The Business of Food

1. The Business of Food The Global Food Industry

2. Who’s in Charge • 70% of the world’s global agricultural commodity trade is controlled by no more than 7 major companies. • Since the end of the Second World War, companies have changed the farming industries. • They bought out smaller independent farmers • Profits were maximised by utilising scrupulous labour practices. • Diversification was reduced in order to make more money.

3. How Did it Happen? • Ambiguity of international law: Multinational companies are able to exploit local regions due to a lack of a universal system of enforceable laws. • Globalisation: Organisations like the WTO and NAFTA promote the necessary climate that allow multinationals to expand their market share.

4. Issues at Stake • Land Distribution: As the multinationals dominate a region, they increasingly exploit the former owners. Those that remain behind become a human resource – labour. • In this capacity they experience reduced wages, and dangerous working conditions. • Profits: The money from these companies often do not remain in the communities. They do not contribute accept through jobs.

5. Genetic Engineering • Agribusiness genetically modify seed and then patent it. • Most farmers no longer reserve a percentage of their crop for seed • They have to purchase it from the big companies. • Agribusiness protects its “interests” aggressively. • 2001: Monsanto sued a local Saskatchewan farmer Percy Schmeisser. • He claimed they were blown onto his land and he did nothing illegal.

6. Pesticides • Reliance on fewer strains of crops can create stress on the soil • Corn and Tobacco • Agribusiness solves the problem with increased use of fertilizers and pesticides. • This strains the local environment especially the run off system. • In places like the Annapolis Valley there is a push on farmers to curb back the use of chemicals. • Can cause real health concerns. • World Health organisation estimates that upwards of 3 million people are poisoned by pesticides and is attributed to 200,000 deaths annually.

7. Real Issues • Because the primary motive for agribusiness is profit, the crops grown are not always good for the local economy. • Food is grown for export • Cash crops: tobacco, peanuts, wheat, rice, cacao and coffee • With most land turned for this cultivation there is not enough left over to supply all the food for locals. • These regions import food at a greater expense

8. The Big Three • Philip Morris • Kraft, Crystal Light, Tang, Grape Nuts, Pebbles, Shredded Wheat, Jello, Taco Bell Packages, Oscar Myer, Miller Brewing, Maxwell House, Kool Aid, Alpha-Bits, Raisin Bran, Honeycomb, Dream Whip, Toblerone, Cigarettes • Nestle • Chocolate Bars, Cheerios, Quality Street, Carnation, Taster’s Choice, Haagen Dazs, Lean Cuisine, L’Oreal, Chips Ahoy, Stouffers • Cargill • Coffee, Eggs, Beef, Fats and Oils, Fertilisers, Wool, Salt, Poultry, Rubber, Fruit and Vegetables, Pork, Wine, Grains, Peanuts,

9. The Next Step • In the last decade a growing movement has arisen. • Think global, buy local. • Purchase goods only when they are in season • Purchase goods produced within 100km of you. • Purchase organic • Organic food sales reflect this, having increased from $3.5 billion in 1996 to more than $9 billion in 2001. • But beware- what is organic? • Agribusiness has cornered this market. • Small Planet Foods is owned by General Mills • California alone produces over $600 million in organic produce, most of it coming from just five farms, who are also the same producers of most non-organic food in the state. 70 percent of all organic milk is controlled by just one major milk producer.