20 commercialization & rural sector

20 commercialization & rural sector - CHAPTER 20:...

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65 CHAPTER 20: COMMERCIALIZATION AND THE TRANSFORMATION OF THE RURAL SECTOR CHAPTER OUTLINE I. Introduction A. Roots of modern commercial agriculture 1. Trace back to European colonial empires established during the eighteenth and nineteenth centuries 2. Europe became a market for agricultural products from around the world 3. Finished products made of imported raw materials were sold back to colonies that had pro- duced the raw materials 4. Effect of the evolution of a worldwide transport network 5. Continued production of cash crops by poorer countries is perpetuated by loan and aid requirements imposed on former colonies B. World agricultural (Figure 20-1) II. Global patterns of commercial agriculture A. Introduction B. Cash crops and plantation agriculture 1. In the Caribbean region, whole national economies depend on sugar exports 2. Producing countries are not in a good position to dictate the price of their product 3. Importing countries fix tariffs and quotas 4. Extent of importers’ power can be seen in the case of Cuba 5. Collective action is difficult a) Wealthy importing countries can make deals with non-cartel countries b) Withholding of produce in exporting countries may stimulate domestic production among importers c) Example of cane sugar and sugar beets 6. Plantation agriculture —when cash crops are grown on large estates a) Colonial legacies that persist in poorer countries, primarily tropical countries b) Many plantations in former colonies are still owned by European or American individuals c) Multinational corporations tenaciously protected their economic interests in plantations d) Case of the United Fruit Company in Guatemala is discussed 7. Cotton and rubber
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20 commercialization & rural sector - CHAPTER 20:...

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