Cargonomia: shrinking the distance between producers and consumers 

Planet Local, which highlights examples of localization in action all over the planet, is a project of Economics of Happiness/Local Futures/The International Alliance for Localization. In March thumbnail sketches of three ethical local banks were published here.

The local food movement is about growing food and also shrinking the distance between producers and consumers — and a new initiative in Hungary is doing just that.

In Budapest, an organic vegetable farm, a do-it-yourself bicycle cooperative and a self-managed bike delivery company teamed up to create Cargonomia, an urban food distribution hub which uses locally-manufactured cargo bikes to deliver locally-grown food across the entire city. And the project continues to grow: Two local bakeries have joined Cargonomia which now delivers bread across the city as well as vegetables.

Read more about this one-of-a-kind collaboration here. Within the team of partners, there is expertise in designing and constructing different types of cargo bikes and trailers.

It’s a business model which utilises each partner’s strengths: vegetable deliveries from Zsamboki Biokert are coordinated by Kantaa’s distribution experts and made using Cyclonomia’s bikes. In this way, Cargonomia goes beyond ‘local food’ to encompass the entire local economy. It aims to help local food producers: organic food producers, vineries, apiaries.

It hosts a community centre where local residents can borrow, rent, or buy their own cargo bikes, organise or attend activities focusing on the transition to a local-scale economy and events to connect with other social and environmental initiatives in the city.

Localise West Midlands is a member of IAL, a cross-cultural network of thinkers, activists and NGOs from 58 different countries.

 

 

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International Alliance for Localization: Local Futures

In the Times, Ed Conway, economics editor of Sky News, describes problems arising from the complexity of globalisation, ‘the hallmark of 21st-century life’ and the International Alliance for Localization records examples of new modes of development and progress. He concludes: “Globalisation, once a means of boosting everyone’s income, has instead evolved into an excellent vehicle to help the rich get richer”.

The International Alliance for Localization sees that the building of more resilient economies will require a rethinking of the financial system, and its Planet Local series has been turning the spotlight on some inspiring examples of ethical banking:

* In Maine, USA, a local resident with money to invest  is providing nearby small farmers with loans whose interest is paid exclusively in the form of farm products.

* Brazil’s Banco Palmas, governed and managed by residents of the impoverished Palmeiras neighborhood in the city of Fortaleza, has issued a local currency, dramatically shifted spending patterns to keep money circulating locally, and extended basic financial services to people shut out of the mainstream banking system.

* In Croatia, the democratically-owned Ebanka functions as a non-profit bank, in stark contrast to most financial institutions worldwide. Their loans are given without interest, and every member has an equal voice when it comes to voting on big decisions, regardless of the value of their deposit.?

Visit IAL’s growing library of localization initiatives

 LWM is a member of IAL, a cross-cultural network of thinkers, activists and NGOs from 58 different countries.

 

 

 

 

Are the region’s schools and hospitals sourcing food locally?

BBC Scotland made freedom of information requests to all 32 Scottish councils about the sourcing of food products bought last year.

Despite campaigns by the Scottish Government to buy local produce. Of the 28 authorities which responded, it was found £1.3 million was spent on chicken products from Thailand, more than £125,000 on carrots from Belgium, £125,000 on mashed potato from France and almost £12,000 on raspberries from Serbia.

scottish 2food        Read more about Scottish food here: http://www.taste-of-scotland.com/foodproducers.html

Farmers said they want to see more done by councils to source local produce and  the Scottish Greens first raised the issue of councils buying chicken from Thailand in 2013.The party’s health spokeswoman Alison Johnstone said:

“It’s disappointing that, three years on from our investigation, this remains a problem. Our economy is losing out. Government food policy remains too focused on exports rather than supporting local procurement. Councils need support so they can buy Scottish more often.”

A review of food and drink nutrition in schools is now under way. John Swinney, the education secretary, said that he wants school food to be “sourced as locally as possible” and has asked experts from Food Standards Scotland, NHS Health Scotland and Education Scotland where provision can be improved.

LWM is working with a number of partners to promote this agenda.  While the Carter Review of 2015 put obstacles in the way of localising NHS procurement, with its insistence on frameworks and catalogues, it recognised the value of locally sourced food.  County Hospital, Stafford was one of the first to gain a gold Food for Life Catering Mark, an initiative of the Soil Association recognised by NHS England.  This experience is being passed on through the West Midlands NHS Sustainability Network.

The fragmentation of the schools system means it’s less clear how many schools are following this approach, though many are growing their own salads and fruit as part of healthy eating projects.  In Smethwick, Victoria Park Academy has its own social enterprise, Ballot Street Spice, and it’s hoped they will sell their spice mixes at the Midland Met Hospital food market when it opens.  The Department for Education has recognised the Food for Life Catering Mark, and the government plan for Procurement cites it as a best practice tool.

 

 

Doncaster leads on local sourcing

As local sourcing where appropriate is central to relocalising and strengthening regional economies, many will welcome news of a pledge made by Doncaster’s Mayor Ros Jones to ‘buy local’.

mayor ros jonesBusiness Desk reports that when Ros Jones became Mayor in 2013, the council spent more money with firms located outside of borough, but now the vast majority of work goes to local firms, supporting the local economy and helping to stimulate jobs and growth.

Mayor Jones said: “I was determined Doncaster firms could bid for suitable contracts and by understanding what is involved in the procurement process have every opportunity to win work. We have put on workshops, organised events and provided support for business owners so they understand the rules, can find available contracts and know how to prepare their tender bids. This work is certainly paying off with amount of work being won by local firms increasing by a staggering 34% in the last four years”.

Doncaster Council’s procurement team has trained about 130 businesses on how to do business with the public sector and procurement rules have been changed to include local suppliers.

Working with the Business Doncaster team, supplier engagement events have enabled firms to meet public sector buyers, while other public sector agencies in Doncaster have also been encouraged to ‘buy local’.

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Dan Fell, the innovative chief executive of Doncaster Chamber, added: “Doncaster Chamber believes that it is important for local organisations in the public and private sectors to do business with each other to generate new supply chains and keep work local where possible.  For many years the Chamber has encouraged partners to ‘Buy Doncaster’ and, as such, is delighted that Doncaster Council has such a high percentage of its good and services locally.”

Because of Mayor Ros Jones’ pledge to ‘buy local’ – and despite reduced council budgets – the amount of work awarded to firms in the borough increased by over £27m since 2013/14 and now represents 68% of all council spend. In  2016/17, Doncaster based companies are projected to win over £108m of council work.

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Endnote: see news of the Birmingham Pound which encourages sourcing of local goods and services: https://brumpound.wordpress.com/

 

 

 

Localisation/swadeshi: a programme for long-term survival

 

Swadeshi has been described by Satish Kumar, founder and Director of Schumacher College in Devon as a programme for long term survival.

It is the principle of preferring the neighbouring to the remote.

It relates to need-based lives, ruling out unlimited consumption.

It is not autarky; but a needs-based global alternative.

Economic swadeshi was shaped by Gandhi, who advocated the production and use of indigenous food and goods. In 1956, the Khadi and Village Industries Commission was established in by Act of Parliament.

 

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Active today, a list of its SMEs may be read here. 

 

Swadeshi practices economics according to its original definition of good household management, seeking to preserve natural wealth and promote the balanced development of all regions and society as a whole.

It regards the market as an instrument, not as master; the swadeshi global view is “let a thousand markets bloom – and not merge into one global market”.

 

 

 

General Electric says: “We will localise”

maersk contianer (2)

Last year came three reports on the downturn in global trade:

  • From the container industry: Søren Skou, chief executive of the Maersk Line, which carries goods and products between Asia, Europe, the US, Africa and Latin America and is now described as the only profitable freight line.
  • In a report from the Centre for Economic Policy Research: theslowdown in world trade has been much worse than previously reported, with global trade volumes plateauing over the past 18 months amid a rise in protectionism.

A higher proportion of the value of final goods is being added domestically

  • The World Bank: There is some evidence to suggest that part of the explanation may lie in shifts in the structure of value chains, in particular between China and the United States, with a higher proportion of the value of final goods being added domestically—that is, with less border crossing for intermediate goods. In addition, the post-crisis composition of demand has shifted from capital equipment to less import-intensive spending, such as consumption and government services.

china trade graphic

As politicians such as US Republican presidential candidate Donald Trump rail against “globalism” and promise to erect new barriers to commerce, policymakers and economists have also grown increasingly concerned about a slowdown in global trade growth. And according to the latest report by Global Trade Alert, which monitors protectionism around the world, that growth has disappeared altogether with the volume of goods traded around the world stagnant since January 2015.

Economists remain divided on the causes of the slowdown, some seeing long-term trends, including the shortening of global supply chains and the increasing role of digital trade. 

As the West Midlands Producers site notes, the reshoring trend, successes and possible pinch points, has been systematically explored and publicised by Aston Business School’s Professor David Bailey since 2013.

G20: mixed messages 

In their closing communique the G20 ministers last weekend reiterated a post-crisis pledge to avoid any move to protectionism, but ‘discriminatory measures’ such as local content rules and subsidies for local industry introduced by governments was up 50% in 2015 compared with the year before, according to the Global Trade Alert’s database – and G20 countries accounted for 81% of those measures.

The FT sees evidence that such measures are already having an impact on business decisions. In a speech in May at New York University, Jeff Immelt of General Electric said that faced with rising barriers to trade, a decision has been made to shift to a strategy of “localisation” rather than globalisation.

“In the face of a protectionist global environment, companies must navigate the world on their own,” said Mr Immelt. “This requires dramatic transformation. Going forward: We will localise.” 

 

 

 

Sheffield and Balsall Heath: the real march of the makers

julian dobson2The observations of Julian Dobson (Living With Rats blogspot @juliandobson), strike a welcome and hopeful chord after reading the dismal question: “Will Chancellor Osborne cripple the ‘makers’?”

A search revealed JD’s substantial localist credentials – as director of Urban Pollinators, which helps to make sense of regeneration and the editorial director of New Start, the national magazine for regeneration practitioners. He is on the editorial board of the journal Local Economy and writes think tanks and publications such as the Joseph Rowntree Foundation, the Centre for Local Economic Strategies and Res Publica. He is helping to create Our Society, a social action network, and Revive Our Town Centres, a network for people involved in rethinking local high streets.

george osborne 2 smallerChancellor George Osborne closed his 2011 Budget speech by eloquently setting out his aspiration for “a Britain carried aloft by the march of the makers”. But recently he caused consternation by closing down the Business Growth Service, including the Manufacturing Advisory Service and the Growth Accelerator programme.

Julian observes that if there’s going to be a march of the makers, it is more likely to take the form of developments such as Portland Works in Sheffield, a stone’s throw from Sheffield United’s Bramall Lane ground, a development born of “a local determination to see Portland Works kept in use as a place for making”.

He relates that a community trust was formed when the previous owner wanted to cash in and convert the premises into flats: more than 500 people bought into a community share issue, reflecting the groundswell of support both for the works’ heritage and the trust’s vision of the future”.

portland works

Portland Works currently has 32 tenants with a wide spread of interest, including a knife maker, engraver, forge operator, several artists, a rug maker, a window maker, a distiller, bike-makers, woodturners, musicians and jewellers.

Though both are beset by the difficulties of maintaining an old building, a similar pattern can be seen in Birmingham (below, rear view) at The Old Print Works in Balsall Heath – first mentioned on this site in 2013 – where ‘makers’ work in low-cost spaces.

old print worksFollowing his account, Julian Dobson concludes:

“If there’s going to be a march of the makers, it is more likely to look like this than the kind of projects favoured by central government and its placemen in local enterprise partnerships, obsessed with projects that rejoice in titles like Catapult and Accelerator.

“It is likely to be a much slower march than the periodic stampedes of real estate and financial services speculators, too. But it has the potential to last far longer and to create more useful stuff in the process.

“And while there’s no doubt that the makers of Portland Works are having to rough it far more than government ministers and their acolytes might be used to, I’d hazard a guess that their work is both more creative and more fulfilling”.

Update: International Alliance for Localisation

Early in December this blog reported that Local Futures has gathered a cross-cultural, North-South network of thinkers, activists and NGOs – the International Alliance for Localization (IAL). It already has members from over 30 countries and Localise West Midlands is one of the member organisations.

isec report coverIn the wake of the Paris climate talks, Local Futures has released a 16 page action paper entitled Climate Change or System Change? (left).

It argues that globalization – the deregulation of trade and finance through an ongoing series of “free trade” treaties – is the driving force behind climate change.

The climate problem can only be tackled effectively if governments stop subsidising globalisation, and begin pursuing a localisation agenda instead.

A recording of Local Futures’ first webinar, with community economist Michael Shuman and Helena Norberg is now uploaded on YouTube.

Climate Change or System Change? will be the focus of the second international webinar in January, as part of the Global to Local webinar series. More information will follow soon.

Contact via http://www.localfutures.org/contact-us/

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See in more detail: https://britain2020.wordpress.com/2016/01/03/localisation-a-systemic-solution-multiplier-simultaneously-lowering-co2-emissions-restoring-democracy-and-providing-secure-livelihoods-part-1/

Brief extracts from the 16 page action paper entitled Climate Change or System Change? – may be seen here: https://britain2020.wordpress.com/localisation-systemic-solution-multiplier-part-2/

 

Local development as a strategic alternative in Fife

Once again many will question the dependence on a global market economy as headlines shout, “China’s ‘Black Monday’ sends markets reeling”. For months, in a range of publications, Mohamed El-Erian, who chairs President Obama’s Global Development Council, has been forecasting the risk of a ‘perfect storm’, adding that considering ‘its destructive potential, it warrants serious attention by policymakers’, though China does not loom large in his list of contributing factors.

fifediet small family2

Mike Small (with family, above) is said to be ‘behind’ the Fife Diet local eating experiment, which aims to relocalise food production and distribution on a regional basis, as a response to globalisation and climate change. See a 2008 Telegraph article and more in depth on the Transition Culture website.

Remarkably, it is funded by the Scottish Government’s Climate Challenge Fund and has also received funding from Celebrating Fife, the Co-op Community Fund and Awards for All.

Over an eight year period the Fife Diet has developed from a simple idea framed around ‘local eating’ to a complex one about sustainable food, environmental justice, globalisation and culture. They set out to build a sustainable food movement that popularised eating healthy, local produce in Fife, starting from the understanding that there is something fundamentally wrong with the food system but also from the thought that they could, by acting collectively, do something about it.

They now believe that food has become central to the precarious economy. Real progress won’t be made until control is regained over the retail experience, and profiteers that benefit from products that fuel obesity are confronted.

In the Food Manifesto they are developing, they call for opportunities for the ‘right to grow’ and an expectation of quality healthy food in our public institutions, aiming eventually to become – as the Scottish government puts it, a ‘Good Food Nation’.

FAQ: “But what fruit do you eat?” Fife’s Pittormie fruit farm produce:

fife's pittormirefruitboxjuly091

Remarkable achievements listed on their site:

CELEBRATING OUR OWN FOOD CULTURE

When we started we were met by a mixture of incredulity and poorly-disguised scepticism. People really didn’t think that you could eat food from Fife, and survive at all. It was just unthinkable, unimaginable.

CARBON SAVINGS

In 2011-2012 we saved 1019 tonnes of C02e. Then, in a three year period (April 2012- March 2015) we saved a further 6976.37 tonnes of C02e. These are immediate savings, by diverting food waste from landfill thereby avoiding creating methane, for example, or by sequestering carbon and enriching soil with compost, but also by eating locally, growing our own food, eating organic, changing the meat we ate (and eating less of it).

OUTREACH

We held or attended over 500 outreach events over the three years, engaging with 15,520 people.

GROWING SPACES

We established a community food growing garden, a wildlife and forest garden and a vibrant volunteer and community group who are maintaining them. We hosted 57 events at the garden, including the children’s gardening club, large community lunches and volunteer sessions.

COMMUNITY ENGAGEMENT

We ran 79 weekly children’s gardening clubs (79 clubs over three years) and hosted 7 large-scale community events.

LEADING THE WAY

We were part of building a new food movement in Scotland that encompasses the right to food, championing small producers, insisting on sustainability as a measurement of quality in food production and celebrating food sovereignty.

NEW ORCHARDS

We planted 7 orchards around Scotland from Galloway to Sutherland with our Silver Bough tour (‘ a cultural conversation about apples’).

SCHOOL LUNCHES PILOT

We collaborated with Fife Council and the Soil Association in a pilot project exploring regionally sourced, healthy, sustainable and organic school lunches. See here.

INSPIRATIONAL PRINTED MATERIAL

We published a series of inspiring posters, postcards, booklets and other materials including recipe books, calendars, guides on native apple varieties and a booklet on gardening with kids. We also produced a free Ebook for our members of Collected Recipes from the life of the project.

BIRTHING THE ORCHARD COLLECTIVE

We curated and hosted the National Orchard gathering and helping the Orchard Collective into existence.

THE BIGGER PICTURE

We are proud to have been part of a wider movement and welcomed the collaborative work over the past eight years with such groups as Nourish, the Soil Association, Slow Food, Permaculture Scotland and Transition Towns.

Much more here: http://fifediet.co.uk/fife-diet-chronology/

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End note: protect and rediversify local economies

pp hines logoAs LWM’s co-founder, Colin Hines, has written, there is growing opposition to a system which regards as inevitable the driving down of tax rates for higher income earners, worsens social and environmental conditions and kills local jobs and small business opportunities:

“Whistling in the dark to keep up the nation’s economic spirits by promising export-led growth in an era of rising Asian dominance is a ridiculous policy. The alternative to these dangerous and damaging dark alleys is to propose a set of practical measures for protecting and rediversifyng local economies. This is the only way to tackle the economic and environmental crises, return local control of the economy to citizens and provide a sense of hope for their future . . .”

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Will beneficial alternatives emerge from the Greek crisis?

nefAndrew Simms of the New Economics Foundation thinks so, commenting: “While disaster reveals a society’s economic and social weaknesses, it also reveals where true resilience and real value can be found – in the ability of people to cooperate at the local level to meet a community’s needs”.

Localise West Midlands’ Localising Prosperity programme suggests that approaches to economic development that concentrate more on ‘locally grown’ enterprise, supply chains and investment are more successful in creating successful places, well-being and social justice.

lwm loc  prosp graphic2

In a diverse, localised economy, more people have a stake, which redistributes economic power, reducing disconnection, inequality and vulnerability to ‘too big to fail’ institutions.

Greek survey questions could include some of those LWM listed for the West Midlands:

  1. What sectors and types of economic activity could be localised?
  2. By how much could economic activity be localised?
  3. What quantifiable benefits might it bring?
  4. Decentralising capitalism and capital outflows from the region.
  5. Localising money supply and markets.

Two relevant developments

Peer to peer technology [P2P]

The Guardian has reported the story of Volos, a Greek city where locals have adopted an alternative currency, known as the Tem. As the country struggles with its worst crisis in modern times, with Greeks losing up to 40% of their disposable income as a result of austerity imposed in exchange for international aid, the system has been a huge success. Although locals insist the Tem, which is also available in voucher form, will never replace banknotes they say it is a viable alternative. The mayor of Volos says that the alternative currency has proved to be an excellent way of supplementing the euro: “We are all for supporting alternatives that help alleviate the crisis’s economic and social consequences. It won’t ever replace the euro but it is really helping weaker members of our society. In all the social and cultural activities of the municipality, we are encouraging the Tem to be used.”

Parallel economies

Elsewhere, Andrew Simms reminds us, in the wastelands created by recession in Detroit in the United States, unemployed people have turned to urban gardening to grow their own food and reclaim abandoned plots of land. People have done the same in poor parts of New York.

After the financial crisis that wrecked Argentina’s economy at the turn of the millennium, community gardens sprang up alongside community kitchens. Things went much further in Argentina as whole arms of government ceased to function properly. El Movimiento de Trabajadores Desocupados, the movement of unemployed workers, brought groups together to do everything from making food, to building shelters, creating markets for people to sell their products, schooling and, also, demonstrating. They created, in effect, a parallel economy. Panaderia, bloquera and ropero – bakeries, block making, and clothes making and selling were a particular focus which is perhaps unsurprising being the basics of a livelihood: food, shelter and clothing.

Decentralising capitalism and controlling capital outflows from the region

Greece shut down its banking system, ordering lenders to stay closed for six days starting on Monday, and its central bank moved to impose controls to prevent money from flooding out of the country. This might lead to a process of domestic investment, reversing the process of the Thatcher government’s legislation which starved British industry of investment funds.

Whatever the causes of the crisis: over-spending on German military equipment, high public expenditure, failure to collect taxes, lack of ‘due diligence’ on the part of lenders or the single currency, many hope to see the emergence of creative ways of developing a stable Greek economy.

Described as a “small quasi-closed economy” by the director of the Centre for European Policy Studies – with 12.4% of the country’s labour force employed in producing food and cotton, one of the world’s leading fishing industries and the substantial revenue from tourism and shipping – Greece seems to have a ‘head-start’.