Catarina's World

The combination of the rapidly expanding global fashion and beauty industry and the internet is providing opportunities for developing countries.

Environmentally responsible fashions can become cultural ambassadors that change global value sets and lead to other economic changes that also foster greater respect for the environment.

It enables them to use their creative talents and cultural heritages to create jobs and sell products that are environmentally responsible. And even better, results can come swiftly thanks to the internet. Their ideas, designs, and products can be displayed online and sold rapidly around the world.

Experts at UNCTAD’s “Best of Nature” conference believe fashion, cosmetics and perfume can lead to significant increase of employment in developing countries. We are mainly talking about small businesses which there, as well as in the rest of the world, is an important component of progress. With the right marketing such creative work can be not only profitable but promote different cultures and biodiversity as well.

Biodiversity is a source of creativity and new products for the perfume industry. It is vital for supply chains to be transparent so that natural ingredients are responsibly harvested to make sure that the supply of valuable plants is not exhausted, Michel Mane, President of Mane USA said. He added that “by establishing techniques for the growth of perfume ingredients in developing countries we are able to ensure the ecological viability of our ingredients. By using both cutting-edge, environmentally benign agricultural practices and providing local employment we are able to ensure the ecological viability of our ingredients”.

More than 40% of Unilever’s turnover is now in developing countries, said Giulia DiTommaso, Unilever’s Director of External Affairs for Africa, the Middle East and Turkey. They are one of the largest buyers in the world of ingredients such as palm oil and have noticed increased consumer interest in environmentally friendly products. Unilever is hence focusing on sustainable use of water, soils and, not to forget, respect for biodiversity.

A vital issue is how environmentally responsible products can be certified and traced. We want to be sure of what we are buying. According to Sean Ansett, Managing Partner of At Stake Advisors, “customers will want to be able to trace their purchases “from farm to fork and from mine to mobile phone”. Current technology is showing that such traceability is now possible, if difficult”.

“There are “tool sets” to allow corporations to improve the transparency of their supply chains. Doing so generates brand trust and loyalty, especially as customers increasingly demand that products be environmentally responsible”, Tim Wilson of Historic Features said. They supply such tools to customers like Wal-Mart.

Definitions of “natural” and “organic” still have not been set by for instance the European Union, but are under development and definitions hence still vary from country to country.

Organic African fashion popular in the West

African fashion is increasingly popular in the developed world and is creating thousands of jobs in Africa. There is for instance a fashion school in Niger that’s helping 150 African designers develop their talents.

What Africa needs is the capacity to mass produce fashion, says Anggy Haif, a Cameroonian fashion designer. The continent lacks the infrastructure and industry needed for widespread production of natural-fibre clothes. But there is a huge market for that kind of clothes and many jobs depend on developing such facilities.

So now that concern over the environment is mounting, and words such as “green” and “sustainable” and “responsible” are heard widely, environmentally responsible fashion and beauty products have the opportunity to shift from niche products to being much more widely used. Environmentally responsible fashions can become cultural ambassadors that change global value sets and lead to other economic changes that also foster greater respect for the environment.

Wouldn’t it hence be an idea for aid and donor organisations to devote more time and money to assisting developing countries with getting the infrastructure and know-how needed to develop more such companies? To do so would lead to sustainable development that would enable the nations to gradually work and trade themselves to a better standard of living. As opposed to most aid it would not just have a temporary effect but would assist the developing world long term starting now.

photo: Ethan Allen Flickr

Saudi Arabian businesswoman Lubna Olayan has been on Fortune magazine’s “Global Power 50 Women” list from 2004 to 2009. Forbes named her to its “World’s Most Powerful Women” list in 2005, 2006 and 2007, and Time Magazine listed her among the “Top 100 Most Influential People in the World” in 2005.

Saudi Arabian businesswoman Lubna Olayan (in the middle) debating at The World Economic Forum in Davos this year.

Several Saudi women are executives at Prince Alwaleed’s Kingdom Holding Company. The Prince has long been a champion of Saudi Arabian women and even has a female Saudi pilot.

Lubna Olayan and the Saudi Arabian women who work for Prince Alwaleed are just a few examples of capable and successful women in the Kingdom. There are more of them but they usually keep a low profile.

Saudi women sitting on $11,9 billion

Now it has also been revealed that a large portion of the Kingdom’s wealth is in the hands of its women who are believed to be sitting on cash totaling $11.9 billion. They are in other words controlling a substantial portion of the country’s wealth.

Women constitute almost 45 percent of the population and have a literacy rate of 79 percent. But only 65 percent of them are employed, despite the fact that 78.3 percent of unemployed women are university graduates.

Women in Saudi Arabia hence account for a substantial pool of human and financial capital with the power and ability to bring about significant social and economic change. It is hence beneficial to the kingdom to give them the same opportunities their sisters enjoy in other Arab nations, which is currently taking place.

King Abdullah championing women’s rights

“This comes at a time when we are witnessing a rapid and increased investment in our country’s human resources and economic development,” says Princess Adelah bint Abdullah, King Abdullah’s daughter. “Fundamental to this is regulations that encourage greater involvement of women in our work force. The impact of this support can be seen through the growth, productivity and innovation of Saudi Arabia’s women-owned businesses.

The princess explains that Saudi law already permits women to run a business without the guardianship of a man, but added, “Often this law is not enforced. Some people in the government prevent its implementation. They either do know about it or are opposed to it.

On the mixing of men and women, Princess Adelah added: “I do not see why men and women should not maintain respectful relations in the workplace, as they do in hospitals or during pilgrimage to Mecca. It will come gradually, once people become accustomed to it and laws against harassment are passed.”

Female entrepreneurs on the rise

Women in Sweden are still not being paid as much as a man carrying out the same job ,despite the fact that women have been allowed to vote since 1919. So things are moving faster for Saudi women. Considering that I’m the only Western woman ever who have held a senior management position in a 100% Saudi owned company in Riyadh, I feel a bit like “a Mrs Pankhurst of Saudi Arabia”. Would be delighted to go back to the Kingdom and help female Saudi entrepreneurs build up successful companies.

Know a lot of capable Saudi women, not least my friend Lubna Hussain that had her own talk show on Saudi Television already in 2008. Should be noted here that in the US Barbara Walters wasn’t allowed to be more than a co-host of a TV show until the 1980s.

Positive changes are coming for Saudi women and it will not take as long as it did in the West. There are plenty of capable women in the Kingdom and they will make a positive contribution to the development and diversification of Saudi Arabia. Not only will they work very well, channeling their huge funds into enterprises and investment activities will earn profitable returns as well as boost money supply.

King Abdullah wants to expand women’s role as active members of society and workforce. So let’s see how long it takes for Saudi women as a whole to personify the King’s vision of capable women bringing honor to the family? How long do you believe it will take? Will we see more women, like Lubna Olayan, leading Saudi businesses say, ten years from now? Or do you believe it will take longer?

(photo: World Economic Forum – Flickr)

“My wife loved George Clooney’s suggestion”, said Richard Branson and smiled.

Richard Branson personally advertisng his companies

Richard, as you know, is one of the most successful entrepreneurs of our time. His Virgin Group today consist of 200 companies with 50,000 employees in more than 30 countries. Their combined revenue in 2008 was around 17 billion dollars. Not bad for a man who started out selling Six Pistols records at car boot sales in the 70s.

Richard’s advice to future entrepreneurs is, point one excluded, different from the usual advice about how to succeed as in building up a company:

1) Take calculated risks.”You have to really believe in what you are doing because if you start a project believing that it may fail, nine times out of ten it will”. “Cautious people don’t live life to the full”, Richard says and adds that he always tries to figure out what could go wrong and try to balance that out.

2) Challenge the big players “Make jokes at the big established companies expense and use humour and sex in your marketing. Launch yourself as a Robin Hood in ways that make the big players look silly”. How many of you would actually dare to do so? It’s not enough that the idea appeals to you, would you actually have the guts to go ahead with what he advices?

3) Failure doesn’t exist Act swiftly when something goes wrong. “Our capacity to promptly adapt to changes have enabled us to overcome most mistakes”, Richard says. “You have to quickly take responsibility for a venture that’s not working, change direction or wind it up”.

4) Be casual and easy going. Have fun and make sure your colleagues have as much fun as you do. Develop equanimity.

5) Don’t regret – move on. “People spend to much time thinking about what mistakes they have made instead of using their time and energy to start new projects. Failures are useful tools that enable success”.

6) Don’t employ yes sayers. “Find people who dare to stick out and have a mind of their own. They are much more value for money”.

7) Be a live advertisement for your company. Be a bit of a clown, have fun or you will not succeed. That’s the advise Richard Branson was given when he started Virgin Airlines with no money to spend on marketing. Someone added that he should make sure his name was on the front page of newspapers and not in the adverts.

Psychologists claim Richard Branson has the F factor – fame, fortune and fun. Many people want to identify with him, not least since he’s regarded as down to earth, honest and simple.

He is a person who does things his own way and not how “they teach you at Harvard business school”. Richard Branson is actually a high school drop out. His way of doing things goes against all the advice about how to become an entrepreneur you can find. So who’s right and who’s wrong? None of the people advising you how to succeed as an entrepreneur are as successful as Richard Branson is. Need I say more?

Have you got what it takes to go your own way as an entrepreneur, build up your company and succeed? Or do you know anyone who has? How many CEOs do you know that employ people they cannot control that have a mind of their own? Could you turn yourself into a live advertisement? What new and interesting fields have you found where you could become a new Richard Branson? Or maybe you have a better concept for succeeding than he has? Are you, after reading Richard Branson’s advice, ready to trade places with him? Or will you opt for a less challenging way of succeeding?

(Photo: Ourmedia)

When democracies loose economic power democracy itself is weakened. Already now China has the third largest economy in the world and within 5-7 years it will be the main producer of goods globally.

Hu Jintao may be shorter but China has the upper hand

The US on the other hand, has a huge budget deficit and is already borrowing heavily, not least from China. So no wonder China is already starting to show its power.

At the Copenhagen climate summit Obama and many other leading heads of state took part. China however, sent an insignificant deputy foreign minister with no ability to take decisions without confirmation from Beijing. The Chinese government also protest against US actions with a new vigour and confidence.

China continues to produce and Westerners keep on consuming on borrowed money, not least from China, which is an equation that doesn’t add up. Soviet communism declined because the economy didn’t add up but that’s not the case with China whose economy is capitalistic while the government keeps a firm grip on power and its people.

According to the OECD, Western countries’ debts in 2008 were equivalent of to 100% of their GDP. China on the other hand has a deficit equivalent of 21 percent of GDP. So not only is the Chinese economy performing very well, they are also partly bankrolling the West. And money talks.

Unless the democratic part of the world, like the Chinese, start saving and stop consuming on borrowed credit, democracy as a whole will loose out. The US and Europe are the worlds largest democracies and China is the world’s biggest dictatorship. It does matter who has the best performing economy in the world. To ignore that would be a fatal mistake. But for some reason it seems the West can not be bothered to make an effort to stop power slipping away. That the center of the world is moving I have known for a long time, but what surprises me is that the West doesn’t seem to do anything to stop it from happening, or at least delay it. Where’s the fighting spirit?

photo: FlickrPhotosAccount

The day I stop learning I’m dead. And even when that day comes I will not know everything there is to know.

The day I stop learning I'm dead.

Nobody does, even Einstein said he is not an expert on anything, merely curious. Did you for instance know that sweating leaves produce electricity? Neither did I until I came across that revelation.

Everybody has problems, the richest man in the world as well as the poorest. It’s just a question of what problems. The important thing though is what we learn from them. The easiest is to blame everybody else but that approach will just assure that the same problem happens over and over again. The smart, and interesting, way is to take responsibility for what happened, learn and move on.

In Saudi Arabia you learn a lot. KSA is, in my opinion, the most interesting country in the world because almost every day something happens that you have never experienced before. Life in the kingdom hence enriches you enormously, provided of course, that you are not stuck in your ways or intolerant. We are all different, and that’s what makes life beautiful. How boring it would be if we were all alike.

If you have a curious mind and constantly learn you can succeed with anything. Don’t know how many times I have been asked to do something I have never done before in different parts of the world. So I just found out, learnt and did it.

Sometimes I think people are afraid of learning and developing. It’s not only laziness but also easier to take the option of doing nothing since, they could, after all, fail. And society sometimes reward people for towing the line as opposed to learning and developing. It’s not unusual that even top positions are filled with executives who will just preserve the status quo. That’s all very well, but how will companies develop with that kind of mind-set? Sure control is important but surely not at the expense of the company learning, developing and improving results? And how can they do that unless they start looking at new and different options? Besides I don’t understand the contradiction since I have always followed company policy and at the same time learnt, developed and improved results.

For me acquiring new knowledge, behaviors, skills, values, preferences and understanding is vital. To be broad-minded and curious is probably one of the key, if not the key, aspect of life. And how would that be possible without constantly learning? I know more today than I did yesterday and will continue to do so for the rest of my life. I really enjoy living and am not afraid of dying but anything in between I’m simply not interested in. And isn’t that how we end up leading our lives if we stop learning with all that entails? Or maybe Oscar Wilde had a point when he said: “Everybody who is incapable of learning has taken to teaching”? Joke aside, at least that’s how we sometimes felt when we were at school.

(Photo: PhotoXpress giuseppe porzani)

Can’t help reflecting on the limits of the power of a US president. Obama controls the White House, the Senate and the House of Representatives. But that’s not enough since unless the current balance in the Supreme Court is altered there is a limit to how much he can change America.

Obama surrounded by judges that can actually make a deeper mark on America than a president. Surely it can't be right that an unelected judge should wield such power?

Once confirmed by the Senate, justices sit for life and rule as they please, regardless of the expectations of the president who nominated them or the promises they gave the Senate in confirmation hearings. A long-serving justice can actually make a deeper mark on America than a president. Surely it can’t be right that an unelected judge should wield such power?

It is actually possible that that the current 5-4 right-of-centre court might yet put a spoke into Obama’s health care reform. More than 20 states are actually joining together to argue that requiring everyone to buy health care insurance violates the constitution.

The same court recently found Chicago’s handgun prohibition unconstitutional. The ruling 5-4 exactly mirrors one in 2008, which doesn’t make it right. It’s not law abiding US citizens guarding their homes that are the main beneficiaries of such a ruling but criminals and arms manufacturers.

Is it really right that politically appointed judges with ideological agendas can overturn decisions taken by democratically elected politicians? Sure, a justice is boxed in by the other eight judges on the bench, the words of the constitution and the rules of jurisprudence. But that still leaves ample latitude.

The worst was the January 21st 2010 ruling Citizens United v. Federal Election Commission, where the Supreme Court decided that corporations are persons, hence “enabling them to buy elections and run the government”.

From what I understand the Supreme Court has historically decided its controversial cases unanimously or by wide majorities, but the current Roberts Court routinely overturns longstanding precedent with a 5-4 majority.

“There may be judges on the court who have a particular mission right now and are selectively knocking out precedent that does not coincide with their ideological views,” Senator Whitehouse (D) said.

Am not surprised that democrats, including Obama, are criticizing the court. The judges really give the impression they favour corporate interests over ordinary Americans. A current American movement is hence aiming to firmly establish that money is not speech, and that human beings, not corporations, are persons entitled to constitutional rights.

Considering the power of the court I guess we have to be grateful that Chief Justice Roberts, writing for the majority in the 6-to-3 decision, said the ban on providing assistance to terrorist groups did not violate the First Amendment.

Let’s see what their decision will be on Obama’s health care reform? And I wonder how long will it take before some group will claim that the recent financial reform bill is unconstitutional? That the bill will be challenged in the Supreme Court must be a certainty. Did the founding fathers really intend for politically appointed judges to have more power than the president by being able to block legislation that go against their personal ideology? Wasn’t their intention that the judges should be impartial and objective? If so, maybe it’s time to make the judges accountable to the American people?

(Photo: Flickr – Obama-Biden-Transition-Project)

You can have a fresh start any moment you choose, for this thing we call ‘failure’ is not the falling down, but the staying down, Mary Pickford once said and it’s so true. And only you can do it. If you wait for others to lift you up, not only will you be disappointed – you will stay down.

Get back in the saddle again and look at your problem in ways that will allow a solution.

Now it’s time to make an effort and make sure your life and/or business benefits. Many of you actually ask me to write more since you are feeling better after what I write. Makes me wonder if you feel good long enough to get back in the saddle again? Because you simply have to. These are difficult times and it’s essential that you realise that the problem isn’t you and get the courage to move on. And it has to come from within you. I appreciate that it’s hard but it’s in times like these that you separate “winners from loosers”.

Being positive is crucial and to look at your problem in ways that will allow a solution. Maybe you have to look at possibilities you never considered before? But no matter what, it will be a question of persevering until you succeed, and not allow yourself to feel down. And don’t forget that we are often faced with great opportunities disguised as insoluble problems.

How creative are you? Ever thought about the fact that creative people are “problem friendly”? Don’t get me wrong, nobody is delighted to deal with problems but now is the time for you to roll up your creative sleeves and find opportunities to improve your life. How? The solutions will be different for each of you. We all have problems that need to be solved every day. Even if it’s just that we got dirty and have to wash. There’s no running away from problems since everybody has them. If someone says they don’t, they are simply not telling the truth. So the important thing is to try to find solutions that will enrich your life.

Don’t discard the ideas you have, value them instead and take the challenge of developing them. If you are creative you will be persistent and optimistic until you succeed. If you, or others around you, dismiss your ideas too early you will never get anywhere. Many of the ideas that I have had would in the beginning have appeared crazy to others, but nobody called them crazy after I succeeded. What would have happened if I had talked about them to early? Maybe their criticism would have killed off my ideas? Be flexible as well. The fact that you are developing one idea doesn’t prevent you from working on other ones as well. In fact, I think you should work on several possibilities at the moment because so much is changing in our world. Covering your back is always a good idea. Have noticed that when I don’t, things go wrong.

Still stuck in the rut? How about re-framing your situation by looking at it from different angles? It has the power to change your entire perception of the problem and finding new solutions.

And always, always remember that the only thing that’s certain in life is that everything is uncertain. That’s a fundamental fact of life and you have to get the strength from within to handle it, because whatever happens to you in life, it’s up to you how you perceive it. Positive or negative? Your choice. Or as Lincoln once put it “You cannot help men permanently by doing for them what they could and should do for themselves”. Remember that failure happens on the road to success, which may be just a step away.

(Photo: Photo Xpress)

It’s make or break for the embattled eurozone. So many of us were surprised to hear that Estonia will join the single currency in January 2011. A minute later a top UK forecasting group announced that the eurozone needs to break up for the sake of the future economic health and success of the European Union.

Does the eurozone need to break up for the sake of the future economic health and success of the European Union?

Capital Economics’ conclusion is contrary to accepted wisdom that such a move would be a disaster. They are instead convinced a break up would lead to faster growth and spare weaker members of the single currency decades of depression and deflation.

Makes you wonder if the world has gone mad doesn’t it? Why does Estonia still want to join the euro? That they wanted to in the past makes perfect sense. But considering the flaws of the euro mechanism, I can’t help wondering if Estonia’s economy would be in as good a shape today as it is if they had already joined the euro?

Adding new member states to the eurozone is contrary to what Capital Economics ordains. It believes that the return of national currencies, far from being a potential disaster that would result in economic chaos, would enable Europe to break out of a prolonged period of weak expansion.

Christopher Smallwood, author of the report, believes the problem is Germany’s refusal to expand its demand to help countries such as Greece and Portugal grow their way out of difficulty.

He added, however, that a break up would still leave a problem for other core members of the euro area, such as France, which would continue to suffer from the “deflationary bias” in German economic policy unless Berlin agreed to restore the Deutschmark.

Smallwood is convinced that the result of such a move would be a rising currency (the Deutschmark) that would wipe out Germany’s trade surplus, forcing the country to boost domestic demand and hence preventing the country sliding into deflation. “Restoring the mark would lead to the rebalancing of the German economy which cannot occur as long as it remains in the eurozone. “This is the best option for Europe”.

Contrary to that belief, Estonians hope joining the single currency will encourage foreign investment in their economy, with growth falling by 14 per cent last year. It is forecast to grow by 4 per cent next year.

What do you think is the best way forward for Europe? A break-up of the eurozone or for the project to proceed and Estonia joining in 2011? Will more countries joining actually worsen the current problems of the eurozone? Is it worth taking the pain of going through depression and deflation to save the euro? Would reverting to national currencies put Europe on track for growth?

(photo: Flickr – erikasmussen)

You can’t hide lack of energy and motivation since it’s evident from how you carry yourself. Sit down somewhere and watch people walking and you will quickly notice whose got what it takes and who hasn’t. How are you going to be able to move forward and create new beginnings if you don’t have it? Who would hire or do business with someone without the drive and energy to succeed?

What kind of exercise you choose is entirely up to you. Personally I thrive on swimming, yoga, roller-blading and walking.

To be inspired will not be enough if you don’t have both the physical and mental energy it takes to succeed. So now that many of you are between jobs you have no excuse for not exercising, sleeping enough and making sure you get the nutrition you need, both for your health and mental wellbeing.

When you are tired and under stimulated you don’t perform well and your results consequently leave a lot to be desired. So now is the time to change that. You have the time and it’s not more expensive, or difficult, to lead your life in ways that give you energy. Are you getting the nutrition you need through what you are eating? Are you exercising enough? At least half an hour a day, now that you have the time? Are you sleeping enough? Have you got positive relations with the people around you? How about goals? Have you set them yet? And are you taking time out for yourself to be able to think and reflect on what is important to you and why? Not to mention learning from what is not working out the way you intended?

There is no set formula for this since we are all different. What kind of exercise you choose is entirely up to you. Personally I thrive on swimming, yoga, roller-blading and walking. But if you prefer football, jogging or whatever that’s what you should do. Exercising makes your body produce endorphins, which is like a natural feel good drug. And yoga has the added benefit of completely removing stress if you breathe properly while doing it. Not to mention pranayama, the yogic breathing exercises, that have amazing benefits on your health an well-being. Sauna and steam baths are great too since you sweat out the negative energy.

Whenever I’m in a supermarket anywhere in the world I’m amazed at what people have in their trolleys. Not as bad as junk food, but almost. There is very little nutrition left in such food, so how about eating more fresh vegetables, fruit, whole-grain bread and other good sources of fibre? And to be on the safe side, take at least a multivitamin supplement to make sure you get everything you need.

Sleeping enough to recover and repair is essential. You may be one of the lucky ones that thrive on four hours a day or you may need eight? Personally I’m fine as long as I get six hours. Anything less and I’m tired. You know how much you need, so just make sure you get it.

Being surrounded by negative people have a really bad impact on you. How about trying to improve relations, when possible? Failing that I would suggest you just ignore negative people and the discouraging comments you get. Simply make an effort to be tolerant and accept that what he/she thinks is his/her opinion. We’re all different and whose right and whose wrong?

Regarding goals, if you don’t know what you are aiming for, where will you end up? Now is the time to decide what you really want to achieve in your life. But don’t be too rigid since that may prevent you from even noticing other lucrative possibilities that come your way.

Getting time for yourself may be difficult, but it’s essential in order to move on. If nothing else how about thinking through what happened during the day and how you could have done better just before you go to sleep? And then first thing in the morning thinking through and deciding what you would like to achieve during the day.

And whatever you do, don’t feel sorry for yourself or, worse, start drinking or doing drugs, because then you really are doomed. Sitting at home watching television is not a good idea either. Read inspiring books about people who have achieved something, Dale Carnegie or other motivating authors.

Scientists have actually proven that flowers and plants make us be more creative and come up more innovative solutions to problems. So get out in nature and get energy. Not only is it delightful but it also brings you closer to your goals. Even buying a plant will have a positive affect on you. So what are you waiting for, make an effort, get more energy and succeed! No health – no wealth, is another way of putting it.

(re-published on popular demand)

(Photo Stana Photoxpress)

Criminal syndicates are increasingly turning from smuggling drugs to human cargo, and governments and law-enforcement agencies are, despite huge efforts, not able to do much about it. Hefty fees of $4,000-$10,000 per person are being charged but many immigrants still die en route.

Scrapping EU & US agricultural subsidies would go a long way towards enabling the developing world to start trading themselves out of poverty. Something that would benefit the whole world.

In Europe, the most popular destinations are Scandinavia and Britain. But once there many immigrants fail to integrate into society not only in first but frequently even second and third generation. A clear indication that they really do not want to be here, but since they can’t make a living back home they have no choice. On top of that many first generation immigrants are uneducated so their financial situation doesn’t improve much, if at all. Can’t help thinking that all this is so unnecessary and the only ones benefiting are some vested interests and the gangsters making money smuggling them to the West.

So how can we enable illegal immigrants to support themselves in their home countries hence depriving people smugglers of their lucrative income? Aid doesn’t seem to do the trick, at least not so far. So why should more foreign aid suddenly be able to remedy the current situation?

Am a firm believer of replacing aid with trade by helping developing countries trade themselves out of poverty. And the swiftest and easiest way of doing so would be to enable them to sell their agricultural produce on the international market.

The EU spends almost two fifths of its entire budget (EU budget for 2010 around 139bn Euros) the Common Agricultural Program, CAP, and even pay European farmers to overproduce. Those products are then dumped at ultra low prises in developing countries, whose farmers are not able to produce at such low costs. Result; poor farmers become even poorer and developing countries even more dependent on imports to feed their population.

Scrapping CAP as well as US farm subsidies would hence go a long way towards improving the lives of poor people in developing countries and hence reduce people smugglers income. But chances of that happening are slim, unfortunately, since farmers are a strong lobby group in the US and out of 27 EU member countries only four are interested in gradually getting rid of CAP. Not surprising since politicians first priority is to get re-elected.

We also have to take into account the high costs of supporting immigrants that neither integrate not have any means of supporting themselves? Think of all the desperate people hiding in Calais hoping to get a ride underneath a truck to the UK. Not to mention racial riots in Europe, even in small towns in Sweden? Unless we want riots to become a permanent fixture, something has to change. Wouldn’t it be better to enable them to support themselves back home where they are happy? That way only the ones that really wanted to come to the West would emmigrate – and integrate.

All consumers in the world would benefit from abolition of EU & US agricultural subsidies since agricultural products would suddenly become much cheaper. Less immigrants would come to both Europe and the US since more of them would be able to support themselves at home. Wouldn’t that be a improvement to the current situation? Less Westerners become farmers anyway, so why don’t we press fast forward and make this world a better place for all, apart from people smugglers?

What’s the point in depriving developing countries of their ability to trade themselves out of poverty in order to preserve a profession that is in decline anyway? Just to get politicians re-elected? Wouldn’t it be better to take a more holistic view and find solutions that are beneficial to all, instead of just a few? We also have to improve the global trade regime that has been crafted over the years by the WTO to benefit not only multinationals in the North but also the poor in the South. But abolishing Western agricultural subsidies would make an excellent start.

(Photo: farmingmatters – Flickr)