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Kinnithrung Sprat Development and Economic Research Counselor World Trade Organization Wednesday, May 8, 2002 New Horizons in Third- New Horizons in Third- world Agribusiness world Agribusiness Globalization Globalization

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Kinnithrung SpratDevelopment and Economic Research CounselorWorld Trade OrganizationWednesday, May 8, 2002

New Horizons in Third-world New Horizons in Third-world Agribusiness GlobalizationAgribusiness Globalization

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Embark With Us

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Why is 3Why is 3rdrd World World Starvation a Problem?Starvation a Problem?

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INV

ES

TM

EN

TS

EX

PO

RT

S

ST

AN

DA

RD

OF

LIV

ING

Investments, Exports and PovertyInvestments, Exports and Poverty

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Results of Rising PovertyResults of Rising Poverty

• • •

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Results of Rising PovertyResults of Rising Poverty

• •

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Results of Rising PovertyResults of Rising Poverty

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Results of Rising PovertyResults of Rising Poverty

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How Does Starvation Happen?How Does Starvation Happen?

??

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Primitive EconomyPrimitive Economy

Export

LocalConsumption

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Modern EconomyModern Economy

Export

LocalConsumption

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MA

RK

ET

RE

ST

RIC

TIO

NS

PR

ICE

S

Market Restrictions, Prices, Market Restrictions, Prices, and Povertyand Poverty

PO

VE

RT

Y

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The IMFThe IMF

• •

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The IMFThe IMF

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The IMFThe IMF

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Robin Hood Solutions…Robin Hood Solutions…

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““False Truths”False Truths”

=

Export

LocalConsumption

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Good Intentions, Bad IdeasGood Intentions, Bad Ideas

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Cultural InsensitivityCultural Insensitivity

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Available Investment CapitalAvailable Investment Capital

RICH POORMIDDLE CLASS

• •

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Available Investment CapitalAvailable Investment Capital

RICH POORMIDDLE CLASS

Available Investment Capital•

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Available Investment CapitalAvailable Investment Capital

RICH POORMIDDLE CLASS

Available Investment Capital

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Hunger Helps…Hunger Helps…

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……Handouts Don’tHandouts Don’t

ZZ

ZZ

ZZ

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The Solution?The Solution?

The Market

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Living SmallLiving Small

MARASMUSMARASMUS

KWASHIORKORKWASHIORKOR

MARASMICMARASMICKWASHIORKORKWASHIORKOR

NUTRITIONALNUTRITIONALDWARFISMDWARFISM

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Living LargeLiving Large

SLEEPSLEEPAPNEAAPNEA

DIABETESDIABETES

HYPER-HYPER-TENSIONTENSION

CORONARYCORONARYDISEASESDISEASES

GALL-GALL-STONESSTONES

OBESITYOBESITY

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A Miraculous SolutionA Miraculous Solution

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An American EvolutionAn American Evolution

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A French De-evolutionA French De-evolution

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A French De-evolutionA French De-evolution

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Applying the American ModelApplying the American Modelto the Third Worldto the Third World

• • • •

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Applying the American ModelApplying the American Modelto the Third Worldto the Third World

• • •

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Applying the American ModelApplying the American Modelto the Third Worldto the Third World

• •

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Applying the American ModelApplying the American Modelto the Third Worldto the Third World

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Applying the American ModelApplying the American Modelto the Third Worldto the Third World

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A Third World Third WayA Third World Third Way

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Historical CategoryHistorical Category

• •

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Biological CategoryBiological Category

• •

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Saudi ArabiaSaudi Arabia

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ChinaChina

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Pragmatic VisionsPragmatic Visions

“The economic logic behind dumping a load of toxic waste in the lowest wage country is impeccable…”

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RecyclingRecycling

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80%

A Wealth of WasteA Wealth of Waste

100%100% 80%

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80%

A Wealth of WasteA Wealth of Waste

100%100% 80%

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80%

A Wealth of WasteA Wealth of Waste

100%100%

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Hamburger x 10Hamburger x 10

1x2x

3x4x

5x6x

7x8x

9x10x

$1.00 $.01$.02$.03$.05$.10$.20$.40$.60$.80

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The McDonald’s FormulaThe McDonald’s Formula

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FiltersFilters

Cigarette Coffee Food

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More Robin Hood?More Robin Hood?

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Striving for the BestStriving for the Best

1x2x

3x4x

5x6x

7x8x

9x10x

$1.00 $.01$.02$.03$.05$.10$.20$.40$.60$.80

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Striving for the BestStriving for the Best

1x2x

3x4x

5x6x

7x8x

9x10x

$1.00 $.01$.02$.03$.05$.10$.20$.40$.60$.80

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Letting GoLetting Go

1x2x

3x4x

5x6x

7x8x

9x10x

$1.00 $.01$.02$.03$.05$.10$.20$.40$.60$.80

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Opting OutOpting Out

1x

$1.00

2x3x

4x5x

6x7x

8x9x

10x$.01$.02$.03$.05$.10$.20$.40$.60$.80

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Opting OutOpting Out

1x

$1.00

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A Win - Win SituationA Win - Win Situation

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A Training EconomyA Training Economy

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Culturally SensitiveCulturally Sensitive

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The Value of the BodyThe Value of the Body

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The Value of the BodyThe Value of the Body

$

$

$$ $

$

$$

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Ford’s VisionFord’s Vision

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An Aztec SolutionAn Aztec Solution

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