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Millions forced to choose between hunger or Covid-19

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On the eve of May Day 2020, in full coronavirus pandemic, the International Labour Organisation (ILO) released some hair raising statistics. About 1.6 billion workers from the informal sector are in dire straits because of the lockdowns governments have imposed to stop the spread of the virus. According to the ILO, some 60% of the world’s workers are in the informal economy, working without contracts, safety nets or savings.1 Depending on the country, women represent a higher or lower share of the informal workforce, but either way they are paid less than men.2
Now, because of quarantines and confinement, stoppages and curfews, there is no work. No work means no income. No income, no food. Without alternative income sources, the ILO warned, “these workers and their families will have no means to survive”.3
If workers in the informal sector are not able to feed themselves, they are also unable to continue feeding millions, if not billions more. Informal labour is what keeps food systems functioning in most of the world: it accounts for 94% of on-farm labour globally, and a big part of the workforce in food trade, retail, preparation and delivery in many parts of the world.4
The coronavirus crisis has laid bare our dependence not only on well functioning health and food systems, but the gross injustices inflicted on those working in these essential sectors in the “best” of times: low wages, no access to health care, no child care, no safety protection at work, often no legal status and no representation in negotiating work conditions. This is true in both the informal and the formal sectors of the global food system. Indeed, the contrast between the wealth at the top of the largest food companies and the plight of their frontline workers is extreme. Nestlé, for instance, the world’s number one food company, awarded its shareholders US$8 billion in dividends at the end of April 2020, an amount that surpasses the annual budget of the UN World Food Programme (WFP).5
The only question that matters now is how to ensure everyone has access to food while keeping people safe and healthy at every step from farm to consumer. Unfortunately, this has not been the priority that has shaped food systems over the past decades. But getting there is not as complicated as it may appear.
Shutdown leading to hunger
The shutdown of much of the world economy since March 2020 has meant that many people are confined to their homes or their communities and cannot work. Factories have stopped, construction projects halted, eateries and transportation closed, offices shut. In many countries, migrant workers and students immediately tried to go home, where they have family to lean on, but many got blocked for lack of transport or border closures.
These measures seem to have been implemented without much thought about the actual workings of food systems. Farmers have been mostly able (not always) to continue working on their farms, but they lack labour – precisely when it’s harvest or birthing time in many parts of the world – and the means to move produce and livestock off the farm to cooperatives, collection points, slaughterhouses, traders or markets. Closures of schools, offices and restaurants have choked the system, leading to enormous waste. As a consequence, milk is being dumped, animals are being euthanised and crops are being ploughed into the soil. Similarly, fisherfolk who fish at night in place likes Uganda have been grounded because of curfews.6
In the cities, violence, abuse and corruption have accompanied these shutdowns in incomprehensible ways. In East Africa, as in parts of Asia, street vendors caught out in the streets have been met with whips and rubber bullets.7 Riots have arisen in urban and peri-urban communities when scarce food aid arrived.8 In Lebanon, one person was even killed in such riots.9 And in eSwatini, formerly Swaziland, the government has simply decided that it will not feed the cities, only focus on the rural areas.10
Meanwhile food companies have been granted lockdown exemptions that have greatly exacerbated the health crisis, without necessarily keeping people fed. Some of the world’s worst outbreaks of Covid-19 have been at meat processing plants owned by multinational corporations in Brazil, Canada, Spain, Germany and the US. Although these plants mostly produce meat for export, they were deemed an “essential service” and allowed to operate at full capacity, knowingly putting their workers and the surrounding communities at grave risk of infection.11 In the US, as of 6 May 2020, 12,000 meat plant workers have fallen ill and 48 have died.12 Seafood processing plants are hotspots too, such as in Ghana, where an outbreak at a tuna canning plant owned by Thai Union is responsible for 11% of the Covid-19 cases in the entire country.13 Supermarket workers and ecommerce platform employees have also been facing the huge difficulty of staying safe while keeping open for the purpose of rendering so-called “essential services”, exempt from the lockdowns. Oil palm plantations have mostly kept operational — to serve the production of much-needed soaps to fight the pandemic, their owners claim – but some have defied local ordinances or not provided the necessary protections for workers.14
The cure is at risk of becoming worse than the disease. People who have no work or wages since the pandemic broke – most of the informal sector, but also workers from the formal sector – are now facing the growing reality of hunger. The WFP says that the risk is highest right now in about ten countries, most of them engulfed in armed conflict, such as Somalia or South Sudan. But the lack of access to food due to Covid-19 work closures, and the resulting global recession that we are told will last for months, is now threatening many other countries. In India, 50% of rural people are eating less due to the lockdown.15 Worldwide, the number of people suffering acute hunger could double from 135 million today to 265 million by the end of the year, WFP says.16
Already, those hardest hit have been feeling the pain. The saying “I would rather die of coronavirus than hunger” is commonly heard in Haiti, Angola, Lebanon, Democratic Republic of Congo, Mayotte, India and Latin America, according to news reports.17 In Belgium, it’s “Either we die of hunger or of coronavirus. We have to choose.”18 In West Africa, the saying is “Hunger will kill us before corona does”.
What’s clear is that if this spreading hunger does reach the scale of a global crisis, it will not be for lack of production or even because of hoarding. There is plenty of supply. It’s the distribution system that has shown its incapacity to feed us safely – especially the highly concentrated and globalised part that cannot respond to the crisis.
Creative community responses
One of the first measures many authorities took to halt the spread of coronavirus was to shut down restaurants, cafés, food stalls and fresh markets. As a response, communities have devised many other ways to get food to where it is needed, often using social media. On Facebook and Whatsapp, groups have been formed to collectively identify where food stocks are located or to collectively procure produce from farmers. Shuttered restaurants and cantines are using their resources to access and repackage bulk food supplies like flour or grains, repackage them and sell them in small quantities. “Repurposing” has become the word of the day, as communities come together, or take form, to find and move food through creative means.
Farmers have also devised innovative ways to sell and move their produce. In Europe, they have started home sales, deliveries to hospitals and online sales, in addition to connecting with consumers directly through community-supported agriculture schemes and farmers’ markets.19 In Asia, farmers have been going online through social media or ecommerce tools to organise alternative markets.20 For example in Karnataka, India, farmers have started using Twitter to post videos of their produce and connect with buyers. Others are resuscitating traditional systems of bartering, to overcome their lack of cash and match supply with demand.21 In Indonesia, a union of fisherfolk in Indramayu, West Java, has started an initiative to barter with local farmers’ groups through a collective action called “fisherfolks’ food barn”. As restaurants and markets have shut down, the fisherfolk have no buyers. So they exchange fish for rice and vegetables with farmers. This is providing food and livelihood security to the different communities.22
In Latin America, rural communities are the ones least affected by the virus. Many of them are organising to give away food to the poor in the cities. In Cauca, Colombia, the Nasa people – who consider themselves longterm survivors of viruses, wars and the incursion of agribusiness – have collectively organised a “food march” and brought supplies from their harvest to impoverished neighbourhoods in the cities, defying the lockdown.23 In Brazil, without any state support, the Landless Workers Movement has donated 600 tonnes of healthy food to hospitals, homeless people and other vulnerable communities in 24 states across the country.24 Members are also converting urban cafés into soup kitchens and educational facilities into makeshift hospitals, where allied healthcare workers are rendering their services.25
In Zimbabwe, the lockdown has crippled the movement of agriculture produce off of large farms across the country. Small farmers, will limited support, are hustling to fill the gap, finding new ways to get vegetables and other supplies to markets. Peasant movement organisers say this shift in the food matrix shows that the country’s 1.5 million small holders are capable of feeding the nation.26
Local governments, private citizens and companies have also been doing their share. In Vietnam, public dispensers called “rice ATMs” have been invented to allow families to access a free daily ration of rice without physical contact or hoarding.27 In India, the state of Kerala has launched a campaign called “Subhiksha Keralam” aimed at achieving self sufficiency in food production through subsidies, infrastructure and other support mechanisms.28 In Thailand, mobile vegetable shops have been revived under the quarantine with support from Bangkok’s local authorities. The city wholesale market is providing small producers and traders hundreds of trucks to allow them to shift to door-to-door deliveries.29 And in many parts of Africa, motorbike delivery services are adjusting their practices to help get food supplies to people who need them.30
Whether it’s through solidarity, mutual aid, volunteer work or cooperatives, and whether it’s formal or informal, this surge in community-oriented efforts to get food to where it’s needed is crucial and needs resourcing, urgently. While grassroots initiatives are not “the” solution, they certainly point in the right direction.
Shift to community-based food systems
To prevent the disaster that both ILO and WFP are warning us about, we would call for three kinds of measures.
Immediate:
1) Resource community initiatives: As a matter of urgency, we need massive recognition of and support to community efforts to feed those in need. Funds, tools and other resources should be allocated to these efforts. This can mean funding or materials for neighbourhood groups or indigenous communities who need personal protective equipment, rooms or spaces in which to organise and transport food pantries. It can mean resources for regional and local governments to do the work together with community-based organisations, cooperatives and farmers. And it should mean support from local governments themselves, whether through policy measures or infrastructure. Many are already doing this, but it needs scaling up, massively and quickly. While the World Bank, International Monetary Fund and other donors help governments face health crisis funding needs, most of it is going to big business. It would be better to allocate more to local governments so they can support community efforts.
Longer term:
2) Improve conditions for farmers and workers: We need to uplift the position of food system workers, from production or procurement all the way to retail, delivery and food service. This means things like: higher wages or a universal basic income that will pay low-income workers much better or reach people outside the wage economy; a seat at the table to redefine work and renegotiate work processes, as many unions are clamouring for; full rights to health care, hazard pay, safe working conditions and child care; and, perhaps most importantly, a better status in society. Farmers must also be supported with safe systems to get produce to markets and fair prices that provide for their livelihoods. At the same time, farm labourers must receive decent wages and healthy work conditions. The Covid-19 crisis has made it clear how important farm work, transportation, food distribution and delivery are to our well being. People working in the system are frontliners as much as the health care workers. They deserve a better place, better pay and a fairer distribution of benefits – and now is the time to make that structural change.
3) Rebuild public food systems: We need to reinvent and reinforce public, community-controlled markets in the food sphere, from the local level up. And we need to connect these markets to the produce of small scale farmers and fishers. The coronavirus lockdown has shown us, quite starkly, how we cannot rely on global trade as a strategy and how corporate sector control over key segments of our food supply makes survival precarious. We need to put an end to public funds going to large food or agribusiness corporations, except as support for workers. We also need to address concentration in the food industry through measures like anti-trust or anti-factory farm legislation, and direct support towards small scale fisheries, abattoirs, dairies and wholesale markets. We know that more pandemics will come. Now is the chance to move forward and consolidate a public orientation to our food systems, somewhat like in the health sector where we have public medical research, public hospitals and generic medicines outside the grip of patent laws that serve corporate greed. Food is not merely a public good; it’s a social good and needs to be guaranteed, protected and provided to all like healthcare.
If one thing positive comes from this crisis, it could be that we regain and reassert public systems in our countries, after decades of privatisation and encroaching corporate control. These systems should support and build on solutions that local communities are already providing. Food, like health, is a crucial place to start.
___________________
1 Domestic workers who are contracted and farmers or vendors who have registered businesses are not part of the informal economy definition.
2 ILO, “Women and men in the informal economy: A statistical picture”, 2018, https://www.ilo.org/wcmsp5/groups/public/—dgreports/—dcomm/documents/publication/wcms_626831.pdf, page 21.
3 ILO, “As job losses escalate, nearly half of global workforce at risk of losing livelihoods”, 29 April 2020, https://www.ilo.org/global/about-the-ilo/newsroom/news/WCMS_743036/lang–en/index.htm
4 ILO, “Women and men in the informal economy: A statistical picture”, 2018, https://www.ilo.org/wcmsp5/groups/public/—dgreports/—dcomm/documents/publication/wcms_626831.pdf, page 21.
5 Nestlé, “Results of the 153rd Annual General Meeting of Nestlé S.A. held on April 23, 2020”, https://www.nestle.com/sites/default/files/2020-04/annual-general-meeting-2020-summary-minutes-en.pdf. In 2018, the WFP raised US$7.2 billion, see: https://www.wfp.org/overview
6 International Panel of Experts on Sustainable Food Systems, “COVID-19 and the crisis in food systems”, April 2020, http://www.ipes-food.org/pages/covid19
7 Alex Esagala et al, “Canes, tears in Kampala over coronavirus”, Daily Monitor, 26 March 2020, https://www.monitor.co.ug/News/National/Photos-that-will-compel-you-cancel-your-journey-Kampala/688334-5505362-g3u0ib/index.html and Boitumelo Metsing, “Food parcel protest turns ugly as cops fire rubber bullets at hungry residents”, The Star, 29 Apr 2020, https://www.iol.co.za/the-star/sport/food-parcel-protest-turns-ugly-as-cops-fire-rubber-bullets-at-hungry-residents-47325962
8 Tom Odula and Idi Ali Juma, “Stampede in Kenya as slum residents surge for food aid”, Associated Press, 10 April 2020 https://komonews.com/news/nation-world/stampede-in-kenya-as-slum-residents-surge-for-food-aid
9 Jean Shaoul, “Protester killed in Lebanon during riots against soaring food prices”, World Socialist Website, 29 April 2020, https://www.wsws.org/en/articles/2020/04/29/leba-a29.html
10 ”Swaziland govt. confirms it will not feed the starving in towns and cities during coronavirus lockdown”, Swazi Media Commentary, 29 April 2020, https://allafrica.com/stories/202004290702.html
11 United Food and Commercial Workers International Union, “UFCW calls on USDA and White House to protect meatpacking workers and America’s food supply”, 30 April 2020, http://www.ufcw.org/2020/04/30/covidpacking/. While European meat packers are also experiencing outbreaks, they have not been as deep and widespread as in the US where corporate concentration is higher, says IPES (op cit).
12 Leah Douglas, “Mapping Covid-19 in meat and food processing plants”, Food and Environment Reporting Network, 22 April 2020, https://thefern.org/2020/04/mapping-covid-19-in-meat-and-food-processing-plants/
13 Rachel Sapin and Drew Cherry, “Thai Union plant is source of coronavirus outbreak that sickened over 500, officials say”, IntraFish, 12 May 2020, https://www.intrafish.com/processing/thai-union-plant-is-source-of-coronavirus-outbreak-that-sickened-over-500-officials-say/2-1-807547
14 ARD, Green Advocates, JUSTICITIZ, MALOA, NMJD, RADD, Synaparcam and YVE, “We demand justice and safety for workers on Socfin’s rubber/oil palm plantations during the Covid-19 pandemic”, Open letter to Socfin, 29 April 2020, https://farmlandgrab.org/29602
15 “Coronavirus impact | Half of rural India is eating less due to COVID-19 lockdown: Survey”, Monetcontrol, 13 May 2020, https://www.moneycontrol.com/news/india/covid-19-impact-half-of-rural-population-eating-less-amid-coronavirus-crisis-5259491.html
16 Paul Anthem, “Risk of hunger pandemic as COVID-19 set to almost double acute hunger by end of 2020”, WFP, 16 April 2020, https://insight.wfp.org/covid-19-will-almost-double-people-in-acute-hunger-by-end-of-2020-59df0c4a8072
17 Bello, “Choosing between livelihoods and lives in Latin America”, The Economist, 2 May 2020, https://www.economist.com/the-americas/2020/05/02/choosing-between-livelihoods-and-lives-in-latin-america; “Lebanon: A New Surge in the Popular Struggle”, International Socialist League, May 4, 2020, http://lis-isl.org/en/2020/05/04/libano-un-nuevo-salto-en-la-rebelion-popular/; La Rédaction, « Ici, on a plus peur de mourir de faim que du coronavirus ! », Charlie Hebdo, 6 avril 2020, https://charliehebdo.fr/2020/04/courrier/courrier-des-lecteurs-mayotte-on-a-plus-peur-de-mourir-de-faim-que-du-coronavirus/; AFP, “Dans l’Inde confinée, les pauvres luttent pour survivre”, 9 avril 2020, https://www.journaldemontreal.com/2020/04/09/dans-linde-confinee-les-pauvres-luttent-pour-survivre; AFP, “Haïti: mourir de faim aujourd’hui ou du coronavirus demain”, 3 May 2020, https://www.la-croix.com/Monde/Haiti-mourir-faim-aujourd-hui-coronavirus-demain-2020-05-03-1301092306; AFP, “«Mieux vaut mourir de cette maladie que mourir de faim»: les Angolais bravent le verrouillage du virus”, 6 Avril 2020, https://www.fr24news.com/fr/a/2020/04/mieux-vaut-mourir-de-cette-maladie-que-mourir-de-faim-les-angolais-bravent-le-verrouillage-du-virus.html.
18 Annick Ovine, “’Nous, on doit choisir: mourir de faim ou crever du coronavirus’”, La Libre, 16 March 2020, https://www.lalibre.be/belgique/societe/nous-on-doit-choisir-mourir-de-faim-ou-crever-du-coronavirus-5e6f91fc9978e201d8bcf20c
19 European Coordination Via Campesina, “ECVC survey on the impact of Covid-19 on peasant farming”, April 2020, https://www.eurovia.org/wp-content/uploads/2020/04/ECVC-SURVEY-ON-THE-IMPACT-OF-COVID-19-ON-PEASANT-FARMING.pdf
20 Zhenzhong Si, “Commentary: How China ensured no one went hungry during coronavirus lockdown”, Channel News Asia, 19 April 2020, https://www.channelnewsasia.com/news/commentary/coronavirus-covid-19-china-grocery-food-security-price-delivery-12640426
21 Shahroz Afridi, “Madhya Pradesh: Left without cash, lockdown forces villagers to adopt barter system”, Free Press Journal, 22 April 2020, https://www.freepressjournal.in/bhopal/madhya-pradesh-left-without-cash-lockdown-forces-villagers-to-adopt-barter-system
22 Pandangan Jogja, “Barter Ikan Nelayan dengan Beras Petani, Cara Nelayan Bertahan di Tengah Pandemi”, Kumparan, 11 Mei 2020, https://kumparan.com/pandangan-jogja/barter-ikan-nelayan-dengan-beras-petani-cara-nelayan-bertahan-di-tengah-pandemi-1tOVhGXPMQr
23 Rita Valencia, “Los nasa de Colombia dicen: Porque no seremos los mismos, hay que liberar”, Ojarasca, 9 May 2020, https://ojarasca.jornada.com.mx/2020/05/09/nasa-de-colombia-porque-no-seremos-los-mismos-hay-que-liberar-1000.html
24 MST, “Produzir alimentos saudáveis e plantar árvores: a Reforma Agrária Popular no combate ao Coronavírus”, 29 de março de 2020, https://mst.org.br/2020/03/29/produzir-alimentos-saudaveis-e-plantar-arvores-a-reforma-agraria-popular-no-combate-ao-coronavirus/
25 Rebecca Tarlau, “Activist farmers in Brazil feed the hungry and aid the sick as president downplays coronavirus crisis”, The Conversation, 5 May 2020, https://theconversation.com/activist-farmers-in-brazil-feed-the-hungry-and-aid-the-sick-as-president-downplays-coronavirus-crisis-136914
26 Ignatius Banda, “COVID-19: Zimbabwe’s smallholder farmers step into the food supply gap”, IPS, 12 May 2020, http://www.ipsnews.net/2020/05/covid-19-zimbabwes-smallholder-farmers-step-food-supply-gap/
27 ”Vietnam entrepreneur sets up free ‘rice ATM’ to feed the poor amid coronavirus lockdown”, 16 April 2020, https://youtu.be/lWLuIO1DGAA
28 Samuel Philip Matthew, “COVID-19 in Kerala: Staying ahead of the curve”, Newsclick, 9 May 2020, https://www.newsclick.in/COVID-19-Kerala-Highest-Recovery-Rate-Pandemic
29 Juarawee Kittisilpa, “Thai grocery trucks get new life from coronavirus shutdown”, Reuters, 14 April 2020, https://www.reuters.com/article/us-health-coronavirus-thailand-grocery-t/thai-grocery-trucks-get-new-life-from-coronavirus-shutdown-idUSKCN21W0O4?il=0
30 AFP, “African e-commerce firms get coronavirus boost”, 15 May 2020, https://news.yahoo.com/african-e-commerce-firms-coronavirus-boost-033743948.html

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NGO WORK

Urgent Call for Conditionalities on New IFC and EBRD Loan to Oyu Tolgoi Mine

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Joint Statement

December 9, 2024

We, the undersigned civil society organizations (CSOs) and representatives of herders from Mongolia, strongly condemn the International Finance Corporation (IFC) and European Bank for Reconstruction and Development (EBRD) in providing a $100 million loan each, to Oyu Tolgoi (OT). This decision blatantly disregards years of unresolved grievances, environmental harm, and the failure of OT to comply with IFC and EBRD’s safeguard standards, as well as widespread rejection from local herders, CSOs, and even the Mongolian government.

Unresolved Harms and Non-Compliance

OT has failed to address critical issues, including its commitments under the 2017 Herders Complaint Resolution Agreements and IFC and EBRD’s social and environmental safeguards. Longstanding issues include:

  1. Failures in completing Resolution Agreements: Herders continue to struggle to sustain their livelihoods and protect the environment, as the agreements resulting from CAO complaints remain incomplete. The Tripartite Council (TPC), tasked with implementing the 2017 Agreements, has failed to ensure meaningful involvement of herders in safeguarding their rights and livelihoods.
  2. Tailings Storage Facility (TSF) Seepage: Despite implementing a Remedial Action Plan (RAP) as required by lenders to address the seepage from tailings cell 1 (TC1), OT has neither adequately mitigated the seepage nor transparently disclosed its full extent. Recent data reveals worsening water quality, with Total Dissolved Solids (TDS) levels rising dramatically downstream.
  3. Pasture and Water Scarcity: The mine’s expansion plans threaten vital grazing lands and water resources. Springs that once supported herders’ livelihoods have dried up, forcing herders to compete for limited resources. Moreover, the Dugat-Khaliv river, a key water source for herders, has been diverted around TC2 in a diversion channel without capacity to convey flood-level flows during rainy periods, leading to significant water loss for downstream herders.
  4. Environmental Failures: OT consistently fails to meet the design goal of 64% tailings solid content, resulting in inevitable seepage from the additional pressure exerted by excess water in the tailings cell. This and other design inefficiencies directly lead to massive water wastage estimated at up to $1.46 million per year.
  5. Inadequate Community Engagement: Herders were not meaningfully consulted about the RAP or OT’s expansion plans, violating IFC and EBRD principles of transparency and participation.

Water Mismanagement and Wastage

OT’s operations exacerbate water scarcity through inefficient tailings management. Water wasted due to tailings solids being below design criteria results in significant financial and environmental costs:

  • From 2013-2017, OT achieved 56% solids (8% below design standard), wasting $1.46 million worth of water annually. From 2018-2024, OT achieved nearly 60% solids (4% below design standard) on average, meaning OT wastes $730,000 annually on replacement water. OT has approximately wasted $12.41 million since 2017 from losing 248.2 million liters of water.
  • Oyu Tolgoi (OT) must attain the highest percentage of solid content as specified by its design criteria, 64%, to effectively prevent water scarcity in the South Gobi Desert and ensure improved water access for herders. While lenders argue that the 60-64% range meets the standard, 2012 ESIA states that “Final concentrate will be thickened to 65% solids” which proves otherwise. The TSF operating consistently below 60% results in excessive water waste, posing severe risks to the fragile desert ecosystem and the livelihoods of herders who rely on limited freshwater resources. Achieving the 64% target is not merely an option but a critical necessity to minimize environmental harm, optimize resource use, and uphold OT’s responsibility to local communities.
  • This inefficiency compounds the structural weakness of tailings dams, necessitating costly redesigns and increasing the risk of catastrophic failure. Concerns Over Project Categorization and Political Risks We are deeply concerned that IFC and EBRD categorized OT’s expansion as a Category B project, despite its significant and irreversible impacts on herders and the environment. This misclassification downplays the scale of the risks, undermining proper oversight. Additionally, the Mongolian government is in a disagreement on additional financing that will add more debt, and the Mongolian Parliament Resolution #103 requires an independent audit of underground mine cost overrun which has not been disclosed. Approving new financing in such a contentious political and social environment poses significant risks to the project’s viability.

Recommendations and Conditionalities

IFC and EBRD must impose strict conditionalities on OT before any disbursements begin and ensure the conditionalities are placed in the lending agreement, including:

  1. Fulfillment of Past Commitments:
    • Include the 2017 Herders Complaint Resolution Agreements (HCRAs) in lenders’ compliance requirements and fully implement them.
    • Amend the RAP to include routine medical assessments for herders and their animals impacted by the contaminated water from the TSF seepage, and update Stakeholder Engagement Plan to involve the wider herder community impacted by the seepage.
    • Disclose all the important data from the attachments and annexes of the RAP.
  2. Water and Tailings Management Improvements:
    • Achieve the 64% as the highest solid content target for tailings as per the original ESIA.
    • Disclose the full extent of TSF seepage impacts, including chemical contamination and health risks.
  3. Protection of Herders’ Livelihoods:
    • Permanently halt land acquisitions that displace herders and prioritize using existing lease areas for future tailings cells.
    • Construct a permanent Dugat-Khaliv diversion channel based on maximum flood probabilities.
  4. Transparency and Meaningful Engagement:
    • Disclose all environmental and social impact assessments (ESIA) for expansion plans, implementation of the ESAP from the initial OT project loan, and OT Green Investment Plan.
    • Take actions to strengthen TPC functions through assessing TPC Charter and the implementation of the HCRAs
    • Ensure meaningful consultation with affected communities on all project aspects. This includes consultations on the expansion plans, environmental and social assessment related documents and strengthening of the Tripartite Council with valid herder representation as the body responsible to address herders’ concerns around the OT project.

The approval of new financing to OT without addressing these critical issues perpetuates harm to herders and the environment while eroding public trust in IFC’s and EBRD’s commitment to sustainable development. We call on IFC and EBRD to uphold their safeguards and suspend agreement signing and financing until OT achieves full compliance and fulfills its obligations to herders and the environment.

(Link to full statement in English and Mongolian)

Contact Information:
Sukhgerel Dugersuren, Oyu Tolgoi Watch, 976-99185828, otwatch@gmail.com
Battsengel Lkhamdoorov, Gobi Soil, 976-88705595, tsengel_5595@yahoo.com
Julio Castor Achmadi, Accountability Counsel, julio@accountabilitycounsel.org
Nina Lesikhina, Bankwatch Network, ninalesikhina@bankwatch.org

Signatories:
Gobi Soil, Mongolia
Oyu Tolgoi Watch, Mongolia
Center for Human Rights and Development, Mongolia
AFE, Mongolia
APPDO, Mongolia
CA NGO, Mongolia
GFS, Mongolia
MFSW, Mongolia
RwB Mongolia
SR NGO, Mongolia
SWA, Mongolia
SWB NGO, Mongolia
Accountability Counsel
CEE Bankwatch Network, Regional
Bank Climate Advocates, USA
Bank Information Center, USA
Both ENDS, the Netherlands
Center for Community Mobilization and Support, Armenia
Centre for Research and Advocacy, Manipur, India
Earth Thrive, UK/Serbia
Friends with Environment in Development (FED), Uganda
GAIA, Regional
Gender Action, USA
Green Advocates
Initiative for Right View (IRV), Bangladesh
International Accountability Project
INWOLAG
Kazakhstan International bureau for human rights, Kazakhstan
London Mining Network
LSD, Senegal
NGO Forum on ADB, Regional
Peace Point Development Foundation-PDF, Nigeria
Recourse
Samata & mm&P, India
Sinergia Animal, Brazil
Urgewald, Germany
Witness Radio, Uganda.

Source: Accountability Counsel.

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NGO WORK

Op-Ed | A Missing Investment Strategy: Climate Resilience Hides in Local Food Markets

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Over the last several years, agriculture has stormed onto the climate agenda. And it’s about time. Policymakers, donors, and investors are seeing the wisdom of investing in soil restoration, agroecology, agroforestry, and biodiversity, among other regenerative actions. And yet, what we have learned from our African colleagues is that without simultaneously investing in healthy local markets, these investments in sustainable production are likely to fall short.

Local markets are climate resilient. Not only are these markets a good fit for smallholder farmers who practice agroecology, but they are also more equitable and accessible for women and youth. Strengthening local economic markets and smallholders’ access to them creates a mutually generative cycle of food and ecological resilience—essential to strong local incomes and livelihoods. Remember that family farms continue to feed 70 percent of the world’s population. Specialty crop export and global food trade are still only a minor part of the world’s food story.

Local markets have two distinct advantages in accelerating climate solutions; one is their proximity to consumers, decreasing the miles that food has to travel to get to market, a net savings; two is that increasing agroecological production will enhance soil fertility, capturing carbon, and decrease the use of carbon intensive inputs such as artificial fertilizers and chemical inputs. When considering the amount of food and land under climate resilient food production, the carbon reduction is significant.

Over the past five years, the Agroecology Fund, through a grants program and learning community, has been gleaning insights from African networks and farmers’ organizations about the role of territorial markets to amplify agroecology. With the Alliance for Food Sovereignty in Africa (AFSA) and over a dozen farmers’ organizations, we have seen how smallholder farmers are building local economies that strengthen equitable relationships and climate resilience. Some of the key lessons we learned include:

Local consumers want local, healthy produce. There is a strong market demand for local products from agroecological farms and producers, including green leafy vegetables, fruits, grains, small livestock, and native seeds. Local manufacturing of bio-inputs including fertilizers, bio- pesticides, and inoculants is booming. These markets are large and important to local producers. Strong markets for agroecology mean that farmers are incentivized to practice climate resilient agriculture. An unpublished study of cooperatives and entrepreneurs in Senegal and Mali by Groundswell International noted that local demand for healthy foods is significant and growing. Part of a larger consumer movement led by farmers and consumers, the My Food is African campaign launched by the Alliance for Food Sovereignty in Africa has spread across the continent of Africa in national campaigns for healthy, local, and culturally relevant foods to be produced, celebrated and eaten regularly. Regional and national African leaders have taken up the cause by praising local dishes and demonstrating national pride in local foods as they recognize the costs associated with subsidizing imported staples.

Women farmers have the most to gain from local markets. African women and youth have the most to gain from investment in local markets and local entrepreneurship. Examples abound of growing healthy businesses and value-added production that rely upon women’s agricultural knowledge and practices. Climate resilience requires broad participation from the most vulnerable farmers who are rural women dependent on natural resources for their well-being. In Senegal, a cooperative of women called We Are the Solution has created a fast selling brand of bouillon mix, Sum Pak, made from locally available ingredients without chemicals or preservatives. Chefs and home cooks praise the mix which echoes village flavors and offers consumers low and no sodium lines capitalizing on doctors’ orders.

Finance can be inclusive and accessible. The missing middle is a myth. Smallholder agroecological farmers are not being supported at any level of finance. Many policymakers write convincingly about the missing middle in agribusiness. They assume that microfinance is addressing smallholder farmers’ needs and that larger investors are picking up opportunities over US$100,000. This is not true, less than 15 percent of smallholders practicing any kind of farming are accessing finance below US$100,000. Microfinance is often not being used by smallholder farmers because of high interest rates and repayment durations that do not match agricultural cycles.

Smallholder farmers engaging in agroecology need what regenerative farmers in the U.S. are requesting: low interest, long-term patient capital to engage in both transition to agroecology as well as building up aggregation, processing and marketing of their products. Financing infrastructure such as light farm machinery, storage and refrigeration in the US$2,000 to the US$20,000 range creates new opportunities. This infrastructure enables smallholders to flourish and serve local markets that increase the circulation of local, healthy food. Climate resilience requires thinking about financing the transition in different ways from traditional finance—which has exacerbated inequalities. In Uganda, the purchase of a grinding machine by Eastern and Southern Africa Small-scale Farmer Forum, Uganda (ESAFF) to produce high quality peanut butter enabled a woman’s cooperative to increase the value of their peanut crop 2.7 times. In Cameroon, Service d’Appui aux Initiatives Locales de Développement (SAILD), completed a market analysis that demonstrated the viability of replacing imported wheat flour with local tuber flours grown agroecologically. Indigenous local foods are the present and the future but require financing to play their critical role in food systems.

Local markets are diverse and flourishing. Farmers’ organizations are working alongside cooperatives, associations, entrepreneurs and local governments to develop multiple markets and channels for smallholders’ produce. This includes providing food to territorial markets as well as developing specialized markets, creating on-line digital markets through websites and apps, creating opportunities for bulk purchases and exploring regional markets. Innovative initiatives that connect communities in direct purchasing agreements between producers and purchasers that began during COVID are continuing with great success.

The Kenyan Peasants League worked to pair peri-urban communities of 100 families with direct purchases from smallholder farmers in villages to make regular purchases of food, small livestock and farm inputs directly. Cost savings from shared transportation and the absence of regional market costs enabled many groups to participate. Government procurement programs and interregional trade among African countries remain relatively under-developed strategies with great promise.

Farmers’ organizations are essential. Incubator programs reach small cohorts of farmer entrepreneurs, but community-rooted farmers’ organizations can build trust among a network of small enterprises by building associations and cooperatives to strengthen their voice and action. These cooperatives and associations, supported by representative farmer organizations and networks, have traditions and practices of rotating credit funds that are equitable and provide access to appropriate finance. By working with existing women-led farmer cooperatives, Concertation Nationale des Organisations Paysannes au Cameroun (CNOP CAM) has introduced and funded new agroecological businesses. Ongoing relationships and savings and credit programs, often managed by farmers’ organizations, enable women and smallholders to benefit from loans and technical assistance where others would overlook their potential and undervalue their existing assets, an all-too-common experience.

As policymakers and donors consider opportunities to create climate resilience through agroecology and regenerative agriculture, it is important to remember that territorial markets lie at the center of resilient food systems. We overlook investment in the public agencies that manage them, the businesses behind them, and the farmer organizations that advocate for them at our peril.

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Source: foodtank.com

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NGO WORK

Bone dry: Agribusiness’ African water grab

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Since the early 2010s corporations have acquired over 7 million hectares of land for large-scale, industrial farms in sub-Saharan Africa, with most of these projects focused on producing water-intensive crops in already water-stressed regions. While the media spotlight is often on climate change-induced droughts, little is being said about the corporate-driven water scarcity these projects are inflicting upon people across Africa. Driven by the goal of expanding export production of water-intensive crops, governments are auctioning Africa’s water resources to the highest bidder. The new rush for land on the continent to grow trees for carbon credits is making this worse.

Water plundering

Only in the last 8 years, companies have signed land deals for over 5 million hectares for water-hungry plants in Africa. Take, for example, the New York-based company African Agriculture Holdings. It planned to use massive amounts of water from the Senegal River– the main water source for Dakar and several other major cities in Senegal, to produce alfalfa for export to South Korea and the Gulf states on 25,000 ha of land within a protected wetland. The company also planned to grow alfalfa on up to 500,000 hectares in neighbouring Mauritania, one of the most water stressed countries on the planet, and to plant a million water-hungry acacia trees in Niger to generate carbon credits. While it now appears that the company is heading for financial ruin, its CEO has already announced a new venture to grow maize on over 600,000 hectares in central Africa.

Development banks, like the African Development Bank (AfDB) and the World Bank, are working with African governments to bankroll a massive rollout of new irrigation projects across the continent to facilitate more of these agribusiness investments. In Tanzania, for instance, the government and the AfDB have budgeted hundreds of millions of dollars of public funds for large-scale irrigation projects with the private sector, with a stated goal of irrigating 8.5 million hectares by 2030– which is more than today’s total irrigated land area in all of sub-Saharan Africa.

 

In Kenya, President Ruto has pledged nearly US$500 million for irrigation projects nationwide, including the Rwabura irrigation project in Kiambu county, the Iriari project in Embu as well as the Kanyuambora irrigation project. The Kanyuambora, like the others, will draw water from the Thuci river and irrigate 400 hectares, which will be used to farm crops such as horticultural produce.

One company that intends to profit big from this expansion of irrigation in Tanzania, Kenya and other countries in eastern and southern Africa is South Africa-based Westfalia. The company, which is particularly active in avocado production, controls 1,200 hectares in South Africa and 1,400 in Mozambique. With support from South Africa’s government-owned Industrial Development Corporation and the World Bank’s International Finance Corporation, Westfalia is promoting the expansion of the avocado industry in countries such as Mexico, Peru, Chile and Colombia, where avocados have already fuelled a severe water crisis. Replicating this model in other African countries promises to create a similar situation.

Africa’s experience to date with large-scale irrigation projects is dismal. Most of the projects implemented over the past decades failed or are in poor condition. And many of the so-called success cases have caused more harm than good. Consider the irrigation project in Lake Naivasha, Kenya, which triggered a boom in foreign investment in flower farms in the 1980s and 1990s that serve the European and Chinese markets. Only six farms now consume over half of the water volume used for irrigation in the lake’s basin. The impact of the flower farms range from pesticide pollution, to biodiversity loss, and hampering access to safe and clean water for local people. In return there have been few benefits, with workers toiling in gruelling and hazardous conditions for meagre wages and the companies avoiding taxes.

In Morocco fruit exports-primarily destined for European and UK markets-are driven by water hungry crops such as berries, watermelon, citrus and avocados. Between 2016 and 2021 these exports more than doubled. The biggest beneficiaries of this boom are corporations as Les Domaines Export, belonging to the country’s elite, alongside foreign companies like Surexport and Hortifrut, all backed by financial players, including pension funds and development banks. Today, Morocco has more irrigated land area than any other country in Africa, aside from Egypt.

A pastoralist from Moroto one of the most dry areas in Uganda looking after his herd. Pastoralists in this region move long distances to look for pasture and water for their herds.By Nobert Petro Kalule.

Export oriented industrial agriculture consumes 85% of the country’s water resources, intensifying the severe water stress gripping the kingdom, even as the country endures six consecutive years of drought. To cope with the crisis, the government announced the end of fruit subsidies. Yet, the measure will have little impact on large farms, since they have the financial capacity to continue with their operations, whereas small farmers will be the most affected. Other plans include investing in desalination plants. But the high energy and environmental costs make it far from a sustainable long-term solution.

On the opposite end of the continent, South Africa – one of Africa’s richest economy – has long struggled with a persistent water crisis. This is largely due to the fact that 65 percent of the country’s water resources are allocated to industrial agriculture.

Africa’s water custodians

The impact of industrial agriculture’s thirst for water is felt most acutely by African women. Already tasked with managing households, caring for families and farming for food, women and young girls are also responsible for collecting all the water needed for both their homes and farms.

As such, they bear the heavy burden of trekking long distances – sometimes multiple times a day – to collect water. It is estimated that African women collectively spend about 40 billion hours annually fetching water. As more of their water sources are diverted for use on export-oriented industrial farms, it will make it even harder for them to access the water they need for their households.

Paradoxically, those most affected by the water issues affecting the continent may also be the ones with the solutions. Rural women possess invaluable knowledge about local water sources, their usage, storage and conservation. They know, for example, ways of recycling water for washing, irrigation and livestock, like the women pastoralists of the Anuak people in Ethiopia’s Gambela region, know how and when to move their animals from wetter areas to drier ones in the rainy season, allowing local rivers to replenish and maintain its fertility.

In Kenya, Martha Waiganjo, a farmer from the dry lands of Gilgil, is one of many smallholder farmers working with the Seed Saver’s Network (SSN) to take advantage of rain water harvesting and conservation techniques as part of their agroecological practices. Through rain water harvesting, farmers like her are able to collect, store and conserve run off rain water for later use.

The run off water is stored in manually dug up dams that are lined with an anti-seepage layer of plastic commonly known as a dam liner. For Martha, her dam allows her to store close to 40,000 litres of water for her sustenance throughout the year. “[…] Water harvesting has been of great improvement on our farms, we don’t need the rain to plant. We use the water for irrigation and domestic use. The most important thing in water harvesting is that when the area is dry we use the water not only for farming but for the needs of the whole community. It is also of great importance to livestock farming.”[1]

In 2021, the UN estimated that nearly 160 million people in Sub-Saharan Africa (14% of the population) were affected by water scarcity and stress, and, with the effects of climate change now kicking in, the numbers are expected to be even higher in 2025 and beyond.

The fixation of governments, development banks and corporations on large-scale irrigation projects for industrial agriculture in Africa has to end. Water needs to instead be in the hands of the small-scale food producers who feed the continent and who are best able to develop solutions to the challenges posed by climate change.

Cover photo: Kenya 2011. Colin Crowley/Save the Children/ Creative Commons/Flickr

Original Source: Grain

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