Hopebuilding’s Weblog


Celebrating locally-driven initiatives in sustainable development
May 20, 2009, 6:50 am
Filed under: Education, Environment, Livelihoods, governance, innovation

Local Entrepreneurship Celebrated at the UN Commission on Sustainable Development

The 20 winners of the 2009 SEED Awards for Entrepreneurship in Sustainable Development were announced May 12, 2009 in New York. The international award recognizes innovation in local, environmentally-responsible and sustainable entrepreneurship. Twenty local initiatives from across the developing world received this year’s award. Together, the winners cover a diverse range of promising business models that will tackle poverty and environmental stewardship in areas such as water and waste management, sustainable energy, recycling, and fish farming.”The 2009 SEED Award winners are shining examples of the kinds of low carbon, innovation-led, recycling and green job enterprises shooting up across the globe—enterprises that echo to the multiple challenges of here and now, enterprises that with just a fraction of the bail-out billions and trillions could be the new Microsoft, Siemens, Tata, and Unilever – able to deliver tomorrowʼs economy today,” said Achim Steiner, UN Under-Secretary-General and Executive Director of UNEP.

The SEED Award is the flagship programme of the SEED Initiative, a partnership founded in 2002 by the United Nations Development Programme (UNDP), United Nations Environment Programme (UNEP), and International Union for Conservation of Nature (IUCN). The SEED Awards identify, profile and support promising, locally-driven, start-up enterprises working in partnership in developing countries to improve livelihoods, tackle poverty, and manage natural resources sustainably. Rather than the traditional monetary prize, applicants compete for a package of individually-tailored capacity development– a suite of that will help the winners to grow their business idea and establish lasting partnerships across sectors. SEED develops learning resources for the broad community of social and environmental entrepreneurs, informs policy- and decision-makers, and aims to inspire innovative, entrepreneurial approaches to sustainable development.  As well as the UNEP, UNDP, and IUCN, SEED’s partners include the governments of Germany, India, the Netherlands, Norway, South Africa, Spain, the United Kingdom and the United States of America.

Competition for the 2009 SEED Awards was particularly fierce. Winners were selected by an international jury of sustainable development experts. Said Julia Marton-Lefèvre, Director General of IUCN: “This fourth round of SEED Awards demonstrates resoundingly that there are a vast number of innovative and practical ideas in the world about how to make sustainable development happen. These SEED winners were selected from more than 1100 applications from close to 100 countries worldwide, representing the collaborative efforts of about 5000 organizations from the private sector, non-governmental organizations, womenʼs groups, labour organizations, public authorities, international agencies and academia. Our hope is that with SEEDʼs support, they will grow and inspire similar initiatives elsewhere.”

 Beyond the annual SEED Award, the SEED Initiative works to learn from the experiences of the individual start-ups to derive tools and guidance that can be helpful for all entrepreneurs who are aiming to deliver social and environmental benefits. The latest tool, a major on line resource developed by SEED in partnership with the International Institute for Sustainable Development and the Commission on Environmental Cooperation, was launched at the reception. Set up as a wiki, at www.entrepreneurstoolkit.org, this tool is designed so that social and environmental entrepreneurs around the world can write about their experience with setting up and running their businesses.

The 2009 SEED Award Winners:

 - Bangladesh: “Solar conversion of traditional kerosene hurricane lamps”. A national NGO in partnership with a local NGO and a cooperative have developed an innovative device called “SuryaHurricane”, a low-cost solar lantern made from recycled parts of the conventional and much used kerosene lantern.

- Bangladesh: “Generating local economy through regenerating local resources”. A cooperation between a national NGO, a research institution and a small-sized business aims to avoid bio-diversity losses and degradation of the agricultural lands, by recycling waste from rice-growing for the production of cement that will be used in the production of low cost housing materials.

- Brazil: “One Million Cistern Program (P1MC)”. Local NGOs and local community associations have joined forces with the national government and international agencies to develop and build one million home cisterns to collect and store rain water in the semi-arid region, bringing access to potable water for poor rural families.

- Brazil: “The sustainable use of Amazonian seeds”. Regional development in the Brazilian Amazon is the aim of the partners, achieved by encouraging the organization of the local communities as a co-operative, and by transferring technologies and training the community in the production of oils made from Amazonian seeds, resulting in increased incomes for these communities.

- Brazil: “Eco-Amazon Piabas of Rio Negro”. A national NGO, a cooperative of small producers and public authorities are working together to build a niche market of specialty ornamental fishes and to introduce a fair trade system through socio-environmentally responsible fishing.

- Burkina Faso: “Nafore & Afrisolar energy kiosks”. A small business and international NGOs are cooperating to provide sustainable energy supply to poor communities by expanding the use of “Nafore”, a PV-based telephone charger, powered 100% on solar energy.

- Colombia: “Oro Verde® – Facilitating market access for artisan miners”. A national NGO and local community associations are engaged in an initiative to reverse environmental degradation and social exclusion produced by illegal and uncontrolled mechanized mining. A mining certification process and capacity building program have been created created. More than 1000 artisan mines are now following social and environmental criteria.

- Colombia: “Camarones Sostenibles del Golfo de Morrosquillo”. The partners of this project are a community-based organization, a local NGO and a small business which are aiming to establish a cooperative enterprise that includes families of traditional fishermen in the Morrosquillo Gulf, farming shrimp in a way which produces zero emissions.

- Cook Islands: “Innovative inland oyster aquafarming”. A local business in partnership with a national NGO is farming oysters under controlled conditions in an environmentally friendly and wholly sustainable manner. Farming fish provides relief from subsistence fishing of the over-harvested lagoons in the region as well as new food security and income generation to communities involved.

- Kenya: “MakaaZingira” produces FSC certified charcoal for conservation and livelihood creation. A national NGO, a community-based organisation and a small business network aim to establish a sustainable eco-charcoal production model, helping small scale farmers to replace unsustainable practices while also bringing social benefits.

- Kenya: “Integrated plastics recovery and recycling flagship project”. A project carried out by a large and a small business in partnership with a national NGO, aiming to offer the most viable option to recycling of dirty polythenes into plastic poles. It works to improve and strengthen livelihood assets for poor and marginalised youth and women.

- Kenya, Malawi, Tanzania and Zambia: “Sunny Money – solar micro-franchising”. International NGOs and community-based organisations in Kenya, Malawi, Tanzania and Zambia have created a micro-franchise named Sunny Money, which recruits, trains and supports a growing network of solar entrepreneurs in East Africa, especially deaf and disabled people, helping them build and sell solar kits to power lights, radios and mobile phones.

- Mozambique: “The clean energy initiative”. This project aims to provide rural electrification using sustainable energy, generating local employment and promoting entrepreneurial skills, by offering capacity building in the manufacture, installation and maintenance of micro wind turbines. The partners of this project are local small businesses and an academic institution.

- Niger: “Almodo”. A partnership between a small business and a research institution is developing a sustainable self-financing solid waste management system that contributes to improving living conditions of the poorest population, in collaboration with a women’s group that collects solid waste in poor urban areas of Niger’s three biggest cities.

- Panama: “Planting Empowerment”. An initiative involving a small business in partnership with a community-based organization and an international agency is leveraging private capital to increase conservation and provide sustainable livelihood opportunities to the local population as the same time as improving natural resource conservation in fragile environmental areas.

- South Africa, Namibia and Botswana: “Biocultural protocols – community approaches to Access and Benefit Sharing”. Civil society organizations have mobilized efforts to develop bio-cultural protocols with different local indigenous communities which will help to provide a model whereby local communities can share the benefits if local resources and expertise are developed for market purposes.

- Sri Lanka: “Solar energy, education & fishing”. National and international NGOs, with the cooperation of public authorities, are working to expand the use of an alternative lighting system in rural villages, through the replacement of kerosene lamps with solar panels.

- Tanzania: “KOLCAFE – Smallholder coffee revenue enhancement”. This initiative, involving national NGOs and a local research institution, aims to empower coffee farmers and increase coffee production by improving agronomic practices and adding value through building product processing infrastructure and selling products directly to export markets.

- Thailand: “Carbon bank and village development”. This innovative initiative of national NGOs and an academic institution aims to encourage, support and enhance community-based indigenous forestry through carbon credit trading to enable successful climate change adaptation and socioeconomic development for local communities and biodiversity conservation.

- Zimbabwe: “Bridge to the World”. A small business, a research institution and an association of small-scale women farmers together are facing the challenge of improving rural livelihoods and reversing severe land degradation through innovative organic farming of essential oils, made from the indigenous Tarchonanthus camphoratus bush.

 



‘Workers Without Borders’
March 10, 2009, 10:53 am
Filed under: Livelihoods, governance

When the size of “remittances” – money sent home by people working outside their home countries, to fund schooling and health care for their families and to help build community facilities – became clear a few years ago, politicians from both “sending” and “receiving” countries began to realize they needed to work together. They have now had two interesting conferences to begin thinking about how to create “circular” migration, which both supports “sending” country economies and meets labour force needs in “receiving” countries.

This recognition that migration, remittances, and employment are all connected is important in finding solutions that work.  Looking at these issues as if they are each independent (the “silo” approach) means solutions in one area impact the others, often in ways that are not so productive. The “wall” being built being Mexico and the US, for example, is costing the same amount of money that some scholars think could be raised if illegal migrants in the US were given the chance to become “legal”.

So I was heartened to see this excellent opinion piece in the New York Times, written by Jennifer Gordon, a professor of labor and immigration law at Fordham Law School. It is called Workers Without Borders, and appears in the March 9, 2009 edition of the NY Times. Prof. Gordon notes that “the current system hurts wages and working conditions – for everyone.”

She notes, as an example of an interconnected policy approach, how the EU dealt with an influx of workers when the EU was expanded:

Migrant mobility has been tried with success in the European Union. When the Union expanded in 2004 to include eight Eastern European countries, workers in Western Europe feared a flood of job seekers who would drive down wages. In Britain, for example, the volume of newcomers from countries like Poland was staggering. Instead of the prediction of roughly 50,000 migrants in four years, more than a million arrived.

Yet, as far as economists can tell, the influx did not take a serious toll on native workers’ wages or employment. (Of course, what happens in the global downturn remains to be seen.) Migrants who were not trapped in exploitative jobs flocked to areas that needed workers and shunned the intense competition of big cities. And when job opportunities grew in Poland or shrank in Britain, fully half went home again.



Sharing the good news from South Africa
November 14, 2008, 4:47 pm
Filed under: Uncategorized

When I was a journalist, many years ago now, it never really occurred to me that we spent much more time on “bad news” than on “good news”. In fact, sometimes people caricatured the “good news” attempts as being Pollyanna-ish; they thought “good” news was not really news.

But these days, as I spend so much time on the web, I really appreciate the “good news” sites. It provides a healthy balance to the daily diet of so much “bad news” in the media – what my friend Jim Lord calls “deficit thinking”, and what he replaces with “appreciative thinking”.

One example is South Africa: The Good News. It’s a website that focuses on positive developments in South Africa. Here’s how they describe themselves and their work:

We are well aware of the challenges that we face and the extent of these challenges. We address these challenges full on, but we choose to concentrate on the solution, rather than the problem

Bad news sells. That is a global reality and it is no different in South Africa. Arguably, the news mass media tend to focus on the bad news and largely ignore the positive developments in this county, creating an “information imbalance”. This imbalance fuels the perception that bad news is predominant in South Africa, whereas the reality is that we have many reasons to be exceptionally proud of our country’s recent past and optimistic about our future.

And here’s one example of that good news in action, from Nov. 11, 2008:

The City of Johannesburg was among the world’s cities who were recognised for their efforts in tackling pressing environmental concerns in the 2008 World’s Most Liveable Communities Awards. The awards are endorsed by the United Nations Environment Programme and are hosted annually by LivCom. The UK-based organisation aims to promote the environmental management and community liveability of the world’s cities. The 2008 awards took place in Dongguan, China on Monday.

Johannesburg was the only South African and African city to feature among this year’s winners taking home a total of five awards. Among these awards was the Criteria Award for Planning for the Future. This is given to the city that best demonstrates the use of sensitive and creative planning techniques for the creation of a sustainable, liveable community.

Johannesburg came third overall in the Whole City Awards for the World’s Most Liveable Community with an average daytime population greater than 1 million. South Africa scored just below the Municipality of York, Canada and Jiang Yin, China in this category.

Read the rest of the story here. There are lots of “good news” stories in Africa. You can also find many such stories on Hopebuilding Wiki.



People need information as much as food, shelter and medical attention in disasters, new report says
November 12, 2008, 5:25 pm
Filed under: Uncategorized | Tags: , , ,

When disaster strikes, people need information as much as they do food, shelter, and medical attention, says a new report from the BBC World Service Trust, the BBC’s international charity. And in the area of providing information, the humanitarian community’s track record could be improved, says the October 2008 report, entitled The Unmet Need for Information in Humanitarian Responses.

Effective information and communication exchange with affected populations are among the least understood and most complex challenges facing the humanitarian sector in the 21st century. Recent evaluations of disasters – including those of the 2004 Asian tsunami and the 2005 Pakistan earthquake – have identified the failure to consider the value of information and communications with affected populations as a critical and unmet need.

Effective communication can also help agencies be more effective, the report argues:

There is also growing evidence to show that effective communications strategies for beneficiaries … hold huge potential for aid organisations themselves. This is not just because they can save lives but because they enable better accountability, more effective management of expectations and ultimately improved humanitarian response.

One example of this beneficial effect is illustrated in the following story told in the report:

In Galle, Sri Lanka, staff from the Office for the Coordination of Humantarian Affairs (OCHA) noted that there was much confusion among the local populations about their rights and entitlements concerning housing, and little capacity within the government to provide the information required.

The OCHA team worked with several different agencies and local officials to design a campaign including radio spots, posters, a leaflet explaining housing rights and crucially a week long open house day at the offices of the local government department in charge of housing, during which beneficiaries could ask questions, register for assistance and talk to government officials and aid agencies on how to access assistance.

The campaign was a huge success, with both local government officials and populations responding enthusiastically and benefiting from better understanding of each other’s roles and needs.

The Humanitarian Practice Network of the Overseas Development Institute, which is holding a discussion on the report December 4, 2008, also included a positive example in its announcement.

When Cyclone Nargis hit Burma in May of this year, it was weeks before a valiant local effort was reinforced by a massive international response. But one lifesaving commodity was able to get through from the outset: information. Dedicated radio broadcasts helped many to survive in those first critical weeks, telling them how to purify water, treat minor ailments, identify serious medical problems, and build basic shelters.

After reviewing evidence about how affected populations see the need for information and what information they need, and then exploring why such demands are rarely met “and what structures, systems and skills are missing”, the report concludes with detailed recommendations, short-term and long-term. Key recommendations are for agencies to “mainstream communications with affected populations” and to “make someone responsible for understanding and responding to the information and communication needs of affected populations”.



Using dirt and waste to bring light to Africa
November 12, 2008, 9:59 am
Filed under: Livelihoods, innovation | Tags: , ,

It is so heartening to see how Africans approach technology innovation. They are focused, not just on finding solutions to basic problems such as providing lighting, but on making it possible for Africans themselves to implement those ideas.

Lebone Solutions, based in Cambridge, Massachusetts, is working to bring light to poor and remote African communities through a microbial fuel cell that uses waste and dirt to make small amounts of energy, Cate Doty reports in the International Herald Tribune Nov. 11, 2008.

“You can just literally make energy from dirt,” said Aviva Presser, a graduate student at the Harvard School of Engineering and Applied Sciences. “And there’s a lot of dirt in Africa.”

Presser is one of the founders of Lebone Solutions, which is being financed by a $200,000 World Bank grant and private investments. Lebone’s idea is a microbial fuel cell, a battery that makes a small amount of energy out of materials like manure, graphite cloth and soil, which are common to African households.

As waste decomposes, it produces electrons that stick to an electrode, like a piece of graphite, that then creates enough of a charge to power a small lamp or cellphone.

“It can be made by people with minimal training,” Presser said. “It doesn’t take a massive investment.”

Presser founded Lebone, which means “light stick” in Sotho language, with fellow Harvard classmate Hugo Van Vuuren. Both grew up in Africa, and their class project involved looking at sustainable lighting technologies for the continent. Last summer, they piloted the technology in a small Tanzanian village, Leguruki, where six families used the batteries for three hours a night. Over the next two years, in Namibia, they will see if more easily available materials, like chicken wire, will create electricity.

Lebone hopes that as the technology becomes more refined, each household will be able to build a battery at a one-time cost of no more than $15.

Eventually, Lebone wants to create a new business model for energy distribution in Africa, helping to funnel fuel cells and other technologies tested in Africa to distributors there, rather than reducing developed technologies to meet African needs.



‘Hope in a box’ helps close “humanitarian productivity gap”
November 12, 2008, 9:19 am
Filed under: governance, innovation | Tags: , ,

I was fascinated to learn today about a non-profit IT consortium called NetHope that is facilitating collaboration among humanitarian agencies when tsunamis and earthquakes wipe out existing communication systems. Private business has grown dramatically over the past two decades because it invested in technology infrastructure, says NetHope CEO Bill Brindley. Now NetHope is bringing those same advanced information technology approaches to emergency relief, human development and conservation programs in more than 180 countries.

“Our member agencies will always be resource-constrained by comparison, so we need to find new ways to close the gap and ensure that humanitarian workers and the people they serve have access to appropriate technologies for the often extreme and challenging conditions in the developing world,” Brindley says. Given that NetHope’s 25 member groups now represent “more than $33 billion in program spending on humanitarian and conservation initiatives and employ more than 300,000 people across the developing world”, new technologies can dramatically improve the overall impact of the humanitarian sector’s work.

A story entitled NetHope bringing technology to humanitarian efforts, by Julie Bick, in the International Herald Tribune Nov. 11, 2008, shows NetHope’s impact after the 2004 tsunami:

Rui Lopes’s first impression of Banda Aceh, Indonesia, after the 2004 tsunami was chaos. Bone-jarringly rough roads led to a hastily assembled field office, where Lopes, the senior technical director of Save the Children, learned that the communications infrastructure, along with just about everything else, had been destroyed. Aside from a few satellite phones and even fewer working mobile phones, the area was isolated as relief workers scrambled to assess the security situation and address the vast humanitarian needs.

On the ground, Lopes unpacked a contraption made of circuits, chips and wires, pointed it at the sky and rolled out a solar mat, which turns sunlight into energy, to power it up. Aid workers plugged their laptops into the device, which offered the first stable Internet connection since the disaster had hit a week earlier.Assessment reports and supply requests streamed out. Photographs went to news outlets to help spread awareness of the situation. Plans to coordinate agencies came in from abroad.

A third generation model of this Network Relief Kit was used by relief workers in Bangladesh after cyclone Sidr killed and displaced thousands of people last November. The workers called it “hope in a box or an angel on the broadband airwaves”, says Paula Musich in an article entitled NetHope Brings Fast Links to Disaster Relief that appeared Dec. 21, 2007 in the specialized IT publication eweek.com.

Thanks to refinements in the third generation of the NRK, relief workers were able to quickly establish voice and data communications, despite power being out to the Ganges Delta area for days after the typhoon hit….The NRK, which can fit in a backpack, includes a solar power kit that allows it to operate without having access to a vehicle battery. It weighs about four pounds and connects satellite phones as well as laptops to a satellite network that covers the globe.

NetHope, which was co-founded in 2001 by Dipak Basu, Cisco’s first fellow, and Ed Granger-Happ, CIO of Save the Children, has just wrapped up its biannual member summit in Geneva with a lot of good news including funding from the Rockefeller Foundation and continuing support from Microsoft.

“We started NetHope eight years ago with the idea that a collaborative approach to developing and delivering technology solutions to common problems throughout the NGO sector would make the most sense for our member agencies and for the corporate and foundation partners whose support of our work has been so critical,” says Granger-Happ. “The new support from Rockefeller Foundation and the increased support from Microsoft represent an important endorsement of the NetHope approach, including the premise that technology can be a core lever for dramatically improving the overall impact of the humanitarian sector’s work.”

NetHope’s unique business model allows member NGO IT professionals to share their technology resources and expertise in order to create the scale needed to reach and positively impact the more than 3 billion underserved people and communities in the most remote areas of the world.



IRENA to promote renewable energies internationally
November 6, 2008, 4:42 pm
Filed under: Environment | Tags: ,

The International Renewable Energy Agency (IRENA), an initiative by Germany, Spain and Denmark, will be launched in Bonn in January after 51 countries agreed to its statute in Madrid Oct. 23-24, reports EurActiv.com November 3. IRENA’s mandate encompasses all forms of renewable energy, including bio-energy, solar power and wind energy. It seeks to combat such obstacles to tapping clean energies as lack of public awareness and proper information, market distortions in favour of traditional energy sources, and ineffective political frameworks.

The German government, which has taken the lead in the preparatory phase, says a “large majority” of the numerous countries that have set ambitious targets to give renewable energies a more prominent place in their national energy consumption “would like detailed consultation and advice on this”. Providing information on best practices and promoting technology transfer will be at the core of IRENA’s aim to give all countries access to reliable information on the latest expertise and effective financing options.

IRENA, intended as the first truly international organisation offering support and advice to both industrialised and developing countries, will work closely with other related international organisations and initiatives, only offering its services at the request of member states, says EurActiv.com.

The EU has adopted a binding target to source 20% of its energy needs from renewables by 2020 in response to the double challenge of global warming and energy security. In January 2008, the Commission proposed differential targets to each member state depending on their per capita gross domestic product.



New book supports people-centred solutions on water, sanitation
November 6, 2008, 12:15 pm
Filed under: Health, water | Tags: ,

“Investing in sanitation and hygiene is not only about saving human lives and dignity; it is the foundation for investing in human development, especially in poor urban and peri-urban areas,” explains the foreword to a very useful new publication on sanitation. “However, one of the main bottlenecks encountered the world over, is the limited knowledge and awareness about more appropriate and sustainable systems and technologies that keep project costs affordable and acceptable.”

Until now, such information has been scattered throughout hundreds of books and journals. The “Compendium of Sanitation Systems and Technologies” is a new guidebook produced by the Swiss Federal Institute of Aquatic Science and Technology (Eawag) and the Water Supply and Sanitation Collaborative Council (WSSCC). It is being launched officially this week at the World Toilet Summit and Expo in Macao.

Bringing together and organizing this information in one document makes it easier for everyone – engineers, planners, development agencies, NGOs and donors –to plan effectively for sanitation solutions. By pulling all the information together in one volume, the Compendium aims to promote a systems approach so that sanitation devices and technologies are considered as parts of an entire system.

Although the book is primarily addressed to engineers and planners dealing with infrastructure delivery, the technology sheets also allow non-experts to understand the main advantages and limitations of different technologies and the appropriateness of different system configurations.

In 2005, Sandec and the WSSCC published Provisional Guidelines for Household-centred Environmental Sanitation (HCES), a new planning approach for implementing the Bellagio Principles on Sustainable Sanitation in Urban Environmental Sanitation. The HCES approach emphasizes the participation of all stakeholders – beginning at the household/neighbourhood – in planning and implementing sanitation systems. “It is our hope that this Compendium will allow all stakeholders to be involved in selecting improved sanitation technologies and to help promote people-centred solutions to real sanitation problems.”

A hard copy of the Compendium can be ordered by writing to info@sandec.ch.




“Operationalizing” adaptation to climate change in developing countries
October 31, 2008, 12:47 pm
Filed under: Environment | Tags: ,

An interesting conference is planned for Nov. 25, 2008 in the Netherlands on “how to operationalise adaptation to climate change in developing countries”.  This is a follow-up to a conference organized last year by several Dutch humanitarian and development NGOs on adaptation to climate change in developing countries, with the goal of sharing experiences from NGO practitioners, scientists, government officials, and companies.

Last year’s conference used a thematic and regional approach to look at impacts and consequences of climate change for developing countries. Now this year, their focus is on how this knowledge should translate into action.

We know the possible threats that climate change can pose, but how do we translate this into our actions here and now? How to translate the general and long term climate scenario’s in information for decision-making at community level? How can climate change adaptation strengthen the MDGs? How can climate change adaptation improve existing disaster risk management structures and their connection with sustainable development strategies. It basically comes down to a simple question: “‘Now that we know that the climate is changing, what should we do different in our daily work in developing countries to adapt to the consequences of this change?”

I hope that they begin to look at involving communities in this approach, and find ways to support the locally-led activities in communities that already are addressing adaptation to climate change. I am always fascinated by how local people are leading the way on sustainability – see Stories of Sustainability. I also hope they look at some of the exciting work being done by Canada’s Farm Radio International to discover and share local knowledge about climate change adaptation in Africa.

We don’t need to always be reinventing the wheel; we need to build on what people already are doing locally. Of course, this may mean finding ways to provide financial support to small groups that do not have sophisticated project or financial management systems – but who are doing things that work.



Going back to bartering: rice for oil
October 28, 2008, 6:20 pm
Filed under: Food | Tags: , , , ,

The Financial Times reports Oct. 27, 2008 that Thailand, the world’s largest rice exporter, plans to barter rice for oil with Iran, which is one of the top 10 importers of rice. Apparently countries haven’t bartered like this for decades, but the UN’s Food and Agriculture Organization says it is likely to happen much more because of high commodity prices and scarce credit.

Sounds to me like a good thing. This is what small remote communities have been doing for years – swapping goods and services, because there is no available banking in their communities. Both sides get something valuable in exchange for something valuable – and people who need food get it. Perhaps such bartering will bring some reality back to financial markets.