Finnish berry industry resists fair trade certification amid cartels and exploitation allegations

The Finnish berry sector, already under scrutiny for suspected price-fixing and labor exploitation, has rejected a proposed fair trade certification intended to improve working conditions, according to a report by national broadcaster Yle.

This week, the Finnish Competition and Consumer Authority (KKV) accused five berry companies—Polarica, Kiantama, Marja Bothnia Berries, Arctic International, and Kaskein Marja—of colluding to suppress wild berry prices over several years. The firms face combined fines of €9.4 million, though Kiantama avoided penalties after cooperating with investigators. Arctic International declared bankruptcy last year.

The allegations follow years of legal cases tied to human trafficking within the industry, where foreign pickers often arrive in debt after paying exorbitant travel and recruitment fees. Janne Sivonen, executive director of Fair Trade Finland, warned that such debts create dependency and heighten exploitation risks.

In 2024, Finland’s Rural Employers’ Federation dismissed the fair trade proposal, arguing that additional certification burdens would be unsustainable for small businesses. Federation director Kristel Nybondas noted that since 2024, berry firms have operated under a collective bargaining agreement with the Industrial Union, guaranteeing pickers minimum wages and rest periods.

Nybondas acknowledged that while employers are not legally required to cover travel costs, many deduct prepaid airfare from workers’ wages. She called for international agreements to curb recruitment fees charged in workers’ home countries.

Fair Trade Finland introduced certification criteria for wild berry harvesting two years ago, aiming to reduce financial risks for pickers, enforce transparency, and hold companies accountable. No firm has adopted the standards.