Trade and poverty: Facts beyond theory

Ambassador Hisham Badr: "You cannot deprive very vulnerable countries of sustenance."  Credit: Isolda Agazzi/IPS

Ban Proposed on Export Restrictions that Undermine Food Security

Egypt has initiated a proposal in the World Trade Organisation (WTO) to ban export restrictions on farm products to poor countries that are net food importers. The Group of 20 has also exhorted the upcoming WTO ministerial conference to adopt a specific resolution on export restrictions.

Finance Minister Ken Kandodo: The new taxes are to compensate for tariff losses due to regional integration commitments in SADC and COMESA. Credit: Claire Ngozo/IPS

MALAWI: Tax on the Poor Is to Compensate for Tariff Revenue Loss

The decision by the Malawian government to introduce value-added tax (VAT) of up to 16.5 percent on products such as bread, meat, milk and dairy products is being blamed for losses incurred by small-scale businesses. The move comes in response to a loss of revenue due to regional trade commitments.

ZIMBABWE: Microcredit Operators Target Salaried Workers

Johnson Gama knows life on the poverty line only too well. A qualified teacher, Gama has in the last few years been unable to survive on his salary despite working in a profession which two decades ago was considered middleclass in Zimbabwe.

A woman lights a kerosene stove in a stairwell in Darb el Ahmar, Cairo, to heat water. Solar heating does away with this unsafe practice. Credit: SolarCITIES

EGYPT: Solar Energy Projects Picking up Again After Uprising

On a blazingly hot summer’s day in Cairo, it’s 36 degrees Celsius in the shade. Air-conditioners and fans whirr across the city, burdening the national electricity grid. Last summer, the populous city experienced frequent water and power cuts, causing a furore. Consumption had grown by 2,600 megawatts, an increase of 13,5 percent from 2009.

Jan Rielaender: High fuel and mineral commodity prices have strongly influenced economic growth in many of the fastest growing African economies.  Credit: OECD

AFRICA: Poor Excluded From Benefits of High Economic Growth

The high economic growth enjoyed by many African states during the 2000s have not led to poverty elimination. This is because the growth did not happen in the sectors where poor people work, as in agriculture, or in the rural areas where poor people live, or simply did not involve labour provided by poor people.

Polly Ericksen: Areas hit hardest by climate change are areas where farmers are already struggling due to new weather patterns. Credit: Anita Ghosh/ILRI

CLIMATE CHANGE: African Agriculture and Food Supply at Risk

Climate change and global warming are likely to have dramatically negative effects on African agriculture and food supply by reducing river runoffs and water recharge, especially in semi-arid zones such as Southern Africa, two new reports say.

AFRICA: South-South Cooperation Should Focus on Development

African states should be careful not to lose track of their own development plans when they enter into agreements with states outside the continent, despite apparent positive spin-offs.

Africa Becoming More Attractive to Indian and Other Investors

A reduction in red tape and an improvement in political conditions means that sub-Saharan Africa is becoming a more attractive destination for foreign direct investment, especially from India.

India Looking to South Africa to Anchor its Involvement in Africa

Some Indians and Africans believe Africa is on the verge of becoming a world economic power, but changes are needed to ensure that the continent takes up its rightful place in the global economy. From India’s perspective, South Africa is vital to its engagement with the continent.

CARIBBEAN: Key Committee Pushes Forward Trade Pact with Europe

The inaugural meeting of the Trade and Development Committee (TDC) of a sweeping trade pact between Caribbean nations and the European Union is being hailed as a success by regional diplomats.

AFRICA: Eco-Labels “Greenwashing” Forest Exploitation

"Eco-label fatigue" is setting in as green logging certification schemes are undermining proper government management of forest resources while "greenwashing" private ownership of these public resources, critics say.

DEVELOPMENT: Microfinance Craze Conceals Multiple Problems

The microfinance industry is expanding at breakneck pace, with more banks and private equity firms now entering the fray. Yet there is growing unease about the naive assumptions, and evangelical predictions, of its advocates.

CARIBBEAN: EU Trade Pact Brings Both Setbacks and Opportunities

In his first address to the board of governors of the Barbados-based Caribbean Development Bank (CDB), Dr. Warren Smith, the new president of the region's premier lending financial institution, warned of insecurities engulfing Caribbean economies.

HEALTH: Poor States Should Start Campaign to Extend Patent Rights

Pharmaceutical industries in emerging markets are shifting their focus away from poor to developed countries, which will affect access to cheap generic medicines. Poor states should tackle this development by capitalising on the international trade exemptions they still enjoy regarding medicines as "intellectual property".

TANZANIA-INDIA: A Rewarding Relationship

The Indian prime minister, Dr Manmohan Singh, concludes a three-day visit to Tanzania on May 28. Singh arrived in Dar es Salaam from the Ethiopian capital, Addis Ababa, where he took part in the Second India-Africa Forum Summit, which began on May 20.

On a small holding of one hectare, a farmer can plant about 200 trees, for an anticipated first harvest price of 2,500 dollars. Credit: Elizabeth Eames Roebling/IPS

DOMINICAN REPUBLIC: Macadamia Trees Offer Lifeline to Small Farmers

A project to help reforest after the devastation of Hurricane David 32 years ago has grown into a plan to lift small coffee farmers out of poverty, all by the introduction of a gourmet ice cream.

ZIMBABWE: Cross-Border Traders Don’t Trust Banks With Their Money

A newly available electronic banking service has received a lukewarm reception from cross-border traders in Zimbabwe’s second largest city Bulawayo, despite it alleviating the need to move around with large sums of cash.

TWN's Sanya Reid Smith: The Istanbul LDC conference sent out a message that LDCs should not be pressured or advised to liberalise imports.  Credit:

TRADE: Istanbul Conference “a Setback” for Poor Countries

Some of the decisions taken on trade in the Istanbul Plan of Action are likely to disadvantage poor countries while others are so vague as to be meaningless, says Abdoulaye Sanoko, counsellor at the mission of Mali to the World Trade Organisation (WTO) in Geneva.

Protestors in New Delhi, India, demonstrating against the EU-India trade. Credit: Rico Gustav, APN+/Médecins Sans Frontières

EU Trade Deal with India Stalemated by Threat to Affordable Drugs

More than four years after the EU started negotiating a trade agreement with India, the process has been pushed to a stalemate by the EU’s stubborn insistence in maintaining the so-called data exclusivity clause, despite fierce opposition by Indian government negotiators and Indian and EU non- governmental organisations (NGOs).

It is predicted that, by 2020, up to 250 million people in Africa will experience increased water stress and many will be driven to cities. Credit: Christian Aid

Pension Fund Investors May be to Blame for Escalating Food Prices

Long-term investors like pension funds are probably the reason why the prices of commodities, including crops, have been driven to a higher level than in 2008 when food riots erupted in 30 countries, according to the British nongovernmental organisation Christian Aid.

All the factory floor workers at AltaGracia are paid the same wage, 527 dollars a month, 333 percent of the legal minimum wage. Credit: Elizabeth Eames Roebling/IPS

DOMINICAN REPUBLIC: Model Factory Enshrines Workers’ Rights

Two years ago, Knights Apparel, based in the U.S. state of South Carolina, decided to lead the race to the top by opening a factory that not only paid its employees a living wage but guaranteed their rights to a union.

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