Open Veins of the Amazon.docx

Open Veins of the Amazon.docx

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OpenVeinsoftheAmazon

OpenVeinsoftheAmazon

byJohnJohnson

History177

ProfessorJohnChasteen

5April2002

Nearlythirtyyearsago,influentialLatinAmericanhistorianandsocialcriticEduardoGaleanowrote,"[t]hedivisionoflaboramongnationsisthatsomespecializeinwinningandothersinlosing."Inhislandmarkbook,OpenVeinsofLatinAmerica,GaleanoarguesthatthenaturalresourcesofLatinAmericahavebeenplunderedwithlittle,ifany,beneficialeconomicdevelopmentinreturn–firstbythecolonialpowersofSpainandPortugal,andlaterbyindustrialpowerssuchasBritainandtheUnitedStates.Galeano'simageryofthe"openveinsofLatinAmerica"isapowerfulillustrationofthisconceptofthedivisionoflabor.Naturalresources,thetrueeconomiclifebloodofLatinAmerica,flowoutandoveritsborders,drainingthevitalityofLatinAmericannationsandenrichingothers,the"winners."Galeanoassertsthatthisisanentrenchedpattern,that"[o]urpartoftheworld…wasprecocious:

ithasspecializedinlosingeversincethoseremotetimeswhenRenaissanceEuropeansventuredacrosstheoceanandburiedtheirteethinthethroatsoftheIndiancivilizations."Inaverybroadsense,LatinAmericannationaleconomieshavealwaysbeenextractive,focusedontheexportofnaturalresourcesormonoculturecropsfromlargeplantations,anorientationthatdoesnotlenditselftowarddemocratizationofwealthorthedevelopmentofpowerful,autonomousnationaleconomies.Thisfree-tradeorientationinunderdevelopedcountriesalmostinevitablybenefitedtheforeignrecipientsmorethantheexportingnationsthemselves.

Theextractive,export-orientedfocushasremainedanimportant,lastinglegacyofthePortuguesecolonialperiodinBrazil.FromtheverybeginningsofthebrazilwoodtradewiththeTupianpeoplesonthenortheasterncoastofBrazil,thePortugueseweremuchmoreinterestedincollectingandsellingthenaturalresourcesoftheirsoon-to-be-colonythanwellorganizeddevelopmentandsettlement.Ofcourse,colonialpowershavenointerestindevelopingautonomouseconomiesintheirterritoriesbecausetheywishtomaintaintheirhegemonyovertheseregions,buttheextractivepatterndidnotdisappearwithBrazil'sindependencefromPortugalin1822.Britainandotheremergingindustrialpowerspouncedontheopportunityforcheapresources.ThecostlyWaroftheTripleAlliance,amongotherevents,increasedBrazil'sdebttoBritainandpartlyexplainswhyBrazilremainedaperipheralcontributortoEuropeandevelopment.TodayBrazilremainsdependent.Toquotejustonestatistic,Brazil'sforeigndebtnearlydoubledinthelastdecadeofthetwentiethcentury.

Today,theAmazonRiverbasinisrecognizedasanimportantregioncontainingmuchofnature'swealthandbiodiversity.Therainforestofferswhatatonetimeseemedlikeanendlesssupplyoflumber.Theregionisfullofmineralresources,too,includingsilver,diamonds,bauxite,titanium,mercuryandotherpreciousorindustrialmetals.Fortheseveryreasons,theAmazon,whichoncewaslookeduponasamysterious,terrifyingblackhole,isnowoneoftheregionsonearththatismostcovetedbylargecorporations,bothBraziliancorporationsandmultinationals,aphenomenatermedbyGaleanoas"mankind'spovertyasaconsequenceofthewealthoftheland."Ingeneral,thesecorporationshavelittleinterestinpreservingthebiodiversityofAmazonia,illustratedbythewell-knowntrackrecordofthedevastationoftheregionwreakedbydeforestation.TheAmazonbasin,then,seemstofitveryeasilyintoGaleano'sconceptofthe"openveinsofLatinAmerica."ThisregionwhosewealthwasnotrecognizedearlierinBrazil'shistorynowhasthefullattentionofbothbusinessesandtheiropposition,includingenvironmentalgroupsandintellectualslikeGaleano.TofurtherunderstandthesituationfacingtheAmazonbasintoday,wemustturntoearlierattemptsatharvestingthewealthoftheregion.

RubberintheAmazon

IndustrializationinEuropeanandUnitedStatescreatedalargedemandforAmazonianrubberinthelate19thandearly20thcenturies.Rubberwasneededprimarilyforthemakingoftiresforautomobilesandothervehicles.Becauseasingleworkercouldaccomplishthecollectionandprocessingofrubberinalargearea,themostcost-effectivemethodofextractingtheresourceswasnotlarge-scalesettlementoftheAmazonbyworkersandtheirfamilies.Instead,rubbercompaniescarriedindividualworkershundredsofmilesupriveranddroppedthemoffbythemselves,wheretheystayedaloneformonthsonend,tappingsapfromtreesandboilingitintolarge,solidballs.Atitsheightin1910,rubberconstitutedfortypercentoftheprofitmadefromBrazil'sexports.Theprofitsofthe"rubberbarons"begantodeclineafter1910whentheBritishestablishedmorecost-effectiverubberplantationsinEastAsia.

ThenatureofrubberharvestingdidnotdestroytheAmazonorevenscarit,becausetherewasnoneedforlarge,intrusivesettlementsorthedestructionofthetreesthemselves.BeforetheresurgenceofinterestintheAmazon,onecouldflyoverthebasininanairplaneandobservetheareavirtuallyunchangedfromthepre-Columbianera.Inhumanterms,however,thetradewasfarfrombenign.Theprofitsfromtherubbertradedidnotbenefitthosewhodidthelonely,dangerouswork.Rubberprofitswerevirtuallythrownawayonluxuryitemsbythewealthyownersofthecompanies;thebuildingoftheornateAmazonasTheaterinManausputnothingbackintotheneweconomyoftheAmazonbasin,attractedfewpeopletothearea,andwasthe"chiefsymbolofthatvertigoofwealthatthebeginningofourcentury."Meanwhile,rubberharvestersfacedthehardshipsofdistance,debtanddisease.Theseworkersoftenendedupindebttothecorporationsthatemployedthem,becausetheywerepaid"inkind"-withfoodandliquor-notinlegaltender.Rubberharvesterssurelyfacedpsychologicaldistressfromtheirisolationinunfamiliarterritorywithlittlehopeofescape.Probablytheworsthardshipwasdiseasessuchasmalariaandtuberculosis,whichmayhavekilledasmanyasfivehundredthousandworkers.FuturebusinessventuresintotheAmazonmightnotcausethesamehumansuffering,butthedestructiveeffectsonthelandwouldbemuchgreater.

TheAmazon"LandRush"ofthe1960s

LargescaleextractionofAmazonianresourcesbyUnitedStates-andotherforeign-basedcorporationsbeganinthemiddleofthe20thcentury.Beforetheright-wingmilitarycoupof1964,presidentGoularthadtriedsomewhattoprotectBrazil'seconomyfromforeigninvestmentanddebtbyrestrictingaccesstotheAmazon,amongotherpolicies.The1964coup,ledbygeneralsoftheBrazilianmilitarywiththesympathiesofNorthAmericangovernments,washailedbyUSofficialsas"thesinglemostdecisivevictoryoffreedominthe20thcentury,"andadevelopmentwhichwould"createagreatlyimprovedclimateforprivateinvestment."Indeeditdid.Duringtheperiodof1965-1984,economicinequalityincreaseddrastically.Theverysameyearasthecoup,asdomesticBraziliandissentwasbeingcrushed,AmericanairplanesweregrantedpermissiontoflyovertheAmazon.Usingspecialphotographictechniques,theflightsdiscoveredlargedepositsofgold,silver,diamonds,bauxite,andmercury,amongotherminerals.Justbefore,duringandafterthe1964coup,multinationalcorporationsboughtupenormoustractsoflandinalargeswathwhicheffectivelyseparatedtheAmazonfromtherestofthecountry.AsubsequentBraziliancongressionalinvestigationdiscoveredthat20millionhectaresoflandhadbeensoldtomultinationalcorporations.Braziliancongresswassuspiciousofthepurchasedlandforanotherreason–NorthAmericanreligiousmissionshadbeensetupintheareasandtriedtoconvincetheindigenouspeoplestosterilizethemselves.Theimplicationisclear.IfindigenouspeoplecanbeclearedfromtheAmazonbasin,amajorbarriertobusinesswillhavebeenlowered.Butnotalloftheeconomicactivitywasevennominallylegal.FourAmericanswerechargedwithillegallysmugglingfortytonsofatomicmineralsfromtheAmazonbasinin1966.Otherillegalenterprisesincludethesmugglingofdiamonds,estimatedatavalueof$100millionperyearinthe1970s.

LoggingintheAmazonRainforest

Environmentalmovementspresentanew,radicalchallengetobusinessinterestsintheAmazonbasin.Unliketraditionalpoliticaltheories–leftandright–itdoesnotseenatureassimplyaresourcetobeexploited,regardlessofwhobenefits.GroupslikeGreenpeaceassertthatregeneratingrainforestlandismuchmoredifficultthanplantingseeds（which,inanycase,isnotusuallydone）.EnvironmentalgroupspointoutthatthebiodiversityofAmazoniareliesuponsymbioticrelationships:

whenonespeciesofplant,insectoranimalisdestroyed,manyothersmayperish.InareasofjustthreeacresinAmazonianrainforest,thereareabout750speciesoftrees,moretreespeciesthanintherestofNorthAmerica.Thesetrees,alongwithotherplantandanimallifeintherainforesthavealreadyprovidedbreakthroughsinmedicineandsavedcountlesslives.Butthelifethatgrowsbackafterdeforestationwillonlybeaverysimplifiedversionofwhatwastherebefore.GreenpeacereportsthatfifteenpercentoftheAmazonrainforesthasalreadybeendestroyed.TheBraziliangovernmentiscurrentlyconstructingatrans-Amazonhighwayandrecentlypasseda$40millionAmazonianindustrialdevelopmentpackage（"AvancaBrasil"）,beginningwiththeroadconstruction.

Loggingisonlythebeginning.Bybuildingroadsintotheregion,theloggingindustryopensthedoortofurtherexploitationthroughclea