Mexico’s Food Crisis Grows More Severe Under Barack Obama’s Ethanol Subsidies
Scientist trace modern maize (corn) to teosinte grass which apparently first developed in Mexico. Today this gift of ancient Mexican tribes to the world is at the heart of an ever worsening food crisis in Mexico and other less developed countries. Until the past couple of years Mexico was able to produce enough corn for it’s staple foodstuff, the tortilla. However, recently the price of corn has quadrupled in value. Many poor Mexican laborers have to work more than half a day just to be able to afford one small meal of corn tortillas. There is appropriate finger pointing to the the Mexican government’s management of agri-business competition in Mexico. Some are also saying that the restriction of using genetic modified corn seeds which might be more productive than than native seeds may also be playing a role. A false scare occurred in the 1990’s when some California researchers reported that genetically modified characteristics where taking over for naturally occurring ones. A international treat was signed in 1998 in which Mexico promised not to introduce the use of genetically modified seeds even though subsequent research done by reputable sources showed the concern was baseless.
American agricultural companies from the Midwest were happy when under NAFTA they were finally able to sell corn to Mexico by 2008 without any tariffs or approval as previously required. They flooded the market initially with cheap corn whenever possible to get a foot in the door over the previous years. The ineptitude of the Mexican production and the availability of America’s bread basket seemed initially to be a good solution for a severe need.
However at the same time, the ethanol industry, its lobbyists, and it’s Congressional advocates most notably Senator Barack Obama of Illinois were pushing forward legislation which would make corn more profitable as a fuel than a food. Even though scientific research clearly showed that ethanol from corn was not cost effective or carbon efficient, Barack Obama, Tom Daschle, and others passed laws that made the cheaper and more useful form of ethanol from sugar cane such as is used in Brazil unable to be used in the United States. The New York Times even quoted Barack Obama as stating he did this because it was good for Illinois and not necessarily for any other reason.
Some economists have called portions of the Midwestern United States where corn is being grown for ethanol as the “New Saudi Arabia”. Agricultural concerns are making millions of dollars in windfall profits as they have abandoned making corn for food and switched to fuel production. The power of the corn-ethanol lobby is so strong that they are blocking the development of ethanol by cheaper more efficient means such as by using bio-mass waste from landscaping, garbage, or sugar cane.
To his credit John McCain was in Midwest recently trying to make the point that this new profitable agri-business should at least give up tens of millions of dollars it receives from the Federal government in subsidies. John McCain has been against the Federal subsidies going to ethanol producers and has also favored looking into the more economically feasible use of sugar cane. However, Barack Obama and his supporters are actually are asking for higher subsidies in their proposed energy plan. One of the reason’s that Barack Obama wants the NAFTA agreement scuttled is that it could pave the way for American corn producers to hike their prices even higher to starving Mexico.
Meanwhile in Mexico thousands are wondering what happened to the country that was the “bread basket of the world”. Despite rationing there are thousands of people in Mexico and other countries who are in a crisis. The Barack Obama supported corn producers who just a year ago promised reasonably priced corn have betrayed them. Recent criticism of Barack Obama by Hispanic leaders such as the former Mayor of Miami that he has no concept of what is going on in Latin America seems to be on point. Perhaps it is best that Barack Obama decided not to visit Mexico where he might have to answer for his role in the current food crisis.
As starvation grows in Mexico there is a real risk of instability in the government developing and the number of illegal immigrants wanting to enter the United States to increase dramatically.
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