103 Global purchasing of raw materials 13 2 34 3 0 1 15 7 4 30 By weight as of 2018 Prices for raw materials fluctuate significantly because like coffee they are traded on commodity exchanges or for reasons as simple as the weather becoming more and more unpredictable Farmers bear the brunt of such fluctuations For millions of people this means a constant state of risk So our cultivation partners need something to base their long term planning on and someone who buys the largest quantities possi ble Fundamental to these partnerships are purchase guarantees eco nomically scaled lot sizes fair prices and support for investments in ar eas such as irrigation technology Such measures provide the necessary structure for long term quantifiable improvements in countries with in adequate environmental and social welfare standards Let s take a look at one such partnership For more than 20 years we ve been sourcing tea from our cultivation partner Ambootia and success fully selling this tea in organic shops in quantities that have increased each year This works because we analyse the supply chain together to find out where there is potential for optimisation that will benefit both partners We maintain transparency and dialogue We travel to India or invite our partners to visit us in Germany And then we discuss What do you need What do we need How can we get there together Fair partnerships What do you need What do we need How can we get there together Almost 65 000 people of whom 10 700 work di rectly in the plantations now benefit from this long term collaboration with the tea estate The tea pluckers share in the profits and receive col lectively agreed wages Employees and their families receive medical care There are com munal houses with internet access Children of employees receive free primary education in specially built schools and scholarships are of fered for secondary schools to name just a few benefits And we are particularly proud that on the leg endary Ambootia Tea Estate the children attend the Lebensbaum School 0 1 Purchasing

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