Monday 25 June 2007

Developed Against Developing?

The crusade against palm oil is looking more and more like a chasm between the rich importers and the two developing exporters, Malaysia and Indonesia.

Every day there are articles published on the deforestation, climate change, wildlife destruction, land grabbing from indigenous people, and other negative effects of palm oil.

Scant attention is payed towards the development brought by palm oil. The millions of small holders who benefit economically from oil palm. The land schemes which have raised living standards for millions throughout rural Malaysia.

Instead, rich countries blame Malaysia and Indonesia for the negative environmental effect of palm oil. They forget that the exporters are merely grabbing the cash layed out by importers and using it for economic gain. It is easy for the rich importers to criticise while they subsidise the millions of soybean, rapeseed and other "traditional" oil planters with billions of dollars.

Every cent of economic gain is important for developing nations to raise the living standards of their people. The importers should not just blow hot air, threatening to reduce imports, and instead provide significant incentives to improve planting practices. Instead of raging about deforestation, provide real incentives for exporters to maintain existing forests while forgoing the economic gains provided by more palm oil.

Especially oxymoronic is how environmental campaigners in the developed world criticise their petroleum companies and fossil fuel usage but still find the time to demonise biofuels derived from palm oil and cane ethanol, the two main cash crops in developing countries.

The balance between environmentalism and economics is easily achievable. Vitally, the rhetoric must be enhanced to reflect a concern for the livelihoods of people in developing nations.

The big picture is beyond dollars and cents, fewer orang-utans, and emissions, but also about allowing children to go to school in Indonesia, one of Asia's poorest countries, jobs for people in Brazil and Malaysia, food for families in developing nations, and more.

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