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Posts Tagged ‘Paris

Greece against a cast of contemptible characters

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These images (taken from various news agencies) show how ordinary Greeks, but particularly elderly pensioners, have been tormented by EU politicians. This has been portrayed as a Greek debt crisis, but it is much more a crisis about what Europe is and stands for.

These images (taken from various news agencies) show how ordinary Greeks, but particularly elderly pensioners, have been tormented by EU politicians. This has been portrayed as a Greek debt crisis, but it is much more a crisis about what Europe is and stands for.

Update 11 July: The Greek parliament supported a so-called package of spending cuts, pension savings and tax increases with a majority of 251 votes in the 300-seat parliament. This is what the 61.3% ‘NO’ vote rejected six days ago! Naturally, this has set the stage for massive internal turmoil in Greece. Heavyweights of Syriza, parliament speaker Zoi Konstantopoulou and energy minister Panagiotis Lafazanis, and 15 other members either voted against the plan, abstained or were absent from the vote. Another 15 Syriza members of parliament said they also opposed the proposed measures and could reject them in future votes even though they supported prime minister Alexis Tsipras and his template of borrowed proposals. With breath-taking cynicism, the Syriza leader has presented this direct repudiation of the will of the Greek people as a “triumph of democracy”. Who is this man Tsipras working for?

The newest alumnus of the Transatlantic School of Austerity and Misery, with a special interest in 'haircuts'

The newest alumnus of the Transatlantic School of Austerity and Misery, with a special interest in ‘haircuts’

Beyond the beggaring calculations made by the economists and financiers of the Troika and the ahistorical stubbornness of the Berlin-Paris ruling cliques who will still not deviate from their ‘austerity’ prescription, is the legitimacy of Greece’s claim to autonomy. “Autonomy, the willingness and capacity to question and change our collective laws, is a universal principle and one that should be at the heart of the European project,” writes Giorgos Kallis. “Greece’s disobedience to the rule of the markets is a universalistic call for reclaiming democracy for all Europe, not a particularist protection of its own backyard. This is not a demand for the rest of Europe to obey to Greece’s will, but a plea to listen, reflect and genuinely co-decide.” Ah but Berlin cannot abide any other will than its own.

It is finanzpolitik, or perhaps the political economy of occupation by austerity. Whatever it is called in Eurolingua it has proved politically effective for European elites in general to present the Greek problem as their own debt problem. Doing so has provided a powerful ideological and moral justification for the brutal austerity policies prescribed to the countries of the European ‘periphery’ (and especially Greece) in recent years. And so, as Thomas Fazi has narrated, Euro-leaders’ “deeply moral interpretation of the euro crisis – which pitted the profligate, debt-ridden wrongdoers of the periphery against the virtuous, responsible countries of the core – rapidly became conventional wisdom among European politicians, commentators and bureaucrats”.

On Sunday 5 July 2015 Europe was shown to be imprisoned by its institutions. But the people of Greece chose with dignity and in solidarity to expose the prison, and walk away.

The landslide ‘no’ (or OXI) vote in the 5 July referendum on austerity in Greece is an overwhelming repudiation of the European Union and the austerity agenda pursued all over Europe since the 2008 economic crisis. The weapon of austerity is the euro, and it works by wiping out genuine economic and social progress through productive systems composed largely of small and medium enterprises, because this weapon pries open these local ‘markets’ (a despised term) to raids by financial monopolies.

RG_greece_20150710_gr3Such raids have the sanction of the International Monetary Fund, the European Commission, and the European Central Bank – together known as the troika which has waged war on the Greeks. The troika has waged such war as punishment (in the words of European politicians such as Angela Merkel, Francois Hollande, Martin Schulz, Wolfgang Schäuble and David Cameron) to the Greeks for their own failed design of the Euro in a system that is economically unsustainable and socially perverse.

“Shame on all those who have accepted the idea that the troika represents the European peoples,” wrote Samir Amin. “Shame on the governments that have installed in the presidency of ‘their Europe’ a Luxembourgian functionary in the service of a tax haven; installed in the management of ‘their central bank’ a character who made a career at Goldman Sachs, the bank associated with all the financial villainies of the century.”

RG_greece_20150710_gr1The ‘OXI’ (no) in the referendum means the Greeks voted for a socially just distribution of the burdens for the sustainable reforms necessary in their country to fight corruption and nepotism. They voted for sustainable reconstruction and growth of their economic structures, to reduce military spending and for mandatory negotiations on debt restructuring. Those who so voted on 5 July were 61.3% of the Greek people, drawn largely from the working class and poorer layers of the population.

But what happens now?

There is not much belief that the Syriza government will fulfil the ‘no’ vote mandate and bring austerity to an end. Reportage via independent media say that most people fear there will be new austerity measures, which the mass of the population can no longer take.

RG_greece_20150710_gr2Should the Greek Parliament approve talks on the new proposal (it may be acceptable to the Eurozone’s negotiators but has will still have to be approved by the European Parliament) there will be a short period during which the people of Greece will reflect on what is being done. They may decide to tolerate more ‘negotiation’, or not. They could rise up against a government that has gone back on its promises and disregarded their will as expressed in the referendum.

On the other hand Germany will balk at offering any debt relief. The European financial press (such as it is) is carrying reports that a section of German capitalist strategists are calculating that it is now cheaper to kick Greece out of the euro (provide a ‘humanitarian relief aid’ dollop) than continue to negotiate a formal bailout. A French publication reported that the Greek negotiation team was asked by Schäuble, “how much money do you want to leave the euro”, underlining how execrable the Euro political class has become.

These have been disastrous times for people in Greece. Salaries have been cut by half, taxes have increased eight times (not by 8% or 80% but eight times more), there are 1.5 million people unemployed and that is a full third of the working class, those who have jobs have often not been paid in weeks or months. There is misery and 60 euros as pension for those who can find 60 euros to draw out, but the Greeks want to their overthrow of austerity to be historic and permanent.

It’s time to permanently retire the UN climate circus

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‘World on Fire’ by Spiros Derveniotis, courtesy Cartoon Movement, http://www.cartoonmovement.com/p/2486

‘World on Fire’ by Spiros Derveniotis, courtesy Cartoon Movement, http://www.cartoonmovement.com/p/2486

This year’s ritual of talking about climate and talking about the effects of changing climates has begun. This is the 21st year that this is being done, and in none of the previous 20 years have the talkers achieved any worthwhile goal. They will not this year either, although much money will be spent on slick and colourful messages to convince the publics of 196 countries otherwise.

On 1 June the Bonn Climate Change Conference June 2015 began. The actors at this conference are mainly from the same cast that has played these roles for 20 years. They have been replaced here and there, and overall the main cast and supporting casts have grown in number – I think this growth in the number of climate negotiators and climate experts matches the growth rate of parts per million of carbon dioxide in our atmosphere, there may be a correlation that can inspire a new discipline of research.

These conferences are expensive, for thousands of people are involved. Most of these people profess to be concerned about climate change and its effects and most of these people maintain curriculum vitaes that are tomes designed to awe and impress, usually with the purpose of securing well-paid consultancies or academic tenureships or some such similar lucrative sinecures. It is an industry, this negotiating climate change, whose own rates of growth are about as steep as the number of those, in the OECD countries, who fall into debt. As before, there may be interesting correlations to note.

The soundbite, big data and cool vector graphics world of UNFCCC climate negotiation pretense has gone on for far too long.

The soundbite, big data and cool vector graphics world of UNFCCC climate negotiation pretense has gone on for far too long.

The publics of the 196 countries that are constrained to send emissaries and observers and negotiators to these colossal jamborees have been lied to for 20 years quite successfully, and this 21st year we will see the lies repeated and presented all wrapped up in new tinsel. Many of these countries – from south-eastern and central Europe, from small island states in the Pacific and Indian oceans, from the Caribbean, from South America and from South-East Asia – pay for the useless privilege of sending representatives to attend this annual round of sophisticated tomfoolery. It is money down the drain for them.

The United Nations Framework Convention on Climate Change (UNFCCC) under whose aegis most of these jamborees are held, and in whose august name most of the hollow but portentous pronouncements are ritually made, is an organisation that is over the hill, round the bend and up the wall. It represents today nothing that is in the interest of the public and it represents today almost everything that is in the interest of the corporate plutocracy, whether global or regional or national.

A 21st edition of annual obfuscation by the UNFCCC and its crony institutions.

A 21st edition of annual obfuscation by the UNFCCC and its crony institutions.

Unembarrassed by its own hopelessly prodigal existence, the UNFCCC lines up ‘technical expert meetings’ month after month to produce suitably technical papers that would fill libraries, if they were printed. It arranges conclaves in expensive locales (all sponsored naturally) to gauge ‘mitigation ambition of countries through multilateral assessment’. It commissions extensive reviews of the adequacy of countries’ agreed goals to keep the global average temperature from rising beyond 2°C above pre-industrial levels and the abundantly-qualified authors of these reviews (which read very much like the reviews of 2014, 2013, 2012 and so on) self-importantly inform us that “the world is not yet on track to achieve the long-term global goal, but successful mitigation policies are known and must be scaled up urgently”, just as their predecessors did 20 years ago.

The main UNFCCC cast and its supporting cast (of thousands, but these thousands alas do not form the geographic representation that the United Nations system pretends to) spend days together at preparatory conferences and meetings, and pre-preparatory conferences and meetings, and agenda-setting conferences and meetings, and theme-outlining conferences and meetings, all year round. From somewhere within this flurry of busy nothingness they announce (perhaps on the days before the solstices and following the equinoxes) that new breakthroughs have been made in the negotiating text and that consensus is nigh.

This has gone on far too long. Twenty years ago, when this great obfuscation began, there were some 1.83 billion children (under 14 years old) in the world. Today they are at ages where they are finishing primary school, have begun working (many of them in informal, insecure, hazardous jobs whose paltry wages keep families alive) and a few are completing university degrees. Some of this 1.83 billion may have an interest in what climate is and why it changes but for them, the techno-financial labyrinths invented by the UNFCCC and its comfortable nest of crony institutions offer no enlightenment. For those young women and men, the cancerous industry of climate change negotiations has done nothing to ensure, during their lifetimes till now, any reduction in the exploitation and use of materials whose first and primary effect is to degrade the nature upon which we all depend. [This article has also been posted on the India Climate Portal.]

No Shri Javadekar, India won’t gamble with carbon

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Coal will account for much of India's energy for another generation. How does the BJP calculate its 'value' at international climate talks? Image: PTI/Deccan Chronicle

Coal will account for much of India’s energy for another generation. How does the BJP calculate its ‘value’ at international climate talks? Image: PTI/Deccan Chronicle

There is a message New Delhi’s top bureaucrats must listen to and understand, for it is they who advise the ministers. The message has to do with climate change and India’s responsibilities, within our country and outside it. This is the substance of the message:

1. The Bharatiya Janata Party-led National Democratic Alliance government must stop treating the factors that contribute to climate change as commodities that can be bartered or traded. This has been the attitude of this government since it was formed in May 2014 – an attitude that says, in sum, ‘we will pursue whatever GDP goals we like and never mind the climate cost’, and that if such a pursuit is not to the liking of the Western industrialised world, India must be compensated.

2. Rising GDP is not the measure of a country and it is not the measure of India and Bharat. The consequences of pursuing rising GDP (which does not mean better overall incomes or better standards of living) have been plain to see for the better part of 25 years since the process of liberalisation began. Some of these consequences are visible in the form of a degraded natural environment, cities choked in pollution, the rapid rise of non-communicable diseases, the economic displacement of large rural populations. All these consequences have dimensions that deepen the impacts of climate change within our country.

3. There are no ‘terms of trade’ concerning climate change and its factors. There is no deal to jockey for in climate negotiations between a narrow and outdated idea of GDP-centred ‘development’ and monetary compensation. The government of India is not a broking agency to bet a carbon-intensive future for India against the willingness of Western countries to pay in order to halt such a future. This is not a carbon casino and the NDA-BJP government must immediately stop behaving as if it is.

RG_coal_201503_1The environment minister, Prakash Javadekar, has twice in March 2015 said exactly this: we will go ahead and pollute all we like in the pursuit of our GDP dream – but if you (world) prefer us not to, give us lots of money as compensation. Such an attitude and such statements are to be condemned. That Javadekar has made such a statement is bad enough, but I find it deeply worrying that a statement like this may reflect a view within the NDA-BJP government that all levers of governance are in fact monetary ones that can be bet, like commodities can, against political positions at home and abroad. If so, this is a very serious error being made by the central government and its advisers.

Javadekar has most recently made this stand clear in an interview with a foreign news agency. In this interview (which was published on 26 March 2015), Javadekar is reported to have said: “The world has to decide what they want. Every climate action has a cost.” Worse still, Javadekar said India’s government is considering the presentation of a deal – one set of commitments based on internal funding to control emissions, and a second set, with deeper emissions cuts, funded by foreign money.

Earlier in March, during the Fifteenth Session of the African Ministerial Conference on Environment (in Cairo, Egypt), Javadekar had said: “There has to be equitable sharing of the carbon space. The developed world which has occupied large carbon space today must vacate the space to accommodate developing and emerging economies.” He also said: “The right to development has to be respected while collectively moving towards greener growth trajectory.”

Such statements are by themselves alarming. If they also represent a more widespread view within the Indian government that the consequences of the country following a ‘development’ path can be parleyed into large sums of money, then it indicates a much more serious problem. The UNFCCC-led climate change negotiations are infirm, riddled with contradictions, a hotbed of international politics and are manipulated by finance and technology lobbies.

RG_coal_201503_2It remains on paper an inter-governmental arrangement and it is one that India is a part of and party to. Under such circumstances, our country must do all it can to uphold moral action and thinking that is grounded in social and environmental justice. The so-called Annex 1 countries have all failed to do so, and instead have used the UNFCCC and all its associated mechanisms as tools to further industry and foreign policy interests.

It is not in India’s nature and it is not in India’s character to to the same, but Javadekar’s statement and the government of India’s approach – now made visible by this statement – threatens to place it in the same group of countries. This is a crass misrepresentation of India. According to the available data, India in 2013 emitted 2,407 million tons of CO2 (the third largest emitter behind the USA and China). In our South Asian region, this is 8.9 times the combined emissions of our eight neighbours (Pakistan, 165; Bangladesh, 65; Sri Lanka, 15; Myanmar, 10; Afghanistan, 9.4; Nepal, 4.3; Maldives, 1.3; Bhutan, 0.7).

When we speak internationally of being responsible we must first be responsible at home and to our neighbours. Javadekar’s is an irresponsible statement, and is grossly so. Future emissions are not and must never be treated as or suggested as being a futures commodity that can attract a money premium. Nor is it a bargaining chip in a carbon casino world. The government of India must clearly and plainly retract these statements immediately.

Note – according to the UNFCCC documentation, “India communicated that it will endeavour to reduce the emissions intensity of its GDP by 20-25 per cent by 2020 compared with the 2005 level. It added that emissions from the agriculture sector would not form part of the assessment of its emissions intensity.”

“India stated that the proposed domestic actions are voluntary in nature and will not have a legally binding character. It added that these actions will be implemented in accordance with the provisions of relevant national legislation and policies, as well as the principles and provisions of the Convention.”

Je suis Charlie

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Illustrations in solidarity with Charlie Hebdo by Jean Jullien (‏@jean_jullien), Francisco J. Olea (‏@oleismos) and The Independent newspaper (top, middle, bottom).

Illustrations in solidarity with Charlie Hebdo by Jean Jullien (‏@jean_jullien), Francisco J. Olea (‏@oleismos) and The Independent newspaper (top, middle, bottom).

The weekly is pugnaciously irreverent and its satire is biting. Charlie Hebdo, the publication, has been far more than the lampooning weekly with the wicked wit it has been described as. To be vulgar, provocative and offensive and to be so often was what made Charlie Hebdo so spot on about contemporary politics and society.

It wrestled with pen and ink for the freedom to be all this, and in so doing, strengthened also the freedom to protest. There were no taboos – to question, with cleverness and humour, and to reflect boldly the contradictions of society, through illustration and cartoon, were what the weekly did consummately well.

With these methods – much loved in France, well liked in those parts of neighbouring Europe – Charlie Hebdo explained some of the essence of democracy. And of freedom of expression, so dear to all journalists and commentators, whatever their medium.

For giving such a service, the journalists of Charlie Hebdo were murdered.

Tolerance is a value our societies strive to inculcate and practice, but there is no virtue in tolerating those who murder. The murderers of Charlie Hebdo are the foullest criminals, reeking cowards who must be prosecuted for they are rank criminals and not holy warriors, however they might choose to describe themselves.

This is a weekly that stood – never mind its irreverence and vulgarity – for freedom from fear, including the fear of being different, of speaking out, of questioning majority (and minority) beliefs.

As the thousands of placards and hand-written signs and poignant drawn tributes have collectively said – we are all Charlie Hebdo. #JeSuisCharlie

Written by makanaka

January 8, 2015 at 21:15

Food speculation – 450 economists tell the G20 to take action, now

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The World Development Movement has been bringing to public attention, and to policymakers in Britain, the effects of financial market speculation in food. Recently, a WDM campaign group circulated a letter amongst economists in all countries addressed to the finance ministers of the countries that make up the G20. They met in Paris, France, on 15 October.

I am honoured to be amongst the 450 who have signed the statement. Those who have lent their names to the statement are amongst a group of economists, social scientists, academics and activists who are witnessing – every day no matter where they live – the impacts of relentless food inflation on the lives of poor households whether urban or rural. This statement is one way to remind the G20 powers of their social responsibilities.

Here follows the text of the letter, which is available on the original site here:

11 October 2011

Dear G20 Finance Ministers,

We write to you ahead of the October meeting of the G20 Finance Ministers to urge you to commit with your counterparts to take effective action to curb excessive speculation on food commodities. Excessive financial speculation is contributing to increasing volatility and record high food prices, exacerbating global hunger and poverty.

While there are many pressures on food prices, fundamental changes in supply and demand cannot fully account for the dramatic price fluctuations that have occurred in recent years.

In June, a report for the G20 by international organisations including the IMF and the OECD noted that “too much speculation can cause frequent and erratic price changes” in futures markets.

Evidence suggests that financial speculators are less likely to make trading decisions based on information regarding supply and demand and are more prone to herding behaviours than commercial traders. Excessive speculation undermines the price discovery function of futures markets, driving real prices away from levels determined by supply and demand.

The High Level Panel of Experts on food security for the Committee on World Food Security at the FAO reported in July that “tighter regulation of speculation is necessary.” The panel suggested that “Increasing transparency, by requiring exchange trading and clearing of most agricultural commodity contracts, and setting lower limits for noncommercial actors could be the first set of measures taken by the countries that house major commodity exchanges.”

Increasing market transparency is vital, but will not go far enough to tackle excessive financial speculation. We therefore urge you to support the establishment of position limits to cap the proportion of agricultural commodity derivatives markets that can be  held by financial speculators.

Limits could be set at a level that would maintain sufficient liquidity in the markets while preventing an excessive concentration of purely financial actors. The US has already passed legislation including provisions to introduce such limits and the G20 should act to prevent regulatory arbitrage between exchanges.

Position limits would be more effective in tackling excessive speculation than position management powers, which rely on the use of judgement by exchanges and provide little assurance that powers will be exercised effectively. Clear limits would provide regulatory certainty, promoting stable and sustainable derivatives markets to the benefit of food producers, consumers and broader economic stability.

With around 1 billion people enduring chronic hunger worldwide, action is urgently needed to curb excessive speculation and its effects on global food prices.

Yours sincerely,

The bloody cost of ‘democratic transition’ in Libya

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Libya's oil and gas industry. Graphic: Der Spiegel

The real nature of the US-NATO invasion of Libya has become even clearer in the last week. The orchestrated media coverage, similar to the trigger-happy reportage that marked the Gulf Wars and the USA’s Iraq and Afghanaistan wars, has focused on demonising Muammar Gaddafi and on the ‘rebels’ who are now in Tripoli. Absent from the popular coverage, especially on television, is the ordinary Libyan. Not absent any longer are the commercial roots of this invasion, for the German media are now openly talking about the business opportunities or Libyan “reconstruction”.

The Security Council’s stipulations that ground troops not be introduced into the country, that an arms embargo be kept in place and that mercenaries be prevented from entering Libya have all been flouted in this criminal operation to seize control of an oil-rich former colony and loot its resources, observed the World Socialist Website. There is barely any attempt to hide the fact that special forces, intelligence agents and mercenary military contractors have organized, armed and led the “rebels”, who have not made a single advance without the prior annihilation of government security forces by NATO warplanes.

After being terrorized for five months by NATO bombs and missiles, the people of Tripoli are now facing sudden death and a looming humanitarian catastrophe as a result of the NATO campaign to “protect civilians”. Kim Sengupta of the Independent reported Thursday from the Tripoli neighborhood of Abu Salim, which the “rebels” stormed under the cover of NATO air strikes. Known as a pro-Gaddafi area, its residents have been subjected to a reign of terror.

Libya military bases. Graphic: Der Spiegel

“There was no escape for the residents of Abu Salim, trapped as the fighting spread all around them,” Sengupta reported. “In the corner of a street, a man who was shot in the crossfire, the back of his blue shirt soaked in blood, was being carried away by three others. ‘I know that man, he is a shopkeeper,’ said Sama Abdessalam Bashti, who had just run across the road to reach his home. ‘The rebels are attacking our homes. This should not be happening. The rebels are saying they are fighting government troops here, but all those getting hurt are ordinary people, the only buildings being damaged are those of local people. There has also been looting by the rebels, they have gone into houses to search for people and taken away things. Why are they doing this?’ ”

Asked why local residents were resisting the NATO-led force’s takeover of the city, Mohammed Selim Mohammed, a 38-year-old engineer, told the Independent, “Maybe they just do not like the rebels. Why are people from outside Tripoli coming and arresting our men?” Meanwhile, other reports laid bare war crimes carried out by NATO and its local agents on the ground in Tripoli. Both the Associated Press and Reuters news agencies documented a massacre perpetrated against Gaddafi supporters in a square adjacent to the presidential compound that was stormed and looted on Tuesday.

“The bodies are scattered around a grassy square next to Moammar Gadhafi’s compound of Bab al-Aziziya. Prone on grassy lots as if napping, sprawled in tents. Some have had their wrists bound by plastic ties,” AP reported. “The identities of the dead are unclear but they are in all likelihood activists that set up an impromptu tent city in solidarity with Gadhafi outside his compound in defiance of the NATO bombings.” AP said that the grisly discovery raised “the disturbing specter of mass killings of noncombatants, detainees and the wounded.”

Libya oil pipelines and infrastructure. Graphic: Der Spiegel

Among the bodies of the executed the report added were several that “had been shot in the head, with their hands tied behind their backs. A body in a doctor’s green hospital gown was found in the canal. The bodies were bloated.” Reporting from the same killing field, Reuters counted 30 bodies “riddled with bullets”. It noted that “Five of the dead were at a field hospital nearby, with one in an ambulance strapped to a gurney with an intravenous drip still in his arm.” Two of the bodies, it said, “were charred beyond recognition.”

[See ‘A time before the pillage – what North Africa should mean to us’.]

The pretence that the US and its European NATO allies were intervening in Libya to “protect civilians and civilian populated areas from threat of attack,” as stated in the United Nations Security Council resolution, has effectively been abandoned. Behind the fig leaf of this resolution the naked imperialist and colonial character of the war has emerged. Der Spiegel has reported that three weeks ago, Hans Meier-Ewert, head of the German-African Business Association, travelled to Libya together with representatives from 20 German companies. Since all regularly scheduled flights to Tripoli have long ago been cancelled, the German government made a Transall military transport plane available for the journey, and the mission was headed up by Hans-Joachim Otto, a state secretary in the German Economics Ministry.

In Benghazi, where the rebel movement is headquartered, the group handed over aid goods and medical supplies to the city’s hospitals – public relations and photo ops. There, the Germans also met with representatives of the Libyan transitional council and of the country’s central bank in an effort to pursue economic interests in the country. Libya is rich relative to its African neighbors, but the Europeans consider its infrastructure woefully inadequate. Felix Neugar, an ‘expert’ on Africa with the German Chamber of Industry and Commerce (DIHK), has complained that Libya lags far behind the high standard of the large Gulf oil producers.

Economic associations estimate that between 30 and 50 German companies were active in Libya before the war. “But it was a difficult country to do business in,” reported Der Spiegel. “State-owned companies dominated most markets, and legal standards were at best fluid under Gadhafi’s leadership. During the meeting in Benghazi with the transitional council, the German economic leaders were assured that the private economy would be strengthened, says Meier-Ewert. Contracts signed with the Gadhafi regime are to be honored, and many Libyans with extensive business experience are planning to return from exile, the German delegation was told.”

Libya tribes and tribal areas. Graphic: Der Spiegel

The Germans aren’t the only ones who have begun exploring opportunities in post-Gadhafi Libya. The Italian oil concern Eni is doing all it can to defend its status as the largest foreign oil producer in the country. Even before the rebels stormed the Gadhafi residence in Tripoli this week, Eni technicians had begun preparing to restart the flow of oil. And Eni has the full support of the government in Rome. Prime Minister Silvio Berlusconi is meeting with rebel leader Mahmoud Jibril in a few days.

“Right now it is still too early to say when, how and under what conditions production can begin again in Libya,” said BASF subsidiary Wintershall, an oil producer active in the country since 1958, told Der Spiegel. The war also interrupted the construction of a highway that the German firm STRABAG had been working on. This autumn, the company plans to send a team to Libya to assess the situation. RWE Dea, another German firm that drills for oil in Libya, hopes the new government will uphold existing contracts. In the end, raw material exploitation contributes to reconstruction, the company says.

A lucrative reconstruction however requires destruction to be visited on Libya and its populace. This is taking place in appalling measure. Reporting from a local hospital, the Telegraph said: “As battle raged in the Tripoli streets hundreds of casualties were brought in, rebel fighters, Gaddafi’s soldiers, and unlucky civilians, laying next to each other in bed and even on a floor awash with blood, screaming or moaning in agony. Many died before they could be treated.” The paper interviewed Dr Mahjoub Rishi, the hospital’s Professor of Surgery: “There were hundreds coming in within the first few hours. It was like a vision from hell. Missile injuries were the worst. The damage they do to the human body is shocking to see, even for someone like me who is used to dealing with injuries.” Most of the casualties, he said, were civilians caught in the crossfire. The Telegraph reported that Tripoli’s two other major hospitals were similarly overflowing with casualties and desperately understaffed, as were all of the city’s private hospitals.

The aid group Medecins Sans Frontieres (MSF) warned that the city is facing a medical “catastrophe”. The group told Reuters that “Medical supplies ran low during six months of civil war [i.e., NATO bombardment] but have almost completely dried up in the siege and battle of the past week. Fuel supplies have run out and the few remaining medical workers are struggling to get to work.” The lack of fuel means that hospitals that have kept their power by running generators can now no longer do so. Health officials in Tripoli report that blood supplies have run out at the hospitals and that food and drinking water is unavailable over whole areas of Tripoli.

Distant from the battle, the hapless civilian victims and the constant terror of US-NATO airborne drones, fighter jets, bombers and surveillance aircraft, Western leaders have been parcelling out Libya’s future – this is mostly taking place in Paris, as the French government has played a leading role in the so-called “international deployment” against Gadhafi. The French government has proposed a quick meeting of the so-called Libya Contact Group, which is comprised of the countries that participated in the military operation. Germany, given its abstention in the United Nations vote to endorse a no-fly zone, is not a member of the group.

The meeting could happen as soon as next week, and high on the agenda will be drafting a plan together with the National Transition Council for the “international community’s” future role in Libya. The European Union’s deadly doublespeak is being broadcast regularly: “The way is now open for Libya for freedom and self-determination,” European Commission President Jose Manuel Barroso and European Council President Herman Van Rompuy said in a joint statement. They added that Europe would make “every endeavour” it could to help, providing “support for its democratic transition and economic reconstruction”. Of course it will, at a cost in North African lives and for a profit to be reckoned in many billions of euros.

Early price indicator for 2011 foodgrain

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Agrimoney has reported that London wheat for January delivery hit £198.40 a tonne on Thursday, beating the previous record for a spot contract of £197.50 a tonne set in September 2007.

“The peak came despite an uncertain performance by Chicago wheat, the global benchmark, which dipped in and out of negative territory in thin pre-holiday trade, and after disappointing US weekly export sales data. However, in London, prices continued to be boosted by data showing a doubling in UK wheat shipments in 2010-11, at a time when domestic demand has been lifted too by fresh capacity at plants converting the grain into ethanol.”

The buying was reflected too in wheat prices in Paris, where the January contract touched a two-year high of E250.00 a tonne, a two-year high and a “big psychological level for many in the market”, according to a grains analyst Agrimoney spoke to.

The market was finding that, despite the rises in prices of more than 80% in Paris since June, and more than 90% in London, “demand for wheat, and in particular milling quality wheat, has simply not been rationed”. And fundamentals both inside and outside the European Union “seem to offer little hope for a half to further price increases.

On 20 December, Reuters had reported (this is via Futurespros) that Chicago wheat futures rose more than 1 percent on Monday, taking the monthly gains to around 18% as weather concerns in top exporters United States and Australia continued to underpin the market.

“Chicago Board of Trade March wheat rose 1.45% to $7.64 a bushel.  CBOT front-month wheat has risen nearly 18% so far in December, the biggest monthly gains since July when the grain market jumped more than 40% as a severe drought ravaged crops across the Black Sea region. CBOT wheat is on track to post its first annual gain in three years after dropping 42% in the past two years, helped by a drought which decimated the Russian crop and halted exports and rains which reduced the quality of Australian wheat.”

Written by makanaka

December 24, 2010 at 11:19

Reforme des retraites

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“Pension reform,” is the cry in France. This cartoon in the Süddeutsche Zeitung (by Wolfgang Horsch) says it well. The excellent Presseurop summarises the coverage by the French press. Between 1.1 and 3.5 million French (according to the source) demonstrated on 19 October against the government’s retirement reform.  For Libération, “Sarkozy is caught in the trap of the street” with a new poll suggesting that 79% want the new law to be renegociated. For Le Figaro, on the other hand, “The unions are caught in a trap”. The conservative daily focuses heavily on acts of hooliganism that occurred during the marches and considers that the movement is running out of steam.

Written by makanaka

October 21, 2010 at 10:52

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