Archive for May, 2006

Is Venezuela the New Niger?

Thursday, May 11th, 2006

The Bush Administration is Trying to Link Hugo Chavez to Iran’s Nuclear Program

Washington is no stranger to flimsy pretexts when it comes to justifying its ill-conceived, and at times illicit, Latin American initiatives. The contra epoch, the Bay of Pigs invasion, the Cuban missile crisis, Ollie North, former U.S. ambassador John Negroponte’s skullduggery in Honduras, and countless acts of chicanery aimed at Havana, Santiago, Grenada and Guatemala come to mind.

A spate of articles tying Hugo Ch‡vez to Iran’s covert nuclear program suggests that Washington may now be finding it increasingly difficult to resist further calumniating Venezuela by working to forge a new weapon for its anti-Caracas jihad.

The only problem is that the basis for such a charge would be a complete concoction, more worthy to be put to work in Iraq, where anything goes, than in Latin America. Such a scenario would intimate that ties exist between alleged Venezuelan uranium supplies and the Iranian nuclear program. In other words, Caracas would be presented as a terrorist nation, illicitly involved in trafficking bootleg uranium to the pariah Iranian regime in exchange for nuclear devices and maybe other considerations.
counterpunch.org

Bolivia’s Morales vows to nationalise mining industry

Thursday, May 11th, 2006

Evo Morales, Bolivia’s leftwing president, has vowed to nationalise the country’s mining industry, overruling senior members of his cabinet in a move that could affect foreign investors such as Coeur d’Alene and Apex Silver of the US.
indiadaily.com

Turning a Planet into a Slum

Thursday, May 11th, 2006

…Davis: Only in the last few years have we been able to see urbanization clearly on a global scale. Previously, the data was untrustworthy, but the United Nations Habitat has made heroic efforts involving new data bases, household surveys, and case studies to establish a reliable baseline for discussing our urban future. The report it issued three years ago, The Challenge of Slums, is as pathbreaking as the great explorations of urban poverty in the 19th century by Engels or Mayhew or Charles Booth or, in the United States, Jacob Riis.

By its conservative accounting, a billion people currently live in slums and more than a billion people are informal workers, struggling for survival. They range from street vendors to day laborers to nannies to prostitutes to people who sell their organs [for transplant]. These are staggering figures, even more so since our children and grandchildren will witness the final build-out of the human race. Sometime around 2050 or 2060, the human population will achieve its maximum growth, probably at around 10 to 10.5 billion people. Nothing as large as some of the earlier apocalyptic predictions, but fully 95% of this growth will occur in the cities of the south.

TD: In essence, in the slumsÉ

Davis: The entire future growth of humanity will occur in cities, overwhelmingly in poor cities, and the majority of it in slums.

Classical urbanization via the Manchester/Chicago/Berlin/ Petersburg model is still occurring in China and a few other places. It’s important to note, though, that the urban industrial revolution in China precludes similar ones in other places. It absorbs all the capacity for light manufacturing goods — and increasingly everything else. But in China and a few adjacent economies, you still see city growth with an industrial motor. Everywhere else it’s occurring largely without industrialization; even more shockingly, often without development in any sense. Moreover, what were, historically, the great industrial cities of the south — Johannesburg, Sao Paulo, Mumbai, Bello Horizonte, Buenos Aires — have all suffered massive deindustrialization in the last twenty years, absolute declines in manufacturing employment of 20-40%.

The mega-slums of today were largely created in the 1970s and 80s. Before 1960, the question was: Why were Third World cities growing so slowly? There were, in fact, huge institutional obstacles to fast urbanization then. Colonial empires still restricted entry to the city, while in China and other Stalinist countries, a domestic passport system controlled social rights and so internal migration. The big urban boom comes in the 1960s with decolonization. But then, at least, revolutionary nationalist states were claiming that the state could play an integral role in the provision of housing and infrastructure. In the 70s, the state begins to drop out, and with the 80s, the age of structural adjustment, you have the decade of going backwards in Latin America, and even more so in Africa. By then, you had sub-Saharan cities growing at faster velocities than Victorian industrial cities in their boom periods — but shedding formal jobs at the same time.

How could cities sustain population growth without economic development in the textbook sense? Or, to put it differently, why didn’t Third World cities explode in the face of these contradictions? Well, they did to some extent. At the end of the 80s and in the early 90s, you have anti-debt riots, IMF [International Monetary Fund] riots, all across the world.
tomdispatch.com

Davis talks about Los Angeles in a lot of this interview.

At least 90 die in 4 days in Somalia

Thursday, May 11th, 2006

MOGADISHU, Somalia (AP) Islamic militiamen and their secular rivals battled Wednesday for control of Somalia’s capital despite promises of a cease-fire, bringing the death toll from three days of fighting to at least 90.

The sounds of heavy weapons echoed through the city, but the fighting was not as intense as it has been over the previous three days. The battle between gunmen loyal to Mogadishu’s Islamic courts and secular militiamen has centered on the northern neighborhood of Sii-Sii, with neither side gaining an advantage.

Francois Lonseny Fall, the U.N. secretary general’s special representative for Somalia, appealed for “leaders on both sides to step back from the brink and reconsider the damage they are inflicting on the population.”

“Whatever the allegiances, the intermittent conflict between heavily armed camps has resulted in indiscriminate loss of life and has created fear and chaos for those civilians trapped in the crossfire,” he said. “The indiscriminate use of heavy machine guns, mortars, rocket-propelled grenades and artillery in and between urban areas is unacceptable.”

At least 90 people have been killed and nearly 200 wounded since fighting flared up in the capital Sunday, said Dr. Mohamed Hassan of Ayaan Hospital, citing reports from Mogadishu’s main hospitals.
usatoday.com

Putin: arms race with US is not over

Thursday, May 11th, 2006

Vladimir Putin has pledged to build up Russia’s military to rival “fortress” America, and insisted the Cold War arms race is far from over.

Putin pledged to boost Russia’s nuclear deterrent

In an unexpectedly belligerent state of the nation address on Russian TV, the Russian president accused the US of putting its own interests before its democratic ideals, and compared the country to a voracious wolf.

“We are aware what is going on in the world,” he said.

“Comrade wolf knows whom to eat, he eats without listening, and he’s clearly not going to listen to anyone.”

He added: “It is premature to speak of the end of the arms race. It is in reality rising to a new technological level.”
telegraph.co.uk

Mushroom Cloud Blast in Nevada Delayed

Thursday, May 11th, 2006

LAS VEGAS – A non-nuclear explosion expected to generate a mushroom cloud over the Nevada desert will be postponed at least three weeks, while a federal court reviews plans for the blast, test officials said Tuesday.

“The planned Divine Strake experiment will not be conducted earlier than June 23,” said Cheri Abdelnour, spokeswoman for the Defense Threat Reduction Agency at Fort Belvoir, Va. The blast was originally scheduled for June 2.

Darwin Morgan, spokesman for the National Nuclear Security Administration in North Las Vegas, confirmed the date change but declined further comment.

…The lawsuit, filed April 20 by Reno-based lawyer Bob Hager, accuses the government of skipping public comment and failing to complete required environmental studies before picking a date and place for the explosion.

It claims the planned 700-ton ammonium nitrate and fuel oil bomb will kick up radioactive fallout left from nuclear weapons tests conducted from 1951 to 1992 at the Nevada Test Site and irreparably desecrate land that members of the Western Shoshone tribe have never acknowledged turning over to the U.S.

The blast, some 85 miles northwest of Las Vegas, is expected to generate a 10,000-foot mushroom cloud and a shock wave that officials say will probably be felt in Indian Springs, about 35 miles northwest of Las Vegas.

The federal Defense Threat Reduction Agency claims the explosion will help design a weapon to penetrate hardened and deeply buried targets. Critics have called it a surrogate for a low-yield nuclear “bunker-buster” bomb.
news.yahoo.com

Gold hits $700 for first time since 1980

Thursday, May 11th, 2006

NEW YORK (Reuters) – U.S. benchmark gold futures scaled a new 25-year high at $700 an ounce on Tuesday, boosted by relentless investor buying powered by geopolitical concerns and expectations of further price gains ahead, dealers said.

By 11:30 a.m. EDT, June delivery gold on the New York Mercantile Exchange’s COMEX division was up $20.10 or 2.9 percent at a session peak of $700, which marked the loftiest level for futures since September 1980.
reuters.com

Saudi Arabia to privatize bourse, set up financial district

Thursday, May 11th, 2006

RIYADH (AFP) – Saudi Arabia announced plans to turn its stock market into a shareholding company open to the private sector and to establish the Middle East’s largest financial district.

The move to privatize the bourse, announced by Capital Market Authority (CMA) chairman Jammaz al-Suhaimi at an economic conference, will help the stock market operate on more professional and transparent bases and introduce new products and services, analysts said.
news.yahoo.com

Kuwait Unveils New Oil Privatization Plan

Thursday, May 11th, 2006

Kuwait unveiled a plan to privatize parts of the state-controlled oil industry, while a senior oil executive said the emirate will invest at least US $64 billion in developing the sector.

“Our plan envisages privatizing more oil activities,” Energy Minister Sheikh Ahmad Fahd al-Sabah said in a speech read on his behalf by Kuwait Petroleum Corp. (KPC) Deputy Managing Director Sheikh Talal al-Sabah.

“This plan aims to allow KPC to focus on exploration and production of oil and natural gas,” which remain under state control, the minister told a symposium.

By the end of the current year, KPC plans to sell at least 30% of its foreign arm, the Kuwait Foreign Petroleum Exploration Company (KUFPEC) and 49% of Kuwait Drilling Company, the minister said.

It also plans to privatize two petrochemicals projects producing propylene and fertilizers, and Kuwait Oil Tanker Company (KOTC) which currently operates 24 oil tankers for crude and petroleum products, he said.

The emirate also plans to issue licenses for up to three new oil tanker companies, he said.

Kuwait also plans to privatize at least 20% of the planned new 615,000 barrels per day refinery which is estimated to cost US $6.3 billion and slated to come on line in 2010.

The minister said KPC plans to sell its butane gas factory, the only one of its kind in Kuwait, and a hospital run by the oil sector.

“All these privatization plans will be completed by 2010,” Sheikh Ahmad said.
rigzone.com

The Corporate Takeover of Iraq’s Economy

Thursday, May 11th, 2006

The roots of the economic takeover of Iraq are long and deep. They became more aggressive after the strongest U.S. ally in the region, the Shah of Iran, was deposed in the 1979. The roots of the quest of dominance of the oil-rich region are found in both the Democratic and Republican Party, but the most aggressive pursuit has been by George W. Bush.

Former President Jimmy Carter wrote in his memoirs that many Americans “deeply resented that the greatest nation on the earth was being jerked around by a few desert states.” And, when he was president he put forward “the Carter Doctrine” in a State of the Union Address in 1980 that acknowledged “the overwhelming dependence of the Western democracies on oil supplies from the Middle East” and promised military force would be used to ensure access to Middle East oil: “Any attempt by an outside force to gain control of the Persian Gulf will be regarded as an assault on the vital interests of the United States of America and . . . will be repelled by any means necessary including the use of force.”

But, according to a book by Antonia Juhasz, “The Bush Agenda,” it was the Reagan, Bush I and Bush II administrations that most aggressively pursued the Iraq oil economy. Her excellent book tells a story that explains the reasons for the invasion and occupation of Iraq. It shows how the Reagan and Bush I administrations began by building a friendly trade relationship that provided money, arms, intelligence, and political protection to Saddam Hussein–despite his brutal record as a despotic dictator. And, how the Clinton years led to ‘regime change’ in Iraq becoming the policy of the United States and naturally following that was the Bush II’s military invasion of the country.

She highlights the web of corporate interests from the oil, oil engineering and military sectors of the U.S. economy that have combined with government to the build-up to the invasion of Iraq. Many of the corporate players–Chevron, Bechtel, Lockheed Martin and Halliburton–have corporate leaders who went into and out of government over the years, influencing the direction of U.S. policy and then ensuring that their corporations profited mightily from the policies they put in place. Juhasz points to Dick Cheney, Donald Rumsfeld, L. Paul Bremer, Scooter Libby, Robert Zoellick, Paul Wolfowitz, Zalmay Khalilzad and George Shultz, as key players in the long term quest to takeover of Iraq’s economy.
counterpunch.org