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November 29, 2008

The 10 Million Dollar Bookmark and the 35 Billion Dollar Egg


Zimbabwean100BillionDollarNote.jpg "A vendor arranges eggs on a new 100 billion Zimbabwean dollar note in Harare July 22, 2008. Zimbabwe's central bank introduced new higher-value 100 billion Zimbabwe dollar notes on Monday as part of a desperate fight against spiralling hyperinflation, the bank said. An egg now costs $35 billion." Source of caption and photo: http://www.daylife.com/photo/03ORa153k8bVA

(p. A1) Robert Mugabe has kept his embattled regime in Zimbabwe afloat on a sea of paper money. Now, he'll have to try to do it without the paper.

The Munich-based company that has supplied Zimbabwe with the special blank sheets to print its increasingly worthless dollar caved in to pressure on Tuesday from the German government for it to stop doing business with the African ruler.

Mr. Mugabe's regime relies on a steady supply of the paper -- fortified with watermarks and other antiforgery features -- to print the bank notes that allow it to pay the soldiers and other loyalists who enable him to stay in power. With an annual inflation rate estimated at well over 1 million percent, new notes with ever more zeros need to be printed every few weeks because the older ones lose their worth so quickly.

. . .

Zimbabwe's central bank stopped posting inflation figures in January, when it stood at a relatively modest 100,580%. A loaf of bread costs 30 billion Zimbabwean dollars.

. . .

Mr. Mangoma uses a 10 million Zimbabwe dollar bank note, worth 0.0008 of a U.S. cent, as a bookmark because he doesn't "care if I lose it."



For the full story, see:

MARCUS WALKER and ANDREW HIGGINS. "Zimbabwe Can't Paper Over Its Million-Percent Inflation Anymore; Under Pressure, German Company Cuts Off Shipments of Blank Bank Notes to Mugabe." The Wall Street Journal (Weds., JULY 2, 2008): A1 & A10.

(Note: ellipses added.)

ZimbabweBasketCash.jpg



"Harare produce seller Chipo Chivanze needs a basket of cash to make change because of Zimbabwe's battered currency." Source of caption: print version of the WSJ article quoted and cited above. Source of photo: online version of the WSJ article quoted and cited above.

July 25, 2008

African Farmer-Entrepreneurs, and U.S. Companies, Creating Another Breadbasket


(p. A14) ARSI NEGELE, Ethiopia -- Babou Galgo, a 61-year-old farmer, proudly showed off his prized harvest from last season: two shiny gold medals from the regional and federal government and a slick certificate praising his "outstanding performance in increasing agriculture production and productivity."

What he had done was boost his corn yields on his small farm in southern Ethiopia an eye-popping sevenfold over the past several years. Even more impressive, he had boosted the well-being of his family as well: With the added income, they moved out of a traditional mud-brick tukul and into a brick and concrete house furnished with a refrigerator, television and DVD player, rare luxuries for a farmer in one of the world's poorest countries.

Indeed, not long ago, Mr. Galgo would have had no need for a refrigerator as meager yields had him struggling to feed his family. "It's the seeds," he says, noting the reason for his reversal of fortunes. "Hybrids."

Africa's nascent push to finally feed itself is turning the clock back to the early part of 20th-century America. It was in the 1930s and '40s when Iowa-based Pioneer Hi-Bred International popularized hybrid seeds in the U.S., swelling corn yields throughout the Midwest. Seven decades later, African farmers and U.S. companies are trying to recreate the same boom that turned America into the world's breadbasket, only this time in the harsh climate -- environmental and political -- of Ethiopia and greater Africa.

. . .

Farmer Galgo is ready for another upgrade. Sitting in his comfortable living room, beneath wall murals of Jesus and a peace dove, he tells Mr. Admassu, "I want to expand my land and buy a tractor. A big tractor, with a lot of power."



For the full story, see:


ROGER THUROW. "Agriculture's Last Frontier; African Farmers, U.S. Companies Try to Create Another Breadbasket With Hybrids." The Wall Street Journal (Tues., May 27, 2008): A14.

(Note: ellipsis added.)

April 18, 2008

Ban on DDT is a Lethal Vestige of Colonialism


(p. A16) Environmental leaders must join the 21st century, acknowledge the mistakes Carson made, and balance the hypothetical risks of DDT with the real and devastating consequences of malaria. Uganda has demonstrated that, with the proper support, we can conduct model indoor spraying programs and ensure that money is spent wisely, chemicals are handled properly, our program responds promptly to changing conditions, and malaria is brought under control.

Africa is determined to rise above the contemporary colonialism that keeps us impoverished. We expect strong leadership in G-8 countries to stop paying lip service to African self-determination and start supporting solutions that are already working.


For the full commentary, see:

Sam Zaramba. "Give Us DDT." Wall Street Journal (Tues., Jun 12, 2007): A16.

March 15, 2008

Motive Power Really Does Matter: More on Why Africa is Poor


TrainCongo.jpg "A crowded train traveling through Katanga Province. Goods and people are crammed in, and bathrooms are used for storage." Source of caption and photo: online version of the NYT article quoted and cited below.


(p. A4) In large swaths of Congo, a vast country the size of Western Europe, roads are impassable or nonexistent, large riverboats no longer ply the waterways and air travel is prohibitively expensive, leaving many people to rely on an increasingly dangerous railway system long past its prime.

Fresh from its first democratic elections in nearly 50 years and still struggling to emerge from civil war, Congo is trying to get its trains running again. But it has a long way to go.

. . .

The bathrooms in first class become filthy soon after a trip begins. In second and third class, the bathrooms are used for storage. In one car, five large bags of charcoal were stuffed into a bathroom, and people relieved themselves in buckets or out windows.

The railway employs over 13,000 people, but the last time paychecks were sent out was in May, and that was payment for the spring of 2005. So many employees do not go to work, and bribes are widespread.

"Sometimes it's difficult to resist temptations," said Agustín, the police chief at the Kamina station, who gave only his first name. "I do bad things."

"I haven't been paid in 29 months," he added. "How am I supposed to send my children to school?"

Léon, a conductor and machinist who gave only his first name, thinks the problem begins in Kinshasa, the capital. "This is a state-owned company," he said. "It's bankrupt because of the government. The way things are going, we won't last two years."


For the full story, see:

WILL CONNORS. "Congo by Rail: Filthy, Crowded and Dangerous." The New York Times (Tues., September 4, 2007): A4.

(Note: ellipsis added.)


TrainControllerCongo.jpg "A train controller relays the position of a train to another station. Because pay is so infrequent, many employees do not go to work and bribes are widespread." Source of caption and photo: online version of the NYT article quoted and cited above.

February 29, 2008

"The No. 1 Need that Poor People Have is a Way to Make More Cash"

 

  Moving water is easier with the 20-gallon rolling drum.  Source of photo:  online version of the NYT article quoted and cited below.

 

(p. D3)  . . . , the Cooper-Hewitt National Design Museum, . . . , is honoring inventors dedicated to “the other 90 percent,” particularly the billions of people living on less than $2 a day.

Their creations, on display in the museum garden until Sept. 23, have a sort of forehead-thumping “Why didn’t someone think of that before?” quality.

. . .

Interestingly, most of the designers who spoke at the opening of the exhibition spurned the idea of charity.

“The No. 1 need that poor people have is a way to make more cash,” said Martin Fisher, an engineer who founded KickStart, an organization that says it has helped 230,000 people escape poverty.  It sells human-powered pumps costing $35 to $95.

Pumping water can help a farmer grow grain in the dry season, when it fetches triple the normal price.  Dr. Fisher described customers who had skipped meals for weeks to buy a pump and then earned $1,000 the next year selling vegetables.

 

For the full story, see: 

DONALD G. McNEIL Jr.  "Design That Solves Problems for the World's Poor."  The New York Times  (Tues., May 29, 2007):  D3.

(Note:  ellipses added.)

 

FilterForDrinkingWater.jpg TechnologiesForPoor.jpg   The photo on the left shows a woman safely drinking bacteria-laden water through a filter.  The photo on the right shows a "pot-in-pot cooler" that evaporates water from wet sand between the pots, in order to cool what is in the inner pot.  Source of photos:  online version of the NYT article quoted and cited above.

 

"The No. 1 Need that Poor People Have is a Way to Make More Cash"

 

  Moving water is easier with the 20-gallon rolling drum.  Source of photo:  online version of the NYT article quoted and cited below.

 

(p. D3)  . . . , the Cooper-Hewitt National Design Museum, . . . , is honoring inventors dedicated to “the other 90 percent,” particularly the billions of people living on less than $2 a day.

Their creations, on display in the museum garden until Sept. 23, have a sort of forehead-thumping “Why didn’t someone think of that before?” quality.

. . .

Interestingly, most of the designers who spoke at the opening of the exhibition spurned the idea of charity.

“The No. 1 need that poor people have is a way to make more cash,” said Martin Fisher, an engineer who founded KickStart, an organization that says it has helped 230,000 people escape poverty.  It sells human-powered pumps costing $35 to $95.

Pumping water can help a farmer grow grain in the dry season, when it fetches triple the normal price.  Dr. Fisher described customers who had skipped meals for weeks to buy a pump and then earned $1,000 the next year selling vegetables.

 

For the full story, see: 

DONALD G. McNEIL Jr.  "Design That Solves Problems for the World's Poor."  The New York Times  (Tues., May 29, 2007):  D3.

(Note:  ellipses added.)

 

FilterForDrinkingWater.jpg TechnologiesForPoor.jpg   The photo on the left shows a woman safely drinking bacteria-laden water through a filter.  The photo on the right shows a "pot-in-pot cooler" that evaporates water from wet sand between the pots, in order to cool what is in the inner pot.  Source of photos:  online version of the NYT article quoted and cited above.

 

February 28, 2008

William F. Buckley, Jr. Will Be Missed



BuckleyWilliam.jpg"William F. Buckley Jr. in 2004." Source of caption and photo: online version of the NYT obituary cited below.


I write on Weds., Feb. 27th, at about 1:30 PM. As I ate an early lunch a couple of hours ago, I was listening to U.S. Senate speeches on C-SPAN. After a good speech on Iraq by Senator Lindsey Graham, Senator Joe Lieberman appeared and interupted the proceedings, asking the Senate's indulgence for him to speak for 10 minutes on a special topic.

He announced that William F. Buckley, Jr. had passed away today (2/27/08); and then he delivered a heartfelt, sometimes humorous, and wholly appropriate tribute to Buckley.


I have mentioned a couple of my favorite Buckley stories in an earlier entry.

Lieberman emphasized that Buckley cared about ideas, and that is most important to emphasize. Listening to Buckley speak was entertaining, and educational.


Strange what we remember--when I think of Buckley, the following episode always comes to mind.

Sometime while I was an undergraduate at Wabash (1971-1974), my mentor Ben Rogge arranged to have his friend Bill Buckley give a speech on campus. Ths speech was paid for by another of Rogge's friends, Pierre Goodrich, the founder of Liberty Fund.

After the speech there was to be a special reception for members of the John Van Sickle Club, the small libertarian club on campus, of which I was a member.

The speech was well-attended, and some non-members of the Club got wind of the reception and tried to gain admittance. They were turned away, and were miffed, and complained.

The issue made it into the college newspaper, and I wrote a letter to the editor defending the John Van Sickle Club, using one of Rogge's favorite sayings: "he who pays the piper, calls the tune."

Some of the details are fuzzy, but I ended up in Rogge's office, and heard from him that he was not happy with my letter. He felt that Goodrich might be embarrassed by the campus turmoil on the issue.

I remember feeling devasted that Rogge was annoyed with me. I apologized profusely (although I still think I had a point). Rogge must have seen my cresfallen appearance, because he changed his tone and ended the conversation by saying that I shouldn't worry about it, because Goodrich probably would never see the newspaper article and letters, anyway.

The online version of the New York Times obituary for Buckley is at:

DOUGLAS MARTIN. "William F. Buckley Jr. Is Dead at 82." The New York Times (Weds., February 27, 2008): ?.


January 20, 2008

Qaddafi's Nomadic Defense of Socialism

 

   Inside a nomad tent near Kabul.  Source:  online version of the NYT article quoted and cited below. 

 

(p. A4)  In some instances, politicians seek to use nomadic traditions to justify their policies, just as American politicians try to exploit nostalgia for America’s rural past to justify farm subsidies, said Robert Rotberg, a professor at the John F. Kennedy School of Government at Harvard, who studies failed states in Africa and Asia.  “Take Qaddafi in Libya,” he said, referring to Col. Muammar el-Qaddafi.  “He would say, you Westerners don’t understand us because we have a nomadic ethos that is essentially socialist, and so we have to nationalize our country’s oil industry to be true to our tradition.”

 

For the full story, see: 

ILAN GREENBERG.  "Memo From Almaty; Ancient Nomads Offer Insights to Modern Crises."  The New York Times   (Weds., August 8, 2007):   A4. 

 

January 9, 2008

"At First, We Were Laughing at Him"

 

KamkwambaWilliamWindmillEntrepreneur.jpg   Source of the image:  online version of the WSJ article quoted and cited below.

 

Below are some excerpts from one of the unique, sometimes funny, sometimes inspiring, front page stories that are a signature feature of the Wall Street Journal

Rupert Murdoch, the new owner of the WSJ, is rumored in the press to dislike stories such as the one quoted below.  I hope the rumors are wrong.  

 

(p. A1)  MASITALA, Malawi -- On a continent woefully short of electricity, 20-year-old William Kamkwamba has a dream: to power up his country one windmill at a time.

So far, he has built three windmills in his yard here, using blue-gum trees and bicycle parts. His tallest, at 39 feet, towers over this windswept village, clattering away as it powers his family's few electrical appliances: 10 six-watt light bulbs, a TV set and a radio. The machine draws in visitors from miles around.

. . .  

(p. A13)  The contraption causing all the fuss is a tower made from lashed-together blue-gum tree trunks. From a distance, it resembles an old oil derrick. For blades, Mr. Kamkwamba used flattened plastic pipes. He built a turbine from spare bicycle parts. When the wind kicks up, the blades spin so fast they rock the tower violently back and forth.

Mr. Kamkwamba's wind obsession started six years ago. He wasn't going to school anymore because his family couldn't afford the $80-a-year tuition.

When he wasn't helping his family farm groundnuts and soybeans, he was reading. He stumbled onto a photograph of a windmill in a text donated to the local library and started to build one himself. The project seemed a waste of time to his parents and the rest of Masitala.

"At first, we were laughing at him," says Agnes Kamkwamba, his mother. "We thought he was doing something useless."

The laughter ended when he hooked up his windmill to a thin copper wire, a car battery and a light bulb for each room of the family's main house.

The family soon started enjoying the trappings of modern life: a radio and, more recently, a TV. They no longer have to buy paraffin for lantern light. Two of Mr. Kamkwamba's six sisters stay up late studying for school.

"Our lives are much happier now," Mrs. Kamkwamba says.

The new power also attracted a swarm of admirers. Last November, Hartford Mchazime, a Malawian educator, heard about the windmill and drove out to the Kamkwamba house with some reporters. After the news hit the blogosphere, a group of entrepreneurs scouting for ideas in Africa located Mr. Kamkwamba. Called TED, the group, which invites the likes of Al Gore and Bono to share ideas at conferences, invited him to a brainstorming session earlier this year.

In June, Mr. Kamkwamba was onstage at a TED conference in Tanzania. (TED stands for Technology Entertainment Design). "I got information about a windmill, and I try and I made it," he said in halting English to a big ovation. After the conference, a group of entrepreneurs, African bloggers and venture capitalists -- some teary-eyed at the speech -- pledged to finance his education.

 

For the full story, see: 

SARAH CHILDRESS.  "A Young Tinkerer Builds a Windmill, Electrifying a Nation Mr. Kamkwamba's Creation Spurs Hope in Malawi; Entrepreneurs Pay Heed."   The Wall Street Journal  (Weds., December 12, 2007):  A1 & A13.  

(Note:  ellipsis added.)

 

 

January 4, 2008

"Not Even an Unchallenged Autocrat Can Repeal the Laws of Supply and Demand"

 

   "Essentials like bread, sugar and cornmeal have all but vanished in Zimbabwe after the government commanded merchants nationwide to counter 10,000-percent-a-year hyperinflation by slashing prices in half and more. The shelves at this grocery store are mostly bare."  Source of the caption and the photo:  online version of the NYT article cited below.

 

(p. A1)  BULAWAYO, Zimbabwe, July 28 — Robert G. Mugabe has ruled over this battered nation, his every wish endorsed by Parliament and enforced by the police and soldiers, for more than 27 years. It appears, however, that not even an unchallenged autocrat can repeal the laws of supply and demand.

One month after Mr. Mugabe decreed just that, commanding merchants nationwide to counter 10,000-percent-a-year hyperinflation by slashing prices in half and more, Zimbabwe’s economy is at a halt.

Bread, sugar and cornmeal, staples of every Zimbabwean’s diet, have vanished, seized by mobs who denuded stores like locusts in wheat fields. Meat is virtually nonexistent, even for members of the middle class who have money to buy it on the black market. Gasoline is nearly unobtainable. Hospital patients are dying for lack of basic medical supplies. Power blackouts and water cutoffs are endemic.

Manufacturing has slowed to a crawl because few businesses can produce goods for less than their government-imposed sale prices. Raw materials are drying up because suppliers are being forced to sell to factories at a loss. Businesses are laying off workers or reducing their hours.

The chaos, however, seems to have done little to undermine Mr. Mugabe’s authority. To the contrary, the government is moving steadily toward a takeover of major sectors of the economy that have not already been nationalized.

. . .

(p. A8)  . . .  Most of the goods on store shelves this week were those people did not need or could not afford — dog biscuits; ketchup; toilet paper, which has become a luxury here; gin; cookies.

At various locations of TM, a major supermarket chain, aisles of meat coolers were empty save a few plastic bags of scrap meat for dogs. Flour, sugar, cooking oil, cornmeal and other basics were not to be found. A long line hugged the rear of one store, waiting for a delivery of the few loaves of bread that a baker provided to stay in compliance with the price directive.

The government’s takeover of slaughterhouses seems ineffectual: this week, butchers killed and dressed 32 cows for the entire city. Farmers are unwilling to sell their cows at a loss.

The empty grocery shelves may be the starkest sign of penury, but there are others equally worrisome. Doctors say that at most, there is a six-week supply of insulin and blood-pressure medications. Less vital drugs like aspirin are rarities.

“You can boil willow bark, just as Galen did,” one physician quipped.

 

For the full story, see: 

MICHAEL WINES.  "Caps on Prices Only Deepen Zimbabweans’ Misery."  The New York Times (Thurs., August 2, 2007):  A1 & A8.

(Note:  ellipses added.)

 

   "Women in Esigodini, Zimbabwe, cook melons into mash.  Meat has been so scrace that melons have been their main source of nutrition."  Source of caption:  print version of the NYT article cited above.  Source of photo:  online version of the NYT article cited above.

 

December 5, 2007

Measuring Trends in Government Corruption

 

CorruptionWorldBankGraph.jpg   Source of graph:  online version of the NYT article quoted and cited below.

 

(p. A6)  Africa, often stereotyped as a place of epic corruption and misrule, emerges in a World Bank report as a continent of great variety, with some countries — Tanzania, Liberia, Rwanda, Ghana and Niger — making notable progress over the past decade, and others — Zimbabwe, Ivory Coast and Eritrea — moving backward.

The report, released yesterday and based on the most comprehensive data on governance in more than 200 countries, found that not just poor countries struggled with corruption and flawed government.

. . .

The report, “Governance Matters, 2007: Worldwide Governance Indicators 1996-2006,” was written by Mr. Kaufmann and the World Bank researchers Aart Kraay and Massimo Mastruzzi. It was posted on the Internet at www.govindicators.org. Data came from an ideologically diverse array of groups that included Freedom House, Transparency International, the Heritage Foundation, Reporters Without Borders and the State Department.

“This is the best data source on governance now,” said Steven Radelet, a senior fellow at the Center for Global Development, a Washington research group. “It is of huge importance in development. Ten years ago, there was no data. Fifteen years ago, we didn’t talk about this stuff.”

. . .  

The report found that the gains and losses balanced out such that the average quality of governance worldwide over the past decade was little improved.

 

For the full story, see: 

CELIA W. DUGGER.  "World Bank Report on Governing Finds Level Playing Field."  The New York Times  (Weds., July 11, 2007):  A6. 

(Note:  ellipses added.)

 

October 30, 2007

United States Cotton Subsidies Hurt Poor African Farmers

 

   A cotton farmer in Burkina Faso in Africa throws cotton bolls.  Source of photo:  online version of the NYT article cited below.

 

Dan Sumner did his dissertation many years ago under T.W. Schultz, a great economist, and a great human being.  (Dan was a friend of mine in grad school--we were members of a club that gathered once a month to discuss the works of Bertrand Russell.) 

 

Eliminating billions of dollars in federal subsidies to American cotton growers each year would reduce American cotton production and exports, raise world prices by about 10 percent and modestly improve the incomes of millions of poor cotton farmers in Africa, according to a new study by Oxfam, the aid group.

Agricultural economists at the University of California, Davis, who conducted the study for Oxfam, found that a typical farm family of 10 in Chad, Benin, Burkina Faso or Mali — Africa’s major cotton producers — that now earns $2,000 a year would have an extra $46 to $114 a year to spend if American subsidies were removed.

“Fifty to a hundred bucks is a lot of money to these people,” said Daniel Sumner, chairman of the Department of Agricultural and Resource Economics at the university. “It’s not right to think that changing U.S. subsidies will turn very poor people into middle-class households by our standards. That’s a generational process. But it’s money in their pocket.”

. . .

Dani Rodrik, an economist at Harvard who is skeptical of the importance of reduced agricultural subsidies, said he found Oxfam’s new estimates credible, but said the gains forecast were relatively small.  . . .

. . .

But the authors of the report said that removing American subsidies would permanently shift the price of cotton upward, with prices subsequently fluctuating around a higher average. 

 

For the full story, see: 

CELIA W. DUGGER.  "Oxfam Suggests Benefit in Africa if U.S. Cuts Cotton Subsidies."  The New York Times  (Thurs., June 21, 2007):  A12.

(Note:  ellipses added.)

 

October 16, 2007

How the Congo Government 'Inspires' Technology Entrepreneurs: More on Why Africa is Poor

 

KapingaMichelineCellPhone.jpg  "Micheline Kapinga of Kamponde, Congo, uses a cellphone on the only site in the village that is sometimes able to capture a signal."  Source of caption and photo:  online version of the NYT article cited below. 

 

I AM just back from Tanzania in East Africa.

In the mornings, disregarding the protests of the armed guards at my lodge near Arusha, I jogged along muddy footpaths. After the heavy rains, and under a low, misty sky, the fields looked as ruined as a battlefield. Very poor farmers and their children stared curiously at me as I passed.

In the afternoons, I attended the TEDGlobal 2007 conference, held by the Technology, Entertainment and Design organization in the modern Ngurdoto Mountain Lodge. The contrast between the two experiences troubled me.

TED conferences, mostly held in Monterey, Calif., are invitation-only affairs, are attended by the aristocracy of Silicon Valley and are known for their adventurousness in drawing together wildly disparate trends in technology, business and the arts.

On this occasion, Bono, the Irish rock star and champion of African causes, had persuaded the conference’s organizer, Chris Anderson, to invite the usual crowd, as well as African entrepreneurs, activists, health care professionals and artists to this tropical, leafy region midway between the Serengeti Plain and Mount Kilimanjaro.

. . .

At least one of the African attendees of the conference was representative of the kind of technological entrepreneurialism that the show advocated.

Alieu Conteh, the chairman of Vodacom Congo, was born in Gambia, in West Africa, 55 years ago and moved to Congo in 1981. For years, he was a successful coffee buyer and exporter.

Congo is about the size of Western Europe and has an estimated population of 65 million people. It is one of the least-developed nations in the world, with less than 300 miles of roads, most of them in poor condition.

In 1997, Mr. Conteh recalled in an interview, he heard Laurent D. Kabila, then the country’s president, deliver a speech in which he called upon his countrymen to rebuild Congo’s infrastructure after the 30-year dictatorship of Mobutu Sese Seko. Mr. Conteh, who had no experience in telecommunications, said he was inspired. He decided to build the nation’s first GSM (Global System for Mobile communications) digital network.

At the time, according to Mr. Conteh, fewer than 10,000 people living in Congo — mainly business people, foreigners and government employees — had mobile handsets. They paid $7 to $10 a minute to make a call, using an older technology. Less than 15,000 homes had a telephone landline.

Mr. Conteh said he went, cap in hand, to the minister of communications to ask for the country’s first GSM license. In January 1998 he got it — but he first had to pay the government a license fee of $100,000. Over the years, and with little explanation, he said, the government, which is often terribly short of money, increased the license fee, first to $400,000, then $2 million.

  

For more of the commentary, see: 

JASON PONTIN.  "SLIPSTREAM; What Does Africa Need Most: Technology or Aid?"  The New York Times, Section 3  (Sun., June 17, 2007):  3. 

(Note:  ellipsis added.)

 

October 1, 2007

Mugabe Driven by Quest for Power, More than from Paranoia, or Marxism: More on Why Africa is Poor

 

No one outside of Mr. Mugabe’s inner circle, of course, can say with certainty why he has pursued policies since 2000 that have produced economic and social bedlam. For his part, Mr. Mugabe says Zimbabwe’s chaos is the product of a Western plot to reassert colonial rule, while he is simply taking steps to fight that off.

Among many outside that circle, however, the growing conviction is that Zimbabwe’s descent is neither the result of paranoia nor the product of Mr. Mugabe’s longstanding belief in Marxist economic theory. Instead, they say, Zimbabwe is fast becoming a kleptocracy, and the government’s seemingly inexplicable policies are in fact preserving and expanding it.

. . .

Mr. Mugabe’s government declares currency trading illegal, but regularly dumps vast stacks of new bills on the black market, still wrapped in plastic, to raise foreign exchange for its own needs, business leaders and economists say.

The nation’s extraordinary hyperinflation, last pegged by analysts at 10,000 percent a year, is an economic disaster that, by all accounts, the government needs to address. Yet after it ordered merchants in July to slash their prices, cadres of policemen and soldiers moved into shops to enforce the new controls, scoop up bargains and give friends and political heavyweights preferential access to cheap goods.

. . .

Mr. Mugabe’s 25-bedroom mansion in Borrowdale, the gated high-end suburb of Harare, the capital, is the locus of a boomlet that has spawned luxury homes for government and party officials. (Mr. Mugabe said his mansion was built with goods and labor donated by foreign governments.)

Mr. Mugabe arrived to open Zimbabwe’s Parliament this month in a Rolls-Royce. Equally telling, the legislature’s parking lot was crammed with luxury cars.

Such riches have been accompanied by a steep decline in living standards for just about everyone else. The death rate for Zimbabweans under the age of 5 grew by 65 percent from 1990 to 2005, even as the rate for the world’s poorest nations dropped. Average life expectancy here is among the world’s lowest, according to the United Nations.

 

For the full commentary, see: 

MICHAEL WINES.  "News Analysis; Zimbabwe’s Chaos: The Powerful Thrive."  The New York Times (Fri., August 3, 2007):  A8. 

(Note:  ellipses added.)

 

September 19, 2007

Pyramids Can Take Many Forms: More on Why Africa is Poor

 

My Wabash economics prof Ben Rogge used to say that rulers have always liked to spend the people's money to build pyramids intended to proclaim the glory of the ruler.  But in modern times the rulers have to be a tad more subtle than the Egyptians, so, for instance, in Brazil they build Brazilia, instead of actual pyramids. 

And according to the story below, summarized from the May 2007 IEEE Spectrum, in Africa, they build large dams.

 

Small dams could help deliver electricity to much of Africa's population, but since they lack the prestige of larger-scale projects, few of them get built.

. . .

In Uganda, which has plenty of rivers and streams to supply power, Mr. Zachary describes how a small water-power generator, supplied by a small nearby dam, delivers 60 kilowatts of energy to a nearby hospital. The generator would barely be enough to run a single magnetic-resonance imaging machine, a staple in Western hospitals. But it does provide enough power to light the hospital and keep basic equipment running for the 100 nurses and doctors who work there. The entire generation system cost $15,000 to build.

Still, Africa's leaders are unlikely to abandon their preference for big public works, says Mr. Zachary, since they create thousands of construction jobs and reinforce the political might of the central government. 

 

For the full summary, see: 

"Informed Reader; ENERGY; Small Dams Might Help to Electrify Africa."  The Wall Street Journal (Tues., May 8, 2007):  B10. 

(Note:  ellipsis added; the original article in IEEE Spectrum is by G. Pascal Zachary.)

 

August 31, 2007

Let There Be Light

 

  One of Mark Bent's solar flashlights stuck in a wall to illuminate a classroom in Africa.  Source of the photo:   http://bogolight.com/images/success6.jpg

 

What Africa most needs, to grow and prosper, is to eject kleptocratic war-lord governments, and to embrace property rights and the free market.  But in the meantime, maybe handing out some solar powered flashlights can make some modest improvements in how some people live.

The story excerpted below is an example of private, entrepreneur-donor-involved, give-while-you-live philanthropy that holds a greater promise of actually doing some good in the world, than other sorts of philanthropy, or than government foreign aid. 

 

FUGNIDO, Ethiopia — At 10 p.m. in a sweltering refugee camp here in western Ethiopia, a group of foreigners was making its way past thatch-roofed huts when a tall, rail-thin man approached a silver-haired American and took hold of his hands. 

The man, a Sudanese refugee, announced that his wife had just given birth, and the boy would be honored with the visitor’s name. After several awkward translation attempts of “Mark Bent,” it was settled. “Mar,” he said, will grow up hearing stories of his namesake, the man who handed out flashlights powered by the sun.

Since August 2005, when visits to an Eritrean village prompted him to research global access to artificial light, Mr. Bent, 49, a former foreign service officer and Houston oilman, has spent $250,000 to develop and manufacture a solar-powered flashlight.

His invention gives up to seven hours of light on a daily solar recharge and can last nearly three years between replacements of three AA batteries costing 80 cents.

Over the last year, he said, he and corporate benefactors like Exxon Mobil have donated 10,500 flashlights to United Nations refugee camps and African aid charities.

Another 10,000 have been provided through a sales program, and 10,000 more have just arrived in Houston awaiting distribution by his company, SunNight Solar.

“I find it hard sometimes to explain the scope of the problems in these camps with no light,” Mr. Bent said. “If you’re an environmentalist you think about it in terms of discarded batteries and coal and wood burning and kerosene smoke; if you’re a feminist you think of it in terms of security for women and preventing sexual abuse and violence; if you’re an educator you think about it in terms of helping children and adults study at night.”

Here at Fugnido, at one of six camps housing more than 21,000 refugees 550 miles west of Addis Ababa, the Ethiopian capital, Peter Gatkuoth, a Sudanese refugee, wrote on “the importance of Solor.”

“In case of thief, we open our solor and the thief ran away,” he wrote. “If there is a sick person at night we will took him with the solor to health center.”

A shurta, or guard, who called himself just John, said, “I used the light to scare away wild animals.” Others said lights were hung above school desks for children and adults to study after the day’s work.

 

For the full story, see:


Will Connors and Ralph Blumenthal.  "Letting Africa’s Sun Deliver the Luxury of Light to the Poor."  The New York Times, Section 1  (Sun., May 20, 2007):  8.

(Note:  the title of the article on line was:  "Solar Flashlight Lets Africa’s Sun Deliver the Luxury of Light to the Poorest Villages.")

 

 EthiopiaMap.gif   Source of map:  online version of the NYT article cited above.

 

July 14, 2007

Mugabe Prints More Money and Beats Up Shopkeepers, as Inflation Soars: More on Why Africa is Poor

 

     "Inflation made food cost a fortune in Harare this week.  The government imposed controls that required vendors to sell some items below cost."  Source of caption and photo:  online version of the NYT article cited below. 

 

JOHANNESBURG, July 3 — Zimbabwe’s week-old campaign to quell its rampant inflation by forcing merchants to lower prices is edging the nation close to chaos, some economists and merchants say.

As the police and a pro-government youth militia swept into shops and factories, threatening arrest and worse unless prices were rolled back, staple foods vanished from store shelves and some merchants reported huge losses. News reports said that some shopkeepers who had refused to lower prices had been beaten by the youth militia, known as the Green Bombers for the color of their fatigues.

In interviews, merchants said that crowds of people were following the police and militia from shop to shop to buy goods at the government-ordered prices.

“People are losing millions and millions and millions of dollars,” said one merchant in Bulawayo, referring to the Zimbabwean currency, which is becoming worthless given the nation’s inflation, the world’s highest. “Everyone is now running out of stock, and not being able to replace it.”

. . .

Gasoline was reported to be vanishing from stations as the going price, about 180,000 dollars per liter, was slashed by the government to something closer to the officially approved price of 450 dollars per liter. Mr. Mugabe’s government intends to cope with the shortages by subsidizing producers of basic goods. One of the few newspapers not under government control, The Zimbabwe Independent, reported last week that flour, which is controlled entirely by the state, will be sold to bakers for 10 million dollars a ton, half the market price. Similarly, many suppliers of basic goods have been told by the government that they will be allowed to buy gasoline at one tenth the going price, the newspaper reported. The government apparently plans to make up those losses by printing more money. Zimbabwe’s dollar has lost more than half its value in recent weeks because the government has constantly issued new bills to pay its mounting debts.

 

For the full story, see: 

MICHAEL WINES.  "Anti-Inflation Curbs on Prices Create Havoc for Zimbabwe."  The New York Times  (Weds., July 4, 2007):  A8. 

(Note:  ellipsis added.)

 

CNN on 7/10/07 broadcast a great clip from ITN, that had been courageously recorded undercover by Martin Geissler.  See  "Desperation in Zimbabwe":

http://www.cnn.com/video/#/video/offbeat/2007/06/23/vo.mi.ugly.dogs.ap?DPFPR=true

(Note:  ITN is sometimes also called ITV.  "ITN" stands for the International Television Network.)

 

Postscript:  According to an entry on the ITV web site entitled "Mugabe Battles Economic Crises," Mugabe "has warned he will not be restrained by "bookish economics"."  (He makes a great case for cracking open the books, doesn't he?  Or at least for opening the window and looking at what is happening outside?)

For the Mugabe quote on bookish economics, see:

http://itn.co.uk/news/a1d7763de3c4778b619a72cbeab24d6d.html

 

May 1, 2007

Somaliland Works, Without Foreign Aid or Recognition: More on Why Much of Africa is Poor

 

   In Hargeysa, the capital of Somaliland, there is sufficient public safety (in contrast to southern Somalia) for a money exchange to operate with large amounts of money on display.  Source of photo:  online version of the NYT article cited below.

 

HARGEYSA, Somalia, March 1 — When the sun rises over the craggy hills of Hargeysa, it sheds light on a different kind of Somalia.

Ice cream trucks selling bona fide soft serve hit the streets. Money changers, unarmed and unguarded, push cash through the market in wheelbarrows. Politicians from three distinct parties get ready for another day of debate, which recently included an animated discussion on registering nomadic voters.

It’s all part of a Somali puzzle: how one area of the country, the northwest, also known as Somaliland, can seem so peaceful and functional — so normal, in fact — while the rest continues to be such a violent, chaotic mess.

This tale of two Somalias is especially striking now, as thousands of African Union peacekeepers prepare to rescue Mogadishu, the nation’s bloodstained capital, from itself. The internationally backed transitional government that seized Mogadishu in late December with Ethiopia’s help says it cannot survive without foreign aid and foreign peacekeepers to quell clan fighting and an escalating insurgency.

Somalilanders, who have wrestled with their own clan conflicts, find this ridiculous.

“You can’t be donated power,” said Dahir Rayale Kahin, the president of the Republic of Somaliland, which has long declared itself independent from the rest of Somalia. “We built this state because we saw the problems here as our problems. Our brothers in the south are still waiting — till now — for others.”

But Somalilanders are waiting, too: waiting to be recognized. In 1991, as Somalia’s government disintegrated and clan fighting in the south spun out of control, Somaliland, traditionally one of the poorest parts of Somalia, claimed its independence. But no country acknowledges it as a separate state and very few even contribute aid — which makes Somaliland’s success all the more intriguing.

. . .

“It all goes back to the Brits,” according to Hajji Abdi Waraabe, an 89-year-old member of Somaliland’s upper house of Parliament.

When the colonial powers sliced up the Horn of Africa in the 19th century, the British got Somaliland and the Italians got Somalia. While the British relied mostly on clan chiefs to govern, the Italians created an entire Italian-speaking administration and imported thousands of people from Italy to farm bananas, build cathedrals and teach the people how to pour espresso.

One result was that Mogadishu, along the southern coast, became a major commercial hub and one of the most beautiful cities in Africa, but its traditional systems of authority were weakened. That is partly why, many Somalia analysts say, warlords were able to outmuscle clan elders and dominate Mogadishu in the vacuum that formed after the central government fell.

The British, on the other hand, never invested much in Somaliland, leaving it poor and dusty but with its traditions more or less intact.  . . .

. . .

But the one issue that unites most Somalilanders is recognition. Somaliland has its own money, its own flag, its own national anthem and even its own passport.

“And we have peace, a peace owned by the community,” said Zamzam Adan, a women’s rights activist. “You’d think in this part of the world, that would count for something.”

 

For the full story, see:

JEFFREY GETTLEMAN.  "The Other Somalia: An Island of Stability in a Sea of Armed Chaos."  The New York Times  (Weds., March 7, 2007):  A11. 

(Note:  ellipses added.)

 

SOMALILANDmap.jpg  Top photo shows women selling jewelry.  Middle photo shows a traffic cop performing a defensible function of government.  At bottom, the map shows Somaliland relative to the rest of Somalia.  Source of photos and map:  online version of the NYT article cited above.

 

April 1, 2007

Better than Socialism, but Not Free Market Enough: More on Why Africa is Poor

 

     Voters in line to vote for President in Senegal on 2/25/07.   Source of photo:  online version of the NYT article quoted and cited below.

 

My old Wabash professor Ben Rogge used to say that rulers liked to build pyramids to proclaim their glory.  He mentioned the Egyptian pyramids, and he mentioned the whole government-created capital city of "Brasilia" in Brazil. 

When rulers in a poor country invest a lot of tax money in infrastructure, such as roads, how much of that is due to their belief in mistaken economic theories, and how much to their wanting to build their own version of the pyramids? 

In either case, at least it can be said that the people probably benefit more from their taxes being used to build roads, than from their taxes being used to build pyramids.  At least the roads can be complementary to transporting goods, and to the mobility of labor. 

But the people would benefit even more if they could keep the tax money to use for their own purposes.

 

(p. A3) DAKAR, Senegal, Feb. 25 — Moudou Gueye was confident that Senegal’s presidential election on Sunday would turn around his fortunes, at least in the short term.

Seven years ago he voted for Abdoulaye Wade, a rabble-rousing professor who, after decades in opposition to Socialist Party rule, sailed into office buoyed by the votes of frustrated young people like Mr. Gueye, who is now 32. They hoped that Mr. Wade, a free-market liberal, would transform this impoverished nation’s economy, which had been stunted by generations of ineffective central planning.

. . .

. . .   Senegal has had relatively robust economic growth that has hovered at around 5 percent over several years (it was lower last year, owing in part to high fuel prices, according to government officials), compared with the 1 percent achieved during much of the Socialist era, and dozens of huge public works projects.

While in some ways the country is better off, economic growth and a building binge have not produced large numbers of jobs in a country struggling to make the transition from an agrarian society based largely on peanut farming to one that harnesses the wealth of a global economy.

. . .

Countering criticism that Mr. Wade is too old to serve another term — his official age is given as 80, but many people suspect he is older — his daughter, Sindiély, who has worked as a special assistant to the president, said he was as sharp and agile as ever.

“It is not a question of age,” Ms. Wade said as she waited to cast her vote in downtown Dakar. “It is a question of dynamism and ideas and what you have planned for your country.”

Along Dakar’s seaside roadway, young men marveled at the cars whizzing below a brand-new overpass, one of Mr. Wade’s long-anticipated public works projects.

Pap Ndiaye, an 18-year-old street vendor who sells baby clothes to people stalled in traffic, said the newly completed road was a sign that the country was moving in the right direction.

“Wade has done a lot for this country,” Mr. Ndiaye said. “Our hope is that he will stay and finish his work.”

Less than a mile away, the road abruptly ends with a bright yellow sign that says “déviation,” or detour. With a hard turn to the right, drivers pour off the broad new highway, and back into the tangled, chaotic streets of one of Dakar’s oldest and poorest neighborhoods.

 

For the full story, see: 

LYDIA POLGREEN.  "Senegalese Vote Hinges on Views of Economic Growth."  The New York Times  (Mon., February 26, 2007):  A3.

(Note:  ellipses added.)

 

March 24, 2007

Mugabe Eats Cake As He Ruins Zimbabwe Economy: More on Why Africa is Poor

   Tyrant Mugabe eats cake while his slaves starve.  Source of photo:  online version of the NYT article cited below.

 

JOHANNESBURG, Feb. 21 — President Robert G. Mugabe of Zimbabwe turned 83 on Wednesday to the strains of the song “God Bless President Mugabe” on state-controlled radio, along with an interview on state television, a 16-page paean to his rule in Harare’s daily newspaper and the prospect of a grand birthday party — costly enough to feed thousands of people for months, his critics argued — on Saturday.

Zimbabwe’s economy is so dire that bread vanished from store shelves across the country on Wednesday after bakeries shut down, saying government price controls were requiring them to sell loaves at a loss. The price controls are supposed to shield consumers from the nation’s rampant inflation, which now averages nearly 1,600 percent annually.

. . .

On Wednesday, The Herald, the state-managed newspaper, included in 16 pages of tributes to Mr. Mugabe an editorial calling him “an unparalleled visionary” and “an international hero among the oppressed and poor.”

. . .

“The guy is insensitive,” John Shiri, 41, a teacher at a primary school, told a local journalist. “There is no bread as we are talking, but he will be feasting and drinking with his family and hangers-on when there is no wheat in the country.”

. . .

Tawanda Mujuru, who runs a vegetable stall on Samora Machel Avenue in downtown Harare, said that she would be working in a factory if not for the failure of Mr. Mugabe’s economic policies.

“He has the guts to eat and drink when we are suffering like this,” she said. “Let him enjoy. Every dog has his day. We shall have our day.”

 

For the full story, see:

MICHAEL WINES.  "Mugabe Gets Ready to Eat Cake While Fellow Zimbabweans Can’t Find Bread on Shelves."  The New York Times  (Thurs., February 22, 2007):  A6.

(Note:  ellipses added.) 

 

    Tyrant Mugabe holds one balloon for each of his 83 years.  Source of photo:  online version of the NYT article cited above.

 

March 20, 2007

Europe Plays Fair with Africa by Reducing Sugar Subsidies

   Source of graphic:  online version of the WSJ article cited below.

 

For once, Europe bests the United States in consistently practicing free trade: 

 

BRUSSELS -- The developing world has been adamant that rich nations abandon farm subsidies in order to get a global trade deal both sides say they want. A flood of investment pouring into Southern Africa's sugar industry demonstrates why the poor countries won't back down on this demand.

The hundreds of millions of dollars being spent to ramp up African sugar production is a direct response to European Union plans to slash import duties and subsidies that for years have locked out farmers in developing countries.

The expansion shows how the EU's gradual opening of its farm sector can boost production in some developing countries, offer cheaper prices to European consumers and force inefficient EU producers to close.

 

For the full story, see: 

JOHN W. MILLER  "African Sugar Production Ramps Up EU Plan to Cut Tariffs Shows How Developing Nations Can Benefit."  The Wall Street Journal  (Sat., February 17, 2007):  A4.

 

March 17, 2007

Zimbabwe Official Says People Eat Field Mice as a "Delicacy": More on Why Africa is Poor


   Screen capture from CNN report "A Ruined Land," broadcast on December 19, 2006.

 

(CNN) -- Twelve-year-old Beatrice returns from the fields with small animals she's caught for dinner.

Her mother, Elizabeth, prepares the meat and cooks it on a grill made of three stones supporting a wood fire. It's just enough food, she says, to feed her starving family of six.

Tonight, they dine on rats.

"Look what we've been reduced to eating?" she said. "How can my children eat rats in a country that used to export food? This is a tragedy."   . . . 

This is a story about how Zimbabwe, once dubbed southern Africa's bread basket, has in six short years become a basket case. It is about a country that once exported surplus food now apparently falling apart, with many residents scrounging for rodents to survive.

According to the CIA fact book, which profiles the countries of the world, the Zimbabwean economy is crashing -- inflation was at least 585 percent by the end of 2005 -- and the nation now must import food.

Zimbabwe's ambassador to United States, Machivenyika Mapuranga, told CNN on Tuesday that reports of people eating rats unfairly represented the situation, adding that at times while he grew up his family ate rodents.

"The eating of the field mice -- Zimbabweans do that. It is a delicacy," he said. "It is misleading to portray the eating of field mice as an act of desperation. It is not."

 

For the full story, see: 

Jeff Koinange.  "Living off rats to survive in Zimbabwe."  CNN  POSTED: 3:40 p.m. EST, December 19, 2006.

(Note:  ellipsis added.)

 

RatsZimbabweDelicacy.jpg   Rats for dinner in Zimbabwe.  Source:  online CNN article cited above.

 

March 5, 2007

Mugabe's Hyperinflation Destroys Zimbabwe Economy: More on Why Africa is Poor

    "Rising school fees force many Zimbabwean children to learn at home."  Source of caption and photo:  online version of the NYT article cited below.

 

The article excerpted below does a good job of sketching some of the effects of  hyperinflation on the people of Zimbabwe.  But it does little to illuminate the cause.  As Milton Friedman definitively demonstrated, inflation is caused by government printing too much money.  Mugabe and other tyrants are motivated to print too much money so they will have more money to spend, without having to raise taxes.  The ploy seems to work for a little while sometimes, but in the end it results in inflation.

Gideon Gono is the governor of Zimbabwe's central bank.  Note Mr. Gono's display of chutzpah in his blaming the people for inflation, and note the wonderful just symbolism of the power black out that cut off Mr. Gono's speech. 

(It almost sounds like an outtake from Atlas Shrugged.)

 

(p. A1)  JOHANNESBURG, Feb. 6 — For close to seven years, Zimbabwe’s economy and quality of life have been in slow, uninterrupted decline. They are still declining this year, people there say, with one notable difference: the pace is no longer so slow.

Indeed, Zimbabwe’s economic descent has picked up so much speed that President Robert G. Mugabe, the nation’s leader for 27 years, is starting to lose support from parts of his own party.

In recent weeks, the national power authority has warned of a collapse of electrical service. A breakdown in water treatment has set off a new outbreak of cholera in the capital, Harare. All public services were cut off in Marondera, a regional capital of 50,000 in eastern Zimbabwe, after the city ran out of money to fix broken equipment. In Chitungwiza, just south of Harare, electricity is supplied only four days a week.

. . .

In the past eight months, “there’s been a huge collapse in living standards,” Iden Wetherell, the editor of the weekly newspaper Zimbabwe Independent said in a telephone interview, “and also a deterioration in the infrastructure — in standards of health care, in education. There’s a sort of sense that things are plunging.”

. . .

(p. A6)  The trigger of this crisis — hyperinflation — reached an annual rate of 1,281 percent this month, and has been near or over 1,000 percent since last April. Hyperinflation has bankrupted the government, left 8 in 10 citizens destitute and decimated the country’s factories and farms.

. . .

The central bank’s latest response to these problems, announced this week, was to declare inflation illegal.  From March 1 to June 30, anyone who raises prices or wages will be arrested and punished.  Only a “firm social contract” to end corruption and restructure the economy will bring an end to the crisis, said the reserve bank governor, Gideon Gono.

The speech by Mr. Gono, a favorite of Mr. Mugabe, was broadcast nationally.  In downtown Harare, the last half was blacked out by a power failure.

 

For the full story, see: 

MICHAEL WINES.  "As Inflation Soars, Zimbabwe Economy Plunges."  The New York Times  (Weds., February 7, 2007):  A1 & A6.

(Note:  ellipses in original.)

 

For a lot of evidence on what causes inflation, see:

Friedman, Milton, and Anna Jacobson Schwartz.  A Monetary History of the United States, 1867-1960. Princeton:  Princeton University Press, 1963.

 

January 23, 2007

International Trade Helps Poor African Cotton Farmer

   Left photo shows Dennis Okelo in the grocery store that he opened with savings from growing cotton, and selling it to Dunavant.  Right photo shows a Dunavant cotton gin in Zambia.  Source of photos:  online version of the NYT article cited below.

 

(p. 1)  WHERE is he?” the old woman asks. “Where is he?”

Finding Dennis Okelo used to be easy. The old woman — and most other people in a village outside of Lira, the provincial capital of northern Uganda — went directly to Mr. Okelo’s fields. He was always in one of his “gardens,” with his slacks rolled up above his calves and a short hoe close by. Or he was seated outside of his mud-brick house under a banana tree.

Then cotton growing revived in Uganda, and Dunavant Enterprises came to town about five years ago, paying cash on delivery. After three seasons of growing cotton for Dunavant, the world’s largest privately owned cotton broker and one of the biggest family-owned agribusinesses in the United States, Mr. Okelo, who owns less than three acres and has two wives and a passel of children, had saved $300, about double his annual earnings before Dunavant started buying his cotton.

Last summer, Mr. Okelo opened a grocery store, which is where the old woman finally found him: smiling, standing behind the wooden plank that serves as his service counter in a shop the size of a utility shed. The grocery, one of two in the village, carries dried foods, cooking oil, matches, cosmetics, batteries and candy.

“Before Dunavant, no one came to help us,” says Mr. Okelo, 40, who has farmed a variety of crops in these parts for about 20 years.

. . .

(p. 7)  IN his small shop, Mr. Okelo knows nothing of global developments in the cotton trade even though he is a direct beneficiary of them. He started farming during the lean years in Uganda, after the ouster of the country’s notorious dictator, Idi Amin, when the cultivation of cotton lagged so badly that production nearly ceased and farmers treated the crop like a weed.

A few years ago, as Uganda’s production began to revive, Dunavant’s trainers taught Mr. Okelo to grow cotton in straight rows and to use a string to measure precisely the distance between rows, to maximize plantings. Mr. Okelo’s new methods are basic, but in a part of Africa where farmers work the land chiefly with a hoe — and tractors, fertilizer and pesticides are rarities — even basic improvements can lead to large gains in production.

“Cotton is the crop that gives farmers the best money,” Mr. Okelo said. “I want Dunavant to be even closer to me.”

 

For the full story, see: 

G. PASCAL ZACHARY. Out of Africa: Cotton and Cash." The New York Times, Section 3 (Sun., January 14, 2007): 1 & 7.

(Note:  ellipses added.)

 

 DunvanantWilliamCottonEntrepreur.jpg   William B. Dunavant, Jr.  Source of photo:  online version of the NYT article cited above.