Latin American Extractivism: Dependency, Resource Nationalism, and Resistance in Broad Perspectives
Edited by Steve Ellner.
Rowman and Littlefield, 2021.
Latin American Extractivism听is a compilation of articles analysing the political economy of resource nationalism and policies of natural resource extraction by left and right-wing governments, with Venezuela-based academic Steve Ellner serving as editor.
It is a well-timed response to the chorus of 鈥渘eo-extractivist鈥 academics who, for more than a decade, have criticised 鈥淧ink Tide鈥 governments across Latin America for allegedly being 鈥渞entier states鈥 that continued down the road of their neoliberal predecessors and embraced a socio-economic model that sought industrialisation and economic development over preservation of the environment.听
Ellner鈥檚 introduction to the book provides a balanced vision of the topic of neo-extractivism, recognising the limitations of the policies of resources nationalism across the various Pink Tide governments, while acknowledging the dire socio-economic circumstances these governments operated in. It does not shy away from disputing the barrage of criticism directed at these governments by neo-extractivist academics, pointing to their limitations in assessing the economic outcomes of governments of Rafael Correa (Ecuador), Evo Morales (Bolivia), Cristina Fern谩ndez de Kirchner (Argentina) and others.
The next three parts of the book provide a sober analysis of the global focus of extractivist policies, as well as a stark comparison between left-wing and right-wing governments in terms of the political economies of resource extraction and subsequent allocation of generated funds.听听
Ellner writes: 鈥淭he resource nationalist policies promoted by Pink Tide governments contrast with those of more conservative ones. Most important, the overriding importance of resource nationalism should not be clouded by the thesis that there was consensus about extractivism鈥檚 potential to favour national interests.鈥听
The other authors follow a similar line of thought.
In the first part, Kyla Sankey provides a clear example of neoliberal extractivism, looking at how Colombia has been effectively transformed into a branch of the transnational corporations, providing ample opportunity for foreign capital to exploit the nation鈥檚 fossil fuels and other natural resources. This is contrasted strongly with a balanced analysis of the impact of the natural resources boom in Bolivia and the various institutional and political changes that it produced, as outlined by Alfredo Mac铆as V谩squez and Jorge Garc铆a-Arias.
The authors recognise that the Morales administration effectively broke with the neoliberal past with regards to the nationalisation of various natural resources industries and the distribution of funds towards public investment and social programs. They also recognise the shortcomings of this economic model, due to both internal and external factors, as evidenced by the difficulties in sustainability experienced during the 2015鈥19 period.
Finally, Emma Miriam Yin-Hang To鈥檚 piece tackles the perceived dilemma of countries such as Venezuela with regards to maintaining favourable trade and investment balances with the People鈥檚 Republic of China, while at the same time avoiding the trap of dependency.
Utilising a balanced approach, she recognises the Asian economic giant鈥檚 relationship with the Bolivarian republic as that of both cooperation and dependency, as evidenced by key infrastructure projects and technology transfers implemented by the former and the continuous dependency on the oil contracts and petroleum exports by the latter.听
The second part of the book provides a deeper analysis of the individual experiences of nationalisation, environment conservation, respect for indigenous rights, resource redistribution and attempts at systematic changes of the productive models among the various Pink Tide governments.
Luis Angosto-Ferr谩ndez's chapter is dedicated to explaining the enduring popularity of the various left-wing political movements that effectively embraced resource nationalism and implemented economic policies that left a lasting impact, while at the same time criticising neo-extractivist academics for ignoring the true origin of environmental destruction (transnational capital) and focusing their criticism squarely on the actions of the Pink Tide.
Angosto-Ferr谩ndez provides a further example, often overlooked by the neo-extractivist academia, of a mining community of the indigenous Pemon people in Venezuela鈥檚 Gran Sabana and their own balance between resource extraction and the environmental impact.
Maria J Paz and Juan Ram铆rez-Cendrero go into a more detailed analysis of the first National Development Plan following Morales鈥 victory, putting a particular emphasis on the way in which the Bolivian state took over one of the country鈥檚 key means of production, but also pointing out key shortcomings of that first experience, namely fiscal and financial imbalance and a lack of industrialisation in the gas sector.
Darcy Tetreault鈥檚 chapter on Mexico鈥檚 state petroleum and oil sector follows a similar pattern, praising the anti-corruption measures undertaken by Andr茅s Manuel L贸pez Obrador鈥檚 (AMLO) government, alongside the strengthening of the state planning element and forging of a new relationship with the organised workers in the industry. At the same time, it points out AMLO鈥檚 shortcomings, including the continuation of some neoliberal-era practices such as fracking, and a lack of any serious tax reform.听
Among the chapters that stand out the most in this section is Teresa Vel谩squez鈥 analysis of Correa鈥檚 relationship with the indigenous movement, particularly with regards to the water laws and state control of utilities, as well as a stark contrast between Correa鈥檚 approach towards resource nationalism and the crude extractivism practised by his neoliberal successor, Len铆n Moreno.
Finally, Amalia Leguizam贸n deconstructs the primary reasons for the endurance of 鈥渟oybean hegemony鈥 across Argentina鈥檚 political spectrum and the way this has been utilised by former left Peronist President Cristina Kirchner in the implementation of a new export tax policy and the windfall revenue it produced.
The book鈥檚 final section allows the reader to clearly distinguish between the political economy of resource nationalism and redistribution of the Pink Tide governments and the extractivist policies of the neoliberal states across Latin America.
Kicking off the section is a comparative study of two Central American countries 鈥斕鼸l Salvador and Honduras 鈥斕齛nd their respective government administrations. The Pink Tide-aligned Farabundo Mart铆 National Liberation Front听government听of El Salvador clearly distinguished itself from its neoliberal neighbour by implementing anti-extractivist policies banning mining and ensured public control over the water supply, even in the face of a major lawsuit by various Canadian transnational corporations.
The Honduran state, long dominated by various strands of neoliberalism (except for the administration of Manuel Zelaya), became a reliable platform for both the country鈥檚 business elites that had major investments in mining and other extractivist activities, as well as the foreign governments (such as Canada) that defended the interests of transnational corporations.听
This is followed up by another comparative study by Zara铆 Toledo Orozco, focusing on the differences in state policy towards artisanal gold mining between the conservative administrations in Peru and Colombia, and the Morales government in Bolivia.
In the case of the former, the governments largely prioritised the interests of large-scale mining corporations to fulfil their obligations to both domestic and international extractivist capital, at the same time ignoring the demands of various social forces and resorting to repression.
Morales鈥 approach in Bolivia contrasted strongly,听as the new Plurinational State and constitution created a balance of political forces that favoured cooperation rather than the coercion of social forces, and at the same time encouraged the integration of the miners into the policy-making process.
The concluding chapter, written by Castriela Esther Hern谩ndez Reyes, dissects the connection between the extractivist policies of neoliberal governments in Colombia and the racial inequality that it exacerbates among Black women, as well as the importance of Black decolonisation and feminism in the process of fighting against extractivism and capitalism.听
Latin American Extractivism听creates somewhat of a perfect balance between the achievements of the Pink Tide governments in the use of nationalised natural resources and the policies of resource nationalism, including the contradictions and shortcomings of these processes, and the conservative extractivist policies and state coercion exercised by the neoliberal governments of the region.
The book serves as a strong answer to both the pessimistic approach of the neo-extractivism crowd and its unbalanced criticism of the new left-wing governments around Latin America, as well as those who completely embrace the Pink Tide with no acknowledgment of the contradictions and the mistakes it has committed.听