Fair Trade generally complies with the following principles:

• The production occurs at honest wages: this means that employees and their families have to be able to provide for themselves in a normal manner, taking account of the cost of living in their country.
• The production takes place in a socially acceptable context: wages are not the only issue, but also working environment, labour conditions, working hours, etc.
• The trade relation is based on collaboration, not on competition: designing models, selecting materials, planning the production - everything occurs in transparency. The producers know what they are working on and they are familiar with the market circumstances.
• Transfer of knowledge: This is related to teaching certain techniques, and it also concerns the broader context where the work takes place.
• Respecting the environment: whenever possible, use is made of natural materials, often organically grown or reared, produced in an organically sound manner (cf. used dyes, etc.)
• Financing: quite often, producers in the Third world cannot handle the purchase of sufficient or top quality material needed for the actual production. In that case, not only the production of the actual dolls, but also the purchase of the raw materials is prefinanced.
• Transfer of production means: sewing machines, tools, etc.
• Continuity in the trade relation: this implies that no switches to another producer will take place after one or several orders, for instance for the sake of the price: in other words, the producer is guaranteed of a constant work flow, and hence also has the guarantee that this investments (for instance in production means or training) will not be lost or will only be profitable for a very brief time.
• The uses of materials which are produced locally or which are available on site, with a beneficial effect for local economy.