Fair Trade USA founder Paul Rice will step down as its CEO after 26 years. The organization’s chief operating officer, Felipe Arango, will serve as interim CEO, according to a news release.
Fair Trade USA said Rice’s decision follows several years of leadership development and organizational transformation to ensure it is prepared for the next chapter of growth and impact. Rice will finish this year in the role of founder and will transition to a member of Fair Trade USA’s advisory council in 2025, the release said.
Arango has spent more than 20 years advancing the Fair Trade and sustainability movements, according to the organization. He has served as its chief operating officer since 2023 and has held positions leading sustainable development in coffee, cocoa, produce, textiles and floral.
Arango served as a technical adviser and pilot lead for the Taskforce on Nature-related Financial Disclosures, where he advanced a global framework for management and disclosure of nature-related risks and opportunities, according to the release. He also co-founded BSD Consulting, serving as global CEO for seven years, launching operations in Colombia, Mexico, Brazil and the U.S. He served as a fair-trade auditor, trainer and consultant for eight years.
Rice spoke at the 2023 Global Organic Produce Expo about his time with the organization, which he established at age 33.
“One of the hallmarks of the fair trade model is the premium,” he said at GOPEX. “We’re one of the few models out there that actually requires a set premium, which we all have that’s paid either by the brand or the retailer back to the farm. So, it’s not a marketplace. It’s a set premium per pound.”
Rice launched Fair Trade USA (formerly known as TransFair USA) in 1998 from a small warehouse in Oakland, Calif. Under his leadership, the organization became the leading certifier of fair trade products in North America. Fair Trade USA said that, under Rice’s leadership, consumer awareness of the Fair Trade Certified label has grown to 65%. By 2024, the organization says it had generated $1.2 billion in cumulative financial impact for more than 1.6 million farmers and workers in more than 53 countries.
In the 26 years of the organization, more than 1,500 brands and retailers in the U.S. now participate in fair trade, including 60 different fresh produce items. Rice said fair trade works with approximately 1 million growers in 50 to 60 countries globally.
“It was all just thanks to this simple concept of a fair price for a great product,” Rice said at GOPEX. “We were helping farmers become architects of their own future, and that was so exciting. It changed my life.”
A new book written by Rice, “Every Purchase Matters: How Fair Trade Farmers, Companies, and Consumers Are Changing the World,” will be published by Public Affairs in April 2025, according to the release. Fair Trade USA said Rice will promote the book and increase the visibility of the fair trade and ethical sourcing movements.
“So, we’re on a path. We’re on a trajectory,” Rice said at GOPEX. “And that’s because of conscious businesses and conscious retailers.”
Ricardo Crisantes, Fair Trade USA board chair commended Rice for his impact.
“Paul’s visionary leadership and dedication have transformed Fair Trade USA into a global force for good,” Crisantes said in the release.
Rice said in the organization’s announcement that he’s proud of the work he and his stakeholders have achieved in the last 26 years.
“We have helped improve the lives of millions of hardworking farmers and workers, building hope for a better future. We have shown corporate America that ethical sourcing is good not just for people and planet, but also for the bottom line,” he said. “And we have helped consumers realize that they can change the world through something as simple as a cup of coffee, a banana or a T-shirt.”
