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    US sets – and quickly suspends – tariffs on UK and others over digital taxes

    The Biden administration announced 25% tariffs on over $2bn worth of imports from the UK and five other countries on Wednesday over their taxes on US technology companies, but immediately suspended the duties to allow time for negotiations to continue.The US trade representative, Katherine Tai, said the threatened tariffs on goods from Britain, Italy, Spain, Turkey, India and Austria had been agreed after an investigation concluded that their digital taxes discriminated against US companies.The move underscores the US threat of retaliation, first made under the Trump administration, over digital-services taxes on US-based companies including Alphabet, Apple and Facebook, that has sparked an international row over which countries should have taxing rights over some of the world’s largest companies.The US trade representative’s (USTR) office published lists of imports that would face tariffs if international tax negotiations fail to reach a solution. Goods from Britain worth $887m, including clothing, overcoats, footwear and cosmetics, would face a 25% charge as would about $386m worth of goods from Italy, including clothing, handbags and optical lenses. USTR said it would impose tariffs on goods worth $323m from Spain, $310m from Turkey, $118m from India and $65m from Austria.The potential tariffs, based on 2019 import data, aim to equal the amount of digital taxes that would be collected from US firms, a USTR official said. The news came as finance leaders from G7 countries prepare to meet in London on Friday and Saturday to discuss the state of tax negotiations, including taxation of large technology companies and a US proposal for a global minimum corporate tax. US tariffs threatened against France over its digital tax were suspended in January to allow time for negotiations.Tai said she was focused on “finding a multilateral solution” to digital taxes and other international tax issues.“Today’s actions provide time for those negotiations to continue to make progress while maintaining the option of imposing tariffs under Section 301 if warranted in the future,” Tai said.Tai faced a Wednesday deadline to announce the tariff action, or the statutory authority of the trade investigations would have lapsed.A British government spokesperson said the UK tax was aimed at ensuring tech firms pay their fair share of tax and was temporary. “Our digital services tax is reasonable, proportionate and non-discriminatory,” the spokesperson said. “It’s also temporary and we’re working positively with international partners to find a global solution to this problem.”Reuters contributed to this article More

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    Pro-Brexit Wetherspoons boss calls for more EU migration to staff bars

    The pro-Brexit boss of pub chain JD Wetherspoon has urged the government to increase migration from the EU to deal with a shortage of workers in the hospitality sector.Tim Martin, who campaigned for a hard Brexit, including leaving the single market and the end of freedom of movement which came with it, urged Boris Johnson to consider a new, “reasonably liberal” visa scheme to encourage foreign workers to relocate to the UK.He suggested countries close to Britain could be given preferential treatment – seemingly at odds with the argument laid out by Brexiteers that leaving the EU would allow the UK to treat all nationalities equally. Mr Martin told The Daily Telegraph: “The UK has a low birth rate. A reasonably liberal immigration system controlled by those we have elected, as distinct from the EU system, would be a plus for the economy and the country. > > To sign up to our free daily politics newsletters click here“America, Australia and Singapore have benefitted for many decades from this approach. Immigration combined with democracy works.”The Wetherspoon chairman had previously warned that remaining in the EU would lead to “significant adverse economic consequences” and labelled those warning of the economic damage that cutting ties with our biggest and closest trading partner would bring as “doomsters”.‘Question Time’ member accuses Tim Martin of supporting Brexit to ‘line his own pockets’Arguing for a no-deal Brexit in 2019, Mr Martin said: “I have argued that the UK – and therefore Wetherspoon – will benefit from a free-trade approach, by avoiding a ‘deal’ which involves the payment of £39bn to the EU.” He also cut the price of some drinks by 20p in a stunt to show how he believed Brexit would lower his costs.However, as a result of Brexit and the pandemic, much of the UK’s hospitality industry is now struggling to fill thousands of vacant roles.Mr Martin’s comments triggered an angry response from many of those who had argued against Brexit. Campaigner Femi Oluwole wrote: “I really hope Tim Martin never runs into Tim Martin. He’s gonna be so angry!”Former Plaid Cymru leader Leanne Wood said: “I remember disagreeing with Tim Martin on @bbcquestiontime about this, back in 2016. He was arguing the opposite position to this then. Too late mate.”The number of job postings in the bar, restaurant and pub sector has shot up by 46 per cent since indoor trading was allowed to resume in England on 17 May, according to the consulting services firm RSM.Michael Kill, chief executive of the Night Time Industries Association (NTIA), said both Brexit and the loss of staff during the long pandemic had left many firms struggling with their reopening plans.“There are severe staffing shortages,” said Mr Kill. “A lot of workers are from Europe, so Brexit has had an impact, and there is the furlough hangover, where a lot of people have now got other jobs to keep themselves going and are not coming back.”A report released at the end of April by Fitch Ratings, one of the Big Three credit rating agencies, said staff shortages were largely down to “EU nationals who have left the country following Brexit and employees who have switched sectors during the pandemic”.The agency said it also expected hospitality companies such as pubs, hotels and restaurants “to incur the additional costs of hiring and training new employees … putting pressure on their margins”.“Before Brexit, EU nationals made up between 12 per cent and 24 per cent of the total workforce in the UK hospitality industry, according to KPMG,” the report said. “Many of them left the country during the lockdowns. EU nationals now have to obtain a visa in order to enter the country to work, which entails securing a job offer that meets minimum salary levels, among other requirements.”The Fitch Ratings report added that hospitality businesses “may face increased salary requirements, for example in order to attract EU nationals, particularly during high summer and early autumn seasons, or to hire skilled employees to train workers with no prior experience.” More

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    White House contacts Russia after hack of world’s largest meatpacking company

    A ransomware attack against the world’s largest meatpacking company that has disrupted meat production in North America and Australia originated from a criminal organization probably based in Russia, the White House was informed on Tuesday.The attack on Brazil’s JBS caused its Australian operations to shut down on Monday and has stopped livestock slaughter at its plants in several US states.The ransomware attack follows one last month on Colonial Pipeline, the largest fuel pipeline in the United States, that crippled fuel delivery for several days in the US south-east.The White House spokeswoman Karine Jean-Pierre said JBS had given details of the hack to the White House, that the United States had contacted Russia’s government about the matter and that the FBI was investigating.“The White House has offered assistance to JBS and our team at the Department of Agriculture have spoken to their leadership several times in the last day,” Jean-Pierre said.“JBS notified the administration that the ransom demand came from a criminal organization likely based in Russia. The White House is engaging directly with the Russian government on this matter and delivering the message that responsible states do not harbor ransomware criminals,” Jean-Pierre added.If the outages continue, US consumers could see higher meat prices during summer grilling season and meat exports could be disrupted at a time of strong demand from China.JBS said it suspended all affected systems and notified authorities. It said its backup servers were not affected.“On Sunday, May 30, JBS USA determined that it was the target of an organised cybersecurity attack, affecting some of the servers supporting its North American and Australian IT systems,” the company said in a Monday statement.“Resolution of the incident will take time, which may delay certain transactions with customers and suppliers,” the company’s statement said.The company, which has its North American operations headquartered in Greeley, Colorado, controls about 20% of the slaughtering capacity for US cattle and hogs, according to industry estimates.Two kill and fabrication shifts were canceled at JBS’s beef plant in Greeley due to the cyber-attack, representatives of the United Food and Commercial Workers International Union Local 7 said in an email. JBS Beef in Cactus, Texas, also said on Facebook it would not run on Tuesday – updating an earlier post that had said the plant would run as normal.JBS Canada said in a Facebook post that shifts had been canceled at its plant in Brooks, Alberta, on Monday and one shift so far had been canceled on Tuesday.A representative in São Paulo said the company’s Brazilian operations were not affected. More

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    Biden proposes $6tn budget to boost infrastructure, education and climate

    Joe Biden set out a $6tn budget proposal on Friday that, if passed, would fund a sweeping overhaul of US infrastructure and pour money into education and climate action, while driving government spending to its highest sustained levels since the second world war.The president’s first budget is largely a political document, and faces months of difficult negotiations in Congress where Republicans are already balking at the scale of his spending plans. But it clearly sets out Biden’s ambition to remake the US after the coronavirus pandemic.“Now is the time to build on the foundation that we’ve laid, to make bold investments in our families, in our communities, in our nation,” Biden told a crowd in Cleveland on Thursday. “We know from history that these kinds of investments raise both the floor and the ceiling of an economy for everybody.”Republicans immediately attacked the plan. Senator Mitch McConnell said it would “drown American families in debt, deficits, and inflation.”The White House has set out a two-part plan to overhaul the US economy by upgrading its infrastructure and expanding its social safety net. The costs of the programmes would lead to the US running annual deficits of over $1.3tn over the next decade and debt rising to 117% of the value of economic output by 2031.Alongside rebuilding bridges, roads, airports and other infrastructure, Biden has proposed a $13bn federal investment to roll out broadband internet access. Democrats are also pushing to expand and reform the US’s social programmes with government money for paid family leave and universal pre-school.In part the plan would be funded by tax increases on corporations and the very wealthy. Biden has already proposed increasing US corporation taxes to 28% from 21%, a plan opposed by all Republicans and some Democrats.Biden has said he is willing to negotiate with his political opponents on the shape and size of his proposals, but he will struggle to find Republican support for his agenda. No Republicans voted for his $1.9tn Covid stimulus bill and he has already been forced to scale back his infrastructure bill to $1.7tn from the originally proposed $2.2tn effort.The economy has improved markedly since Biden took office and the pandemic began to wane in the US. More than half of the country is now fully vaccinated and hiring has picked up as the economy has reopened.But the Biden administration believes the pandemic highlighted many structural issues with the US economy that need to be addressed by federal spending.Unemployment rates for Black and Latino Americans remain disproportionately high and women were hit particularly hard by the pandemic recession – in many cases because a lack of affordable childcare prevented them from working.A huge increase in government spending has fueled concerns about rising inflation. Prices on goods including lumber, cars and chicken have soared in recent months, and the commerce department said on Friday that the personal consumption expenditures index, a key measure of inflation, increased by 3.1% in April from a year ago, its highest level since 1992.On Thursday the treasury secretary, Janet Yellen, said the budget would push US debt above the size of the US economy, but said the proposed plan was responsible and would not contribute to inflationary pressures.“I believe it is a fiscally responsible program,” Yellen told a House appropriations subcommittee. More

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    America’s True Hyperreal Heroes

    At the very moment that US President Joe Biden is busy demonstrating how little power he wields, whether in reigning in the neocolonial and militaristic behavior of the Israeli government or in attempting to push key legislation through Congress, Elon Musk, who has never been elected to any public office, is flaunting his unchallenged personal power over what may be the most disruptive force in today’s global economy: cryptocurrency.

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    Gregory Barber, writing for Wired, notes that through his tweeting, Musk has become a self-contained agent of volatility. He can send the value of different cryptocurrencies north or south, whenever he feels like it. As Barber frames it, “Musk is creating and destroying small fortunes, 280-characters at a time.” In his email promoting the article, Barber speculates: “Perhaps it’s strategic, or just whimsy, or maybe it’s a kind of performance art to inspire us all to wonder at the value of things. We might never know Musk’s true motives.”

    Today’s Daily Devil’s Dictionary definition:

    True motives:

    In the current society built on the principle of hyperreality, intentions that though detectable, will never be exposed in public, even by the media who understand that reporting on reality could only confuse their consumers who have become addicted to the manipulated representation of reality rather reality itself.

    Contextual Note

    Elon Musk is a true hyperreal hero, whose only serious rival on the world stage has been Donald Trump. Both are committed to finding ways to obscure the public’s ability to understand some serious public issues. But, contrary to Barber’s assertion, their true motives have never been in doubt. They can be summarized in two words — money and power — and two pathologies — greed and narcissism.

    Because most people in the United States have been taught to revere money and power — money as the key to power, power as the means of obtaining wealth — for all their obvious faults, their admirers not only continue to admire them but also celebrate their consummate ability to epitomize hyperreality. In the Calvinist tradition, wealth and power in the community were signs of divine favor. With the fading of the Puritan ethic of sober achievement, in their excess, Musk and Trump have attained the status of secular gods.

    Embed from Getty Images

    American culture struggles helplessly with the idea of truth. Where the condition for basic survival is to be constantly selling something to other people (ideally by creating a marketplace), truth tends to disappear into a misty horizon, spawning a destabilizing doubt that it even exists. But rather than resigning themselves to the absence of truth, Americans now want to reduce it to the question of facts. Fact-checking is all the rage.

    But serious philosophers and psychologists have always understood that the idea of truth means much more than establishing facts. Paradoxically, facts themselves can represent a convenient way of burying the truth. Journalists and public figures know this. A typical New York Times article on a potentially controversial issue typically contains a breathless series of short paragraphs citing facts, events and expert statements.

    The authors avoid providing logical connections between the paragraphs in an effort to let the facts accumulate. After aligning litanies of factoids and well-chosen quotes, the authors can be certain that no reader will be capable of stitching together anything that leads them towards an underlying meaning. “True motives” will be lost in the onslaught. Here at The Daily Devil’s Dictionary, we have cited examples of these logicless developments, for instance here and here.

    Both of our hyperreal heroes have been publicly disciplined for tweeting irresponsibly. Perceived as less dangerous, Musk still has a Twitter account whereas Trump had his taken away just before leaving the White House. Musk once declared that “Twitter is a war zone,” whereas Trump was accused of using it to foment civil war. His “true motive” appears to have been an attempt to create enough havoc to justify remaining in the White House. It didn’t work for Trump, but Israeli Prime Minister Benjamin Netanyahu may have been inspired by Trump’s example after failing to form a new majority earlier this year.

    According to Barber, Musk’s tweets “drop from the sky without warning. He controls the narrative, and thus the market effect.” This is not just hyperreal posturing or playing an expected public role with melodramatic or comic effect, as both Trump and Musk are wont to do on practically any occasion. Musk’s tweets concerning cybercurrency give him a power to make money instantly, at the expense of millions of other people. It sounds dangerous and downright unethical, but as a lawyer quoted by Barber explains, “You can’t police based on what you think is somebody’s subjective heart-of-hearts intent.” Is “heart-of-hearts intent” a synonym of “true motive”? In US culture, people tend to think so.

    Barber notes that only “a small number of people” possess something comparable to Musk’s hyperreal power. He cites Warren Buffett and the Federal Reserve chair, Jerome Powell. Neither of them is addicted to tweeting. But what is the true source of irresponsibility in this story? Is it Musk himself? Or is it Twitter as an institution that facilitates manipulation? Could it be cryptocurrency, which, as a pure product of purchasers’ greed, with no direct link to anything of substance, might justifiably be called hypercurrency? All three combine to define the hyperreal landscape that surrounds us, along with our media who amplify the drama the others generate.

    Historical Note

    Throughout history, political leaders have managed to control events by influencing the behavior of tens of thousands, and sometimes millions, of people. Think of Julius Caesar, Genghis Khan, Napoleon and Hitler. Whatever extraordinary narrative their culture invented for them and whatever personal charisma on their part contributed to their success, what these figures from the past did was rooted in the reality of government, administration, coercive force and concrete economic relationships.

    Hyperreality today sits atop all those features of power but thrives in an independent world of its own. It may be that without the example of Hollywood we never would have reached this stage. Musk and Trump alike are more like entertainment figures — both writing the script and playing the role — than to leaders of social, political or cultural movements.

    Two centuries ago, P.T. Barnum provided the model for hyperreality that would fully blossom in the 20th century thanks to the disruptive technology of movies, television and finally the internet. Barnum invented an entire sector of entertainment based on the misrepresentation of facts when, after purchasing an aging slave, Joice Heth, put her on display, claiming she was 161 years old and had been young George Washington’s nurse. Barnum understood how facts and symbolism combine to draw the public to his spectacles.

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    George Washington was already known as “the father of the nation.” Barnum provided an exotic, black mothering figure for the father of the country. At the same time, the supposed relationship served to justify slavery and racism by promoting the idea that blacks in a situation of service could nurture whites, and whites would protect and nurture blacks.

    Barnum later became famous for organizing his three-ring circus, but before that he built his reputation around presenting facts or the appearance of facts. He created the American Museum in Manhattan. It featured both authentic historical artifacts and a freak show, prolonging the spirit of deception he developed around Joice Heth. With his partner James Bailey, he launched hyperreality’s ultimate theme with a circus they called “The Greatest Show on Earth.” Barnum himself never sought to be a hyperreal hero. He simply propagated the values of the culture of American hyperreality that would be refined by a later generation of architects of hyperreality.

    William Randolph Hearst modeled the modern idea of the news. Sigmund Freud’s American nephew, Edward Bernays, invented the art of public relations built around the science of advertising designed as a form of mind control. Trump and Musk have come to represent the ultimate hyperreal heroes, but they have built their identities around the culture created by geniuses like Barnum and Bernays combined with the culture of Hollywood’s larger-than-life screen heroes. They are not alone. There are plenty of hyperreal supporting actors and extras who give depth to the representation. But they are the ones talented enough and sufficiently narcissistic to occupy center stage and ultimately influence the audience’s behavior.

    *[In the age of Oscar Wilde and Mark Twain, another American wit, the journalist Ambrose Bierce, produced a series of satirical definitions of commonly used terms, throwing light on their hidden meanings in real discourse. Bierce eventually collected and published them as a book, The Devil’s Dictionary, in 1911. We have shamelessly appropriated his title in the interest of continuing his wholesome pedagogical effort to enlighten generations of readers of the news. Read more of The Daily Devil’s Dictionary on Fair Observer.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    Europe’s Thirst for Virtual Water: Blueberry Fields Forever?

    Blueberries have long established themselves among the superfoods. They are tasty, low in calories and full of beneficial nutrients. Most importantly, they are a rich source of antioxidants that serve to protect against a range of diseases, most notably cancer. This might explain why the demand for blueberries has steadily increased over the past few years. Between 2015 and 2019, Europe’s blueberry imports increased from 45,000 tons to 113,000 tons. Between 2018 and 2019 alone, the volume of imports rose by more than 40%.

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    Blueberries consist mostly of water. In fact, some 85% of the fruit is H2O. And that’s where the problem starts. In Western Europe, most of the blueberries you find in supermarkets today are imported from Spain; more precisely, from one province in the autonomous region of Andalusia, Huelva, located in the southwest, where Spain borders Portugal. Andalusia is known for the beauty of its major cities like Seville, Granada and Cordoba, and its beach resorts of Marbella, Torremolinos and Malaga.

    Andalusia also happens to be among the poorest autonomous regions in Spain. In 2019, it ranked close to the bottom with respect to GDP per capita; only Estremadura and Melilla ranked lower. In 2016, around 40% of the population lived in poverty; among children, the poverty rate stood at 44%.

    The Blueberry Dark Side

    Andalusia has also been the launching pad for Vox, Spain’s radical populist right. In the regional elections of 2018, Vox gained 11% of the vote, which put the party in a pivotal position. Since neither the left nor the right commanded a majority in the region’s parliament, Vox found itself in a position of kingmaker. At the time, Vox came out in favor of the center right. In Huelva, like across Andalusia, Vox is a major political player. In the November national election of 2019, Vox garnered more than 20% of the vote in Huelva, second only to the socialists who won 36%.

    Vox is a political force to be reckoned with. The party promotes itself as an ardent defender of ordinary hardworking people and of the unity of the Spanish state, threatened by Catalan and Basque independence aspirations. At the same time, the party has vigorously rejected any human responsibility for climate change. Environmental concerns are certainly not on the party’s agenda.

    This brings us back to blueberries from Spain. Over the past several years, the cultivation of blueberries in Huelva province has progressively expanded. Between 2016 and 2020, blueberry spring exports (February to May) increased by more than 80% in volume and more than 40% in value. At the same time, land devoted to blueberries increased from 4.4 squared miles to roughly 14 square miles. As a result, production more than doubled, from 20,815 tons in 2014-15 to 45,506 tons in 2019-20. Altogether, the cultivation of the three major “red fruits” produced in Huelva — blueberries, strawberries and raspberries — provides employment to over 100,000 people, generating roughly €1 billion ($1.2 billion) in revenue.

    Embed from Getty Images

    This is one side of the equation, one that Huelva’s authorities like to propagate. Unfortunately for them, the other (dark) side has once again been making international headlines. Here the focus is on the disastrous impact that cash crops have had on the natural environment, in particular on the Donana national park, a wetland reserve and UN Heritage site that is a refuge for over 2,000 different species of wildlife and serves as a way station for millions of migratory birds every year.

    The national park was already on the receiving end of an environmental catastrophe that severely affected its delicate ecological balance. In 1998, a dam burst at a mine near Seville, releasing up to 5 million cubic meters of toxic slush into the Guadiamar River, the main water source for the park. Cleaning up the mess cost the Spanish state some €90 million. It spent a further €360 million to restore parts of the park. Some of the money came from the European Union. It took several years for the park’s wildlife to recover.

    Yet little was learned from the disaster. By 2016, UNESCO threatened to put the park on its danger list. And for good reason: As The Guardian reported at the time, Donana was “said to have lost 80% of its natural water supplies due to marsh drainage, intensive agriculture, and water pollution from the mining industry.” The article cited a report from the World Wildlife Fund (WWF) that charged that farmers had been drilling more than 1,000 illegal wells that accelerated “the park’s destruction, as drought-resistant plants replace water-dependent ones in the region.”

    Ecological Crisis

    The expansion of cash crop cultivation in Huelva has only added to the ecological crisis, once again ringing alarm bells not only in individual countries that are among Huelva’s most important customers, such as Germany and the United Kingdom, but also in Brussels. A recent report on the website of Germany’s premier news program, ARD’s “Tagesschau,” set the tone: “Spain’s national park is drying out.” The main reason: Huelva’s red fruit industry has not only encroached on park land but, more importantly, has systematically starved the park of its most important lifeline — water. According to the report, estimates are that roughly 1,000 of the wells dug to irrigate the plantations are illegal. In other words, nothing had changed since 2016.

    By 2020, the European Commission had had enough. It took Spain to court. In December, it charged that Spain had looked the other way and allowed the continued illegal appropriation of groundwater, in the process inflicting serious damage to the nationally and internationally protected Donana wetlands. For all practical purposes, the failure lay largely with the regional Andalusian government. Five years ago, the regional government advanced a plan to protect Donana; five years later, according to an article in Spain’s leading newspaper El Pais, only 17% of the measures had been realized, 43% were incomplete, the rest — nada.

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    The regional government has, however, made an effort to go after Huelva’s most egregious water thieves. In March, two ex-mayors — one a socialist, the other a conservative — were put on trial together with 13 farmers, all of them accused of illegal appropriation of water. At the same time, the government has tried to shut down illegal wells. But with over a thousand currently in operation, the backlog is great, and more often than not the authorities have met with determined resistance.

    At the same time, however, the regional government has continued to license new water rights. In 2017, for instance, the government conceded more than 270,000 cubic meters of public groundwater to a cooperative society, which allowed the cooperative to more than double its production of blueberries in the Sierra de Huelva. All this, as a public official in charge of water management claimed, was done in the name of “sustainable development.” Donana’s endangered wildlife would probably disagree. But then, they don’t have a voice, and those speaking in their name, such as the WWF, have to a large degree been unheeded.

    Virtual Water

    Spanish blueberries produced in Huelva are a prime example of the ludicrousness of a development strategy based on international trade. Spain is a semi-arid, water-poor country. The distribution of water across the national territory is highly unequal. Water is relatively abundant in the north and relatively scarce in the south. Agriculture accounts for a large junk of the country’s total water use, roughly 60%. Yet agriculture contributes just 3% to the country’s GDP and employs roughly 4% of the active workforce. Particularly in the south, decades of agricultural practices have exhausted the soil and turned once fertile land into desert, shrinking the supply of arable land.

    Under the circumstances, producing a crop as water-intensive as blueberries in a semi-arid region borders on the absurd. The amount of water required to produce a certain amount of a product is generally referred to as a water footprint. The water footprint of blueberries is around 840 liters per one kilogram of fruit. This means that embedded in every kilo of blueberries for sale in the local supermarket are more than 800 liters of water. This is what is nowadays known as “virtual water” — the amount of water hidden from and invisible to the end consumer. Virtual water has become an increasingly important concept in international trade theory. What it means in practical terms is that with every kilo of blueberries we import from Spain, we bring in more than 800 liters of water.

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    By now, the absurdity of the situation should be obvious. Not only do we import water from a water-scarce region, but by importing the virtual water embedded in blueberries, we contribute to the depletion of a scarce resource in the exporting region which, in turn, is a major cause of the gradual destruction of one of Western Europe’s largest natural wetlands. And things are likely to get even worse. The upsurge in demand for blueberries and other red fruits has brought new producers into the market.

    As a result, prices have substantially declined, compelling producers to expand production and explore new market opportunities. Just the other day, after years of negotiations, Brazil gave a green light to the importation of blueberries from Huelva after the red fruits industry passed an on-the-ground inspection by a delegation of Brazilian authorities. And Brazil might only be the beginning. Huelva authorities have already set their eyes on even larger markets, notably China and India. In the meantime, environmental advocates are pinning their hopes on the European Court of Justice, which is supposed to consider the case over the next few months. Judgments rendered by the court are binding. Member states are obliged to comply with court decisions without delay. If found guilty, Spain might have to pay heavy fines.

    The WWF, which has been among the most vocal and determined advocates of the Donana national park, is confident that the court will rule in its favor. As Juan Carlos del Olmo, the secretary general of WWF Spain, put it, “Spain is about to be condemned for allowing the destruction of Doñana, a heritage that belongs to all Europeans.” He emphasized that the “Spanish authorities and especially the Regional Government of Andalusia, which have both turned a blind eye to this situation for years,” need “to take real measures to halt the degradation of Doñana.” This means, above all, closing the illegal wells that are “looting the aquifer and destroying biodiversity.”

    2020 marked the fifth anniversary of the United Nations Sustainable Development Goals, to which Spain has committed itself “at the highest level.” This includes ensuring “the lasting protection of the planet and its natural resources.” It is not entirely obvious how the export of massive amounts of virtual water from Huelva’s blueberry fields is supposed to contribute to the latter goal.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    Turn off the gas: is America ready to embrace electric vehicles?

    In Detroit, auto plants have for decades churned out trucks built with Motor City steel and fueled by gasoline. But this week’s rollout of the Ford F-150 Lightning electric truck offered a vision of the future in America’s automotive heartland: aluminum-clad pickups running off of electric powertrains with lithium batteries.An electric model of the nation’s best-selling vehicle at an accessible $40,000 has the potential to shift the auto industry’s course, and do more to advance the transportation sector’s electrification than any recent development, analysts say.“Offering a well-known vehicle at a competitive price could really help push the EV agenda in the US,” said Jessica Caldwell, executive director of insights at Edmunds.com.Meanwhile, Ford characterized the Lightning’s introduction as a “watershed moment,” but it also represents a major gamble. The F-150 embodies American ruggedness, and it raises the question: isthe truck market’s meat-and-potatoes base ready to embrace environmentally friendly electric vehicles (EVs)?It’s uncharted territory, said Autotrader executive analyst Michelle Krebs. The success of the Lightning or any EV hinges on a major infrastructure build-out that’s far from certain.“There’s no EV pickup market at the moment, so we just don’t know how big it could be, or what consumer acceptance will be,” she said.Truck consumers are generally unwilling to switch to cars just to go electric, Krebs said. So pitching them on the Lightning not only opens a new market for Ford, but is a critical step in the nation’s efforts to rein in greenhouse gas emissions, of which the transportation sector accounts for 29%. The EV transition is a key component of Joe Biden’s climate plan, which calls for the nation to cut emissions by 50% from 2005 levels by 2030, and net-zero emissions economy-wide by 2050.Though EVs only make up less than 2% of new-vehicle sales in the US, there’s perhaps no better line to push the needle on those figures than the F-Series. Last year, Ford generated about $42bn in the sale of over 800,000 F-Series trucks, according to data from the company and Edmunds.com. Sales of the F-150, the line’s light-duty truck, exceeded 556,000.The Lightning feature that seems to be catching the most attention isn’t under the hood or in the cab, but on the price tag. With EV tax incentives, the truck’s base model could cost about $32,000 – less than a $37,000 gas-powered F-150 with a crew cab. By contrast, the GMC Hummer EV and Rivian R1T, are priced at $80,000 and $70,000 though they are slightly flashier.The Lightning also marks one of the first attempts to electrify a well-known, everyday vehicle that appeals to a mass market. Previously, EVs were mostly small, unconventionally designed cars that appealed to environmentally minded people who made a personality statement with their vehicle, Caldwell said. The “pendulum has swung” in terms of design, she added.The Lightning’s range is also notable. One charge will take a base model Lightning 230 miles, or, for an additional $20,000, the extended range trim will travel 300 miles. It can haul up to 2,000lbs of payload and tow up to 10,000lbs. However, Ford doesn’t offer any data on range with a heavy payload or tow, and Car And Drive estimated it at as little as 100 miles.That’s the type of detail that could keep consumers away from not just the Lightning, but all electric pickups. On a 150kw DC fast charger, the extended-range trim targets up to 54 miles of range in 10 minutes, or just under an hour for a full charge.It’s not hard to imagine a scenario in which someone who may be buying a truck to tow a camper a long distance once or twice per year opting for a gas-powered F-150 instead being inconvenienced with an hour-long stop to recharge every 100 miles or so, Caldwell said.But several once-in-a-while Lightning features are generating a buzz, like a drain hole in case the cab needs to be hosed out. Its dual battery system can power tools in the field, or a house for three days during an outage. The F-150 Hybrid was utilized as a mobile generator in the recent deadly Texas blackouts.The Lightning’s power is another selling point – it can go 0-60mph in just over four seconds, offers 775lb-feet of torque, and the extended range model targets 563 horsepower.That was enough to impress Biden, who test drove a Lightning during a Michigan stop last week. “This sucker’s quick,” he declared.Among those who will need to harness the truck’s full power and hauling capacity are contractors. It’s worth consideration, said Dave Alder, an electrician in Detroit, especially if it could save on gas money. But he worried about where he would charge it, and said it’s a bit of a “If it’s not broken, don’t fix it” situation with his gas-powered Chevy Silverado.The Lightning has the support of the United Auto Workers union, which at times has been skeptical of electrification. The truck will be built at the Rouge Electric Vehicle Center in Dearborn, which sits just outside of Detroit and next to the Dearborn Truck Plant that produces gas-powered and hybrid F-150s. Lightning production is slated to start next spring, with the trucks hitting the lot in mid-2022.Critical to its success is an infrastructure build out, and Biden’s $2tn infrastructure plan includes $174bn to support the EV transition.The president has framed his pitch by repeatedly claiming the US is in an electrification race with China.“The future of the auto industry is electric. There’s no turning back,” Biden said during the Lightning’s unveiling. “The question is whether we will lead or we will fall behind in the race to the future.”Buy-in from the auto industry could help Biden push his proposal with Congress, though it’s uniformly opposed by the GOP. Republican leadership has pointed to the lack of infrastructure as a chief reason for opposing spending on the EV transition, but at the same time opposes funding an infrastructure build-out.American consumers have said they won’t buy an EV without the infrastructure in place, Krebs said, which leaves the industry facing a “chicken and egg” situation.“That’s key – they have got to have the charging infrastructure in place or this will all go kaput,” she said. More

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    Workers matter and government works: eight lessons from the Covid pandemic

    Maybe it’s wishful thinking to declare the pandemic over in the US, and presumptuous to conclude what lessons we’ve learned. So consider this a first draft.1. Workers are always essentialWe couldn’t have survived without millions of warehouse, delivery, grocery and hospital workers literally risking their lives. Yet most of these workers are paid squat. Amazon touts its $15 minimum wage but it totals only about $30,000 a year. Most essential workers don’t have health insurance or paid leave. Many of their employers (including Jeff Bezos and Elon Musk, to take but two examples) didn’t give them the personal protective equipment they needed.Lesson: Essential workers deserve far better.2. Healthcare is a basic rightYou know how you got your vaccine without paying a dime? That’s how all healthcare could be. Yet too many Americans who contracted Covid-19 got walloped with humongous hospital bills. By mid-2020, about 3.3 million people had lost employer-sponsored coverage and the number of uninsured had increased by 1.9 million. Research by the Urban Institute found that people with chronic disease, Black Americans and low-income children were most likely to have delayed or foregone care during the pandemic.Lesson: America must insure everyone.3. Conspiracy theories can be deadlyLast June, about one in four Americans believed the pandemic was “definitely” or “probably” created intentionally, according to the Pew Research Center. Other conspiracy theories have caused some people to avoid wearing masks or getting vaccinated, resulting in unnecessary illness or death.Lesson: An informed public is essential. Some of the responsibility falls on all of us. Some of it on Facebook, Twitter and other platforms that allowed misinformation to flourish.4. The stock market isn’t the economyThe stock market rose throughout the pandemic, lifting the wealth of the richest 1% who own half of all stock owned by Americans. Meanwhile, from March 2020 to February 2021 80 million in the US lost their jobs. Between June and November 2020, nearly 8 million fell into poverty. Black and Latino adults were more than twice as likely as white adults to report not having enough to eat: 16% each for Black and Latino adults, compared to 6% of white adults.Lesson: Stop using the stock market as a measure of economic wellbeing. Look instead at the percentage of Americans who are working, and their median pay.5. Wages are too low to get by onMost Americans live paycheck to paycheck. So once the pandemic hit, many didn’t have any savings to fall back on. Conservative lawmakers complain that the extra $300 a week unemployment benefit Congress enacted in March discourages people from working. What’s really discouraging them is lack of childcare and lousy wages.Lesson: Raise the minimum wage, strengthen labor unions and push companies to share profits with their workers.6. Remote work is now baked into the economyThe percentage of workers punching in from home hit a high of 70% in April 2020. A majority still work remotely. Some 40% want to continue working from home.Two lessons: Companies will have to adjust. And much commercial real estate will remain vacant. Why not convert it into affordable housing?7. Billionaires aren’t the answerThe combined wealth of America’s 657 billionaires grew by $1.3tn – or 44.6% – during the pandemic. Jeff Bezos, with $183.9bn, became the richest man in the world. Larry Page, a co-founder of Google, added $11.8bn to his $94.3bn fortune. Sergey Brin, Google’s other co-founder, added $11.4bn. Yet billionaires’ taxes are lower than ever. Wealthy Americans today pay one-sixth the rate of taxes their counterparts paid in 1953.Lesson: To afford everything the nation needs, raise taxes at the top.8. Government can be the solutionRonald Reagan’s famous quip – “Government is not the solution to our problem, government is the problem” – can now officially be retired. Trump’s “Operation Warp Speed” succeeded in readying vaccines faster than most experts thought possible. Biden got them into more arms more quickly than any vaccination program in history.Furthermore, the $900bn in aid Congress passed in late December prevented millions from losing unemployment benefits and helped sustain the recovery when it was faltering. The $1.9tn Democrats pushed through in March will help the US achieve something it failed to achieve after the 2008-09 recession: a robust recovery.Lesson: The federal government did not just help beat the pandemic. It also did more to keep the nation afloat than in any previous recession. It must be prepared to do so again. More