America just can’t quit Iraq

The United Nations figleaf mandate under which the US has been occupying Iraq since 2003 is running out soon and without it the occupation would become *gasp* illegal. Yes, what difference would it make, I hear you say and you’re right, but the US likes to have its legal fictions all in order, if only so ex-Bush administration people will still be able to holiday in Europe. Therefore they been pressuring the Iraqi government to sign a new treaty:

America currently has 151,000 troops in Iraq and, even after projected withdrawals next month, troop levels will stand at more than 142,000 – 10 000 more than when the military “surge” began in January 2007. Under the terms of the new treaty, the Americans would retain the long-term use of more than 50 bases in Iraq. American negotiators are also demanding immunity from Iraqi law for US troops and contractors, and a free hand to carry out arrests and conduct military activities in Iraq without consulting the Baghdad government.

The precise nature of the American demands has been kept secret until now. The leaks are certain to generate an angry backlash in Iraq. “It is a terrible breach of our sovereignty,” said one Iraqi politician, adding that if the security deal was signed it would delegitimise the government in Baghdad which will be seen as an American pawn.

The US has repeatedly denied it wants permanent bases in Iraq but one Iraqi source said: “This is just a tactical subterfuge.” Washington also wants control of Iraqi airspace below 29,000ft and the right to pursue its “war on terror” in Iraq, giving it the authority to arrest anybody it wants and to launch military campaigns without consultation.

The Iraqi government is putting on a show of defiance at the moment, though the suspicions are that they will cave in later, as they damn well know they’re just a puppet regime dependent on American support to stay alive. But the US is taking no changes and is effectively blackmailing the Iraqis, by threatening to take away their foreign reserves:

No doubt some key figures in the Bush administration have asked themselves that, and here’s what they come up with. The Federal Reserve Bank of New York holds $ 50 billion of Iraq’s foreign exchange reserves as a result of the UN sanctions dating back to the first Gulf War. These include virtually all oil revenues that under UN mandate must be placed in the Development Fund for Iraq “controlled” by the Iraqi government. $ 20 billion of this is owed to plaintiffs who’ve won court judgments against Iraq, but a presidential order gives the account legal immunity. Bush can threaten to remove the immunity and wipe out 40% of Iraq’s foreign reselves if Baghdad doesn’t cooperate. At the same time, Bush can tell al-Maliki that if Iraq enters into a ‘strategic relationship” with the U.S., the U.S. will arrange for Iraq to finally escape those lingering UN “Chapter Seven” sanctions. Perhaps Bush and Cheney are confidant that this carrot and stick” approach will force the Iraqi government to sign the deal.

This isn’t just about the US keeping military control of Iraq either. At the heart of the new “treaty” is a secret appendix, which determines who will control its oil fields:

A secret appendix to the draft law, according to London-based Iraqi political analyst Munir Chalabi, “will decide which oil fields will be allocated to the Iraqi National Oil Company (INOC) and which of the existing fields will be allocated to the IOCs [international oil companies]. The appendices will determine if 10% or possibly up to 80% of these major oil fields will be given to the IOCs.” This, in other words, is another national humiliation in the offing. As six women Nobel Peace Prize recipients wrote in September 2007, it “would transform Iraq’s oil industry from a nationalized model to a commercial model that is much more open to U.S. corporate control. Its provisions allow much (if not most) of Iraq’s oil revenues to flow out of Iraq and into the pockets of international oil companies.”

Haiti: laboratory of the neo-neo-liberalism

The American Socialist Worker magazine has an interesting interview with Kevin Pinta, founding editor of the Haiti Information Project, in which he talks about the neoliberal roots of Haiti’s food crisis:

During that same period, a major transition occurred in Haiti. The Mevs, one of the wealthiest families in Haiti, bought the Haitian American Sugar Company, or HASCO, which had been one of the major sugar producers in the world.

The Mevs realized they would never be allowed to penetrate the U.S. market while it was controlled by the American company C&H Sugar, based in Hawaii. It made more economic sense for them to buy HASCO and sell off its equipment in exchange for positioning themselves as the major importer of sugar to Haiti.

This became the contemporary economic model for Haiti’s wealthy elite that constitutes 1 percent of the population but controls more than 50 percent of Haiti’s collective wealth today. Haiti’s elite eventually did the same for rice, beans and corn because they realized they could maximize profits by controlling the importation of basic food products, rather than investing in national production. Controlling a monopoly on the importation of basic foodstuffs was far more profitable than investing in locally grown products.

The real hypocrisy of this system comes into play when you realize the contribution to the recent “food riots” that led to the fall of Haitian Prime Minister Jacques-Edouard Alexis by the so-called Group of Friends of Haiti, the United Nations and Haiti’s elite.

Haiti has never been a free market; it’s a captive market of 8.5 million who have no choice who they purchase basic staples from. There is no competition, as the few families who control the import of rice and beans have never tolerated it.

They have historically resorted to violence, coups and corruption to protect their interests. Yet these are the same families who have benefited most from the intervention of the international community since the ouster of Jean-Bertrand Aristide on February 29, 2004. Their profits have nearly doubled during this time period, and left the country vulnerable to the recent spike in international prices for staples such as rice and beans.

Whereas traditionally American semi-colonies like Haiti would’ve been ruled by some sort of strongman eager to break heads on behalf of his US masters, these days we’re more sophisticated and everything is done through proper UN sanctioned channels. No death squads, no awkward paramilitary forces embarassing Uncle Sam, but a proper UN peacekeeping force to stablise the country; keeping peace on behalf of a tiny elite, against the Haitians themselves. A bew model of oppression for a new, more politically correct world.

“We Shall Fight them On The Beaches…”

I’ve been looking at New Labour’s security strategy(pdf file) recently and there appears to be a strange omission – what will the government do when food shortages start to bite at home and when the rising human cost of globalisation and climate change pushes more and more desperate refugees to flee starvation, only to wash up drowned on the shores of Fortress Europe?

The Times:

In Sierra Leone, the price of rice has risen 300 per cent and in Senegal and much of the rest of West Africa by 50 per cent. Palm oil, sugar and flour, all imported, have also surged.

[…]

Food riots have been reported in recent weeks in several countries. At least 40 people were killed in protests in Cameroon in February. There have also been violent demonstrations in Ivory Coast, Mauritania, Senegal and Burkina Faso, where a nationwide strike against any more food price increases started yesterday.

Rice shortages in the Phillippines Thailand and Vietnam, long queues for Indian imports in Bangladesh simmering violence in Egypt over inequality and the price of bread: soon unrest over food prices and global inequality will begin to get closer to the borders of the developed world. If prices rise high enough and staples become scarce it may even infect those countries themselves.

Many commentators think that food price hikes and resulting civil unrest may not be temporary events or restricted to poor countries. They say this is a crisis: it’s not just about markets or cyclical recession or inflation, but results from more long-lasting causes, such as globalisation, subsidies, spreading desertification and the growing demand for grain-fed meat from unchecked, exponentially increasing populations.

In Brown’s security strategy

There is to be a significant increase in anti-terrorism police capability, new regional intelligence units, disruption of violent extremist activity, unified border controls, compulsory ID cards for foreign nationals, stronger action against those who stir up tensions and – yes – an extension of preventative detention to 42 days.

Blair and Brown have imposed ever tighter controls on the liberty of the UK population and abrogated unprecedented emergency powers to themselves via the Civil Contingencies Act, in the name of fighting terrorism, but we won’t really feel the full force unless and until there’s public unrest, whether it’s over fuel or taxes or floods or food prices.

The styrategy may not mention it overtly, but possibility of unrest due to food and commodity shortages, complicated by an influx of starving refugees from the rest of the world, is really what New Labour’s oppressive laws have been passed to deal with; the orchestrated fear of terrorism is a convenient fiction to manufacture consent for the oppressive laws that are really there to control us, not some unknown idiot jihadi with a bottle of peroxide. Those biometric databases and ID cards do actually have a purpose other than faciliating the natural tendency of civil servants to commit petty oppressions.

Take entitlement to rations: how can you ration anything, whether it’s carbon, gas, rice or water, if you don’t know who’s entitled to it – or more importantly, who’s not entitled? Much easier for each citizen to get his or her allotted minimum share – and no more – if all their fingerprints or iris scans are on file. Much easier to control who’s entitled and who’s not. But the manipulation of entitlement to food and fuel is a known political weapon: you only have to look at Zimbabwe. Do we want New Labour’s clever boys and girls to have similar power over us?

It’s notable that the UK Resilience website has a section dealing with public protest, but not with food shortages. DEFRA studies show that the UK food chain is not well-prepared for any emergency at all, let alone food shortages.

British civil defence types would point out they’ve been planning for disasters for a long time. Well, they might call it planning, but it’s more about who’s in charge. Rather than making sure infrastructure is sound, commodity stockpiles are sufficient and the population is informed enough to weather a world food crisis, (much more likely to happen than some idiot schoolboy with a dirty bomb) they’ve concentrated on consolidating their own political power. It’s clear that the future that the government has in mind is a dystopia in which we’re all considered criminals, potential terrorists and a threat to the state.

Why might any one of us be considered a terrorist? The prospect of food shortages also puts another twist to the antiterror laws: in a time of scarcity anyone who interferes in any way with the food supply must ipso facto be a terrorist. This could include battery farming protestors (we may yet see a time when Hugh Fearnley-Whittingstall and Jamie Oliver are banged up without trial for 42 days) and anti-GM agitators, anti-globalisation activists, potentially even Granny, who’s obviously an antisocial hoarder putting the nation at risk with her cupboard full of flour and sugar.

Environmentalists have been warning politicians of the potential for a food supply catastrophe for years and yet the government and prime minister seem to have spent little time considering that threat to public well-being. What they’re actually worried about is the threat to their grip on power.

Brown’s spent the last 7 years wasting our national resources and public goodwill in spending billions ‘fighting’ the chimaera of terrorism; he’s obsessed with the idea of subversive enemies without and within, when in fact the real enemy of the people has been the political and economic system we live under.

Brown’s very fond of quoting Churchill so perhaps he should think on this:

” One ought never to turn one’s back on a threatened danger and try to run away from it. If you do that, you will double the danger. But if you meet it promptly and without flinching, you will reduce the danger by half.

The Not So Almighty Dollar

AMSTERDAM (Reuters) – The U.S. dollar’s value is dropping so fast against the euro that small currency outlets in Amsterdam are turning away tourists seeking to sell their dollars for local money while on vacation in the Netherlands.

“Our dollar is worth maybe zero over here,” said Mary Kelly, an American tourist from Indianapolis, Indiana, in front of the Anne Frank house. “It’s hard to find a place to exchange. We have to go downtown, to the central station or post office.”

That’s because the smaller currency exchanges — despite buy/sell spreads that make it easier for them to make money by exchanging small amounts of currency — don’t want to be caught holding dollars that could be worth less by the time they can sell them.

The dollar hovered near record lows on Monday, with one euro worth around $1.58 versus $1.47 a month ago.