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Rise of European Colonialism and the Emergence of the Global Food System. Profit motive Colony a production site for non-European crops Urbanizing more affluent homeland provides market for food exports Colony provides market for homeland manufactured goods
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Rise of European Colonialism and the Emergence of the Global Food System • Profit motive • Colony a production site for non-European crops • Urbanizing more affluent homeland provides market for food exports • Colony provides market for homeland manufactured goods • Monopoly—trade focused only upon homeland • All control in the homeland • Infrastructure minimizes costs, maximizes control • May create a small, controlling local elite
Role of “Southern” Governments • Development projects often done on monumental scale for prestige • Projects not aimed at food security • Government often controlled by an elite that benefits from the current system • Often a colonial remnant • Used to insuring survival through graft, corruption • Dispersed rural population often not well represented • Perceived differences within the country
Role of Development and International Aid • Aid applied according to development theories • And reflect development world philosophies • Often designed to aid north or TNCs • Much US aid to Egypt, Israel for example • NGOs, smaller, may have better record, but still have their own agenda • International banking system—created by the north after WWII
General Agreement on Trades and Tariffs (GATT) Rounds • Geneva Round (1948)—23 countries • Creates GATT • Geneva 4th Round (1956)—26 • Tariff reductions; strategy towards LDCs • Kennedy Round (1967)—62 • First cross the board rather than product tariff reductions • Tokyo Round (1979)—102 • Reduced non-tariff barriers; focus on manufactured goods • Uruguay Round (1986)—125 • Created WTO to replace GATT; reduced tariffs, export subsidies, and other import limits • Doha Round (2001)—134 • Focus on agriculture; failure thus far
World Bank Group • “Bretton Woods” institution after United Nations Monetary and Financial Conference (1944). Ratified 1945 • Provides loans and grants to member states • Focused on developing countries • Human development • Agriculture and rural development • Environmental protection • Infrastructure • governance
Criticisms of World Bank • A US or Western tool imposing policies that support western interests • Supports neo-colonial corporate policies • Operates under neo-liberal principles • Required repayment no matter what • “shock treatment” • Is controlled by developed countries—governance based on level of financial contribution • US—16.4%; Japan 7.9%; Germany 4.5% • Major policy shift requires 85% yes; thus, US controls
Role of Transnational Corporations—the “new colonialism” • Control of key parts of the agricultural system • Profit motive • Desire to ensure market share • Dominance influence of “northern” governments and organizations