50 million grant for rural electricity co-operatives in Bangladesh suggests the Department is beginning to realise. DFID estimates that the grant will help to connect over one million under-served households and businesses, benefiting up to 10 million people. The programme includes a training budget for managers and members of the local electricity co-operatives managing the service at the local level. However, Stirling Smith commented in regard to the Bangladesh grant, "We had a bit of an argument with DFID about it. They tended to see [the grant to Bangladesh] as being an efficient instrument for rural electrification and tended to ignore the co-operatives side of the equation."[354] Mr. Smith also thought that whilst some parts of DFID's organisation showed a high level of awareness regarding the wider role of co-operatives in PSD, the Department's country programmes were less cognisant of the link.[355]

168. The co-operative movement has been a leading player in the fair trade movement. Co-operatives are the largest retailers of fairly traded products globally.[356] Albert Tucker, a leading fair trade consultant, was positive in regard to the role of co-operatives in improving trade practices: "In the fair trade movement we have found co-operatives quite valuable. I know there are mixed experiences of the success of co-ops, but we have found that poor-people-led co-operatives, when they are successful, have invested much more widely in the communities they are working in and in infrastructure than traditional shareholder-led private-sector interventions."[357] The co-operative movement has a particular role in public sector delivery and in making trade work for poor people. Co-operatives can provide an effective vehicle for the large-scale provision of public utilities, and governments planning public sector reform and privatisation projects should include co-operative enterprises amongst the private sector options. DFID's 2005 grant of £50 million to rural electricity co-operatives in Bangladesh is a positive indication of the Department's renewed commitment to the co-operative sector, and we anticipate similar expressions of support from DFID in the short-term future. The important role of co-operatives in PSD should be adequately communicated to all DFID country programmes to ensure a coherent approach to this under-recognised PSD model.

Business forums

169. The emergence of a number of business networks focused on development is indicative of an emerging consensus on how business can assist poverty reduction. Business Action for Africa (BAA) is one such forum, as Ann Grant of Standard Chartered Bank, told the Committee:

170. Sue Clark, Corporate Affairs Director of SABMiller, and (at the time) Chair of BAA, said that BAA represented an emerging consensus within business:

    "[There is] a change and certainly an understanding increasingly amongst business that the profit motive is clearly important but you cannot do that without taking all your stakeholders with you, and when it comes to emerging markets that does mean actually looking at the market in a [...] different way."[359]

171. BAA is a growing network of businesses and business organisations, active in Africa and from the continent, launched in July 2005 to build on the momentum of the Commission for Africa and the G8. The forum currently has over 100 members and has thirteen listed funders, comprising companies and public sector bodies including DFID.[360] BAA was commended to us a number of times, for instance, by Standard Chartered Bank[361], Marks and Spencer[362] and Syngenta, who told us of the work they are doing in close co-operation with other BAA members on agriculture.[363] There is clearly anticipation that BAA will continue to grow. For instance, the Syngenta Foundation for Sustainable Agriculture told us, "We hope that Business Action for Africa can create an 'Enterprise Forum for African Agriculture' with the purpose of building a consensus and effective partnerships for helping to modernize African agriculture."[364] Petter Matthews of Engineers Against Poverty also saw an expanding role for BAA, possibly fulfilling an intermediary role: "It is not clear to me how the Infrastructure Consortium is going to be engaging with civil society and business. I know that Business Action for Africa [...] is looking at engaging with the Infrastructure Consortium. It is absolutely vital that that occurs.[365]

172. Business forums have a variety of applications. The Donetsk Chamber of Commerce from Ukraine, who have partnered with DFID on the 'Improving the Enabling Environment in Ukraine' project, told us of the value of large business forums in bringing about effective public-private dialogue.[366] There are also examples of single-issue business forums, such as the Global Business Coalition on HIV/AIDS, which works to unite the skills of over 200 companies in fighting AIDS and to helping members address the impact of the disease on their employees.[367] Business forums act as a vital conduit for public-private dialogue and private sector action on poverty reduction. Business Action for Africa (BAA) is a highly promising outcome from 2005 and it is crucial that DFID continues its support for the forum. In conjunction with support from BAA's growing corporate membership, DFID should assess current funding levels with regard to ensuring that BAA can continue to expand as a crucial partnership for PSD.

Industry groups

173. Bringing together companies from a particular sector with donors, governments, NGOs and other key stakeholders is an important channel for private sector involvement in development. Unfortunately, apart from evidence concerning the Extractive Industries Transparency Initiative (see Chapter 3), we did not receive any specific evidence on industry groups, but we considered it important to record two recent successful examples of DFID involvement in such groups nonetheless.

174. The UK Remittances Task Force is an example of a DFID-supported industry group, with 16 banks, money transfer companies and industry associations as members (including major international banks, the British Bankers Association, Western Union and the Post Office). The Task Force was formed in early 2006 with the aim of reducing barriers to remittance flows from the UK to developing countries. The private sector members have agreed to promote the following changes in the UK market for migrant remittances: greater transparency, more competitive markets, better informed customers, greater use of formal money transfer channels, better information for government and providers and more streamlined regulation of money transfers.

175. The Task Force is an outcome of the DFID-chaired Remittances Working Group, which met during 2004-2005 with both private sector and public sector representatives (including HM Treasury and the Financial Services Association). The Working Group members agreed a set of recommendations for a private sector Task Force to take forward. DFID is providing financial support to the Task Force, and helped identify its Chairperson and Steering Group members.

176. Another example of a successful industry group with DFID involvement is the high-level Working Group on Increasing Access to Medicines in Developing Countries (initiated by the UK Government in 2002). This industry group comprised of representatives from pharmaceutical companies, the UK Government, the EU, the WTO and NGOs. Building on consultation within the Group, DFID, the Department of Trade and Industry and the Department of Health launched 'Increasing people's access to essential medicines in developing countries: a framework for good practice in the pharmaceutical industry' in 2005, a set of recommendations for how pharmaceutical companies can help to increase access to their products in developing countries, including in relation to pricing and research and development investment decisions. The recommendations recognised the good work of many companies, whilst calling on the industry to go further.

177. The launch of the framework was welcomed by the Association of the British Pharmaceutical Industry, the American Pharmaceutical Group, Merck, Pfizer and GSK. Since the launch of the Framework, DFID has organised a number of meetings with pharmaceutical companies from the US and Europe to specifically progress recommendations in the framework. A report will be issued later this year reviewing progress regarding the framework.

303   Andrew Rugasira, 'Beyond Kleptocracy and Kalashnikovs', The Guardian 8 June 2005. Back

304   International Development Committee, Third Report of Session 2005-06, The WTO Hong Kong Ministerial and the Doha Development Agenda, HC 730. Back

305   Lecture by Peter Mandelson, European Commissioner for External Trade and Competitiveness, London, 4 February 2005, quoted in International Development Committee, The WTO Hong Kong Ministerial and the Doha Development Agenda, HC 730, p.3. Back

306   International Development Committee, Third Report of Session 2005-06, The WTO Hong Kong Ministerial and the Doha Development Agenda, p.32. Back

307   'Ethical trading' is subject to broad interpretation, from organic farming to supply chains, from environmental sustainability to fair trade. The definition used here draws from the Ethical Trading Initiative's document, 'What is ethical trade? - Introduction', online at Back

308   The term 'fair trade' is also used to refer to making the wider international trading structure more equitable, rather than the more narrow definition used here, relating only to the means of production. For instance, we quoted Peter Mandelson, the European Trade Commissioner, in our report Fair Trade? The European Union's trade agreements with African, Caribbean and Pacific countries (Sixth Report of Session 2004-05, HC 68, p.3), as having declared that his mission on reaching office was to make trade fair for the many, and to ensure that the poorest have a share in rising global prosperity. Back

309   Lucy Siegle, 2006, 'Dilemma as ethics enters mainstream', The Observer, 12 March 2006. Back

310   Ev 270 Back

311   Q 214 [Albert Tucker] Back

312   Ev 180 Back

313   OxfamGB, Novib, Unilever and Unilever Indonesia, 2005, 'Exploring the Links Between International Business and Poverty Reduction: A Case Study of Unilever in Indonesia', p.68. Online at Back

314   The ETI was created in 1998. Corporate members include supermarkets such as Sainsburys and Tesco, high street retailers such as Gap and Boots, and food producers such as Typhoo Tea and Union Coffee Roasters. Corporate members of ETI commit to implement its Base Code (which reflects internationally agreed labour standards, enshrined in the national labour law of most countries) throughout their supply chains. The code stipulates, among other things, that working conditions are safe and hygienic, child labour is not used, working hours are not excessive and workers are paid living wages. Back

315   Q 213 [Dan Rees] Back

316   Q 213 [Dan Rees] Back

317   Q 213 [Dan Rees]. The need for greater coherence was reiterated in ActionAid's written evidence (Ev 153) and the point about procurement in the IIED's written evidence (Ev 270). See also our points on the DTI in Paragraphs 158 and 160.  Back

318   Q 213. See also HC Deb, 4 May 2006, col 1084 [Commons Chamber]. Back

319   Q 214 [Albert Tucker] Back

320   Q 215 [Albert Tucker] Back

321   Q 215 [Albert Tucker] Back

322   Q 214 [Albert Tucker] Back

323   Q 214 [Albert Tucker] Back

324   Q 226 [Dan Rees]. The figure for improvements effected by the ETI is from 2004.  Back

325   Q 226 [Dan Rees] Back

326   Q 229 [Dan Rees] Back

327   Ev 280 Back

328   Sumi Dhanarajan, 'Managing ethical standards: when rhetoric meets reality', Development in Practice vol.15 numbers 3 & 4 (June 2005), p. 531. Back

329   Ev 153 Back

330   Q 224 [Lord Brett] Back

331   On this last criticism, see Q 450 [Dominic Eagleton]. Back

332   Christian Aid, 'Behind the Mask: the real face of CSR' (2004), online at  Back

333   Q 466 [Dominic Eagleton]. NGOs criticise the OECD Guidelines for relying on a weak conformity mechanism based on reporting through national contact points. See the following report for further details: Christian Aid, 2006, 'Flagship or failure? The UK's implementation of the OECD guidelines and approach to corporate responsibility', online at Back

334   Q 455 [Claire Melamed] Back

335   Q 453 [Dominic Eagleton] and Ev 153 Back

336   At the time of writing, 200 MPs were supporting these amendments. Back

337   Q 224 [Lord Brett] Back

338   Ibid. Back

339   Ev 250 Back

340   OxfamGB, Novib, Unilever and Unilever Indonesia, 2005, 'Exploring the Links Between International Business and Poverty Reduction: A Case Study of Unilever in Indonesia'. Online at Back

341   Q 334 [Walter Gibson] Back

342   Q 478 [Sumi Dhanarajan] Back

343   Q 480 [Sumi Dhanarajan] Back

344   Ev 170 Back

345   DFID How To Note, 'How to leverage the co-operative movement for poverty reduction' (DFID, May 2005), p.3. Back

346   Q 386 [Stirling Smith] Back

347   Q 387 [Stirling Smith] Back

348   Q 214 [Lord Brett] Back

349   DFID, 'How to leverage the co-operative movement for poverty reduction', 2005. Back

350   Ev 169 Back

351   Q 389 [Stirling Smith] Back

352   Q 389 [Stirling Smith] Back

353   Ev 170 Back

354   Q 394 [Stirling Smith] Back

355   Q 391 [Stirling Smith] Back

356   'Co-operatives tackling poverty', Co-operative College press release, 10 November 2003. Online at Back

357   Q 214 [Albert Tucker] Back

358   Q 289 [Ann Grant] Back

359   Q 317 [Sue Clark] Back

360   For further information, see Back

361   Q 278 [Ann Grant] Back

362   Ev 279 Back

363   Ev 201 Back

364   Ev 205 Back

365   Q 206 [Petter Matthews] Back

366   Ev 248 Back

367   See for further details. Back

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