BRICS lessons from Durban…If you carve Africa, Africa may carve youPatrick
Bond and Khadija Sharife2013-03-28, Issue
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*cc B R* <https://picasaweb.google.com/118226792205545993403>Just before
the BRICS state bureaucrats and corporate interests met in Durban this week
to plan how to continue to extract profits, the tragedy of thirteen SA
National Defense Force troops in the Central African Republic lost their
lives in a vain attempt to safeguard potential mining deals. A different
way is needed in which people-led activism challenges and transforms
vulture capitalism

The reach of the Brazil-Russia-India-China-South Africa (BRICS) leaders was
palpable this week, not just here in Durban where they gathered on Tuesday
and Wednesday to plan investments and infrastructure, but everywhere up
continent where extraction does extreme damage.

One site is the Central African Republic (CAR), where last Saturday
thirteen SA National Defense Force troops lost their lives (with 27
wounded) in a fight of 200 South Africans initially against the very CAR
troops they were training, according to an army trade unionist, followed by
Seleka rebels who then apologized for killing the South Africans.

These tragic deaths were in vain: not in support of African democracy, for
François Bozizé was such a brutal tyrant that not even France made an
attempt to prop him up. Instead, over the past ten weeks, our SA troops
have been defending counterproductive, repressive military investments and
potential mining deals, as deputy foreign minister Ebrahim Ebrahim let on
in a recent interview explaining their deployment.

A Reuters correspondent is probably correct: ‘It is particularly
embarrassing for South Africa, which is seeking to project itself as an
influential regional power on the continent this week as it hosts a summit
of the BRICS emerging states and welcomes new Chinese President Xi Jinping
on his first visit to Africa as head of state.’

AN EMBARRASSING TRAGEDY

This embarrassment is not just a matter of oft-remarked military
incompetence. The Resource Curse reminder is also stark, coming alongside
the ongoing socio-economic and environmental chaos in Marikana’s platinum
mines and Zimbabwe’s Marange diamond fields.

The awful news from Bangui should have been a wake-up call to BRICS heads
of state, to clear their heads and contemplate the extractive-industry
crises they are amplifying, hand-in-glove with Western corporations and the
15 African leaders who met just after BRICS concluded at Durban’s
wealthiest gated-community resort, Zimbali.

At Zimbali, by coincidence, Zimbabwe president Robert Mugabe is putting
finishing touches on a glorious mansion, maybe for his coming voluntary
retirement. That precedent could explain the BRICS delegation’s detour far
north of the city, followed by their evening return back to the
International Convention Centre, and then back again near Zimbali to the
airport for their departures in an irrational, manic zigzag through
Durban’s rush-hour traffic.

CRONY CAPITALISM OF TYRANTS

The likes of Ugandan tyrant Yoweri Museveni, the most senior member of the
African delegation to the BRICS-Africa Dialogue, at least had a chance to
check out the local real estate market for a future nightmare scenario when
Arab Spring-type democratic revolts succeed. In late 2011, after Ugandans
were inspired by Egyptians at Tahrir Square, Museveni outlawed the
country’s famous ‘Walk-to-Work’ protests: the favoured Kampala tactic was
simply strolling. Museveni’s militarization of the territory now under oil
exploration is the predictable precursor for Resource Cursed Uganda.

At Marange in eastern Zimbabwe, members of Mugabe’s closest faction –
including defense minister Emmerson Mnangagwa, army commander Constantine
Chiwenga and others running the junta known as the Joint Operations Command
– are allied with a Shanghai company via a joint venture known as Anjin,
which allows the Chinese to run a tight labour regime (paying unskilled
workers just $180/month), while the military manages overall security.

Billions of dollars worth of Marange diamonds have already been extracted,
with only a tiny trickle flowing back to the finance ministry in Harare.
Chiwenga’s many trips to China sealed military deals including a recently
launched $100 million army training school as well as arms purchases that
everyone hopes are not used in coming weeks, as the national election
approaches.

Meanwhile, with Johannesburg hosting the 10th anniversary of the Kimberley
Process for corporate social responsibility in the diamond trade next
month, we cannot forget how SA’s policy manager Abbey Chikane colluded in
the five-week arrest (and torture) of Farai Maguwu, who has been
watchdogging the diamond trade and winning Human Rights Watch awards for
his bravery.

Remarked Ian Smillie, a key architect of the Kimberley Process, ‘We don’t
know where all the [Marange] diamonds went that were approved by Chikane.
Chikane was a mistake on several levels. He was closely allied with the
government of South Africa, which had demonstrated a pathological inability
to be critical of Zimbabwe’s horrendous human rights abuse in Marange. And
he has extensive personal business interests in the Southern African
diamond industry that should have disqualified him from the outset.’

There is similar resource cursing underway in platinum. In recent days, at
the Farlam Commission hearings into the Marikana massacre, more Lonmin
connections to the SA Police murderers have been revealed via incriminating
emails from African National Congress deputy president Cyril Ramaphosa, who
owned 9 percent of Lonmin at the time. The incriminating emails were sent
to his political allies running the police and mining ministries the day
before the killing of 34 miners last August.

It all reeks of the crony capitalism that characterized the gatherings
between BRICS state bureaucrats and corporate interests, who crowded into
the same Durban convention centre hallways this week. Pretoria’s foreign
ministry explicitly excluded anyone from civil society from attending, and
SA’s most accomplished environmentalist, Bobby Peek, was even prohibited
from entering for a debate on national radio on Tuesday.

CSO PROHIBITED FROM BRICS MEETING

A few hours later on the same radio network, SA’s BRICS Ambassador Anil
Sukla confirmed Pretoria’s refusal to send a representative to the
‘brics-from-below’ civil society conference, which on Monday-Tuesday was
located in a church just a few minutes away from the BRICS meeting.
Requests to participate in BRICS deliberations made over prior weeks by
social movements, NGOs and even major trade unions were swatted away by
Suklal’s colleagues – yet big business has pride of place inside today.

That leaves BRICS rulers and their corporations to quietly plan the further
looting of Africa, joined by the pliable guests led by Museveni. However,
subsidized state funding is needed to facilitate deals because commercial
banks know there are intolerable risks – like those the SANDF troops just
suffered.

To facilitate, the Development Bank of Southern Africa (DBSA) is lining up
to play a crucial role, and Suklal lobbied for SA to host the $50 billion
BRICS Bank that was supposed to have been launched on Wednesday. Its
postponement until further talks when the Russians host the G20, appeared
to reflect the lack of confidence of BRICS in Pretoria.

ESCHEWING PROGRESSIVE DEVELOPMENT IDEALS

A genuinely counterhegemonic financial strategy would have been for BRICS
to instead support the late Hugo Chavez’s Bank of the South. The idea was
spurned, as BRICS elites apparently want an institution without any residue
of more progressive development ideals.

The DBSA’s team is led by former South African spy chief Mo Shaik, through
its subsidiary Development Bank International. Shaik is notorious for
political shenanigans dating to the government’s notorious late 1990s arms
deals. Still, more than $700 million was authorized for DBSA
recapitalization last month in SA finance minister Pravin Gordhan’s budget,
in the wake of the DBSA’s $40 million loss in part due to gambling in
mining concerns like Ramaphosa’s last year.

Revealing its new orientation, the pro-privatisation DBSA has, in recent
weeks, been firing most of its social and environmental staff and shutting
down its development journal and library. Its record of infrastructure
investment – including commercialized water and toll-roads – does not bode
well for people or the planet. Expect the BRICS Bank’s subsidized rail,
road and port credits to lubricate more multinational corporate extraction.

The major benefit of BRICS to South African extractive interests was in the
railroad loans aimed at extracting coal and iron ore and shipping from our
deepest port, at Richard’s Bay. The contribution to climate change will be
prolific, and the resource curse associated with coal-related pollution and
political corruption can only intensify.

The largest coal-fired electricity generator under construction in the
world today is the core of the rail-energy nexus, at Medupi in Limpopo
Province, and on Tuesday the workers announced yet another strike. The
plant has already been delayed two years due to unrest and supplier chaos,
in spite of the World Bank’s largest-ever project loan ($3.75 billion in
2010) for the hotly contested plant. To pay for it, electricity prices for
poor people are soaring, with more rioting over electricity and other
municipal services the logical result.

Another source of intense contestation over coal is Mozambique’s Tete
Province, where the world’s largest coal field was recently discovered and
is being exploited by Rio-based Vale mining house (the world’s second
largest). Vale was named the world’s worst corporation by the Public Eye
People’s Award in 2012, and popular resistance to mass displacement of Tete
residents is already becoming fierce.

Indeed, as Pretoria’s commitment to not just Medupi but also Bangui shows,
when these elites carve up Africa, the backlash can be brutal. A different
way is needed: with more respect for societies and nature than for the
profits of BRICS corporates. There are countless forms of resistance being
shared by brics-from-below activists from each of the countries and their
hinterlands – and growing linkages that mean coordinated critique and
campaigning can be a logical next step in bottom-up internationalism.

*Patrick Bond and Khadija Sharife are based at the University of
KwaZulu-Natal Centre for Civil Society.


BRICS grab African land and sovereigntyTomaso Ferrando2013-03-28,
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------------------------------


*cc CH* <http://cnn.com/>BRICS states, except Russia, are enhancing and
facilitating land grabs abroad in a way that is inconsistent with their
proclamations of sustainable development, cooperation solidarity, and
respect of national sovereignty.

Although there are many different analyses, one general approach to BRICS
relationships with the South asserts that they are distinguishable from
traditional Northern donors (as opposed to investors which will be
discussed below). In particular, it is often claimed that South-South
development cooperation does not attach policy conditionalities, provides
assistance based on a win-win paradigm, and places emphasis on how to
ensure economic sustainability of the receiving country. [1]

While China especially stresses the need to respect the sovereignty of the
receiving country, all the BRICS promote a development strategy based on
equality, solidarity, mutual development and cooperation, these differences
from Northern donors, it is said, contribute to more effective cooperation
and to a better perception by local populations.

Some differences do exist between the way in which Northern donors and
BRICS conceive receiving countries’ sovereignty and their independence when
official development assistance is at stake. But not so with foreign direct
investments (FDI) in land; for when access to this precious resource is at
stake, the approaches and positions of both the North and the South toward
low-income countries (LICs) countries converge more significantly than it
might be thought.

The current ‘land rush’ is characterized by some peculiar features: it is
happening at an unprecedented speed as a product of cumulative local and
global forces; it has a direct impact on access to land and water, which
have now become scarce resources; it is happening in a world inhabited by
more than seven billion people, the majority of whose food security is
everyday more at risk; it is almost never the consequence of wars or
occupations, but is taking place within the boundaries of the existing
legal framework.

However, even though land grabbing is a global phenomenon, it is firmly
rooted in the local reality and it is this local reality that has to be
studied in order to fully grasp its effects. [3] Land grabbing is bad not
only because it takes the land away, but also because it implements an
economic model which is socially, economically, politically and ethically
unsustainable and unacceptable.

Looking at where the investments come from, the lack of a central driving
region is striking. What we see is the coexistence of actors (public,
private and mixed) from the North, Gulf States, emerging economies –
including BRICS – and, in some cases, from Low Income Countries themselves.
On average, investors’ countries have a GDP per capita (four times higher
than target countries) and this difference is even higher when we exclude
countries that are both the origin and target of investment flows. [3]

A June 2011 study by the International Land Coalition suggested that land
grabbing concerned around 80 million hectares, 64 percent of which are
located in Africa, [4] whereas the latest update by the same organization
refers to more than 200 million hectares, that is, eight times the size of
Britain, or the entire North-West Europe. [5]

According to the most recent data collected by the Land Matrix Initiative
and elaborated by Anseuuw et al. (ibid), 83.2 million of hectares of land
in developing countries have certainly been targeted by investors, 56.2
million of which are located in Africa, 17.7 million in Asia and 7 million
in Latin America. [6] Moreover, the majority of reported acquisitions are
concentrated in just a few countries.

Data shows that BRICS investors play an increasingly crucial role (except
Russia, which remains at the margin of the rush probably due to the amount
of available land) demonstrating that land grabbing is happening not only
from the traditional core to the peripheries, but also transversally on the
geopolitical map of the world. There are zones of interest for each
country, with a predilection toward neighbouring countries (especially in
the case of Brazil, South Africa and China) and certain areas of the
African continent depending on geographical proximity or linguistic ties.

BRICS investors target low-income countries, while a recent report released
by Oxfam has underlined the close relationship between weak internal
governance and land grabbing. [7] Moreover, it can be affirmed that
geographical proximity, regional integration, and cultural connections are
other three factors that can determine the flow of the investments.

Indian investors are particularly active in Indonesia, Malaysia and in the
eastern part of Africa (especially Ethiopia [8] and Kenya), while Brazilian
interests appear to be reduced and limited to Eastern Africa.
Interestingly, South African capital is crossing the borders of Mozambique,
Zambia [9] and Swaziland, [10] but also of the Democratic Republic of
Congo, [11] Angola, Benin, Congo and Ethiopia. [12] Finally, according to
the available data, China is the most active investor, with more than five
million hectares of land accessed in all the continents, with a stronger
presence in Southern Asia, [13] Oceania and South America, rather than in
Africa. [14]

BRICS LAND GRABS IN AFRICA

Country and Total Land Total Land and Regional Areas Target Countries
Brazil

28,000 ha Eastern Africa 28,000 ha Mozambique, Ethiopia
India

1,924,509 ha Central Africa: 15,000 ha
Eastern Africa: 1,761,800 ha
Northern Africa: 8,020 ha
South East Asia: 139,689 ha Cambodia, Indonesia, Lao, Philippines, India,
Cameroon, Ethiopia, Madagascar, Mozambique, Sudan
China

1,140,683 ha Central Africa: 10,000 ha
Eastern Africa: 126,171 ha
South America: 348,972 ha
South-East Asia: 628,139
Western Africa: 26,000 ha Cambodia, China, Sudan, Lao, Philippines, India,
Bolivia, Peru, Argentina, Benin, Cameroon, Ethiopia, Mali, Democratic
Republic of Congo, Uganda, Zimbabwe
South Africa

1,416,411 ha Central Africa 340,000 ha
Eastern Africa: 367,174 ha
South America 55,794 ha
Western Africa 650,000 ha Colombia; Angola; Benin; Ethiopia, Democratic
Republic of Congo, Mozambique; Madagascar

Brazilian rhetoric – the ‘dawn of a new economic era between Africa and
Brazil’ [15] – is belied by President Dilma’s recently-concluded agreement
with Mozambique and Japan to develop a 14 million hectares agricultural
project in the north of Mozambique. [16] Indeed Brazil is leading the pack
when it come to land grabbing. [17]

Brazil, Indian, South African and Chinese investors have already obtained
access, via lease or purchase, to millions of hectares located in other
Southern countries, directly competing with Northern and Gulf countries for
the land and water resources which sustain millions of local communities
(to say nothing of the environmental equilibrium and biodiversity).

Crucial for this land grab are the diplomatic and legislative strategies
adopted by the governments of the BRICS. As global players in need of
economic expansion, energy and food, the BRICS economies are enhancing and
facilitating operations involving land abroad in a way that is inconsistent
with their proclamations of sustainable development, cooperation,
solidarity, and respect of foreign sovereignty.

China, India and South Africa have adopted legal reforms that favour the
delocalization of food and energy production. In contrast, Brazil has used
its legislative autonomy to reduce access to Brazilian land by foreign
investors, while the ongoing accumulation of Russian land is the
consequence of the privatization that took place in the 1990s.

The role of South Africa in sustaining investments in land abroad is
illustrative. Given that the crops produced abroad by South African
investors are generally sold on the global market rather than imported back
to South Africa, the efforts undertaken by the government primarily concern
international trade, rather than the creation of legal incentives to
guarantee food security through productive delocalization.

Minister of Agriculture Tina Joemat-Pettersson announced in 2010 a fund of
six billion South African Rand (ZAR) (or about 680 million US dollars) for
supporting South African farmers, half of which would be spent on projects
beyond South Africa’s borders. [18]

Moreover, despite the rising concerns about the negative impact of land
grabbing, both in South Africa and abroad, the African state has proposed
no legal intervention to require a stronger and more effective respect of
international human and environmental rights by national investors
undertaking projects abroad. The African solidarity supposedly at the base
of the relationship between South Africa and its neighbouring countries
appears particularly weak when it’s time to support national investments
and profit generation.

Brazil’s approach toward large-scale investments in land is very strategic,
not to say hypocritical. On the one hand, parliament has been debating for
almost one year the introduction of new legislation to prohibit foreign
ownership of Brazilian land [19] while at the same time pursuing a policy
of land concentration and massive industrialization, both nationally and
abroad, with specific attention to the production of agrofuels. [20]

The fight against foreign ownership began in 2010 when limits on the area
of land foreign companies can buy were imposed by a new interpretation of
the existing law issued by the Brazilian attorney general’s office. However
this does not appear to be accompanied by a fully coherent politics in
favor of peasants and local realities. [21]

While it is true that the Lula administration introduced some initiatives
that were favourable to small-scale farmers, including the 2009 revision of
the productivity indexes that determine which properties are subjected to
expropriation, and while the pressure exercised by the Movimento dos
Trabalhadores Sem Terra (MST) has achieved some good results such as
securing access to land for 800,000 families, the power of agribusiness and
levels of land concentration continue to rise. [22]

Brazil’s economic growth has been strongly dependent on the expansion of
arable land and pastures, land consolidation through property
regularization,market liberalization, and a clear commitment to
agribusiness and agrofuel production – in particular in the area of the
Cerrado, where the a ‘march toward the West’ was proclaimed by the state in
order to occupy its ‘empty spaces.’ [23]

This combination of policies and preferences has significantly affected the
environmental and social equilibrium of vast tracts of the country, where
it is estimated that 40-50 per cent of the vegetation has been destroyed.
[24]Paradoxically, internal pressure against deforestation is significantly
moving the attention of the government and of the investors toward
peripheral countries.

Land grabbing has been facilitated by the expansion of bilateral investment
treaties (BITs) which amplify economic and power asymmetries. The surge in
BITs represents the switch from the universal multilateralism of the past
to a more fragmented bilateralism. Investments are free to move, and take
advantage of their mobility to force countries into a fierce competition
whose outcome is a subordination of the collectivity to the interests and
economic needs of the investor.

The number of BITs is exploding and the Brics are increasingly part of this
trend. Between 1959 and 1991, over 400 BITs were signed, a figure that rose
to 2600 by mid-2008, while BIT-like provisions have been written into a
growing number of broader free trade agreements (FTAs). [25] By 2004,
South-South BITs accounted for 28 per cent of the total number of BITs
signed. [26]

These BITs are first of all utilized by states to create reinforced
regional ties with target countries, so as to create an easily reachable
zone for investors based on the subordination of sovereign prerogatives and
a simpler access to factors of production, such as land and labour, and raw
materials. BITs between the Brics and LICs with strongly pro-investor
content rebuts, in reality, the South-South rhetoric of the Brics.

China has concluded BITs with developing and LICs countries (Chad, Costa
Rica, Cuba, Republic of Korea, Cote d’Ivoire, Gabon, Seychelles, Laos,
Libya, Mali, Myanmar/Burma, Madagascar, Ethiopia, Uganda, etc.). Sixty
percent of the BITs concluded by China between 2002 and 2007 were with
developing countries, mainly African. [27]

South Africa too has been extremely active in signing BITs since the end of
the apartheid era, as it reorients its international relations according to
the economic needs of national investors. In an official 2009 review of
South Africa’s BITS, the Department of Trade and Industry stated, ‘given
the sizable intra-Africa investments made by Republic of South Africa (RSA)
companies, the RSA ought to assess how best such investments by its
citizens may be safeguarded.’

As a consequence of the intra-regional expansion of South African
investments, the government has BIT-type agreements on the promotion and
reciprocal protection of investment (plus related protocols) with Angola,
Cameroon, Democratic Republic of the Congo (DCR), Gabon, Guinea, Ethiopia,
Mauritania, Namibia, Sudan, Tanzania, Zambia and Zimbabwe.

In sum, rather than acting as institutional and legal laboratories for
testing new rules and instead of constructing a parallel network of
bilateral agreements based on new principles and new relationships between
investors and states, South-South BITs reproduce the same logic and, in
some cases, the same wording as North-South BITs.

And hypocrisy is evident, when in 2009 a notice of the Department of Trade
and Industry referring to the ongoing review of bilateral investment
treaties entered into by the Republic of South Africa since 1994 to date,
states that the ‘Existing international investment agreements are based on
a 50-year-old model that remains focused on the interests of investors from
developed countries. Major issues of concern for developing countries are
not being addressed in the BIT negotiating processes. BITs extend far into
developing countries’ policy space, imposing damaging binding investment
rules with far-reaching consequences for sustainable development.’ [28]

However, although RSA has decided to adopt a policy of not renewing BITs
concluded during the apartheid period which impose a huge burden over
state’s prerogatives – such as the ones with Luxembourg and Belgium [29] –
in the same period, South Africa was adopting the same approach when
concluding a BIT with Zimbabwe. Looking at the 2009 BIT concluded between
the two African countries, it clearly replicates the same legal
architecture that is so openly criticized – included an extremely generous
expropriation clause which requires the state to fully compensate the
market value in any case of nationalization, expropriation or equivalent
measures, with no admitted exceptions. [30]

Likewise, South-South investment contracts in land replicate the same
content as North-South agreements. One of the most striking elements
contained in the contracts involving BRICS investors is the use of
sovereignty in order to define land as void and immediately disposable,
particularly in the case of Sub-Saharan Africa.

Although studies conducted on the availability of land and the voices of
the people themselves tell us that there is no underutilized or void land
in Sub-Saharan Africa, the exercise of sovereignty over public land
legitimizes the production of a different vision of reality that is then
codified and crystallized in the clauses of the contract.

In the name of the people, the representatives of the states assume the
obligation to ‘hand over vacant possession of the land’ or to ‘ensure that
such lands shall be free from Encumbrances at the date of handover of such
lands in accordance which the Development Project’, and noncompliance would
represent a contractual breach. [31]

According to the majority of the constitutions of African nations,
non-titled land belongs to the public, the nation or the state, that is the
institutionalized authority, which has the duty to manage but can never
fully dispose of it. The occupation of the land by people without any
official title is thus admitted but not legally recognized, and the state
has the legitimate power to dispose of its natural resources.

Whenever it concludes an investment contract that defines occupied land as
void and available, the state is therefore looking at the legal reality,
leaving aside the evidence on the ground: acting as the owner of the land,
and by maximizing its power and prerogatives, the state constructs a
functional legal reality and has the coercive power to legitimately enforce
it. Whoever does not respect the new legal canon defined into the contract
is immediately wiped out from the sphere of legality, becoming illegal.
Peasants who do not treat nature as an exploitable source, farmers who
practice shifting cultivation, nomadic pastoralism or hunting and
gathering, suddenly become legally non-existent or, even worse, outlaws.
[32]

Despite the fact that investors and the state claim that the projects are
taking place in ‘available marginal lands’ – that is marginal,
under-utilized or un-used, empty or sparsely populated, geographically
remote, and socio-politically and legally available lands – evidence shows
that land investments around ‘flex crops’ and other food sectors also
compete for fertile land, creating struggles that are silenced by the
contracts.

In conclusion, the investment contract concluded between states and BRICS
investors allows a reinterpretation of reality according to the needs of
the investor through the exercise of the prerogatives of the state, which
is subsequently enforced by the possibility for the investor to trigger
principles of international law in order to ensure the contract is
respected. In this way, sovereignty is exercised neither autonomously nor
for the good of people.

Millions of people have already been displaced or prevented from accessing
their traditional land, and this is happening under the cover of a complex
legal network formed by contract, national, international and investment
law.

Moreover, in order to fully develop large-scale projects, investors
frequently have to rely on massive inputs, including water which is
frequently diverted from its natural course and utilized for their
production. Wherever large-scale agriculture is adopted, water is crucial
and its diversion can seldom be achieved in a way that is entirely
consistent with the needs and survival of small-scale peasantry.

Interception, diversion or storage of water creates downstream effects or
may place demands on upstream land users. Investment contracts are the
legal instrument that legitimizes the appropriation of water for industrial
needs and the codification of a power asymmetry that is detrimental to
people’s fundamental rights.

In sum, my intention has been to look at whether the BRICS rhetorics of
‘respect of national sovereignty’ and the ‘promotion of solidarity’ [33]
are valid and applicable in the case of the current large-scale investments
in land, which is an issue of mounting global concern, and has been
variously described as ‘land grabbing’, ‘neo-colonialism’, ‘modern
imperialism’, ‘green rush’, ‘scramble for Africa’, etc.

The dominant narrative about the BRICS approach to development is based
upon G77 principles that affirm South-South cooperation, equality,
solidarity, mutual development and complementarity. [34]Yet in reality, the
proliferation of South-South bilateral investment treaties together with an
extraordinary level of capital mobility provides investors with the
possibility to generate a regulatory competition between peripheral
countries, who in turn utilize their sovereignty (in particular, their
sovereignty over natural resources, ability to set taxes, etc.) to become
more attractive than their neighbors. The consequence is that formally
public or common goods such as land, water, labor and fiscal resources have
been progressively privatized and accumulated under cover of private
investment agreements.

As in the case of North-South investments by hedge funds, pension funds,
and agrobusiness, BRICS relationships with African LICs are based on
investment contracts that emerge from asymmetrical positions, and codify
and crystallize the legal order that best fits the interests of the
investors. In this way, it is not only the communities and the environment
that are kept outside the framework, but public scrutiny as a whole.

Instead of respecting national sovereignty and promoting solidarity, most
BRICS (not Russia) are utilizing international law and diplomatic powers in
order to bind foreign governments in bilateral agreements which inherently
favor the investors and reduce the scope for national autonomy.

Yet as we can see by the mounting tensions around the numerous Chinese
investments in Brazilian land, BRICS can also attack each other’s
sovereignty over natural resources, a situation that could degenerate into
the freezing of international relations and in deepening diplomatic
tensions. Finally, BRICS can also be competitors for the same finite
resource, a contingency that could potentially produce a race to the top in
the quality and content of the investments, but that could also degenerate
in an acceleration of resource grabbing, exacerbating the negative impacts
over people and the environment, but also creating deeper political
instability.

The case of land demonstrates that South-South relationships have to be
studied more deeply and critically and that the notion of BRICS has to be
fragmented in its pieces and tested on the ground. In order to do so, we
need to re-centre the study of international relations in order to finally
take people into account. Land grabbing as a form of neo-colonialism is not
a matter of names and origins, but simply a matter of global expansion of
the capitalist system through what David Harvey calls ‘accumulation by
dispossession.’ [35]

ENDNOTES

[1]. This article is excerpted from an extremely detailed analysis prepared
for the Transnational Institute in Amsterdam. We are very grateful to TNI
for permission to extract this portion.

[2]. Mwase N. and Y. Yongzheng, Brics’ philosophies for development and
their implications for LICs, IMF Working Paper, WP/12/74, March 2012

[3]. Boaventura de Sousa Santos brilliantly affirms that ‘it does not exist
a global problem which is not rooted in a local reality’ (Santos B.S.,
Globalizations, 23 Theory, Culture & Society 393–399 (2006).

[4]. Anseeuw W., et al., Transnational Land Deals for Agriculture in the
Global South: Analytical Report based on the Land Matrix Database, The Land
Matrix Partnership, April 2012, p. 39.

[5]. Global Land Project (GLP), 2010, Land Grab in Africa: emerging land
system drivers in a teleconnected world, The Global Land Project:
http://goo.gl/B2b6T;Borras, S.M. Jr., R. Hall, I. Scoones, B. White and W.
Wolford, 2011, Towards a Better Understanding of Global Land Grabbing: An
Editorial Introduction, Journal of Peasant Studies, 38(2): 209-216.

[6]. Oxfam, Land and Power: The Growing Scandal Surrounding the New Wave of
Investments in Land, 151 Oxfam Briefing Paper, Oxfam International ,
London, UK, 2011.

[7]. For the moment, the Land Matrix Initiative has elaborated only half of
the available data, because the other half has not been confirmed with a
sufficient degree of certainty. Therefore the figures might be
significantly higher. Moreover, the member of the Matrix (GIGA Institute,
CDE, ILC, CIRAD and GIZ) have decided not to take into account operations
of merge and acquisition (M&A), which are undoubtedly increasing all over
the world.

[8]. Ricardo Fuentes-Nieva and Marloes Nicholls, 2013, Bad governance leads
to bad land deals: The link between politics and land grabbing, Oxfam
International, available from http://www.oxfamblogs.org/fp2p/?p=13636 [last
visited 4 March 2013].

[9]. According to the data collected by Grain, Indian corporations are
involved in at least twelve agricultural projects in India, ranging between
3,000 to 311,000 hectares.

[10]. Cf Mulenga N., Foreign Farmers Undermine Food Security in Zambia,
November 1st, 2012, available from http://goo.gl/OpUxD, last access
November 11th, 2012.

[11]. Grain, 2012.

[12]. Cf Commercial farming in the Congo not for the faint-hearted, October
26th 2012, available at http://goo.gl/NUzAm, last access November 11th,
2012.

[13]. Source Land Matrix 2012. Last accessed November 11th, 2012.

[14]. Mainly in Indonesia, Laos, Philippines, Pakistan. Source, Grain 2012.

[15]. Chinese interests are significantly strong in Australia and New
Zealand, where Grain (2012) has evidenced at least two agrobusiness
projects, one financial and the acquisition of a local farming corporation.
The largest agricultural Chinese public corporation, Beidahuang, had
concluded a 320,000 ha investment agreement with the governor of the Rio
Negro Region, in Argentina, which has been halted by judicial decree, and
has also triggered a legislative proposal against foreign access to land.

[16]. Calestous Juma, Africa and Brazil at the Dawn of New Economic
Diplomacy, Belfer Center for Science and International Affairs, John F.
Kennedy School of Governance, Harvard University, February 26, 2013,
Available fromhttp://goo.gl/2GcSR ted by judicial decree, and has also
triggered a legislative proposal against foreign access to land.

[17]. The Land Matrix Initiative’s data concerning Brazil do not take into
consideration the future implications of ProSavana, a 14 million hectares
project of agricultural development based on a trilateral agreement
concluded between Mozambique, Brazil and Japan. Although the final document
will only be disclosed in September, the struggle between the Mozambican
government and the Mozambican civil society has already started. Cf. All
Africa, Mozambique: ‘pro-Savana’ Will Not Deprive Farmers of Land, Agencia
de Informacao de Mocambique (Maputo), December 26, 2012,
http://allafrica.com/stories/201212270644.html (last visited feb 19, 2013);
Xicuana, Camponeses Moçambicanos desconfiam do projeto Pro-Savana ndhaneta
(2012), http://goo.gl/p0JYg (last visited Feb 19, 2013).

[18]. Interestingly enough, Brazil is both a target and source countries,
as recently evidenced by Borras et al Saturnino M. Borras, Jennifer C.
Franco & Chunyu Wang, The Challenge of Global Governance of Land Grabbing:
Changing International Agricultural Context and Competing Political Views
and Strategies, 10 Globalizations 161–179 (2013).. However, in the specific
case of the Latin American countri, the Land Matrix database does not
appear to fully represent the relevance of the intra-regional and global
land grabbing that is nationally and internationally conducted by Brazilian
investors. In particular, Grain (2012) reports of investments in Argentina
(7,000 ha), Australia (1,876 ha for livestock), Colombia (13,000 ha for
agrobusiness), Ghana (5,000 ha for rice production), Sudan (100,000 ha for
cotton production in cooperation with Agadi, a Sudanese state corporation).
Moreover, Luis A. Galeano has recently stressd the relevance of Brazilian
investments in Paraguay (Luis A. Galeano, Paraguay and the expansion of
Brazilian and Argentinian agribusiness frontiers, 33 Canadian Journal of
Development Studies/Revue canadienne d’études du développement 458–470
(2012). In addition, the Land Matrix database reports of 255,000 ha of land
acquired in Brazil by foreign investors. Finally, we cannot forget the
planned ProSavana investment in the North of Mozambique, (Cf Mozambique:
Pro-Savana a Priority Programme – PM, available from
http://allafrica.com/stories/201204230099.html, last access November 11th,
2012; Patel Raj, Pro-Savanna Anti Peasant, available from
http://rajpatel.org/2012/10/24/prosavana-antipeasant/) Moreover, Grain’s
latest report has evidenced the presence of Brazilian investments in
Argentina, Colombia, Ghana, Mozambique, Sudan and Australia, but there are
evidences of large investments in Paraguay too. Source, Grain 2012.
According to a recent analysis conducted by Rabobank, in fact, the Latin
American country is seeking to expand within its immediate region (Rabobank
International, New Models of Farming in Argentina, Rabobank Industry Note,
2011).

[19]. R. Hall, The next Great Trek? South African commercial farmers move
north, 6 in International Conference on Global Land Grabbing 8 (2011)
quoting SA, Zim not safe for investments, Farmers Weakly 2010, 9 May 2010.
The same Minister was first quoted saying ‘If we can’t find opportunities
for white South African farmers in this country, we must do it elsewhere in
the continent’ (Hoffstatter S. 2009a. ‘Government drive to set up white SA
farmers in Africa,’ Business Day, 12 October, accessed 15 November 2012 at:
http://allafrica.com/stories/200910120009.html

[20]. According to the Movimiento Sim Terras, the project is currently
facing a moment of impasse due to the different positions adopted by Beto
Faro, who presented the bill, and Homero Pereira, who is president elected
of the Agriculture Parliamentary Front (FPA). The MST defende proibição da
aquisição de terras por estrangeiros e pede mobilização contra retrocessos,
Movimiento Sim Terras, 28 March 2012.

[21]. Franco et al., supra noteErrore: sorgente del riferimento non trovata
.

[22]. As an example, since the beginning of the ethanol programme
(ProAlcool) in the ‘70s, in fact, the government has been providing
economic and legal support for increasing the area of sugarcane plantations
and structuring the sugar-alcohol industry. More recently, decree n 85.297
of 2005 institutionalized the Biodiesel Program, introducing a Social Fuel
Stamp which prioritizes the cultivation of castor bean plants (mamona) and
palm trees (dende) over other crops, by guaranteeing tax breaks, fiscal
benefits and funding from the BNDES (Brazilian Bank of Economic and Social
Development). Moreover, beginning in 2008, national law has been enacted to
support the production of ethanol for export and internal consumption,
recently accompanied by the softening of the Law of Environmental Crimes,
chronologically followed by the authorization for the construction of
sugarcane factories in conservation areas and close to natural springs. Cf.

[23]. Cf. Leandro Vergara-Camus, The legacy of social conflicts over
property rights in rural Brazil and Mexico: Current land struggles in
historical perspective, 39 Journal of Peasant Studies 1133–1158 (2012);
Gustavo de L.T. Oliveira, Land regularization in Brazil and the global land
grabbing: A State-making framework for analysis, paper presented at the

[24]. Gustavo de L.T. Oliveira, Land Regularization in Brazil and the
Global Land Grab, 44 Development and Change 261–283, 264 (2013). The
Cerrado, which occupies almost 25 per cent of Brazilian territory
represents the most attractive state for foreign investors. According to
recent surveys, the total land in the hands of foreigners within that state
accounts to 180.581 squared kilometers, which is the 20% of the Mato
Grosso’s land. Alastair Stewart, Brazil’s Foreign Land Ownership Saga, The
Progressive Farmer, January 02, 2012, available from
http://www.dtnprogressivefarmer.com/ (last visited Apr 17, 2012); Chang
Bao, CGG is setting up a soybean base in Brazil Companies,
chinadaily.com.cn(2011),
http://www.chinadaily.com.cn/bizchina/2011-11/24/content_14153948.htm (last
visited Apr 17, 2012). However, a critical analysis should not buy into the
‘anti-foreigners’ rhetoric of the Brazilian government, and understand that
partnerships and national investors are actively involved in an internal
and inter-regional land grabbing.

[25]. Ministry of the Environment, 2009, ‘Monitoramento do Desmatamento no
Bioma Cerrado 2002-2008: dados revisados’ [‘Monitoring the Deforestation in
the Cerrado Ecosystem 2002-2008: Revised Data’], Brasilia: MMA/IBAMA. Cited
in Oliveira, ibid.

[26]. UNCTAD, Recent Developments in International Investment Agreements
2007-June 2008, IIA Monitor, no. 2, 2008, available from
www.unctad.org/en/docs/webdiaeia20081_en.pdf

[27]. UNCTAD, 2006, South-South Investment agreements proliferating. IIA
Monitor No. 1 (2005) International Investment Agreements. New York: United
Nations. Available from: http://www.unctad.org/en/docs/webiteiit20061_en.pdf

[28]. Malik M., 2010, South-South, Bilateral Investment Treaties: The same
old story?, IV Annual Forum for Developing Country Investment Negotiators
Background Papers New Delhi, October 27-29

[29]. Republic of South Africa DTI (Department of Trade and Industry),
NOTICE 961 OF 2009, 3 NO.32386, July 7, 2009.

[30]. Adam Green, South Africa: BITs in piece, Financial Times, beyond the
brics blog, 19 October 2012, available from http://goo.gl/UULTb [last
visited 19 February, 2013].

[31]. Cf Article 5 of the Agreement between the Government of the Republic
of South Africa and the Government of the Republic of Zimbabwe for the
Promotion and Reciprocal Protection of Investment, done at Harare on
November 27t 2009. Available from http://goo.gl/j8Y5s [last visited
February 18, 2013].

[32]. Cf. Article 6.1 of the contract concluded between the Ethiopian
government and Karaturi Agro Products Plc. (R. Rowden, India’s role in the
new global farmland grab, 29 Economics Research Foundation and GRAIN,
(2011).

[33]. In Ethiopia, for example, a statement issued by the Ministry of
Foreign Affairs in January 2010 affirms that ‘the Agricultural Investment
Support Directorate ‘has identified more than 7 million acres available now
for lease [and that] Ethiopia has 74 million hectares of land suitable for
agriculture out of its total 115 million hectares, but less than 15 million
hectares is currently in use agriculturally.’ FDRE Ministry of Foreign
Affairs, ‘Politically motivated opposition to agricultural investment’, A
Week in the Horn, 22 January 2010. ‘
http://www.mfa.gov.et/Press_Section/Week_Horn_Africa_January_22_2010.htm.’
See Stebek, E.N., 2012, Between ‘Land Grabs’ and Agricultural Investment:
Land Rent Contracts with Foreign Investors and Ethiopia’s Normative Setting
in Focus, Mizan Law Review 5, 175–214.

[34]. Mwase N. and Y. Yongzheng, supra note 1.

[35]. For the South-South Cooperation principles see
http://www.g7.org/doc/Declaration2009.htm

[36]. Harvey, D. 2003, The New Imperialism, Oxford University Press, Oxford.


[Non-text portions of this message have been removed]



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