A handful of UK supermarkets are in discussions to join what is understood to be the first “buying coalition” for Fairtrade products.

According to the Financial Times, people close to the scheme said that Sainsbury’s and Tesco are two of the retailers in talks with the Fairtrade Foundation about joining forces to buy ethically sourced products including bananas, coffee and cocoa from farmers in countries such as Ivory Coast, Ghana, Kenya and Colombia under three to five year agreements.

It would see supermarkets working together to pay the farmers a minimum price and a premium.

The national organisation said the scheme, known as the Shared Impact initiative, would help the farmers to invest in sustainable practices such as pruning, agroforestry and the use of organic fertilisers.

The Fairtrade Foundation added that these products purchased under the scheme could be on shelves within months.

Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning

A pilot scheme is currently underway, which Co-op is taking part in for cocoa, however coffee and bananas would be next.

Co-op senior sustainable sourcing and international development manager Emily Pearce told the publication that the scheme looked to “find solutions to deepen the impact, cooperatively for the millions of small-scale farmers and workers who are disproportionately affected by the effects of climate change and fluctuating commodity prices”.

It comes after the Competition and Markets Authority (CMA) issued “informal guidance” to Fairtrade, which indicated it would not fine supermarkets for violating anti-competition laws – aiding retailers in tackling big sustainability issues such as deforestation, living wages and child labour.

The CMA said the scheme was unlikely to raise prices for consumers and could even have “positive effects” on competition as it would increase the choice of Fairtrade products available.

While it added that the proposed scheme was not likely to actively break competition policy, it would need to take another look if it was significantly scaled up.

Last year, the Fairtrade Foundation warned that bananas, coffee and cocoa could be at risk of becoming ‘endangered’ due to climate change.

The charity’s report found that over 350,000 tonnes of cocoa imported to the UK each year originates from countries where production faces risks, along with 24% of the UK’s total land footprint for annual coffee imports and 48% of UK banana imports.