Editorial

International Food Crisis - an Indictment of Capitalism

According to the architects of neo-liberalism, the capitalist market is the most efficient method ever devised for the organization of production and distribution of commodities. Since at least 1989 monopoly capitalism has had a free hand to establish its markets over virtually the entire globe. Today, the real character of the capitalist market can been seen in fact that, while there is currently more than enough food to feed every man, woman and child on earth, hundreds of millions of people are starving because they cannot afford to buy that food. Food riots have broken out in numerous countries over the past several weeks and the situation is not expected to improve in the near future.

The U.S. Bush administration has suggested that the government of Myanmar is guilty of crimes against humanity because it has refused to allow the U.S. marines into the country to feed victims of the recent cyclone. Yet, in Afghanistan, a country occupied by the U.S. armed forces and several of its allies, people cannot get enough to eat in the U.S.-controlled regions of the country. Similarly, hundreds of thousands of people in Haiti are suffering from malnutrition and severe hunger despite the fact that the U.S. and its allies have been occupying the country for several years under the auspices of the United Nations Security Council. Ironically, many of the countries of Asian, Africa and Latin America which are currently suffering the worst were, not too long ago, not only self-sufficient in food, but were exporting vast quantities of agricultural commodities.

For most of human history food production was organized on the basis of satisfying the needs of the vast majority of the population. Trade in food was generally limited to those products which were surplus. In most countries famines struck only once or twice in a century after prolonged droughts. However, the internationalization of capitalism in the form of colonialism changed that situation as more and more agricultural production was geared toward serving the needs of the colonial masters for raw materials for production and food for their populations. The frequency of famines in countries like India increased to once every decade or two following the British conquest of that country.

During the 1950s and 1960s, the major capitalist countries such as the U.S., Britain, France, Germany and Canada declared that capitalist agriculture would stamp out famines once and for all. The “Green Revolution”, which emphasized modern, mechanized methods of agriculture and the use of large amounts of fertilizers and pesticides, was the capitalist alternative to the land reform and collective farming being offered by socialism. While the Green Revolution succeeded in increasing agricultural production many times, it did nothing to alleviate hunger in the colonial and neo-colonial countries. That is not because there is anything inherently wrong with scientific agriculture, but because the aim of the Green Revolution was not to eliminate hunger of the people but to fill the coffers of the capitalists.

During the first phase of the Green Revolution, vast areas of land in the developing countries which had been producing food crops for the local populations were converted to the production of cash crops for export – cotton, tobacco, sugar cane, etc. – which were needed by industries in the capitalist countries. During this period the need to import food into the capitalist countries of Europe decreased dramatically as scientific agricultural methods increased the amounts of food grown domestically in those countries. In the U.S. and Canada, which had historically been exporters of food, especially wheat and meat, during the 1980s and 1990s new crops were introduced which had previously been imported from developing countries, such as rice, soybeans, peas and various other legumes. In particular, the U.S. became one of the major exporters of rice and soybeans.

During the same period, agriculture in the U.S., and to a somewhat lesser extent in Canada, shifted from small-scale farming to large-scale capitalist farming, increasingly dominated by  huge agri-businesses such as Cargill and ADM. Today, these two American multinationals, plus the European monopolies Louis Dreyfus and Bunge collectively control over 80 percent of world grain sales and other food commodities are similarly controlled by a handful of monopoly capitalist corporations. This control over the markets also enables these monopolies to dictate the prices for food and to set them at the most profitable levels for the monopolies, levels which are unaffordable for hundreds of millions of people.

The real efficiencies of the capitalist market are not in the production and distribution of commodities, but rather in the extraction of maximum capitalist profits from the production and distribution of commodities, as well as the provision of various financial services. The policies of neo-liberalism adopted by the monopoly capitalists in the mid-1980s were designed to consolidate the stranglehold of the biggest monopolies over the entire world and to drive out any remaining vestiges of national or local economic autonomy. Various mechanisms, ranging from the economic and financial blackmail of the World Bank and International Monetary Fund to military intervention and occupation, were used to seize total control over all aspects of production, including agricultural production. Small countries were forced to open their borders to U.S. and European agricultural exports, while subsidies and tariffs were used to keep their products out of the U.S. and European markets. Even natural disasters have been used to consolidate the hegemony of the big monopolies. Rather than use aid money to buy local food commodities for distribution to victims of these disasters, the local markets are flooded with free commodities from the donor countries, thereby driving the already suffering local producers out of business. This latter practice is by no means accidental, but a deliberate strategy of the monopolies to exploit the misfortune of millions for the enrichment of a few.

The domination of the monopoly capitalist system has given rise to unprecedented wealth for the few in the midst of unprecedented misery for the many, to widespread hunger and starvation in the midst of food surpluses. Any system which is incapable or unwilling to feed its people is a system which has outlived its usefulness. Monopoly capitalism has proved that it is technically possible to feed every person on earth, but it refuses to do so because that would reduce profitability. Such a system has no logical or moral reason to continue and must be overthrown.


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