Dr. Florian Herrmann & Ambassador Jeremy Issacharoff – Picture by Bayerische Staatskanzlei, bayern.de.
Monday, 17 August 2020, Munich, Free State of Bavaria, Germany: Israel’s Ambassador to Germany, Jeremy Issacharoff paid a working visit to the Head of Bavarian Chancellery, Dr. Florian Herrmann, Minister of State for Federal and European Affairs and Media.
Bavaria and Israel entertain excellent bilateral, and particularly economic ties, that are intensified through the Bavarian Representation headquartered in Tel Aviv. In fact, Dr. Herrmann travelled to Israel beginning of August 2019 to learn more about the technological and startup scene in Tel Aviv as well as to sign agreements for further technological exchanges. Especially in the areas of Digital Health, Fintech, Cybersecurity and Industry 4.0, Israel is one of the driving forces of the digital future, and Bavaria facilitates Israeli know-how arriving to Germany.
A milestone during the conversation between Ambassador Issacharoff and Minister Dr. Herrmann were further programmes to finance youth and student exchanges in order to solidify the partnership, and mutual cultural understanding.
Minister Dr. Herrmann also took the opportunity to felicitate the State of Israel for establishing official diplomatic channels with the United Arab Emirates in the hope of future peace with more Arab neighbours.
On Tuesday, 18 August 2020, Minister of State Dr. Florian Herrmann accompanied German Federal Minister of Defence Annegret Kramp-Karrenbauer, Israeli Ambassador Jeremy Issacharoff, Air Force Inspector Lieutenant General Ingo Gerhartz and Commander of the Israeli Air Force Major General Amikam Norkin to a visit to the Dachau concentration camp memorial site. After the visit, Dr. Florian Herrmann received the Air Force Inspector and the Commander of the Israeli Air Force for a verbal exchange at the State Chancellery.
Today for the very first time Israeli jets have conducted joint exercises with its German counterpart. The German-Israeli formation of aircraft flew over the Fürstenfeldbruck Air Base – to commemorate the 1972 Olympic athletes and consequently flew to the vicinity of Dachau.
The Gee-Gee is the first horse out of the race gate; it’s an eyecatcher for gamblers. Usual to the racing scene, for those with little chance of success, the dark horse became a target of doping accusations. These allegations were disproportionately more common than the doping itself, especially when thousands were at stake.
As a first-of-its-type economic tank, China is the 21st century Gee-Gee. To illustrate, in terms of GDP, China is the largest economy, with a GDP (PPP) of $25.27 trillion. Furthermore, hosting 129 headquarters out of the 500 biggest companies, China has the world’s largest foreign-exchange reserves worth $3.1 trillion. Its success has been largely due to liberal economic, social, legal and political reforms instituted since 1980. Yet, naysayers believe that China’s success is based on a unique third-way political and economic paradigm that occupies a space somewhere in between capitalism and socialism.
Nonetheless, China’s economic prowess is not due to the state’s active interventionism in the Chinese economy. Difficult to understand the direction of Chinese economic policies due to the overshadowed politicized narratives by the current trade war with the US. Those who are interested in forecasting the reception of the China model in the global market, should distance themselves from the volatile political rhetoric. A rational legal approach abstained from political bias could dismantle the sino skepticism, confirm that China’s economic success is linked directly to the Chinese style neoliberal reforms put in place by CPC and simply unveil the arrival of a new player in a competitive liberal economy.
It is the type of policies we choose to apply that defines our market and its compatibility with others. We cannot contest that the international market follows neoliberalist economic principles, and alternative markets are pressured to reconsider their approach and reform. What concerns normative western economies are the principles that applaud free markets efficiency, growth and innovation, and discourage interventionism.
Neoliberalists seek to transfer the control of the market from the public to the private sector, steering away from government spending, regulations and public enterprises. Based on the proposition above, we can find policies such as; the deregulation of industry and the elimination of government oversight on competition control and regulation; the privatization of state-owned organizations and enterprises to provide goods and services; the reduction of trade barriers to gain productivity and benefit from market accessibility; the reduction of government spending, as a mechanism to influence a market economy, and finally; monetarism, emphasizing on the government control of money supply in circulation which influences the price levels in the market.
Before 1978, China’s private sector was virtually non-existent. China’s desire to expand its economy was expressed with gradual contained experiments mirroring liberal economies, and gradual policy efforts to give greater protection and freedom to private enterprises. Contrary to popular thought, the first changes were not exclusively party-led but also spearheaded by peasant-led initiatives which resulted in the abolishment of the private farming ban in 1982. Subsequently, the ripple effect of the success of grassroot initiatives drove a spiked increase of small-scale businesses in different sectors. This wave of entrepreneurship influenced a system where business only thrived under the patronage of the state.
In reality, the first formalized liberal experiments were the entry of the Special Economic Zones (SEZs) created in 1980 in the southeastern Chinese cities of Shenzhen, Zhuhai, Shantou and Xiamen. In these cities, opening-up and reform were carried out. The relaxation and deregulation have attracted millions, subsequently boosting the SEZs. Case in point, Shenzhen’s population went from 30,000 in 1980 to over 12.5 million by 2018.
By 1992, the Communist Party of China claimed, in their 14th congress, the acceptance of the market economy and the relaxation of several foreign direct investment (FDI) restrictions. Notably, the switching from an approval business list based to a strictly denied based system allowing for most investments to proceed without the government’s mandatory approval. FDI deregulation coincided with the early 2000s thriving global economy with investment opportunities enjoying the global surplus in investment capital, increased competitiveness, lowered transaction costs, reduced red tape, and letting investors earn increased returns.
More recently, encouraged by their market results, China’s ambitions for better market access, and interest in trading partners with the WTO repositioned the country higher in the globalized world. By ratifying the WTO agreement in 2001, trade facilitation increased with blanket reforms and standardized the Pan-China liberal future. The entry to the WTO was a check and balance for China. Case in point, the Foreign Investment Law adopted by the National People’s Congress in 2019 assigned the Ministry of Commerce, National Development and Reform Commission to protect and promote foreign investments, and the abolishment of FDI expropriation, except under special circumstances and with reasonable compensation.
To summarize, China has encouraged voluntary exchanges with less intervention, allowing the law of supply and demand to take a greater role in their market economy. They ensured that FDI policies promote the investment of entrepreneurial activities by giving subsidies, grants, tax breaks, and loans, to increase greater profitability. Without a doubt, China’s openness through export-friendly policies, such as regional and international trade agreements encourage the feasibility of the market for both internal and foreign consumers.
A law expert from Chinese Embassy in the Hague points out that the 19th CPC National Congress has been an occasion to insist on the importance of giving “full play to the decisive role of the market in resource allocation, [optimizing] the role of the government, fully implement the new development concept, focus on the supply-side structural reform, and accelerate the construction of a modern economic system”. He also specifies that the institutional obstacles obstructing the way to a high-quality development “require further liberated thinking, deepening market-oriented reforms [and] high-level opening up”. From 1980 when China owned less than 1% of the global share to 12% or $4.6 trillion by 2018 in global trade. The Chinese economy grew eighth fold, and over 400 million people in China were relieved out of absolute poverty of less than $1.90 per day. Trade with the US increases from $8 billion to $578 billion in 2016 alone. Needless to say, FDI policies have an upscale battle to dismantle years of failed manufacturing investors who have hit walls of high startup costs, heavy legal exposure, and compliance issues.
The recent adoption of the first Chinese civil code, was a long-awaited deal China had with its investors. In March 2017 the General Provisions were adopted, in August 2018, six drafts went under review, in December 2019, following public solicitations, and appraisal activities, a complete 84-chapter draft civil code was unveiled, and it will come into force on January 1, 2021. The code is a significant legal reform delivered in China. Composed of 1260 articles and divided into seven chapters, the latter will cover several legal aspects, some of which are largely related to the management of private companies, such as contracts and property rights.
China gathered public wisdom in the course of compiling the draft civil code, 1.02 million pieces of advice had been solicited from around 425,000 people, it reflected the needs of a contemporary economy. According to Chinese Embassy, “the [new] Civil Code [will show] more respect to the basic principles of private law autonomy, restrict public sector’s improper interference in the field of private rights of natural and legal persons [and] strengthen the protection of private rights of natural and legal persons by public authority”. For example, the new Code will establish a “ special legal person” which reflects the freedom of transaction, emphasizes the spirit of contract, and creates a legalized environment favorable to business”.
The first codification of the law in a country is synonymous to several changes. Initially, this will allow easier access to the law for the population, resulting in greater respect and trust in the legal system, but also in political decisions and organization. Moreover, due to its concise and intelligible form and its ease of access, the Civil Code will allow greater efficiency and better coherence within the judicial branch. Indeed, especially in the case of China, bringing together various legislations under a single law will help avoiding contradictions, from stand-alone regulations and increasing the speed of judicial processes since all professionals can rely on the same steady legal basis. Finally, the adoption of a civil code offers the needed stability for private investment reflects a modern China and the will of Chinese public institutions to comply with the rule of law, a well-acknowledged principle on the international scene.
The demand for greater democracy, justice and protection of private property has to coincide with an era of diversified incomes, fast technological changes, and innovation. In doing so, the code applies groundbreaking modern ICT legal approach protects online information, email addresses, and virtual assets. It handles cyberspace tort in response to the demand of big data researchers and other AI ICT advancements, with new rules on protection of personal information. This also includes regulations on property protection, business secrets on scientific studies, and rules on handling patenting.
Private investments in China have dramatically slowed during the 2019-2020. To the worry of Chinese officials went from more than 20% growth to single digits in 2020. Private investments fell another 13% during the coronavirus-battered first four month of this year, compared with a 7% decline for SOE. This April in a meeting chaired by Xi, declared that the Civil Code ahead would increase the support to the private economy and development of small and medium-sized firms and restore confidence of private business owners and to help prop up economic growth. That said, the intensification of the protection of entrepreneurs and local and foreign investors’ rights is undoubtedly an incentive to further develop the private sector.
On that matter, Chinese Embassy mentions that the new code will “further [improve] the basic legal system and rules of conduct in domestic civil and commercial fields, [provide] basic guidance for various civil and commercial activities [and give] a more specific legal basis for foreign investors to invest and establish enterprises in China, which [will encourage] their enthusiasm and creativity, [safeguard] transaction security, and [maintain] market order”. In the same vein, the new code will also clarify the boundary between public and private institutions. For example, the new code plans to tighten property rights by restricting the concept of public interest so that it will now be more difficult to expropriate usufructuaries without justification. Consequently, the application of the new code will result in the submission of the state to a system of law, thereby reducing its place in the economic sphere as liberalists would suggest.
The civil code is, without a doubt, the “third-way theory’s” last straw. In fact, as we have demonstrated, the reforms taken show that the gradual liberalization provides evidence of a liberalized market and reduced Chinese state intervention. Indeed, the state is still present, yet it is clear that the trend of controlled, gradual and experimental decline in the state’s role in the market has been a continuance of a transformation which began in the 1980s. China underwent unique great social changes and moved away from the hammer and sickle limitation of their agricultural, and production of staples towards a more dynamic manufacturing activities.
With the implementation of SEZ, FDI regulations and the new Civil Code, foreign investments became a stakeholder to Chinese infrastructure needs. Moreover, the rising curve of the accumulation of capital and entrepreneurial spirit, uncontestably correlates with the advancement of human wellbeing, search for happiness, prosperity. The maximization of capacity in China will soon be completed with the ascension of greater property and individual rights. As suggested the Civil Code and laws on FDI have led to a more law-based and effective and market-friendly governance atmosphere in China. Therefore, we should not believe that China has discovered a third paradigm by simply mixing capitalism with substantial influence of the state, China’s success was due to a discovery of development route that best suited to its national conditions through prtactice and reform, with the state and market both playing a more coordinated, efficient and balanced role,
About the authors:
Eugene Matos De Lara and Audrey Beaulieu.
Besides their current studies at the University of Ottawa Law faculty, as well as the Global Studies and International Development faculty, both authors do research with the Geneva Desk for Cooperation and work as legal and geo political analysts with the International Institute for Middle East and Balkan Studies in Vienna.
Beaulieu, is well versed and continuously collaborating in several projects relevant to public and private International law, international development and global politics with IFIMES and GDCOO.
Matos De Lara, is a former litigation manager and legal researcher at United Tech Corporation, and the International Water Association. Currently senior member of the International Public Diplomacy Council and serves as a Canadian Armour Officer. He holds a degree in Political Science, Public Administration, law, Public Policy and Diplomacy.
U.S. Presidential Delegation to Reset Ties with Dominican Republic during Luis Abinader’s Inauguration Three Reasons to Watch the Dominican Republic
By Geovanny Vicente Romero.
On Sunday, when President-elect Luis Abinader is sworn in as 54th President of the Dominican Republic, U.S. Secretary of State Mike Pompeo will be celebrating in Santo Domingo with a high-level U.S. Presidential Delegation to reset U.S.-Dominican relations. Social media is abuzz with Dominicans imagining a toast or brindis of the famed Dominican Presidente beer between U.S. Secretary of State Mike Pompeo, who they affectionately call “Big Mike”, President Elect Luis Abinader and Foreign Minister Roberto Alvarez Gil, strolling through the historic streets of Santo Domingo, much like Pompeo’s recent beer diplomacy in Prague.
Timing couldn’t be better for both countries to embrace their strengths and forge a path toward greater prosperity for the Latin American and Caribbean. Dominican Republic is living a moment of euphoria right now. After 20 of the last 24 years have been dominated by a single political party, Dominicans recently elected new leadership amid a global pandemic. The Coronavirus, a tough economic year and rampant corruption have people optimistic about turning the page to a fresh government promising greater opportunities both at home and abroad.
Dominicans feel a greater sense of ownership over their democracy and appreciation for the United States, especially Secretary Pompeo, who issued a stern warning to current Dominican President Danilo Medina in 2019 about the importance of upholding the country’s election laws and institutions. A phone call that arguably changed the course of history in the Caribbean nation.
So, in mid-August, following a swing through Europe with COVID-19 travel considerations and a crucial election campaign back home, what could the U.S. Secretary of State and the highest-level bilateral delegation to the country since 2009 hope to achieve? A reset in U.S.-Dominican relations will likely focus on three key pillars.
Luis Abinader and former President Hipolito Mejia during the 2020 presidential campaign in Santo Domingo.
1. Economy – The Dominican Republic is the fastest-growing economy in Latin America and the Caribbean since 2010, and largest economy in the Caribbean. With most of the country’s agricultural and mining exports destined for the United States, there are ample opportunities for nearshoring as a transshipment hub to diversify production and increase innovation. Greater U.S.-Dominican cooperation on regional port security and drug trafficking will incentivize investments in logistics. The Abinader government’ focus on transparency and rule of law will bring economic benefits to more Dominicans, helping to close the widening wealth inequality gap.
With its white-sand beaches and transparent waters, the Dominican Republic stands out as the capital of tourism and most visited island in the Caribbean. Tourism contributes nearly 10 percent of GDP, but with COVID-19, the industry will suffer. Longer term potential to bounce-back is high with people longing for vacations close to home, and DR offering unique experiences right for every budget. Thus, expect greater U.S.-Dominican coordination to facilitate safe travel for both American tourists and Dominicans in the diaspora.
2. Dominican Diaspora – There are 2.1 million Dominicans living in the United States with more than half born abroad, so strong linkages remain to the island with frequent travel back-and-forth and about $4-5 billion in remittances sent home each year. Talented and entrepreneurial, Dominicans in the United States are quick to set up their own businesses and reactivate blighted communities, especially in the northeast states. Dominican music and film stars like Romeo Santos and Zoe Saldana are wholeheartedly embraced by the American public. Many 2nd and 3rd generation Dominicans excel in professional fields such as law, medicine and education. Dominican voters in the United States, especially in swing-states like Florida and Pennsylvania are an important audience for Republicans in the November elections.
3. Baseball – No survey of U.S.-Dominican relations would be complete without an ode to the shared pastime of both nations, baseball. Dominicans comprise a record 110 Major League Baseball (MLB) players in 2020’s abbreviated season and are a major talent pool for the league. Nearly all MLB teams have baseball schools or talent scouts in Dominican Republic, which could provide a model for cultivating talent in other sports and educational fields. With high-profile COVID-19 cases among MLB players traveling from the Dominican Republic, bilateral health agreements can help keep both nations’ athletes healthy and safe. Dominicans and American tourists who seek medical treatment in both countries will also benefit.
Lastly, Dominican support for U.S. regional policies vis-à-vis Venezuela, and China’s influence in Latin America and the Caribbean will surely be topics of discussion. Look for the Dominican Republic to join a league of nations in the region such as Mexico, El Salvador, and Guatemala that are benefiting from stronger U.S. relations. Let’s remember that Latinos vote about 30 percent Republican, so Sec. Pompeo’s trip could also be part of a broader strategy to court more Latino voters in the November elections.
Regardless of who is in the White House come January, U.S.-Dominican relations have a bright future building on economic, people-to-people ties, and regional cooperation.
About the author:
Geovanny Vicente Romero is a columnist for CNN and Infobae based in Washington, DC. He is a political strategist, international consultant and lecturer. He’s published many articles on development, human rights, governance, democracy, elections, the environment, as well as the role of women in a society. He is the founder of the Dominican Republic Center of Public Policy, Leadership and Development (CPDL-RD). Geovanny has a masters degree from The George Washington University in political communications and strategic governance. Reach him on Twitter @GeovannyVicentR.
French and Dutch law enforcement and judicial authorities, Europol and Eurojust presented the impressive results of a joint investigation team to dismantle EncroChat, an encrypted phone network widely used by criminal networks.
Over the last months, the joint investigation made it possible to intercept, share and analyse millions of messages that were exchanged between criminals to plan serious crimes. For an important part, these messages were read by law enforcement in real time, over the shoulder of the unsuspecting senders.
The information has already been relevant in a large number of ongoing criminal investigations, resulting in the disruption of criminal activities including violent attacks, corruption, attempted murders and large-scale drug transports. Certain messages indicated plans to commit imminent violent crimes and triggered immediate action. The information will be further analysed as a source of unique insight, giving access to unprecedented volumes of new evidence to profoundly tackle organised criminal networks.
In recent years, European countries have been increasingly affected by organised crime groups who are pervasive and highly adaptive, posing one of the most pressing security challenges faced by law enforcement and judicial authorities. In this regard, the abuse of the encrypted communication technologies is a key facilitator of their criminal activities.
Since 2017, the French Gendarmerie and judicial authorities have been investigating phones that used the secured communication tool EncroChat, after discovering that the phones were regularly found in operations against organised crime groups and that the company was operating from servers in France. Eventually, it was possible to put a technical device in place to go beyond the encryption technique and have access to the users’ correspondence.
In early 2020, EncroChat was one of the largest providers of encrypted digital communication with a very high share of users presumably engaged in criminal activity.
User hotspots were particularly present in source and destination countries for cocaine and cannabis trade, as well as in money laundering centres.
Given the widespread use of the encrypted telephone solution by EncroChat among international criminal networks around the world, French authorities decided to open a case at Eurojust, the EU Agency for Criminal Justice Cooperation, towards the Netherlands in 2019. Further developments in the investigations led to organising the processing of the data, which was captured on the basis of the provisions of French law and with judicial authorisation, through the frameworks for international judicial and law enforcement cooperation.
The data was in first instance shared with the Netherlands. Eurojust facilitated the creation of a joint investigation team (JIT) between the two countries and with the participation of Europol, the European Union Agency for Law Enforcement Cooperation, in April 2020.
Europol has been actively involved in the investigations led by France and the Netherlands since 2018, relating to the provision and use of encrypted communication services by organised crime groups. Through its role as an information hub and its extensive analytical and technical support system, Europol was able to create and provide a unique and global insight on the scale and functioning of organised crime, as a result of this investigation.
This will help law enforcement to combat organised crime in the future more successfully. Europol’s support from the early stages of this JIT included: promoting and arranging international cooperation, providing extensive analytical and financial support, technical expertise and a secured platform for the exchange of information between the countries involved.
A large dedicated team at Europol investigated in real time millions of messages and data that it received from the JIT partners during the investigation, cross-checked and analysed the data, and provided and coordinated with the JIT partners the information exchange to concerned countries.
A large number of suspects have also been arrested in several countries which were not participating in the JIT but particularly affected by the illegal use of these phones by individuals active in organised crime, including in the UK, Sweden and Norway. Many of these investigations were connected with international drug trafficking and violent criminal activities.
At the same time, numerous operational meetings for the daily coordination between the law enforcement entities of the JIT partners and other countries took place at Europol, partly during COVID-19.
Eurojust intensively facilitated the judicial cooperation, during the extensive use of European judicial cooperation instruments such as European Investigation Orders. Throughout the investigation, the JIT members organised five coordination meetings at Eurojust to bring all involved parties together in a secure environment, identify parallel or linked investigations, decide on the most suitable framework for cooperation and solve potential conflicts of jurisdiction.
In France, where the operation takes place under the code name “Emma 95”, the Gendarmerie has set-up a Taskforce since March 2020. With more than 60 officers, the Gendarmerie leads the investigations targeting the EncroChat encrypted telephone solution under the supervision of the magistrates of the JIRS of Lille. The Taskforce has been monitoring the communications of thousands of criminals, leading to the opening of a wide range of incidental proceedings. France does not wish to communicate further on these on-going investigations nor on the results obtained. The considerable resources deployed demonstrate the importance of these investigations and the importance attached to their success in France.
In the Netherlands, where the operation went under the code name “Lemont”, hundreds of investigators have, with authorisation of the examining magistrate, followed the communications of thousands of criminals day and night since the operation began to unravel and act on the intercepted data stream.
The criminal investigation has been led by prosecutors from the Dutch National Public Prosecution Service and the information has been made available to about a hundred ongoing criminal investigations. The investigation has so far led to the arrest of 60 suspects, the seizure of drugs (more than 10 000 kilo cocaine, 70 kilo heroin, 12 000 kilo cannabis, 1 500 kilo crystal meth and 160 000 liter of a substance used to produce synthetic drugs), the dismantling of 19 synthetic drugs labs, the seizure of dozens of (automatic) fire weapons, expensive watches and 25 cars, including vehicles with hidden compartments, and almost EUR 20 million in cash. The expectation is that information will be made available in more than 300 investigations. In a number of cases, more arrests are very likely to follow in the coming period.
The interception of EncroChat messages came to an end on 13 June 2020, when the company realised that a public authority had penetrated the platform. EncroChat then sent a warning to all its users with the advice to immediately throw away the phones.
While the activities on EncroChat have been stopped, this complex operation shows the global scope of serious and organised crime and the connectivity of criminal networks who use advanced technologies to cooperate on a national and international level.
The effects of the operation will continue to echo in criminal circles for many years to come, as the information has been provided to hundreds of ongoing investigations and, at the same time, is triggering a very large number of new criminal investigations of organised crime across the European continent and beyond.
What is EncroChat?
EncroChat phones were presented to customers as guaranteeing perfect anonymity (no device or SIM card association on the customer’s account, acquisition under conditions guaranteeing the absence of traceability) and perfect discretion both of the encrypted interface (dual operating system, the encrypted interface being hidden so as not to be detectable) and the terminal itself (removal of the camera, microphone, GPS and USB port).
It also had functions intended to ensure the ‘impunity’ of users (automatic deletion of messages on the terminals of their recipients, specific PIN code intended for the immediate deletion of all data on the device, deletion of all data in the event of consecutive entries of a wrong password), functions that apparently were specially developed to make it possible to quickly erase compromising messages, for example at the time of arrest by the police. In addition, the device could be erased from a distance by the reseller/helpdesk.
EncroChat sold the cryptotelephones (at a cost of around EUR 1 000 each) at international scale and offered subscriptions with a worldwide coverage, at a cost of 1 500 EUR for a six-month period, with 24/7 support.
25 July 2020, Shanghai, People’s Republic of China: At a special dinner hosted by the Maison Dior the novel jewerelly collection Tie & DIOR was unveiled by designer Victoire de Castellane.
Tie-dye – the artisanal textile dyeing technique notably used to embellish the maison’s couture silhouettes – is reinterpreted on jewellery, paying tribute, more than ever, to the inventiveness of Dior Haute Joaillerie.
On that night, mannequins dressed in silhouettes by Maria Grazia Chiuri wore these virtuoso pieces offering surprising movement, combining, for the first time, a range of exceptional stones and pearls in a variety of sizes and shades. A true exercise in style and a journey to the heart of colour and abstraction.
Access to Seeds Index shows seed industry making slow progress in key regions, including Africa
Thailand’s East-West Seed leads the way, followed by Syngenta and Bayer
Lack of crop diversity a major constraint; hybrid seed dominates while legumes largely ignored
Amsterdam, the Netherlands – Global seed companies are adapting their products to combat the impact of climate change and address nutrition needs. But limited access to quality seed in many emerging economies persists, with the global seed industry reaching just 10% of the world’s smallholder farmers, according to a study.
The Access to Seeds Index 2019 – Global Seed Companies, published by the Amsterdam-based Access to Seeds Foundation, evaluates the activities of the 13 leading global seed companies to shine a light on where the industry can do more to raise smallholder farmer productivity, improve nutrition and mitigate the effects of climate change through the development and dissemination of quality seed.
The research shows that sales by the 13 global seed companies only reached around 47 million of the world’s 500 million smallholder farmers in 2017, and most investment went to a small number of countries, mostly in South and Southeast Asia. In these regions, global companies invest heavily in local seed business activities: 12 of them in breeding and 12 in production. In contrast, such activites are rare in Western and Central Africa, with only two companies investing in local breeding and one in production.
“Although the industry is making advances in developing more nutritious and climate-resilient varieties, it’s clear that more needs to be done,” said Ido Verhagen, executive director of the Access to Seeds Index. “Material changes won’t be possible without reaching a greater percentage of smallholder farmers, who account for the lion’s share – 80% – of global food production.”
Shaping business models around the needs of smallholder farmers can be profitable, as shown by East-West Seed, a Thailand-based company that tops the index thanks to a strong performance across all areas assessed. It has a unique smallholder-centric approach and a customer base made up almost entirely of smallholders (98%). Switzerland’s Syngenta and Germany’s Bayer are virtually tied in second and third place.
Reaching more smallholder farmers and directing investment to other geographies are critical to tackle rising malnourishment.[1] The number of people suffering from hunger rose from 784 million in 2014 to nearly 821 million in 2017, in part because of a lack of access to nutritious food. However, only six of the 13 global seed companies state that nutritional value is a priority for their breeding programs. Although this is higher than the four companies identified in 2016, when the first Access to Seeds Index was published, progress is slow.
The importance of developing improved varieties of seed, offering better nutritional value and supporting crop diversity is echoed in a recent report by the EAT–Lancet Commission.[2] The global seed industry can do more to address this need for diversification by supplying a larger number of crops and varieties, including legumes and local crops, which are currently neglected.
The index also reveals a sharper focus on climate change. Of the 13 companies evaluated, 12 emphasize that increased yields and higher tolerance to climate and weather risks are essential when breeding. This is reflected in increased breeding for climate-resilient field crops and vegetable varieties since 2016.
By broadening their offering, including the provision of farmer training and other services such as weather-based crop insurance, seed companies have found new ways to help farmers adapt to changing climatic conditions. Eight companies are now integrating sustainability strategies at the corporate level, compared to three in 2016.
The Access to Seeds Index 2019 – Global Seed Companies is one of the first Sustainable Development Goals (SDGs) benchmarks published by the World Benchmarking Alliance. The alliance was launched in September 2018 during the UN General Assembly in New York. The Access to Seeds Index was established with support from the Bill & Melinda Gates Foundation and the Government of the Netherlands. The global index is complemented by regional indexes that provide in-depth analysis of South and Southeast Asia, Eastern and Southern Africa, and Western and Central Africa.
“The private sector is essential for achieving food and nutrition security, one of the major challenges outlined by the SDGs. With the world’s population rising – and hunger with it – amid growing concerns around the environmental impact of crop production, the role of the global seed industry remains crucial if Zero Hunger (SDG 2) is to be achieved by 2030,” said Verhagen.
Prime Minister of the Netherlands, Mr. Mark Rutte showing Dr. Dilruba Nastrin’s article in Diplomat Magazine to her husband the former Ambassador of Bangladesh to The Netherlands H.E. Sheik Mohammed Belal now Managing Director of the Common Funds for Commodities. Also in the picture the Ambassador of Korea, H.E. Mr. Yun Young Lee.
On August 4, 2020, two strong explosions at the Port of Beirut devastated central parts of the city. The blast resulted in more than 150 fatalities and 6000 injuries. Extensive infrastructural damage has left an estimated 300,000 people homeless and many health facilities, including hospitals, inoperable. Several humanitarian organizations have mobilized quickly to respond to the needs of those most affected.
This catastrophe comes on the heels of several multi-faceted crises facing the country, including the ongoing COVID-19 pandemic, which had already put Lebanon’s health system, social services, and economy under severe strain. Today, more than 50% of the population is unemployed, a third of businesses have shuttered and many people are food insecure.
At the time of the outbreak, the country was managing civil unrest, major economic and financial crises, and hosting over a million refugees displaced by conflicts in the region. All of these crises have had a detrimental effect on Lebanon and have made access to food, education, health care, jobs and housing almost impossible.
We witnessed with amazement and bitterness the outcome of the vote that the Cyprus Parliament has reserved for CETA, the EU-Canada Free Trade Agreement, which has failed the ratification process in your country.
While respecting the choices made by the majority of your deputies, and keeping intact the esteem and friendship that binds us to your country, we feel we must invite all of you to reflect more deeply on the reasons that led to this outcome, and on its consequences for all businesses, both Cypriot and European.
According to the data recovered by our Italian Think Tank Imprese del Sud, there are 40 companies currently trading with Canada in Cyprus: the value of Cypriot exports to Canada is 41 million euros and 12 million euros is the value of Cyprus imports from Canada. A very favorable trade balance for Cyprus, which without CETA could risk to jump.
We would also like to highlight the paradox that has led some political forces not to ratify CETA after it was approved in Europe, based on fake news that unfortunately is also widespread in Italy, and which involves the protection of the agricultural products of our countries. We remind you that without this agreement even the prestigious Cypriot cheese “halloumi” will not be protected: without the obligations imposed by CETA, Canadians will be able to produce this cheese using the Cypriot symbols and flags in the packaging. And the same would happen for Italian and European products.
Another fundamental aspect to highlight is that CETA wasn’t just meant to agri-food sector, but for a wide range of interests: public procurement, protection of trademarks and patents, the liberal professions, just to give a few examples.
With this open letter, therefore, we are now calling on the Cypriot business and political forces that have understood the opportunities of CETA, but also the whole of Europe, to activate to save the trade agreement signed with Canada. This agreement, approved in 2017, has already produced great results in terms of exports for European countries, strengthening the interests of producers.
From our point of view, in order to save this treaty, if necessary, the possibility of excluding from the agreement the part relating to the agri-food sector, or at least the aspects of it considered most critical by opponents of CETA, could be considered.
Especially in a complicated period like this, where companies are “hungry for a revival”, we cannot afford to blow up such a deep and articulated free trade agreement because of the ostracism spread by one side of the economy. We are sorry for the many farmers who have understood the advantages of CETA, but if they are unable to influence their colleagues and the policy of prejudice, we might as well consider suspending the agreement in the agri-foodstuffs part and safeguarding all the opportunities created for manufacturing and numerous other sectors that boast excellence of Made in Italy to be valued in North America and throughout the world.
A greeting and a hug to all of you, in the hope of finding you at our side to continue to grow together and take advantage of the best opportunities that the world offers us.
About the author
Sergio Passariello – Ceo di Euromed International Trade e fondatore del Think Tank “Imprese del Sud”.
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Main picture: Sergio Passariello. “foto tratta dall’Agenzia stampa Adnkronos”
THE HAGUE, Netherlands – 8 July 2020 – The Government of the United Kingdom of Great Britain and Northern Ireland has contributed a further £100,000 to a special Organisation for the Prohibition of Chemical Weapons (OPCW) Trust Fund to support the project to upgrade the current OPCW Laboratory and Equipment Store. This project will result in the construction of a new facility, the OPCW Centre for Chemistry and Technology (“ChemTech Centre”).
The contribution was formalised during a ceremony between OPCW Director-General, H.E. Mr Fernando Arias, and the Permanent Representative of the United Kingdom to the OPCW, H.E. Ambassador Peter Wilson, which was held at OPCW Headquarters in The Hague.
Ambassador Wilson remarked: “I am delighted that the UK is supporting this flagship project of the OPCW for the second year running with a contribution to help fund the project management team. The team’s work is vital to ensuring that the new ChemTech Centre enhances the OPCW’s ability to rid the world of chemical weapons.”
The Director-General expressed: “I thank the Government of the United Kingdom for this second contribution to the new OPCW Centre for Chemistry and Technology that will further build the capabilities of our Member States to achieve a world free of chemical weapons. The continued commitment of OPCW Member States to this important project during these unprecedented times is especially meaningful.”
Director-General Arias appealed to all OPCW Member States in a position to make voluntary contributions to do so. He further emphasised the important role the new ChemTech Centre will play in strengthening the OPCW’s ability to address chemical weapon threats and enhance capacity building activities. He highlighted that “all contributions, regardless of size, are greatly appreciated”.
So far, forty Member States and the European Union have contributed or pledged to contribute financially to the ChemTech Centre project, and a considerable amount has been raised to date.
