Fairtrade 'does more harm than good to Third World countries', says think tank

The "ethical" brand Fairtrade, backed by A-list celebrities and £2million of taxpayers' cash, leaves Third World farmers worse off, according to a damning new report.

Huge publicity, including a Government-sponsored education campaign in schools, has attempted to persuade the public to pay more for goods such as coffee, chocolate and bananas to ensure a better deal for producers in impoverished nations.

And stars such as Coldplay singer Chris Martin have been queuing up to endorse its products.

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Fair play? Chris Martin visits a farmer's cooperative in Mexico in 2003