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Wednesday, November 12, 2008
A new global order: Bretton Woods II
Global leaders are preparing to meet in Washington on 15 November 2008 for a summit of the G20 group of states and representatives of leading international financial institutions. The gathering is being ambitiously named "Bretton Woods II" - echoing the conference on 1-22 July 1944 which established the World Bank, the International Monetary Fund and the General Agreement on Tariffs and Trade (GATT). With George W Bush presiding, and Barack Obama waiting in the wings, the delegates' task will be to fix a global financial system which has failed with spectacular and highly damaging results. They need to succeed. However, they also need to realize that financial failure is symptomatic of more fundamental failures and fissures in the global order. Fixing the plumbing will be of little help if the house is falling down.
This, by the way, was also true in 1944. The Bretton Woods conference was officially the United Nations Monetary and Financial Conference. Elsewhere - at Dumbarton Oaks on 21 August-7 October 1944, and in San Francisco on 25 April-26 June 1945 - the political framework for the United Nations was being established and the charter written. These grew out of the vision of Franklin D Roosevelt and Winston Churchill, first expressed in the Atlantic Charter in August 1941. A financial initiative set in the context of a vision of global peace and progress: Is that not the kind of platform needed today?
Certainly, the challenges are of a scale to match those of the 1940s.
A world of insecurity
The present financial debacle marks the end of the "Milton Friedman model" of globalization, based on the notion that self-interest and the market are sufficient to organize national economies and the world economy. The economist Jagdish N Bhagwati has pointed out that the collapse of self-regulation has unleashed a huge potential for "destructive creation" - a reversal of the idea developed by Joseph Schumpeter that technological innovation leads to a process of "creative destruction" (see "We need to guard against destructive creation", Financial Times, 16 October 2008). The "Milton Friedman model" is closely linked with the concept - propagated since the Ronald Reagan-Margaret Thatcher era - of TINA: "There is no alternative" to the unrestrained market economy. All of a sudden, TINA has given way to a supple AUN: "Alternatives urgently needed"!
But alternatives cannot be designed by western powers alone. China is already what the United States has always claimed to be, an indispensable actor of world politics and the world economy. China, the world's second-largest economy in purchasing-power parity terms, now holds the world biggest currency reserves, amounting to US$1.8 trillion. If India continues on the path of economic success it embarked on in 1991, the two Asian giants will in the coming two decades profoundly alter the structures of the global economy. In addition, countries like Brazil, South Africa and some Arab Gulf states are on the rise.
The emerging prospect is that the G8-driven global order is coming to an end. Whether the power-transition is managed with trust and sensibility will determine whether we move to a new and uncomfortable hegemony, power politics and bitter rivalry between "old" and "new" powers, or a more inclusive and cooperation based multipolar world order (John J Mearsheimer, the US political scientist, is not alone in arguing that "the rise of China will not be peaceful"). It will be more than interesting to observe what new ideas China, India, South Africa and Brazil bring to the debate on our collective future.
Poverty-reduction will surely feature prominently in their vision - their version of the Atlantic Charter for the 21st century. It is apparent that the recession just beginning will do more damage to the world than financial contagion through the banking system. Even before the crisis hit, World Bank estimated that more than 2 billion people were living below US$2 per day; and the food-price increases of 2007-08 meant that an extra 100 million people had been dragged back below the miserable poverty-line of US$1 per day.
The impact of the recession on poor countries can be gauged by the 1970s precedent (see Paul Rogers, "The world's food insecurity", 24 April 2008). The combination of the oil-price shock of the late 1970s and successive debt crises pushed many developing countries (especially in Africa) into balance-of-payments and fiscal problems which left them running for help to the IMF and the World Bank. The long period of so-called "structural adjustment" followed. Slowly, and often controversially, macro-economic balances were re-established. But in the meantime, growth was often negative, investment collapsed, poverty rocketed and malnutrition spread. The 1980s became known as the "lost decade" of African and Latin American development. By its close, Africa had fallen even further behind the rest of the world.
What can developing countries expect in coming months? Their exports will fall, in both price and volume - affecting also service exports like tourism. Remittances will shrink. Foreign direct investment (FDI) is likely to fall. Aid is very unlikely to rise as promised. Another lost decade is on the cards (see "Development in a downturn", 4 July 2008). But we should understand: a densely interconnected world with 2 billion marginalized people will never be either secure or stable.
The global order and Europe
As solutions are sought to these problems, an overriding issue is climate change - in essence an energy, food and security crisis that will pose far greater challenges for industrial growth than the ongoing collapse of the financial system. Dangerous climate change could trigger tipping-points in the Earth system. The Amazon rainforest could fall victim to desiccation. The monsoon systems in Asia could collapse. Forty percent of the world's species could vanish. In a report published in 2008, the German Advisory Council on Global Change (WBGU) pointed out that climate change constitutes an international security-risk; entire regions could be destabilised by water scarcities, collapsing agricultural systems and food crisis.
The OECD countries must by 2050 reduce their greenhouse-gas emissions by 80 percent. In the wake of 200 years of natural-resource-driven growth, there will need to be a transition from a fossil to a non-fossil world economy - a truly millennial task. This "third industrial revolution" (of which John Schellnhuber of the Potsdam Institute for Climate Impact Research has been speaking for years) is unlikely to come about on the basis of corporate pledges and self-regulation of the market - not even an Alan Greenspan would today make such a claim.
Five steps mark the path to a reshaping of the global order. We see a special role for Europe in this - for the European Union is the largest trading partner of the developing countries, the largest provider of development aid, the key protagonist on climate change, and a region with dense cultural and political networks across all developing regions. As the global development agenda moves rapidly from a national preoccupation to one which requires cross-country collaboration, Europe is well-placed to bring together its economic, political and also military assets.
The paths to progress
The five steps are as follows.
First, successful management of crisis requires a clear-sighted focus on the welfare of the poorest. In the 1980s, UNICEF in particular pioneered the idea of "adjustment with a human face." Thirty years later, we need to focus on the safety nets, welfare programs, long-term investment in health and education, and employment prospects of the poorest. Britain's prime minister Gordon Brown has recognized this in the United Kingdom context. The European Union should now play a far more visible role in the multilateral development agencies, and it should take the lead by presenting, without delay, a development-policy action-plan designed to respond to the impacts of the financial crisis in the developing world. Globally, we need to "manage recession with a human face."
In practice this means a double guarantee: to individuals that their welfare will be protected by means of social-security programs; and to countries, that help will be provided with the costs of social protection, so that budget deficits and inflation do not spiral out of control. The world showed that it could mobilize on these fronts to tackle 2008's crisis of rising food prices. It must do so again to tackle 2009's crisis of failing livelihoods.
Second, the search for a new globalization must not become the march to anti-globalization. Markets have stumbled, not failed. They need to be managed not mauled. For a generation, trade has grown at twice the rate of economies overall, and this has contributed to poverty reduction on a scale not seen since the industrial revolution.
Income inequality has risen too fast and has sometimes reduced the size of benefits to the poor, so better and more progressive tax regimes are needed around the world. Investment in better regulation and better public goods are also needed to reverse recession, and create the possibility of further, shared growth.
Trade liberalization would be of value, but we are realistic about the scope for a successful Doha development deal, at least in 2009. As others have observed, however, there may be other routes to trade facilitation, not least investment in infrastructure in the poorest countries, to reduce costs. In Uganda, for example, the Commission for Africa led by Tony Blair estimated that poor roads are equivalent to an 80 percent tariff on textile exports.
Third, the climate summit set for Copenhagen on 30 November-11 December 2009 must not end in failure. The looming recession has led some in the business community and some governments to question the EU's climate targets. Instead, Europe must retain its pioneering role in climate policy, with concrete proposals for what the New Economics Foundation and Achim Steiner at the UN Environment Programme (UNEP) have called a "green new deal." The forces in support of the status quo are considerable. But long-term, strategic thinking and decision making are required, with significant low-carbon investments.
A key priority is the creation of an international carbon market: carbon taxes, a cap-and-trade system, a renewable-energy mandate - or some combination of all of these. Unambiguous commitments, like those proposed in Britain's climate-change bill, would create the incentives for transformative behavior by businesses and for "green innovators" across the globe.
Large-scale public and private investments in renewable energy are part of this new deal. The German Advisory Council on Global Change has proposed setting up an internationally visible "European-Chinese-Indian Research Institute for Efficient Energy Systems" dedicated to jointly training the engineers needed to get on with the task of building a non-fossil global energy system. A climate-and-energy flagship project of this kind with the two central new powers of the 21st century would serve to underline that the next wave of innovation in the world economy must be based on low-carbon technologies.
It is possible that the incoming Barack Obama administration would be interested to join such a transformative initiative. At the same time, and mindful of the need for a global balance of interests, rich countries should launch an initiative designed to provide significant contributions to reducing the energy-poverty presently affecting 2.3 billion people throughout the world.
The EU should also launch a significant program designed to develop climate-compatible cities. Over 50 percent of mankind lives in cities, and the figure is rising. Cities are responsible for 75 percent of global energy consumption and 80 percent of energy-related greenhouse-gas emissions. By 2020 it will be important for 200 European cities to be able to demonstrate how greenhouse-gases can be effectively reduced by 80 percent by the year 2050. An initiative of this kind would be a major generator of jobs an innovation. There are already some models. In the south of Shanghai, an ecocity called Dongtan is being built for a population of 80,000; in Abu Dhabi (United Arab Emirates) a sustainable city is planned.
It is important to think positively and strategically. The next few years might see an interesting domino-effect: imagine the EU moving in a low-carbon direction, improving its future-oriented competitive advantages, and imagine the new United States president translating into political and economic practice what his climate-policy advisors have been repeatedly saying during the election campaign - that fighting climate change via innovation is like investing in the next green Silicon Valley.
If this dynamic was created, then accelerated, there would be a rethinking of economic strategies in Beijing too. This scenario is about leadership, vision, and realism - one based on accepting the limits of the Earth system, and adapting to them creatively in the interests of all.
Fourth, it follows that aid flows must be not just sustained but increased. Rich countries made ambitious promises at the Gleneagles, Scotland summit of the G8 in 2005, and have repeated them many times since, most recently at the EU council in June 2008 and the G8 summit in Hokkaido, Japan, in July 2008. But actual delivery is currently 30 percent below the target for 2010.
Meanwhile, the talk is of cutting aid, not increasing it. Italy, for example, has proposed cuts of up to 56 percent in its latest budget. Britain so far is holding firm, and Germany is working hard towards its target. Quite right: it would be a bad start for the project of building "a social-market economy on a global scale" of which Germany's chancellor Angela Merkel has spoken if the bailout of the global banking system were to entail budget cuts affecting the poorest 30 pecent of mankind. Those intent on preventing the emergence of further anti-western resentments should have no trouble understanding rthe logic of aid.
On 29 November-2 December 2008 in Doha, governments will meet to review progress since the Monterrey conference of 2002 on financing for development. The Doha declaration should be generous and unequivocal - and rich countries should be held clearly to account. That includes all the members of the G8, but also others. Is it not time that rich oil-exporters in the middle east signed up to 0.7 percent of GNP in aid, as many developed countries have done?
Fifth, the need for collective action is an inescapable conclusion of recent events. Coordinated action has been essential to prevent financial contagion. Even the outgoing George W Bush has recognized that new initiatives will be needed to buttress the security of financial markets, with new regulatory regimes.
It is important to make sure that developing countries are fully engaged in these discussions. Resentment is already evident about who is or who is not on the invitation list for Washington. It cannot be right for all except the richest members of the world community to be presented with a "done deal" imposed without consent.
Robert Zoellick, president of the World Bank, has observed that there is no time to argue the fine points of who might or might not have a United Nations Security Council seat or membership of the G20. A flexible, network solution is needed, open and participatory, but focused on decision-making. A middle way is needed between the closed-shop of the UN Security Council and what has come to look like the talking-shop of the World Trade Organisation (WTO). It is important to make sure that developing countries are fully engaged in these discussions.
The EU may have models to offer for more inclusive global governance. The model of qualified majority voting reflects many painful compromises in EU councils, but does offer a way of taking different interests into account. Could this be applied in the United Nations Economic and Social Council (Ecosoc), or even in the UN general assembly? Alternatively, is it time to revisit the idea of an Economic Security Council, taking into account the enormous challenges that global poverty, resource-scarcity and climate change imply?
2009 is an important year for the EU, with elections to the European parliament in June and a new commission taking office in November. The survival or otherwise of the Lisbon Treaty will also be decided. European partnership is difficult, even stressful. But this is Europe's time. Not alone. Acting with others. Delivering Bretton Woods II - and also San Francisco II.
http://www.isn.ethz.ch/isn/Current-Affairs/Security-Watch/Detail/?ots591=4888CAA0-B3DB-1461-98B9-E20E7B9C13D4&lng=en&id=93723
Sunday, November 2, 2008
World Heritage Site: Brazilian Atlantic Islands: Fernando de Noronha and Atol das Rocas Reserves
They represent a large proportion of the island surface of the South Atlantic and their rich waters are extremely important for the breeding and feeding of tuna, shark, turtle and marine mammals.
The islands are home to the largest concentration of tropical seabirds in the Western Atlantic. Baia de Golfinhos has an exceptional population of resident dolphin and at low tide the Rocas Atoll provides a spectacular seascape of lagoons and tidal pools teeming with fish.
Justification for Inscription
Criterion (ix): FNNMP/AdRBR represents over half the insular coastal waters of the Southern Atlantic Ocean. These highly productive waters provide feeding ground for species such as tuna, billfish, cetaceans, sharks, and marine turtles as they migrate to the Eastern Atlantic coast of Africa. An oasis of marine life in relatively barren, open ocean, the islands play a key role in the process of reproduction, dispersal and colonisation by marine organisms in the entire Tropical South Atlantic.
Criterion (vii): Baía dos Golfinhos is the only know place in the world with such a high population of resident dolphins and Atoll das Rocas demonstrates a spectacular seascape at low tide when the exposed reef surrounding shallow lagoons and tidal pools forms a natural aquarium. Both sites have also exceptional submarine landscapes that have been recognised worldwide by a number of specialised diving literatures.
Criterion (x): FNNMP/AdRBR is a key site for the protection of biodiversity and endangered species in the Southern Atlantic. Providing a large proportion of the insular habitat of the South Atlantic, the site is a repository for the maintenance of marine biodiversity at the ocean basin level. It is important for the conservation of endangered and threatened species of marine turtles, particularly the hawksbill turtle. The site accommodates the largest concentration of tropical seabirds to be found in the Western Atlantic Ocean, and is a Global Centre of Bird Endemism. The site also contains the only remaining sample of the Insular Atlantic Forest and the only oceanic mangrove in the South Atlantic region.
http://whc.unesco.org/en/list/1000
Friday, October 17, 2008
Forest peoples' rights key to reducing emissions from deforestation
Unless based on respect for the rights of indigenous peoples and forest communities, efforts by rich countries to combat climate change by funding reductions in deforestation in developing countries will fail, and could even unleash a devastating wave of forest loss, cultural destruction and civil conflict, warned a leading group of forestry and development experts meeting in Oslo this week.
The experts are gathering in Oslo with policymakers and community leaders for a conference on rights, forests and climate change. The conference was organized by two non-profits, Rainforest Foundation Norway and the US-based Rights and Resources Initiative (RRI).
Speaking at the meeting, Norway's Minister of Environment and International Development, Erik Solheim, says efforts towards reduced emissions from deforestation in developing countries should be based on the rights of indigenous peoples to the forests they depend on for their livelihoods, and provide tangible benefits consistent with their essential role in sustainable forest management.
"In addition to reducing emissions from deforestation and forest degradation, early action, pilot projects and demonstrations should safeguard biodiversity, contribute to poverty reduction and secure the rights of forest dependent communities in order to achieve any degree of permanence, legitimacy and effectiveness," said Solheim.
Deforestation is responsible for about 20 percent of global greenhouse gas emissions, and reducing it is seen as one of the quickest and cheapest ways of cutting emissions.
"Moves to finance reductions in tropical deforestation and forest degradation are necessary and welcome," said Andy White, Coordinator of RRI. "But on their own they won't solve the problem. Poorly devised, they could even make it worse. If such initiatives are well designed they can not only secure carbon but present a global opportunity to address the underlying causes of poverty and conflict in many developing countries."
Globally, climate change negotiators are considering the introduction of a new financial mechanism, known as Reduced Emissions from Deforestation and Forest Degradation (REDD), that could generate billions of dollars for reducing forest loss in the tropics. Meanwhile, the Government of Norway has already pledged up to 3 billion Norwegian kroner annually (US$ 500 million) to cut emissions from deforestation and forest degradation in tropical countries.
"To achieve long-term reductions in deforestation and forest degradation, it is absolutely necessary to respect and strengthen the rights of indigenous and other forest dependent communities," says Lars Løvold, director of Rainforest Foundation Norway. "Many of these schemes are still being developed, and major decisions on how to spend the money will be made in the next few years. For us, the question is whether this money will result in a great deal of good or a great deal of harm to the environment and forest communities."
Previous attempts to reduce deforestation and forest degradation have largely failed, often due to a lack of attention to human rights, property rights and transparency.
"There are growing conflicts between indigenous peoples and both forestry companies and conservation organizations. Imposed forest management initiatives are only viable if they respect the customary rights of forest peoples and ensure they have control about what happens on their lands. Indigenous peoples must be accepted as full and fair participants in all climate negotiations," said Joji Carino, Director of TEBTEBBA, the Indigenous Peoples' International Center for Policy Research and Education.
Conference organizers worry that REDD could fuel corruption and provoke tensions and land grab situations unless good governance, policies and the rule of law are first put in place.
"Indigenous peoples are rightly concerned about how these new investments could affect their access to the forests that they depend on for their livelihoods," Solheim noted. "This is precisely why we are fully supportive of a role for indigenous peoples and other forest dependent communities in the development and monitoring of climate plans and investments at the national and global level. These rights need to be respected, not just for moral reasons, although that is vital. It is also a matter of pragmatism and effectiveness."
Experience from Brazil, the country in the world with the most advanced monitoring of its forests, gives valuable insight to the discussion on how forests can be protected. According to research from the Brazilian NGO Instituto Socioambiental, 19 percent of unprotected forest areas in Brazil have been deforested, while deforestation inside federal national parks is 2 percent. In indigenous territories, however, only 1.1 percent have been deforested.
The Oslo conference will discuss the Four Foundations for Effective Investments in Climate Change:
1. Recognize rights - establish an equitable legal and regulatory framework for land and resources.
2. Prioritize payment to communities – ensure that benefits and payments prioritize indigenous and local communities, according to their potential role as forest stewards.
3. Establish independent advisory and auditing processes to guide, monitor and audit investments and actions at national and global levels.
4. Monitor more than carbon to keep track of the status of forests, forest carbon, biodiversity and impacts on rights and livelihoods. Secure a role for indigenous peoples in monitoring of emissions, making full use of their knowledge of the state of forest ecosystems, something which could be particularly relevant to keep track of forest degradation.
New research to be presented at the conference demonstrates that the costs of recognizing local rights and tenure systems are low relative to the projected costs of REDD, and that indigenous and other forest communities own or manage a major portion of the global forest carbon stock. The research also shows that communities have proven to be good stewards of the forest.
A new study by RRI and Intercooperation, a Swiss development organization, finds that the average direct cost to legally recognize traditional community tenure rights is around $3 per hectare – an insignificant investment to make when the minimum estimates needed to pay for elements of a global REDD scheme are somewhere between $800 and $3500 per hectare each year for the next 22 years.
Another study that will be released at the conference, by Professor Arun Agrawal of the University of Michigan, uses data from 325 sites in 12 countries to show that community ownership of forests provides the best possibility for increasing carbon stocks and improving livelihood outcomes. This is the most robust research to date at a global scale on the relationship between forest tenure and carbon sequestration, livelihood benefits and biodiversity.
Agrawal's study also finds that the larger the property owned by communities, the better the chances for maintaining and sequestering carbon. This research shows the tremendous scope for cost-effective investments that strengthen local land rights, reduce poverty and conflict, and protect remaining natural forest areas.
To help ensure effective investments to combat in climate change, Rainforest Foundation Norway and RRI have called for the formation of independent bodies to advise and monitor the UN Convention on Climate Change.
"We believe that such advisory functions should be given serious consideration," said Solheim. The conference will take up this recommendation and consider how to best move forward in its deliberations.
Major decisions on REDD, as well as other measures to combat climate change, are likely to be made at the 15th Conference of the UN Convention on Climate Change, which will be held in Copenhagen, Denmark, in 2009.
"In the next fifteen months, the world will have to make a choice," said Løvold. "We can continue to ignore the legitimate rights of forest dwellers, which will exacerbate conflict in forests and make REDD ineffective. Or we can learn from the lessons of the past, recognize the property and human rights of forest dwellers, and almost immediately start reaping the benefits."
http://www.eurekalert.org/pub_releases/2008-10/bc-fpr101508.php
In the steps of the slave traders
Intrepid travellers get the opportunity next year to explore the coast of Brazil in a wooden sailing ship.
A 40-metre vessel, built in the Amazon jungle, sails between Rio de Janeiro and the Unesco World Heritage town of Paraty, about 200 kilometres to the south.
En route, passengers can go ashore to swim and snorkel, explore villages and towns and hike through rainforests filled with monkeys and armadillos.
Paraty is noted for its well-preserved 17th-century colonial homes.
A former port for the shipment of gold and diamonds to Europe, it was also the centre of an area producing sugar-cane liquor and at one time had 250 distilleries for a population of only 16,000. The end of the slave trade in 1888 saw the population drop to about 600.
Tourism revived Paraty's fortunes in the mid-1970s when a highway linking it with Rio de Janeiro was completed.
The two-masted sailing ship, Tocorime Pamatojari (Adventurous Spirit), sleeps up to 16 passengers and has five crew.
http://www.smh.com.au/news/travel/activities--interests/cruising/in-the-steps-of-the-slave-traders/2008/10/15/1223750091984.html
Tuesday, October 14, 2008
After Acai, What Is Amazon's Next "Cinderella Fruit"?
In the rainforests of Peru's remote Pacaya-Samiria National Reserve, mothers don't make kids eat their carrots. Instead, kids munch on aguaje, a crisp, neon yellow palm fruit covered in maroon scales. It tastes a bit like a carrot, but packs three times the vitamin A punch.
Aguaje is just one of more than a hundred wild and domesticated fruits available to people each year in this 8,000-square-mile chunk of protected Amazon wetland at the confluence of two rivers in northeastern Peru.
And with so much variety and abundance, it's not surprising that these fruits form the centerpiece of the local diet. The reserve's 100,000 residents depend on them for many nutrients—like vitamins, protein, and oils—that the rest of us normally get from a variety of other foods, including vegetables and nuts.
Money Trees?
Fruits also serve as an important source of income for the residents—especially aguaje. It generates $4.6 million every year in the markets of Iquitos, the nearest city—more than any other indigenous fruit from the Peruvian Amazon.
While U.S. farmers markets might sell a dozen or two different kinds of fruit in any given week, the Iquitos market boasts nearly 200, with varied tastes, colors, shapes, and textures: spiky yellow rinds, crunchy seeds, and orange pulp.
But outside the Amazon region, their popularity is limited. Although the Amazon has occasionally yielded commercially valuable fruits, such as the antioxidant-rich açaí added to gourmet juices and the caffeine-charged guarana used in energy drinks, international markets have yet to plumb most of the bounty of indigenous fruits growing in lush forests along rivers.
Beyond Peru and parts of Brazil, the aguaje's supercarrot possibilities remain largely unknown.
Could that change? One expert thinks it's possible. Outside the Amazon, few know more about this region's wild and cultivated fruits than Nigel Smith. The Venezuelan-born geographer, a professor at the University of Florida, has devoted much of his four-decade career to the Amazon region.
In recent years he's examined just about every aspect of the obscure fruits that blanket Peru's rich floodplain forests: how, where, and why they're grown; who consumes them; their nutritional and cultural value; and, of course, how they taste. (The sweet, "sublime" pulp of wild macambillo, a dull orange fruit, is his favorite.)
Whether it's the aguaje or a tangy-sweet relative of the cacao called the cupuaçu or macambo seeds, a crunchy new alternative to peanuts, Smith has studied them all with an eye toward promoting conservation, boosting sustainable farming in a threatened region, and supporting local residents' livelihoods.
The Land Squeeze
The past three decades have seen unprecedented human migration into the Pacaya- Samiria reserve, part of an area Smith calls the "epicenter of wild-fruit consumption in the Amazon."
Other pressures, like hunting, logging, and unsustainable fishing, are on the rise as well. As these pressures grow, Smith believes small farmers hold a key to managing and protecting the region.
With support from the National Geographic Society's Committee for Research and Exploration, the MacArthur Foundation and the Moore Foundation, he and his team, including Peruvian botanist Rodolfo Vazquez, spent six months in Pacaya-Samiria over several years documenting 148 different fruit species. (The National Geographic Society owns National Geographic News.)
They studied how small landowners in a dozen communities use and depend on these fruits, many of which large-scale farmers ignore.
"I'm interested in landscapes where individual landowners are in control," Smith says. "I think that's the great frontier for Amazon conservation."
Over the years, he notes, small-scale farmers have helped shape the forests where they pick and cultivate fruits by "rearranging the biological furniture" in ways that encourage biodiversity.
These farmers "have retained a biologically diverse landscape that benefits not only wildlife but also their own livelihoods," Smith adds.
Crop Insurance
One way Pacaya-Samiria residents have accomplished that is by domesticating potentially valuable wild fruit species, including macambo seeds and vitamin A-rich sapote.
They often plant and grow several at once in diverse forested plots, a strategy known as agroforestry. The combination of crops, both annual and perennial, helps the farmers avert risk.
Should one crop succumb to inclement weather, disease, or a pest outbreak, the other crops would likely survive, ensuring that the farmers have both food and income.
But Amazon experts agree that more needs to be done.
So far the Peruvian Amazon has been spared much of the deforestation caused by the timber trade and cattle ranching in Brazil, yet Smith warns that the "floodplains are going to come under increasing development pressure in the next few decades."
Overharvesting of fruits would threaten trees. And logging is of enormous concern throughout the entire Amazon region, says Douglas C. Daly, an expert on Amazonian botany at the New York Botanical Garden.
That's one reason Smith's work is important. "If we can educate people about the wealth of diversity, as opposed to just the wealth of timber, we can change things," Daly says.
Finding the Next "Cinderella Fruit"
This is where native fruits may come in. Some of the Amazon's little-known produce has the flavor, the nutrition, or the novelty to tempt commercial producers abroad, and Smith hopes that growing international awareness of the dietary importance of fruit could help create a new hit.
His knowledge is helping at least one entrepreneur take steps to market bottled water flavored with Amazon fruits. Jeff Moats, CEO of the Equa Water Corporation in Naples, Florida, plans to begin building a factory next year in Brazil's Amazon region to process fruits local residents can grow sustainably within forests.
But competition from carbonated soft drinks, a $40-billion industry in the U.S. alone, presents a formidable obstacle to anyone wanting to sell Amazon fruit juices. Entrepreneurs "cannot match the marketing muscle and advertising dollars of the major soda producers," Smith says.
Beyond this, fruit supplies can be erratic, and the Amazon region is still struggling with the basic issues of hygiene, infrastructure, and quality control.
So what are the chances you'll someday see vitamin-rich aguaje in your supermarket's produce section alongside carrots, tomatoes, and apples?
It's hard to predict, but Smith is encouraged by the example of the once obscure açaí, which was enjoyed in Brazil long before becoming a hit in eco- and nutrition-savvy foreign markets.
He also notes the success in Japan of the camu camu, a sour maroon berry with 30 times the vitamin C of oranges. The aguaje might become what he calls a "Cinderella fruit" since it fits some of the criteria that have made these other two fruits successful: It's already popular and abundant locally, easily incorporated into products like juice, and relatively simple to transport.
"The production of fruit is vital to the life of an Amazonian person and is of enormous nutritional importance," emphasizes Walter Wust, a Peruvian forester and environmental journalist who helped Smith document the Pacaya-Samiria fruits.
If Smith has his way, more of that bounty will someday nourish the rest of the world as well.
http://news.nationalgeographic.com/news/pf/92827098.html
Monday, October 13, 2008
Looking for Brazil's Moon Under Water
Well, smoky English pubs are not my scene but finding an idyllic hidey hole by the sea has been a dream since I first visited Brazil more than 20 years ago. About two years ago I finally found a place which matches a lot of my desires and I have just booked my fourth stay there for the upcoming holidays.
The place is not in some distant, isolated spot but only about 100 miles from São Paulo and is fairly well known. It is next to a small town which is barely touched by commercialism. My fear is that this will change and it will become more popular, condominiums will start being built, fancy restaurants and nightclubs will spring up, and the whole relaxed atmosphere will disappear. It will become like Ubatuba or Boiçucanga, admittedly great places but too much like São Paulo sur mer for my liking.
Like these two places, "my" beach is also on the northern coast somewhere between Santos and Rio de Janeiro. The main road bypasses it, thanks to some mangrove swamps, and the beach itself is basically a crescent-shaped cove about a half a mile long bordered on one side by the mouth of a small river backed by a steep hill and on the other side by a rocky crag.
Looking inland you see the dense Atlantic rainforest rising up into the Serra do Mar mountains which are often shrouded in an ethereal mist as if to remind you that you are in the middle of the steamy tropics. Some scattered islands a mile or so offshore complete the idyllic location and view.
It is a typical Brazilian beach in miniature, marked by the habits and schedules which define beach life here. The kids paddle on one stretch while the surfers have their favorite spot where they can flirt with the girls, the footballers appear at the same time every afternoon to play on "their" stretch and people are always strolling along the water, the joggers early in the morning and the young lovers in the evening.
There are a couple of stalls you can get a caipirinha and plate of shrimps. It is spoiled to an extent by hustlers trying to sell you things you don't want and by the noise of water skiers and motorboats but overall these are a minor inconvenience. Another big plus is that the place is safe. Outside the tourist season, it is empty and even when it gets busy there is usually enough space to stretch out far from others or hop over to one of the islands.
The mangrove swamps restrict building and there are only a couple of houses with direct access to the beach. There are some older buildings on the hills, one of which is a bar which provides a pleasant resting spot after climbing the crag and scrambling around on the huge basalt rocks marking the natural frontier with the neighboring beach.
This geographical location gives you the feeling that you are completely cut off even though the main road is only a few hundred yards away. In fact, the beaches on either side run alongside the road for miles and miles. This means that if you feel like a change you just need to cross over and will find yourself back in "civilization".
The town consists of older houses where the local people, known as caiçaras, live in and more recently built weekend getaways belonging to Paulistanos. The locals are the descendants of the mixture of Indians, Africans and Portuguese who lived here for hundreds of years before the racial mixture of São Paulo was transformed by the arrival of millions of immigrants from Europe, the Middle East and Japan about a century ago.
You occasionally even see full-blooded Indians, a very rare sight indeed in the city of São Paulo. The locals are small subsistence farmers, fishermen, laborers and many now make their living from the tourist trade. Some of their homes are little more than shacks and, despite the holiday atmosphere, there is still quite a lot of poverty.
There are a couple of good pousadas and houses with rooms to let but no hotels. There is no supermarket or bank, not even an ATM, and only a few shops and restaurants. The eating places serve up simple fish dishes, rice, potatoes, beans and salads. There is also a pizzeria and ice cream parlor and a couple of small bars used by the locals.
Oddly enough, there is no Catholic church but there is a small evangelical church which highlights how these Protestant groups are making inroads into the Catholic Church's traditional strongholds.
That's about it in a nutshell. If you live in São Paulo and are familiar with the area you may even know the place. I have tried not to exaggerate the attraction of the place and realize that this is not everyone's idea of a beach retreat. For some, it would still be too built-up and touristy while for others it would be too quiet.
However, it is perfect for someone who needs to be close to the city and it is less than 30 minutes from the more sophisticated resorts. For this reason, the price of houses and land are high. I was told that a modest house in a prime location was sold recently for about 3 million Brazilian reais (US$ 1.3 million). At first I was skeptical but later when I started checking out prices for myself I changed my mind.
I have visited beaches all over Brazil in these two decades and have had mixed experiences. However, in closing, I would like to share two special memories from opposite perspectives.
Once I visited a place where an acquaintance was building a house. It was in an isolated spot on the border of São Paulo and Rio de Janeiro states near Angra dos Reis which could only be accessed by boat and we had to wade out to sea, balancing supplies on our heads. A local woman cooked the main meal for a group of us one hot night between Christmas and New Year - rice and fish, washed down by bottles of beer.
We slept - or tried to sleep - on the ground listening to the surf and covering our heads with blankets to keep the mosquitoes out. I hated every minute at the time but in retrospect, it has become a favorite memory.
Another time I stayed in a small resort about 20 miles north of Salvador in Bahia in the home of a kindly Brazilian doctor who loaned me his place for a week. One beautiful night I walked through the palms to the strand and there I really did see the moon under water as the sea reflected a great silver orb high in the heavens shining out of a cloudless sky down on Brazil, bestowing God's blessing on this wonderful land.
John Fitzpatrick is a Scottish writer and consultant with long experience of Brazil. He is based in São Paulo and runs his own company Celtic Comunicações. He can be contacted at jf@celt.com.br.YouThis e-mail address is being protected from spambots. You need JavaScript enabled to view it can read more by him at his site www.brazilpoliticalcomment.com.br.
Brazil has superpower visions
Four miles under the ocean's surface off Brazil's lush coast lie billions of barrels of recently discovered light crude — a treasure that could transform the country into an oil superpower.
President Luiz Inacio Lula da Silva called it "a gift from God" and pledged to end chronic poverty and narrow the country's broad gap between the rich and the poor.
But before rhetoric becomes reality, Brazil must first get to the underwater reserves, among the world's deepest, and then manage a massive influx of wealth — a formidable task that has left other national economies awash in corruption and even greater gaps between the rich and poor.
Spending the proceeds
Jockeying for a cut of the proceeds has already begun.
Military officials are calling for increased military spending, stressing the need for a nuclear submarine program and new fighter jet fleet to protect the oil from rivals.
The nine fields discovered in the last year are thought to hold 50 billion to 80 billion barrels of light crude — more than four times Brazil's current proven reserves. With the find, Brazil could supply all of its own needs for nearly a century or become one of the world's top oil exporters.
Even getting to that point will test the state-run oil company Petroleo Brasileiro, which has decades of experience in deep-water drilling.
The oil fields will be the most complicated and costly it has ever developed. Analysts say the project will require at least a $600 billion investment over 30 years.
The deep-water reservoirs lie some 185 miles offshore in the Atlantic, more than a mile below the ocean's surface and under another 2.5 miles of earth and corrosive salt. The salt beds can break loose and shear off piping, making it one of the toughest substances to drill.
Given those conditions, rough ocean currents and floating rigs, the technology required to tap Brazil's so-called "pre-salt" oil is on par with that needed to land a man on the moon, said Eric Smith a drilling expert at the Entergy-Tulane Energy Institute at Tulane University in New Orleans.
"If you were doing this with a drill from atop the Empire State building, about 1,000 feet up, you'd be trying to hit a target on 34th Street the size of a quarter," Smith said.
"Then you've got to go down an equivalent distance to reach the oil, and it might not be on 34th Street, it might be on 42nd Street."
Murky view
Petrobras will use seismic imaging to map the reserves, but even that will not provide a clear view under the salt, which blurs images, said Judson Jacobs, director of upstream technology at Cambridge Energy Research Associates in Cambridge, Mass.
Drilled wells must also withstand crushing pressure of extreme depths, Jacobs said.
But there are logistical problems beyond engineering.
The recent record prices for oil have led to global shortages of drilling equipment just when Brazil needs it most. The country will have to rent 138 drilling platforms — or build them for as much as $1.7 billion each — and find at least 200 ships to transport oil and gas over the next 30 years, a mid-September study by Brazil's national development bank found.
The financial spillover could begin with Brazil's dormant shipping industry and create tens of thousands of jobs, Silva has said.
Silva appointed a Cabinet-level committee to draft plans for restructuring the oil industry to accommodate rapid growth. That committee is expected to recommend a new state-owned oil company negotiate contracts for the pre-salt finds.
Still, some consider that a return to nationalism — and an unfair rebuff of Petrobras shareholders, whose capital largely financed the most recent discoveries and who expect returns.
Petrobras will have to work with private partners, more likely through production-sharing deals than the current concession contracts it now favors, said Christopher Garman, head of Latin America research for the New York-based Eurasia Group consulting firm.
Fears of nationalism
Garman called fears of nationalism that once dominated Brazil's energy industry a bit overblown. Laws passed in 1997 broke the government's monopoly over Petrobras, allowing foreign investors to buy stakes in 60 percent of the company. About a million Brazilian citizens hold shares, too.
Brazilian officials insist any new oil company would not actually drill, but negotiate production-sharing agreements between Petrobras and private partners, which already include Royal Dutch Shell, BG Group, and a division of Galp Energia, Portugal's biggest energy company. Petrobras, the dominant player in Brazil's energy sector, would retain its leadership position.
If oil hovers around $100 a barrel, the pre-salt fields would yield at least $5 trillion, doubling the oil sector's share of Brazil's economy to 20 percent, according to Garman. It would also triple currency reserves to $600 billion, the president of Brazil's central bank said.
Taxes and royalties from Petrobras were $34 billion, or about 4 percent of government income in 2007.
Bad examples
How the money is spent will have serious ramifications. A deluge of oil money has fueled labor abuses and economic imbalances that hit the poor hardest in many nations, such as Nigeria. It has also triggered rapid inflation and even overvalued local currencies, like the Netherlands saw in the 1960s. In those and other cases, the result was slashed exports and unemployment.
Silva has suggested Brazil might invest a good portion of its oil revenue, as Norway has done, rather than pump it into the economy. Treasury officials in May unveiled plans to funnel pre-salt income into a sovereign investment fund, which could ultimately hold between $10 billion and $20 billion.
But with 57 million Brazilians living in poverty, the government may spend much of its oil money to help the poor and boost education — though no new programs have been outlined.
During a visit to an offshore oil platform, Silva promised that oil income would be "a direct bridge between nature's riches and the eradication of poverty."
"We will transform a perishable wealth, like oil and gas, into a source of permanent wealth for the Brazilian people," he said, clad in a Petrobras hard hat after dipping his fingers into some of the first crude pumped from the pre-salt area last month.
"God has given Brazil one more chance," he said.
http://www.chron.com/disp/story.mpl/headline/biz/6052572.html