Mugged: Poverty in your coffee cup

There is a crisis destroying the livelihoods of 25 million coffee producers around the world. The price of coffee has fallen by almost 50 percent in the past three years to a 30-year low. Long-term prospects are grim. Developing-country coffee farmers, mostly poor smallholders, now sell their coffee beans for much less than they cost to produce – only 60 percent of production costs in Vietnam’s Dak Lak Province, for example. Farmers sell at a heavy loss while branded coffee sells at a hefty profit. The coffee crisis has become a development disaster whose impacts will be felt for a long time.

Coffee Markets in East Africa: Local Responses to Global Challenges or Global Responses to Local Challenges?

To what extent is global economic change mediated by national-level policies? Are global corporations adopting the same strategies in different countries or do they address varying local circumstances in different ways? Do governments in developing countries have any meaningful regulatory powers left? How can they use them to the advantage of their citizens? This paper seeks to address some of these issues by studying the dynamics of coffee market reforms in three East African countries against the background of the recent restructuring of the global coffee marketing chain. The paper focuses on two relatively neglected areas of inquiry: (1) changes in the identity, market share and organization of actors involved in commodity markets and their contractual/power relationships in the marketing chain; and (2) changes in the assessment, monitoring, and valuation of quality parameters in commodity trade. The author highlights the consequences of different trajectories of domestic market reforms and assesses the strategic choices available to producing country governments vis à vis corporate power and donor pressure towards liberalization and deregulation.

Corruption and Bribery as a Way of Life in Africa

(October 26, 2009) Corruption happens at many different levels of bureaucracy, and has become a way of life. According to Transparency International, in Africa, the informal sector amounts to more than 40 per cent of the economy in many countries, reaching well over 50 percent in Nigeria and Tanzania. The lack of legal protection and the desire to dodge regulations makes the informal sector easy prey for extortion and the solicitation of bribes by corrupt officials.

October 2009 Campaign Letter

Probe International initiates a campaign to make Stanley Marshall and the Newfoundland-based Fortis Inc. accountable to the people of Belize and stakeholders in Canada regarding the pollution spewing down the Macal river from the Fortis-owned Chalillo dam.

Read the letter and take action.

Reservoir-Triggered Seismicity in Armenian Large Dams

(Fall 2009) Reservoir-triggered seismicity (RTS) is a phenomenon, which has been observed in several large dam projects all over the world, especially for the reservoirs which are constructed in seismically active regions. Practically all the territory of the Republic of Armenia is characterized as the high seismic active area. A review of reservoir triggered seismicity in Armenia shows that it mainly occurs in large dams which are located near active faults. In this paper it has been shown that the number of microearthquakes increase after Tolors reservoir operation, cause changes of seismic regime in the observed regions.