11 Months Later, Indian Farmers Still Resist Laws That Help Big Business

Editor’s Note: Kawsachun News spoke to Ecuadorian economist Juan Fernando Terán on April 2 about Western sanctions, the Ukraine war and how Latin America can protect its economy. The original interview can be found here.

Who is paying the price of western sanctions on Russia? Ecuador’s banana industry has collapsed without the Russian consumer market.

Juan F. Terán: Countries that export food and agricultural goods are in an incredibly difficult position now. Ecuador, Colombia, Brazil and Argentina are among the worst affected. These countries import almost all the supplies they need for agricultural production; fertilizer, agrochemicals and even seeds in some cases. Sanctions have cut off these supplies. We could have prevented this situation.

Latin America lived through a golden era of development and integration during the period of leaders such as [former Ecuadorian President Rafael] Correa, [former Bolivian President] Evo Morales, [former Brazilian President] Lula [da Silva] and others. During these years, a lot of work went into the issue of how the region can start producing its own agricultural supplies. This was a flagship project of [Union of South American Nations] UNASUR. The aim was to guarantee food security in the face of fluctuations in international markets. There was also the proposal for a Latin American-wide bank and a common currency. This could’ve helped the region’s economy survive this current monetary crisis, too.

What’s happening now, though? Let’s look at the case of Ecuador: We have two main sources of income in exports. The first is oil. Logically, the war in Ukraine should have been beneficial because the price of oil has risen, which should mean more income from sales for Ecuador. However, the conservative President Guillermo Lasso had already promised the IMF the payment from future oil sales. Even if the price of oil goes to $300 (per barrel) it won’t benefit ordinary citizens.

What about agriculture?

JFT: The country also earns a lot by exporting goods such as bananas, coffee, shrimp and flowers. The primary market for Ecuadorian flower production is Russia. Now those producers are facing a dramatic crisis because sanctions have cut them off from their clients. This is a huge industry for Ecuador. In the provinces of Pichincha and Cotopaxi, there are entire regions dedicated almost entirely to flower production. They even have airports there because these flowers are exported to the world by plane. A small part of their production goes to the United States and Europe, but the large majority goes to Russia. Russia is one of the few countries where people buy flowers all year round rather than just for certain dates like Valentine’s Day.

What about our shrimp, coffee, or cacao exports? All that requires fertilizer and other imported agricultural supplies. Now there’s a global shortage, Russia was the world’s leading producer and now they’re sanctioned.

What has been the government’s response?

JFT: Countries can survive this storm if they have an umbrella, but Ecuador doesn’t have a progressive government. It has a neoliberal government. Our economy has no umbrella now.

What has been the neoliberal response to this current crisis? The flower producers were the first to ask for assistance. They asked for loans, so they can sustain themselves temporarily during this drop. President Lasso replied by saying that going into business means assuming risk and that the state has no obligation to bail anyone out. This idea of not bailing anyone out is a great idea in my opinion, but only if it’s applied evenly. We shouldn’t have to bail out the bankers when they have a crisis. But, of course, Guillermo Lasso will never abandon his people. He only abandons small farmers, who are now in crisis.

Electing progressive governments in Latin America is not a question of ideology; it’s also about citizens defending their economy and living standards. If a banker manages to win an election, then these are the results.

Many countries now see Washington as an unreliable ally and are looking to trade in different currencies. Do you think the U.S. dollar will lose its international hegemony? What would that mean for Latin America?

JFT: When the [Brazil, Russia, India, China, South Africa] BRICS countries start trading entirely in Yuan, or any currency that isn’t the dollar, then the world is going to really change. I think we can expect to see this transformation within the next five years. It’ll represent the definitive defeat of the U.S. empire. History shows us that a country’s military power is linked to the power of its currency.

When Britain ruled the world, the British pound dominated international trade. Even Ecuador’s external debt was in pound sterling during those years. The reserves of our central bank were in pound sterling. This came to an end after the end of World War 2 because the U.S. became the new dominant power and built the world’s financial and monetary institutions for its own ends. The current war in Ukraine is also about currency. The U.S. is participating in this conflict against Russia because they need to defend the power of the dollar.

What can the region do?

JFT: Latin America needs to slowly de-link our region from the U.S. dollar. We need to diversify our international currency reserves. Correa began to do this in Ecuador by investing in gold reserves. This was criticized by the opposition at the time. However, this diversification can only happen if we make the necessary changes to our commercial relations. If we’re to start building reserves in the Chinese yuan, then we need to deepen commercial relations with China to achieve this.

I think we should return to the proposal of UNASUR of creating a common Latin American currency with its own central bank. We also need a Latin American payment system. Look at how the U.S. is using SWIFT to cut off any country they don’t like from the global economy. We can’t allow that. It makes us vulnerable. Russia and China are creating their own payment systems. We should have our own as well.

There’s no use in just complaining about U.S. aggression. That’s what they do. They invade and attack countries all over the world. The real problem is that Latin America is exposed and unable to deal with this kind of economic war. In response, we need to turn towards Asia in a serious way. Why isn’t the Ecuadorian government securing new markets for our shrimp and banana in China? There’s huge demand there. Bolivia and Ecuador both have vast mineral wealth, we need to bypass the West and focus on Asia when it comes to trade and investment in these commodities.

U.S. media has attacked countries like Mexico, Brazil and Argentina, for not imposing their own economic sanctions on Russia. Do you think this capricious request from the United States will further break down the U.S. sphere of influence here and across the rest of the global South?

These sanctions are causing an inflation crisis for people everywhere. Europeans are paying 8-9 euros for a gallon of gasoline. In the U.S., it’s $4.75. Up to $6 in places like California and Miami. This is shocking. The sanctions are having a boomerang effect on the U.S. and its citizens. Though not everyone is suffering: Arms manufacturers are not suffering. People like [U.S. President Joe] Biden’s son [Hunter], with shady dealings in the gas business, are not going to suffer.

Financial analysis reports came out this week indicating that if the price of gasoline remains at $4.75 as a national average in the U.S., then the U.S. economy will enter into a recession at the end of this year. None of what they’re doing is reasonable from the perspective of ordinary citizens.

SCORACE FOREST, Italy—On August 18, in the Italian region of Sicily, the Scorace Forest caught fire. Around 90 percent of the 750 hectares (1,853 acres) of vegetation were scorched.

“That day, I saw people crying as we looked at the forest burning. Some of them were people that have contributed to planting the trees, and people that have worked in the forest for many years,” recalled Cristoforo Mustazza, a grape and wine producer in Buseto, a town that neighbors the Scorace Forest. “I was also worried about my vineyard, but I had a small loss in comparison to what happened to the forest.”

Over the last 14 years, Sicily has reported more than half of Italy’s wooden (and non-wooden) burned area. That is an extraordinary figure considering the Mediterranean island represents only 8.5 percent of the country’s land.

Beyond Sicily, wildfires are a global issue. According to a recent study published by forest-monitoring platform Global Forest Watch, in association with the University of Maryland, fires have intensified over the last 20 years. Between 2001 and 2021, 437 million hectares (more than 1 billion acres)—or 11 percent—of tree cover was lost around the world.

This not only affects biodiversity and human settlements close by. The greenhouse gasses emitted exacerbate the current climate crisis. From 2001 to 2021, 174 gigatons (174 billion tons) of carbon dioxide were released into the atmosphere due to wildfires, explains the GFW report. That is a quantity that can be compared to the weight of 1.74 million fully loaded U.S. aircraft carriers.

Although the causes for the increase in fires are diverse, it is clear climate change exacerbates the wildfire crisis, explained Giuseppe Barbera, professor of agrarian and forestal science at Palermo University in Sicily’s capital city.

Besides that, many small farmers have abandoned the countryside because farming has become an increasingly fruitless endeavor. Plus, the Sicilian government has neglected the planning required to maintain artificial forests, Barbera said. Artificial forests can include non-native and/or native tree species, and they differ from natural forests in composition and structure, among other factors, according to a textbook, Tropical Biology and Conservation Management.

Sicily is a Mediterranean island of around 5 million inhabitants that has long been a crossroads between Europe and Africa. It is characterized by warm weather and beautiful beaches that attract millions of tourists every year. However, Sicilians endure fire hazards caused by high temperatures combined with “scirocco,” a hot wind that can reach hurricane speeds while carrying dust or rain from northern Africa.

How Agriculture Can Prevent Fires

Alongside tourism, Sicily’s economy relies on agriculture for local consumption as well as for export. Leading products include olives, grapes, peaches, citrus fruits and cereals. However, over the last two decades, agricultural production has declined.

According to data by ISTAT (Italy’s National Institute of Statistics), the number of farms decreased by 37.1 percent between 2000 and 2010; vineyards by 9.5 percent; and olive groves by 3.5 percent. Data for the last decade will be available soon, but further declines are likely. “[Agriculture] does not produce enough economic benefits,” Barbera said.

A study recently published in the Remoting Sensing journal points to other experts having “suggested that abandoned agricultural land can increase fuel continuity and consequently increase fire spread.” The authors of the recent paper went on to write, “There is also evidence that agricultural areas that are typically grazed or tilled annually (e.g., olive orchards) decrease wildfire activity by decreasing surface fuel continuity.”

All of this means regularly tilled land acts as a buffer against wildfires.

Palermo University’s Barbera concurs, describing farmers like Mustazza as the environment’s “main caretaker” because they are personally interested in avoiding wildfires. “Good farmers carry out many environmental and cultural functions that benefit society as a whole.”

Mustazza is one of the farmers resisting a reduction in income in a highly competitive wine market, as well as other adversities such as this year’s fire. He estimated the blazes caused a loss of 10,000 euros ($10,248) as about a hectare of cork oak and part of the vineyards on his property were destroyed. He will not receive any compensation from the government.

Studies in other countries, such as in Greece and Portugal, tell similar stories.

How to Effectively Manage a Forest

Sicily has 238 Natura 2000 sites, a network of nature protection areas in the European Union. Within Sicily’s 470,000 hectares of EU protected areas is the Scorace Forest, deemed so because of its environmental and social value. Its vegetation is characterized by native cork oak trees. Yet, like in many other natural areas of Sicily, non-native species, such as pine, eucalyptus and cypress have been introduced over the years. Conifers—for instance, pine—often generate a fire hazard, said Palermo University Professor Donato Salvatore La Mela, an expert in agrarian and forestal science.

“Reforestation has not only been done with inadequate species, but has also lacked a management plan,” he said. “We should take these mistakes as an example for the future, therefore selecting autochthonous [indigenous] species that are more resilient to fires.”

In this sense, the cork oak tree is crucial in the Mediterranean, as its thick and insulating bark resists fires.

“Here, we can see that the leaves of the cork oak are regrowing,” explained Giovanni Magaddino, head of the forest squad in Scorace, as he escorted this reporter and photographer through the charred landscape. “The problem is pine trees and cypresses. The part of [this] ecosystem that has only these two species will not recover.”

Planting a million trees is not the answer and sometimes can be counterproductive, Barbera said, underlining the importance of “planting the right species in the right place, always under continuous supervision.”

Developing a New Generation of Farmers and Forestry Experts

As an autonomous region, Sicily has its own Forestry Corporation that is in charge of preventing fires and managing forests. However, according to La Mela, “[it] has been reduced from 1,200 people to 300, and all of them will retire over the next few years.”

“I hope that, in the future, young people come to work [in the Forestry Corporation]. Right now, we are all elderly, from 55 onwards and the majority are over 60,” the forest squad’s Magaddino said, adding, “No new people have been admitted since 1996.”

Bringing young energy into fire prevention in Sicily is essential, not only within the forest squad working on the ground, but also in regional planning programs. According to Barbera, 700 people have specialized in silviculture, but there are no working opportunities for them in Sicily.

“These young people could work towards a fire preventive management plan,” the professor said. “However, they have to migrate to find employment in their area of expertise.”

Agricultural work also is not being taken up at the same rate. The European Commission reported “more than 45 percent of farmers [in Sicily] are over 60 years of age and 12 percent are managed by farmers under 40.”

Meanwhile, this year’s fire in the Scorace Forest is far from an isolated case.

“When fires re-appear in the same area, it is more difficult for the forest to regenerate itself due to soil degradation, sometimes even leading to desertification,” La Mela explained.

Integrating the community, local producers, and youngsters could have a positive effect on fire prevention and perhaps reduce the costs of firefighting. In 2021, the region of Sicily spent almost 3 million euros ($3.1 million) on aerial firefighting. State resources that go into all of Italy’s regions, however, reached up to 59 million euros (almost $61 million) during the same period.

“It is important to carry out a planning program to decide in what areas should agriculture be reintroduced and what areas should be left alone as natural areas,” La Mela said, adding that social and economic sustainability should be considered.

Editor’s Note: African Stream produced the following video report.

BURKINA SAYS BYE-BYE TO FRENCH TROOPS

Burkina Faso is expelling French troops from the country. It’s given Paris one month to wrap up its ‘anti-terror’ operation – seen as a failure by locals and officials alike. #BurkinaFaso #France #African #AfricanStream pic.twitter.com/eP9psL4WVx

— African Stream (@african_stream) January 23, 2023