News in Review: Disobedience campaign (1960)

The News in Review column from the November 1960 issue of the Socialist Standard

Disobedience campaign

It would appear that true to their policy statement most of the CND leaders have completely disowned Lord Russell’s proposals for a civil disobedience campaign. According to Lord Russell the proposals are an appeal to the conscience and intelligence of all men about the dangers of mass extermination. What concerns us is the kind of society reflected in these measures to flout authority. The real tragedy is that at election times the overwhelming majority vote for the retention of Capitalism and consequently for most of the policies which go with it, including the H-bomb. For this reason the Socialist is not being cynical when he makes the remark: “You got what you voted for.”

To those CND supporters still undecided as to their next move it could be pointed out that by supporting any kind of civil disobedience they are fighting and will continue to fight the effects of the present system rather than abolishing it altogether and replacing it with a new and much less frustrating society.

Right to Strike

Patrick Neary has been released after spending six weeks in prison. He was the leader of the recent seamen’s strike, and was sent to jail because he did not comply with a court order which told him (in effect) to give up all connection with the strike. Some newspapers have claimed that he was imprisoned not because he was a striker, but because he disobeyed the court order. This is to reject the substance and catch at the shadow. The reason Neary went to jail was because he had been elected chairman of the strike committee, and had therefore emerged as the figurehead of the strike. The shipping companies wanted to remind the seamen of the Merchant Shipping Act. under which any striking seaman can be sent to jail. As far as the mass of strikers were concerned, the companies were perhaps afraid of having them all sent to jail, for fear of repercussions: and so decided to call in the state machine (which after all they maintain to look after their interests) only against one man, the figurehead, Neary. Therefore Neary has had to endure for six weeks the vile indignities which are the lot of anyone in jail, because he took part in a strike and was elected chairman of the committee which ran it.

And what happened to the protests which we might have expected? The last war (our leaders told us) was fought to defend democratic freedoms. The right to withhold labour is a central democratic freedom. The alternative—sending men to jail because they refuse to work on the terms offered them by the capitalists—is slavery. But our ruling class had no objection to Neary's sentence. Their newspapers applauded it. Let us remember this the next time our rulers want our help to “fight for freedom and democracy."

Kennedy v. Nixon

BBC television has given up an hour of its time to show one of the debates between the rival candidates for the Presidency now being staged in the United States. It isn't clear why, unless it wants to demonstrate to British workers that there would be no point in emigrating. For the debate showed that politics have reached much the same stage over there as they have here. There are two great parties contending for the support of the working class. One of them holds that the system as it now stands is as near to perfect as anything ever devised by man. The other, which has the support of the unions, wants one or two reforms, which would do nothing whatever to change the class basis of society. Each of them has a programme and a policy, the essence of which is that each would run capitalism better than its rival.

In one respect the parallel is even closer. Over here we have become used to the Government of the day (whether Labour or Conservative) attacking any claim made for higher pay made by members of the working class, and treating any strike or threat to strike as if it heralded the end of civilisation. And then at each election, the Government, with superb effrontery, brings out any figures of higher pay won by the workers against the strenuous opposition of that very Government, as if it alone was responsible (and, at the same time, usually skates over any figures showing how inflation has left the workers in much the same position as they were before). In the televised debate Nixon, who has been vice-president for the last eight years, performed this very trick. He brought out the figures of wage increases as if he individually had led the workers in all the struggles which must go before the smallest pay rise. And no doubt if Kennedy wins this time, he will re-appear in four years using exactly the same argument which Nixon uses now.

The Referendum

The South African government has been given a majority vote in favour of a republic—a majority, that is, of white voters, as the vast mass of the population (the Africans, Indians and Cape Coloureds) in this referendum, as in all elections, have no vote. This winning of the referendum has, no doubt, pleased Dr. Verwoerd and his Nationalist supporters, but not all white South Africans are so pleased, although Dr. Verwoerd hoped that the creation of a republic would at last end the bitterness and hostility existing between the Boer South Africans and the English-speaking South Africans, which has remained since the Boer War. But this has not, so far, happened, and one of South Africa's leading industrialists, Mr. Harry Oppenheimer, is frankly worried that the Republic may have a harmful effect on industry, should it not be readmitted to the Commonwealth, partly because of loss of the imperial preference.

Suicides

From a recent meeting of the British Medical Association at Middlesbrough, comes further evidence of the anti-social consequences of competition and production for profit. Dr. Sargent, physician-in-charge of the Department of Psychological Medicine at St. Thomas's Hospital. raised the matter of the 5,000 suicides which occur in this country yearly. According to Dr. Sargent, many patients who go on to commit suicide do so after wrong courses of treatment often resulting from confusion created by drug manufacturers in their publicity campaigns. Recently, advances have been made with a new group of anti-depressant drugs. “Unfortunately intensive competition between drug manufacturers to capture their share of an enormous potential market had resulted in excessive claims being made for them and wrong groups of cases suggested for their use," said Dr. Sargent.

Clearly the human considerations of treatment of the sick are secondary in the drive towards commercial success. Even so, anti-depressant drugs can at best only hope to treat symptoms. A far more satisfactory way of preventing suicides would be to establish a society based on more harmonious social relations and which takes no toll of the individual in terms of emotional stress.

Nigeria changes

Nigerians living in London marked Nigeria's coming to independence by publicly wearing their colourful and roomy national costumes. Was it worth celebrating? At the most, Nigeria will develop into another minor capitalist state; and we have seen enough of those to know that they have no more to offer their workers than any of the older established powers. Dr. Michael Okpara, the President of Eastern Nigeria, stated in the region's Assembly on 8th October that Nigerians would rather lay down their lives than lose their newly won freedom. At a guess this is a correct estimation of the loyalty of patriotic Nigerians who, like any other politically ignorant workers, are wide open to the propaganda of their masters.

But Dr. Okpara's statement gives the lie to those who pretend that the emerging capitalist countries are basically different from those whose power they have replaced. All over the world, workers are periodically called upon to die for the protection of their master's interests—and always they are told that they are dying to defend some high minded principle. British workers, for example, have fallen for this for a very long time. Now, the Nigerians are getting the same treatment. With, presumably, the same results—bloodshed and tragedy.

Blowing their tops

Mr. Khruschev had a rare old time at the United Nations. Hugging Fidel Castro, making violent speeches, banging his desk and shouting. He even heckled Mr. Macmillan, which gave the British Prime Minister the chance to show how an Old Etonian deals with that sort of thing in the House of Commons. Such bad behaviour, it was reported, upset Mr. Eisenhower, who cancelled any intention of shaking hands with, or talking to, the Soviet Premier.

Now diplomatic conferences are not like chats over the garden wall, when boorishness can cause a man to be bad friends with his neighbour. Capitalist powers do not split on points of etiquette—their disputes are over rival economic interests. International politicians know better than to lose their tempers as openly as Khruschev did—unless it suits their purpose to do so. And all of them will willingly hobnob with people guilty of worse than bad manners. If the immediate interests of their capitalist class demand it, they will talk to, shake hands with, embrace, pose with, other diplomats who are little better than murderers.

The disputes of capitalism have always involved a large measure of humbug. The stakes are high—and no trick barred. A dirty game.

The Leader and the Labour Party (1960)

From the November 1960 issue of the Socialist Standard

At Scarborough it was outwardly politics that were being discussed, but the Leader and his supporters were also on trial. The questions were what should be the policy and who should be the leader.

On the main resolutions decisions were reached which will hold unless and until they are reversed, but the question of leadership was not decided, though various groups which think it was are looking round for Gaitskell's successor.

On different aspects of the dominating issue of nuclear weapons there were four resolutions, and Mr. Gaitskell and the Labour Party executive were defeated on all of them, though not by large majorities. It was a severe but perhaps not yet fatal blow for Mr. Gaitskell and the Labour M.Ps, the majority of whom stood for the official policy.

A resolution was carried that “Labour policy is decided by the Party conference which is the final authority,” but the executive gave it an interpretation which seems to rob it of much of its meaning. Mr. Len Williams, the Party's National Agent, told the Conference that “the Parliamentary Labour Party” (that is, the Labour M.Ps.) is under no direction from conference or any other body. Mr. Williams said the National Executive did not wish to oppose the composite resolution if it was understood that it involved no change in the long-established principle governing relationships between conferences, National Executive and Parliamentary Party. And it had to be understood that nobody had the power to instruct the Parliamentary Party on the way it carried out its responsibilities." (Daily Herald, 5/10/60.)

And the day after the Conference Mr. Gaitskell made it clear that he has no present intention of resigning and on the contrary is preparing to overturn the Scarborough votes. Speaking in a TV interview he declared: “I regard it as absolutely vital that we should reverse this decision at next year's conference and I shall do everything I can to get that done.” (Daily Mail, 9/10/60.)

He also gave it as his opinion that the Parliamentary Labour Party will by a majority support the policy defeated by the delegates at Scarborough, the implication of which is that they will also confirm him in the Leadership, which incidentally carries with it the leadership of the Opposition at a government- provided salary of £3,000 a year.

Many Tory and Liberal newspapers, while criticising and regretting Mr. Gaitskell’s unsuccessful tactics, lavished praise on him and openly hoped that he may survive his defeat by Conference.

But whether he goes or stays the prospect for the Labour Party is bleak indeed. In the constituencies and in Parliament there will be rival groups each determined to put their point of view, and laying the Party wide open to attack from Tories and Liberals. This may, as the Liberal leaders proclaim, give them an opportunity to win back former supporters who joined the Labour Party. One political commentator, Mr. Robert McKenzie, thinks that even if Mr. Gaitskell survives for the moment it will solve nothing for the Party. His opponents will regard it as a cynical trick that Mr. Gaitskell only claims the right to defy the Trade Union block vole when it ceased to support his policy.

It is almost inevitable that the victims of this “trick” will fight on, either until they are expelled from the parliamentary party, or until Gaitskell himself is destroyed. And as the next election looms ahead, even some of those who admire Mr. Gaitskell's courage may decide that he must make way for someone who has at least a chance of reuniting the party.

(Observer, 9/10/60)

His own opinion, and hope, is that a new anti-H-Bomb Labour Party will be formed and that the Gaitskell faction will then come to terms with the Liberals.

Another danger for the Labour Party is that the conflict will lead to loss of some trade union support and may influence relationships between the Party and the TUC. Sir Thomas Williamson. Secretary of the General and Municipal Workers Union told conference that some of the branches would withdraw support from the Labour Party if the anti-nuclear resolutions were carried. (Daily Telegraph. 6/10/60.) The correspondent of The Times (7/10/60) reported that events at the conference had strengthened the already existing movement to reduce or sever the TUC’s connection with the Party.

It is an accepted convention of professional politics that the politician always claims to speak “for the people or, as he sometimes qualifies it—“for all intelligent people.” It is not so easy to decide what a Labour Party conference vote represents. Mr. Cousins claimed that he speaks “for Britain ,” a claim that Tory newspapers angrily rejected. Out of more than 22 million workers in this country, of whom 9,600,000 are in trade unions, the TUC has in its affiliated unions about 8 million, and the Labour Party 5,600,000. If Labour Party conference votes represented the views of its affiliated trade unionists and the additional 875,000 individual members who belong to local parties, cooperative societies, etc., they could be taken as representing directly the considered wishes of the majority among 6 million workers. (A large, but unknown number of the individual members also count as part of the affiliated trade union membership). But Labour Party spokesmen are well aware that their voting methods, including the trade union block vote, can produce distorted results. Even so, the claim of the Daily Herald (which now supports the H-bomb) that the great majority of Labour supporters are with them on that issue is, to say the least, somewhat surprising. According to a poll undertaken by Odhams Press Research Division “an overwhelming majority of Labour supporters and trade unionists are against the West giving up H-bombs and nuclear weapons so long as Russia keeps hers . . . . more than four out of five Labour supporters think that Britain and America should keep the bomb.” (Daily Herald, 4/10/60.)

There are, of course, sceptics who think that public opinion polls may be no more accurate than block votes.

The Guardian shares the Herald's view of the vote and roundly declared that the Conference is not democratic “while it is governed by trade union block votes. . . . There is no democracy in giving Mr. Cousins one million votes. As the world will probably see today, one or two men can turn Labour's policy upside down.” (Guardian, 5/10/60.)

Mr. Gaitskell, defeated on the H-bomb, gained the day on a policy statement which in effect discards old aims of wholesale nationalisation, and puts in their place the possibility of nationalising a few selected industries, together with the plan for a Labour Government to buy shares in companies without taking them over. It recognises that “both public and private ownership have a place in society.” Delegates speaking in opposition called it “underwriting capitalism” and the abandonment of “Socialism.” Mr. Gaitskell retorted that the proposals were just as much “Socialist” as is Nationalisation, a fact on which Socialists can heartily agree, since nationalisation is state capitalism and has never been advocated by the S.P.G.B.

While the delegates were maintaining, with varying degrees of enthusiasm, that they still believe in nationalisation as the answer to the workers’ problems, strikes were going on in the nationalised coal industry (they break out at the rate of over 30 a week year after year), the Railwaymen were preparing for a strike over pay and Postal workers were discussing a strike resolution over hours of work. And it would seem from the rent strikes and the riots that followed forcible eviction of council tenants by a local council that nationalisation's little sister municipal ownership is no less unpopular.

The day that the Daily Herald reported the vote on the policy of the government buying company shares it reported developments in the direction of a little private enterprise by the local Labour parties themselves. They are planning to form a Unit Trust to invest their funds in company shares and thus cash in on the rise in the profits and prices of ordinary shares that has accompanied inflation. A trade union Unit Trust is already being organised.

Edgar Hardcastle

The Passing Show (1960)

The Passing Show Column from the November 1960 issue of the Socialist Standard

If our civilisation perishes, as others have perished, and leaves behind very little in the way of written record, any future historian might still get a reasonably clear picture of our society by reading an account of the “towpath murder,” as it has come to be called, at Twickenham. He would read how four youths attacked one young man, whom none of them had ever seen before, and against whom they had no personal grudge, in order to rob him of any valuables he might have on him. He would read how when the victim was lying on the ground moaning, one of the assailants (in his own words) “kicked him twice on the head to keep him quiet.” The assailant made this statement in evidence, without apparently any admission that such behaviour was much out of the ordinary. The future historian would then read how the victim had died, and how the trial ended with sentences of hanging and imprisonment.

Violence

Anyone from a future era who read this would be horrified, and rightly so. What kind of society was this (he would ask himself) that bred such men? Anyone who supports our system of society might well ask himself the same question. For this brutality didn’t happen among the Hottentots of Africa; nor did it happen in an enemy country in time of war (if it had done, we should not have lacked people to tell us how terrible the nation must be where such a thing could occur); it happened right here, in this society, in this country in the suburbs of the capital, London. Can we be surprised? In our society the great god is the acquisition of wealth, and a minor god is its ostentatious spending, which assures us of the admiration of our fellows. Violence, which is required by our ruling class when it engages in war, is portrayed and glorified by the press, the cinema, the television. Anyone who refuses to engage in violence when his rulers demand it is shunned by society, sneered at, perhaps imprisoned. Inevitably the more impressionable natures come to look on violence as admirable, especially if it leads to that great end of our morality, the gaining of money. And so we have violent crime. Then society seeks a solution in hanging the individuals responsible. Society thinks it is hanging its own failures, but that it cannot do. To find a solution, society must re-organise itself on a civilised basis.

Republic

Dr. Verwoerd has won his majority for the creation of a South African Republic. True, he did it by restricting the right to vote to those whose faces were the correct shade of greyish-pink, and barring those whose skins had colours in the range from light brown to black. Even then he had to ensure his success by counting in the votes of the greyish-pink minority who live in South-West Africa (which is not part of the Union of South Africa at all). Nevertheless, he won. The landowning class, which has always been opposed to the connection with the British crown, has triumphed; and the capitalist class of South Africa has lost. How long will the South African capitalists endure this? Wherever they look in the world today, they see the capitalists ruling supreme. Everywhere they see the workers voting for the one capitalist party (in totalitarian states) or for one of two or more capitalist parties (in democratic states). Because of the race fears carefully fostered by the South African landowners, many South African workers must have given their votes to the landowners instead of to the capitalists. How greedily the capitalists must cast their eyes on the nine million voteless inhabitants of the Union! Surely, the capitalists reason, if these were enfranchised, most of them would vote for us. It must only be a question of time now before the South African capitalists, their power growing steadily as trade and industry grow, make their bid for political as well as economic power.

Retail Technicians

The Bridlington Chamber of Commerce doesn't like the sound of the words “shop hands” and “shop assistants.” It thinks other names should be substituted—“retail tacticians,” “sales staff,” or “ counter public relations officers.” We don’t put so much emphasis on names: we are concerned with realities. As workers, we don’t care what we are called. We believe it is time that society was no longer divided into two classes, capitalists and workers (whatever the latter may be named); it is time that we became simply, and fully, human beings.

Thanks to Him

The People (14/8/60) printed an article about the fraudulent claims which have been made by some advertisers in the United States. It quotes many examples from a book called The Operators, by Frank Gibney. The prize one is perhaps an advertisement offering shares in “the world's richest undrilled oil field.’’ It waxed lyrical: “Thanks to Him from Whom all the joyful things of the earth flow forth—a Divine Guidance without which this exceedingly great joy could not now be ours. . ." This line was a great success, and the money rolled in. The advertisers were a million dollars to the good-before it came out that this particular bit of Divine Guidance had only indicated a barren patch of land in Utah; so the law intervened.

Phoney Claims

No doubt it occurred to The People that this and similar advertisements quoted in the article would hardly encourage its readers to put much faith in its own adverts. Which, in turn, wouldn’t encourage its advertisers—and newspapers make their profit out of their advertisement revenue. Hence repeated assurances that this kind of thing couldn’t happen here:

British newspapers believe in protecting their readers against exploitation. The Advertising Association maintains an advertisement investigation department to ensure that any advertisement which makes phoney claims, exaggerates, tries to frighten you. or is in any way unethical, never reaches print. National newspapers like The People investigate every new advertiser thoroughly to make sure that his company is reputable and that his product can do all he claims of it.

Well, there it is in black and white. So all those soap powders and detergents that claim to wash cleaner than all the others, and all the petrols that say they have more power than all the others, and all the cigarettes which insist they are made of better tobacco than all the others—well, they are all correct. No “phoney claims’’ or “exaggerations” would ever be permitted—The People says so. Each manufacturing line is like a race, in which each competitor beats all the others.

Luck on Purchase

In view of The People's statements an advertisement appearing in its stable-mate, the Daily Herald, is particularly interesting. It offers a "Lucky Welsh Lady Key Ring" for 2s. 6d. It apparently consists of a simple metal key ring, plus a mascot attached to it. The advert states boldly "Luck on Purchase." Are we expected to believe that the Daily Herald has "investigated this advertiser thoroughly” to make sure that the “product can do all he claims of it ”? Or are The People's sweeping statements merely to make sure advertisers aren’t discouraged from paying for space in its columns?

Alwyn Edgar

The Socialist Case — Part 2 (1960)

From the November 1960 issue of the Socialist Standard

Link to Part 1

The superstructure of society today, after many years of development, has reached a high stage of efficiency. It is the direct outcome of the economic foundation of society, the capitalist mode of production, and functions almost exclusively in its interests. This does not appear to be self-evident unless one examines the basic factors of the organisation of society.

We are constantly being told that our “great and good” men are earnestly striving to bring about changes in which all will benefit considerably. Social morality, legality in its civil and criminal aspects, and politics, are features of this superstructure and are held to be eternally good and true. The machinery of government, the armed forces and police are allegedly neutral and impartial and are claimed to regulate the affairs of society on the highest principles of “justice.”

We Socialists do not accept that point of view. We see in this whole structure the capitalist class organised as the ruling class. This state machinery with its attachments does not stand on the sidelines. The maintaining of law and order, the advocacy of this morality, the dispensing of “justice," and the politics pursued, are all definitely capitalistic in character and are intended to enhance, preserve and maintain the system in the interests of the class who own. The channels of education are controlled and the class of. education is designed to maintain the fallacy that this is the best of all possible forms of social organisation. Add to this the general propaganda of the press, radio and pulpit and we have a formidable array. This deception has been carried on for a long, long time, but Socialists are not taken in by it.

Furthermore, a constantly growing and larger number of people are also realising the truth that social systems must also change. The so-called virtues, in workers only, of meekness, humility and servility, are receding to a greater extent. The surface appearance of capitalist society seems to indicate that the commercial transactions of men are. in all cases, strictly honest. No one apparently takes advantage of another. People go to their bakers, butchers, tailors, etc., select their merchandise, pay and depart, each in most cases pleased with the transaction. Money, which is the universal or social form of value, is paid in exchange for an equal quantity value in some commodity. It appears that in all cases everyone has had a fair exchange and generally speaking this is true. The error arises in the claim that the worker who sells his labour power gets the full value of his labour. To repeat—he does not and cannot get the value of his labour. Labour power is a unique commodity, the sole commodity which can produce more than it itself consumes. The worker in fact gets the value of this labour power, but produces probably twice that amount, one-half of which total is profit to the capitalist.

Profit is the keystone of capitalism. The capitalist mode of production, commodity production, creates the basic social relationships of capital and value. These relationships arise directly out of man's productive circumstances. They are social phenomena particular to the present mode of productive activity. In the industrial field the capitalist—an owner, but non-producer—meets the worker, a non-owner who has only his labour power to sell. Here the sale of labour power takes place. The worker, having received his wages, becomes a buyer of the goods required, but which are owned by and in possession of the capitalist. This cycle keeps on repeating itself and is exclusive to commodity production.

Buying and selling, or, in other words, value relationships, are social relationships concerning the sale or exchange of commodities or things. Money is the social, or material form of value and. whatever the need may be. this need is almost certain to be provided for cash. This capital relationship — employer and employee, and value relationship—buyer and seller, are specially evolved to wring rent, profit and interest out of the sweat and toil of the working-class. From our Socialist point of view they can never do anything else and should be abolished forthwith. The State machinery with its armed forces and police functions mainly to protect the private property institution and secure its continuity.

Man has travelled a long, long way since his simian ancestors, but there is one aspect which it is relevant and important to mention. It has taken him countless thousands of years to learn and train his brain to think. But he has succeeded and the highest product of nature, the mind, has been developed from his lowly and comparatively speaking, non-thinking ancestors. In this regard man stands unique in the field of intellectual attainment. He alone among all the animals is capable of thinking abstractly. A fundamental distinction is his ability to accumulate and organise knowledge and utilise it to change and improve his living conditions and his environments.

This basic distinction has created an unbridgeable gulf between him and the other animals. The problems arising from the material conditions of his life in the past were eventually understood and solved. We are certain that he is capable of understanding and eventually solving the social and other problems of the present and future. Because of this we are firmly convinced that a majority of the working-class will eventually consciously deal with the social re-organisation of society.

The social solution is in itself very simple. Much of our time is devoted to argument arising expressly from the complexities of aspects of capitalism we have already mentioned—money, banking, etc. The major question is—can mankind produce sufficient food, clothing, houses, cultural and recreational requirements to meet its needs? The answer is “ Yes’’—positively an abundance. Society’s capacity to produce is limited only by the extent of the productive equipment, raw materials and available labour.. At today’s stage of development it is more than sufficient. Once freed from the restrictions of private property, society can solve its problems in an amazingly short time. When this structure of private property is removed there is nothing to prevent the available productive machinery from being used to the fullest extent for the sole purpose of satisfying human needs.

The overwhelming majority of each generation are doomed from birth. They are condemned to a life of hard work, drudgery, poverty and slums. At any given period in the life of society only a definite amount of unskilled, semi-skilled and skilled jobs are available. In this great industrial organisation this number may vary slightly from time to time. But it does mean that approximately 85 per cent. of the total population are unable to radically improve their lot. The grandiose schemes and plans of youthful ambition are doomed from birth. In addition, at the moment we stand in constant fear of the outbreak of a third World War with its devastating atomic weapons. The future is indeed, “prosperous, happy and bright.”

The abolition of capitalism is therefore, a proposal which merits your determined and serious immediate attention. The reorganisation of society on a Socialist basis is the only solution and, as the S.P.G.B. is the only Socialist Party, it demands your active support in our task of Socialist propaganda. This task of abolishing capitalism is the historic mission of the working class. It requires the conscious and determined action of a majority of workers and for practical purposes is their exclusive job. Capitalism presents the best of all worlds to the ruling class and their hirelings. They are not therefore likely to approve or assist in effecting any social change which involves its abolition.

In order to transform existing society into a Socialist society, the working class must organise themselves politically on the basis of a majority who understand and desire to bring about Socialism. When they reach this stage of social consciousness they, the workers, will establish their political supremacy, take control of the machinery of government and effect the social re-organisation of society. To develop this class-consciousness is the immediate job of the S.P.G.B. Our propaganda activities in this direction are very limited both physically and financially.

If you believe that a system of society wherein human need and not profit should be the object of production; that the economic and social equality of man should prevail; and that from each according to his ability and to each according to needs should be a first principle: then let’s have your support. The measure of your sincerity and determination is your physical and financial aid to us.

John Higgins

[Concluded]

Doping horses (1960)

From the November 1960 issue of the Socialist Standard

On Monday, August 8th, five men were accused at Newbury of conspiring to administer drugs to racehorses so as to affect their performance and thereby cheat, defraud and give the run-around to owners, bookmakers and punters. Caffeine, it was alleged, was the drug used. Given between thirty and sixty minutes before a race, it was said to have jacked up the horses’ nerves, muscles and heart, made it more alert and stimulated it to a win. The timing was vital; given six or more hours before the race the drug slowed down the horse, because by then its depressing reaction had had time to work. The chemist who was said to have supplied the caffeine stated that doping of racehorses had been going on for years; he supplied the stuff in return for racing tips.

Of course, this carve up caused quite a fuss and many remedies were suggested. Some people thought that a Tote monopoly of betting would bring a clean up. Others wanted a list of drugs, as distinct from tonics, which it would be prohibited to administer to horses, the trainers to be held responsible for their animals’ conditions. One newspaper showed how deep its love of our dumb friends goes by hoping that, after the clean up has put racing and betting on a sound financial basis, the horses will no more be silent and helpless tools manipulated for sordid and undesirable ends.

Now all this is very touching, as anyone who has lost his lot on the horses will agree. But doping and racketeering are only two of the illegal wavs of making money, if the law can be successfully evaded. There are also legal ways. One is to work for it—not very fruitful. Another is to persuade other people to work for you and to exploit them during the course of production. This is respectable. It also produces some very large fortunes.

The set up here is that we workers work for the capitalists. The capitalists pay us our wages and sell what we produce; they also have to buy materials and machinery. When they have done all this, they have a surplus left over. They have profit. This process continually repeated makes for a fine accumulated sum and it is all fair and square. Not racketeering. Just good, plain exploitation.

When the goods arc produced we do not always find ourselves able to obtain them. They are whisked off to warehouses, stores, shops, and so on, and we can only get them out of these places if we have enough money to meet the price which is asked for them. There they lie in plenty, but alas! for sale only. When people try, by hook or by crook, by fiddle or diddle, to amass a lot of money, what they are really doing is trying to get the power to purchase a lot of these articles which make for a happier and more comfortable life.

Where does dope come into this? Why. for generations, the working class have been doped by capitalism's propaganda. Schools, churches, radio, television, newspapers, political parties—they are all in the act. The Labour Party dished out a large dose of nationalisation, which left the workers' situation unchanged. The Communist Party peddle the dope about the so-called Socialist class emancipation in Russia, which is in fact a ruthless capitalist dictatorship. The Tories tell us that we have never had dope so good.

Amongst gamblers, doping is known as ”fixing ”; if you want to fix a racehorse, give it caffeine. In this sense, capitalists are not fixing workers under the wages system—the whole transaction is fair and above board. Nevertheless, the workers find themselves in a fix by their acceptance of the system. They are perpetually chasing the dream that, if only they can lay hands on a large enough amount of money, they will be able to get all that they need to make life pleasant. It is this bodily occupation and mental illusion that keeps the working class in political ignorance and. consequently, in economic enslavement.

But horses can run without dope and people can live without the artificial incentives of capitalist society. We only need the understanding that all social wealth would be better produced solely for use—made and used how we like. That is the key to the better world which we call Socialism.

However much horse-racing depends upon betting, capitalism is more dependent on the support of the world’s working class. When they have stopped allowing themselves to be exploited, stopped chasing after ephemeral remedies for the many, many unnecessary social problems of capitalism, they will have exposed capitalism's dopers. Socialism will be the surest walk over that ever was.

Joe McGuinness

The Wind on the Heath (1960)

From the November 1960 issue of the Socialist Standard

Gypsies are in the news again. Dramatically, because a couple of them have been involved in murder cases and, more prosaically, because of a recent spotlighting of their continual clash with some county by-laws and state regulations. These laws control the rights of vagrants, the permissible period for roadside and common camping, child education, and so on. Some county authorities, in trying to enforce the law, have come under fire from the Gypsies' romantic sympathisers (who are often well enough endowed with worldly goods not to live in a caravan, nor sell clothes pegs for a living).

What is the background to this controversy? Where did these strange folk come from; what is their history? The safest theory is that they stem from the Doms, ancient outcast tribes in India who were musicians, dancers and metal workers. Some Persian monarch, it is recorded, transplanted such a group to the Tigris Valley and North Syria. In 855 A.D. the Byzantines moved them to the Balkans. All the while, they continued their old crafts of metal working, making music and dancing. Records from Greece and Rumania show them, in the 1340's, as serfs and personal slaves of the land-owning Boyars—which they continued to be, in Rumania, right up to 1850. The Turkish invasion of the Balkans caused a widespread emigration and some Gipsy bands, in the 1440's, were caught up in this, moving to Central and Northern Europe.

They seemed to have been under the protection of the Holy Roman Emperor and the Church. Some evidence indicates that a Papal order required them to do penance for embracing the Moslem faith whilst they were living under Turkish rule. It is all rather uncertain. Some authorities have them in Europe far earlier, descendants of the wandering metal workers and tinkers, standing apart from the tribes. Here, in fact, is the origin of the “Wayland Smith” legends.

The Gipsy custom of stealing and telling fortunes caused some townsfolk to doubt the sincerity of their penance and the story, like their welcome, were rather thin. All manner of harsh laws were enacted against them. In 1500 the Imperial State annulled the safe conduct which the Princes had issued to Gypsies. Italian states banished them. Some German states ordered all male Gypsies to be shot. Henry VIII forbade separate Gypsy courts and Elizabeth I for a time banished them under pain of death. The Commonwealth executed some simply because they were Gypsies; on the continent they lived in constant fear during the witchcraft manias. Strangely, the Inquisition gave them protection from these. Spain became very popular with the Romanies and many of them moved in, eventually to embrace Spanish names and manners.

The Gypsies were allowed to have their own courts, and to live under their own customs, because they were regarded as a separate race or nation. This was finished in the upheaval caused by the break-up of feudalism in Europe. Peasants were being thrown off the land, merchants were fighting the old feudal lords, aspiring ruling classes tussled with the Roman Church for its land and wealth. Dreadful wars laid Germany waste. Religious intolerance and bigotry with weird maniacal theories tore open the ideas of the Middle Ages. Serfs, landless peasants and unwanted soldiers took to the roads, trying to escape their states’ harsh laws and treatment by joining Gypsy bands. Thus, the Gypsies became connected, in people's minds, with criminals and outlaws and the word Gypsy became a synonym for ruffian and ne'er-do-well. England, France and Spain deported many Gypsies to the Americas; when Australia was discovered, many were shipped there. Such is the tenacity of the Gypsies that they stuck to their old ways in these distant lands—and many still continue to do so.

The Gypsies have shown no desire to uncover their origin. They have, in fact, been content to. be known in Europe as Egyptians; their headmen were referred to as “Counts of Little Egypt.” They were traced to India through originally, the work of an Hungarian named Valyi, who in 1763 noticed a similarity between the language of some Malabar Hindu friends and that of the Hungarian Gypsies. This started a more scientific study of the Romany language, which is now placed as stemming from Aryan, although so far nobody has been able to find the particular area from which such a dialect could have evolved directly.

Although some Gypsy customs have been modified by the areas in which they live, others have remained more or less constant. One of these is the matrilineal nature of their clans, which lays it down that men can only join a clan by marrying into it (although this custom is reversed in the case of the headmen). Property seems to be inherited by the men, although women can and do inherit it. The moral customs of a clan are decreed by the Tribal Mother. The Headman is—or was—elected to his position. The title of Gypsy King and Queen is in fact a misnomer conferred upon them by outsiders which the Gypsies, being sharp, have used to some advantage. The clans, when they reach any considerable size, tend to break up into new groups; it is doubtful if they still exist in the older form in developed countries such as Great Britain.

In spite of everything the Gypsies have clung to their existence to this day. Sometimes—especially in the Balkans and the Middle East—they have existed by doing work that was frowned upon by others; work like latrine cleaning and public hangings. In Spain they provided the bulk of the tobacco factory workers—which must upset a lot of romantic concepts about them. In Spain, also, they have achieved fame by their dancing skills. The industrialisation of Northern Europe has give them the somewhat higher standards of furnished caravans—higher only when compared to their brothers’ tattered tents. Their speciality —and in Hungary some built up fortunes by it—was horse dealing.

But one by one, the doors have been closing against the Gypsies. The horse is fast disappearing as a beast of burden. Mass produced metal and plastic ware is helping to kill the craft of tinkering. A trained mechanic, not a lore-stuffed Gypsy, is needed to repair a combine harvester. Hertfordshire, for example, as a county which accommodates lots of workers in well laid out, expensive dormitory suburbs and estates, is not very keen on having the roads and commons littered with old tins and burst mattresses left there, to boot, by non rate-paying Gypsies. This county, with its agriculture mainly consisting of market gardens, dairy farms and corn crops, worked by modern mechanisation, has little need for floating, seasonable labour. In contrast, Kent is famous for its hop fields and fruit farms. Even today, these need extra casual labour in season, especially for hop stringing and twining, in which Gypsies play no small part. Kent is trying to establish permanent camp sites for the Romanies—and is regarded, therefore, as a humane county by the starry-eyed Gypsy addicts. Even so, things are changing in the hop fields. New hop picking machines leave only one-third of the crop to be picked by hand. Hop-pickers have seen their numbers reduced over the last 20-odd years from 100,000 to 22,000.

It seems, then, that the days of the wandering Gypsies have not long to run. No tears for that: because they live a life on the move in caravans: it does not follow that theirs is an idyllic existence. They have to find some sort of work in order to live; in spite of their reputation as thieves, it is certain that the proceeds of stealing would not last them for long. And anybody who has picked fruit on piece rates will know that it is no more romantic or idyllic than work on a factory bench. Groups which try to exist by just plain begging rapidly degenerate into whining outcasts, devoid of human dignity. Many people wonder why anyone, even a tiny minority, should try to stand outside the world of hire purchase, mortgages, television and social hygiene.

For centuries, Gypsies have tried to hold themselves aloof. But as it has done with so many others, capitalism is about to catch up with them.

Jack Law

Redistribution of Wealth (1960)

From the November 1960 issue of the Socialist Standard

Since the war ended the myth has arisen, carefully fostered and well-nourished by every hack of Fleet Street and apologist of capitalism, that the rich are no longer as rich as they once were, that heavy taxes are mulcting the poor blighters white and that there is in fact taking place a general redistribution of wealth resulting in greater economic equality. Never an opportunity has been lost to bring to our notice that this film star or that author or the other well-to-do man were being bled to death by taxes and what was left would in any case be drained away by death duties.

So persistently have these notions been nurtured that many workers have actually come to believe them, presumably on the Mein Kampf principle that if you tell a lie often enough it will eventually be accepted as the truth. To those who do so, and still more to those who believe vaguely that some sort of more equitable distribution of wealth is taking place, we draw attention to some remarks and observations recently made in a British Association lecture by J. R. S. Revell, Dept of Applied Economics, Cambridge University. Dealing with the extent to which wealth had become more equally distributed during the first 50 years, he said:

. . . that the figures conventionally quoted greatly overestimated the extent of the redistribution.

Those figures showed that the wealthiest 1 per cent. of the adult population of England and Wales owned nearly 70 per cent. of the total personal wealth in 1911, and that by 1954 the wealthiest 1 per cent. owned around 43 per cent. The figures were based on estimates of personal capital, which used statistics of estates paying death duties as a random sample of the wealth of the living population. They were deficient in several respects and the deficiencies had tended to increase in recent years. That meant that their use would overstate the redistribution of wealth.

Apparently one of the important of these statistical deficiencies, of ”growing importance," as Mr. Revell tells us:

. . . consisted of creating settled property in a particular form known as a discretionary trust. Under that form of properly the trustees had the discretion to pay income to any of a specified class of persons and to distribute the capital when they thought fit. When the person who had been receiving the income died, the trustees merely nominated another person from the specified class, and there was no passing of capital which could attract death duties.

Certainly these capitalists are not going to allow themselves to be impoverished without a fight!

The effect of this and other tax-evading subterfuges is:

. . . that a large slice of the capital from which individual persons—particularly wealthy persons—drew income did not figure at all in an estimate of personal capital derived from death duty figures. It was almost impossible to obtain any statistical evidence on the amount of property which thus avoided death duties. “but it is likely to be large enough to upset any estimates of personal capital."

Earlier in his lecture Mr. Rcvcll pointed out that, conversely, small incomes were grossly overvalued:

. . . because insurance policies represented such a large proportion of the value of small estates; they were valued for death duty purposes at the sum paid out on death, whereas the greatest value which could be put on them in the hands of a live person would be the surrender value. Thus poorer persons, in short, are worth more dead than alive.

Mr. Revell concludes:

Small estates were thus overvalued and large estates were undervalued in the death duty statistics. Since life assurance and tax avoidance had both grown greatly in recent years, the conventional figures for the distribution of personal capital gave an impression that the redistribution of wealth had gone much farther than it really had. There was no means with present statistical knowledge of estimating what the correct figures should be.

Whatever the truth of Mr. Revell’s last remark, there is one incontrovertible fact arising from all this. It is that in 1954 1 per cent. only of the population owned more, probably much more, than 43 per cent. of the total personal wealth in England and Wales.

Ponder a while on this simple fact and it will give quite a close idea of the nature of wealth distribution in our present-day capitalist society.

Max Judd

News from Canada (1960)

From the November 1960 issue of the Socialist Standard

The recently formed Vancouver and Victoria Branches of the Socialist Party of Canada are making progress and have been very active in the Provincial Election. Although they have not yet reached the state when they can put forward candidates, they have held meetings, advertised the Party and their literature admirably and gained a considerable amount of publicity.

We have received cuttings from Victoria newspapers from a member there which tell of their activities. One cutting from the Victoria Daily Times (20/8/60) states: "Wherever there is a CCF meeting you will find a representative of the Socialist Party of Canada.” It goes on to say: "They stand outside offering leaflets telling the public not to ‘confuse’ the CCF with Socialism.” The CCF is comparable to the Labour Party here. Another issue of the same paper (Aug. 25th) had this comment: 

Leaflets urging voters to spoil their ballots on election day were being distributed outside HMC Dockyard today.

Dockyard worker John Rouan said the leaflets were signed by the Socialist Party of Canada.

They stated that, as the Party could not afford to run a candidate, voters should register their opposition to Capitalism by writing across their ballots the words:

‘ Socialism—Production for Use.’

The Victoria members have been trying to obtain an open-air speaking spot in a park there. So far their application to the local council has met with refusal. London members will find something familiar in the following quote from the Victoria Daily Times (31/8/60):

A Socialist Party of Canada request for permission to have its representatives make speeches in Beacon Hill Park on Sunday afternoons during summer months was rejected. Committee members said it was against city council policy to permit a “Hyde Park” speakers corner developing here.

The Daily Colonist (1 /9/60) had a large type (leading across the top of one page: “The Socialist Won’t Get Their Little Hyde Park.’

There are two further quotations on the same subject which members may find interesting:

Why should it be against City Council policy to permit a “ Hyde Park Speakers’ Corner” to develop at Beacon Hill passeth understanding.

A “Speakers Corner” is something that could add to the attraction of what is already a magnet of local and tourist interest. Members of the small Socialist Party of Canada who requested the institution here demonstrated at a recent election meeting how effective they can be in livening up an occasion. (Victoria Daily Times, 3/9/60.)

Isn’t the City parks committee being just a little bit stuffy in its refusal to allow a corner of Beacon Hill Park to be used for soap-box oratory on fine Sundays? Is it because the request came from the Socialist Party of Canada? If so, it is hard to see what great harm they could do. (The Daily Colonist, 3/9/60.)

The Victoria members are certainly digging their toes in. It is heartening to hear of the good work they are doing, far away on the other side of the American continent.

50 Years Ago: The Function of Trade Unions (1960)

The 50 Years Ago column from the November 1960 issue of the Socialist Standard

Now the trade union is primarily organised to protect and fortify the workers of a trade section, or of a group of more or less allied trades. Its methods are economic, not political; the cessation of, or threat to cease, production and distribution, the strike, direct pressure upon or resistance to the employers, are its weapons-—their effectiveness is not in question here. The members join for trade purposes--for the regulation of the hours and conditions of employment —for the friendly society features — and a very large number because it is a trade condition: membership is compulsory. But membership for political action is certainly not the rule, even if it ever occurs; and it is clear that the unions could never have arisen had the contrary been the case. The only unity in trade union ranks is and has been on the economic plane. What economic interests have joined together politics tear asunder—for the simple reason that all shades of political opinion meet in the economic organisation.

[From the article, The Osborne Judgement, Socialist Standard, November 1910.]

Party News (1960)

Party News from the November 1960 issue of the Socialist Standard

Delegate Meeting

On October 1st and 2nd the Delegate Meeting was held at Head Office. Most Party Branches were represented and the Agenda was completed. Amongst the items discussed were Electoral Activity, increasing the sales of the Socialist Standard, the condition of the Branches, and ways and means of intensifying Socialist activity. On the Sunday evening Peter Bryant of the Socialist Party of Australia gave an interesting and stimulating lecture on “ Welfare Capitalism.”

Scarborough

A member of Paddington Branch went up to Scarborough for the Labour Party Conference and was fairly successful in selling the Socialist Standard and Party pamphlets to the delegates. In addition a large number of important back numbers of the Socialist Standard were distributed. The Comrade reports that he was among forty other literature sellers (representing all kinds of organisations) competing for sales outside the Conference Hall, and found himself involved in countless discussions with delegates. This kind of activity is very much worthwhile and all future Conferences of our opponents should be covered in this way.

Ealing

All members and sympathisers in the Ealing area please note the scries of lectures organised by the local branch on alternate Fridays. Comrade Hardy is speaking on “ Industry and Wages" on November 11th. and on November 25th he will be commenting on the film “Can we be Rich? " The first lecture of the Branch's Winter reason was given last month by P. Smith on the “Levellers."

Head Office Films

Readers will see from the advertisement on page 176 that the Winter series of Sunday night Film Lectures commences on November 13th. An interesting range of titles have been chosen to continue weekly throughout the Winter months. The atmosphere at these meetings is friendly and the meeting room warm and comfortable.

Phyllis Howard

SPGB Meetings (1960)

Party News from the November 1960 issue of the Socialist Standard

Voice From the Back: The benefits of globalisation (2001)

The Voice From the Back column from the November 2001 issue of the Socialist Standard

The benefits of globalisation

“With a “catastrophe” in the world’s trade and many growers facing starvation, a leading coffee buyer appealed to the International Coffee Organisation in London yesterday for a tax of $1 on a 50kg bag to save farmers . . . “It is a huge and wealthy industry, yet the beans are grown almost entirely by very poor people who receive hardly anything for their labours.” . . . Prices have halved to $75 a bag this year, mainly because of a World Bank-financed drive to plant coffee in Vietnam. Production has risen from 4m bags to 16m. Big firms, including Nestle, Procter & Gamble and Sara Lee, which owns Douwe Egberts, have kept prices up to benefit shareholders while the price to growers has halved.” Guardian (27 September). The rich get richer and the impoverished producers get poorer. Sound familiar? The answer isn’t a $1 tax but the complete transformation of society from one based on production for profit to one based on production solely for use.

Futile reforms

“The recovery of the ozone layer could be delayed significantly because the chemicals produced to replace those banned in the Montreal Protocol are proving equally damaging and are not controlled by international law, the UN Environment Programme reported.” Times (17 October). Another example of how reforms often don’t solve the problems of capitalism and another reason to get rid of it.

Save the children

During October the charity organisation Save The Children mounted a massive publicity drive to raise funds. According to their appeal “Around the world today, one in four children live in poverty – poverty serious enough to blight their lives just as they are beginning. Poverty can leave children without enough food to eat, rob them of the chance to go to school and force them into poorly paid work – vulnerable to adult abuse and exploitation.” How abusive can be gauged by the experience of a nine year old who worked for two years as a sari embroiderer, fell sick, was sent home and was paid nothing for 2 years work. The charity’s solution – send £3 a month! If only these well-meaning people would look beyond the effects of poverty to its cause we might really be able to save the children.

Same old Tories

Anyone who thought that two crushing electoral defeats would change the core policies of the Conservative Party can rest assured that the old Tory Party is sticking by its principles – support the rich against the poor. The columnist Matthew Parris writing in the Times (10 October) on their annual conference illustrated that very well when he observed: “The Shadow Chancellor, Michael Howard, railed yesterday against a Government he accused of leaving people to die in the queue for heart treatment – and was met with stony silence. Then he scolded the Government for cheating the shareholders of Railtrack – and was greeted by applause.”

Land of the free?

It reads like an Orwell-inspired dystopia, a nightmarish piece of fiction, but it is a recent letter to the editor of a mass circulation magazine. It reveals the frightening mind-set of some workers scared by the World Trade Towers disaster. Capitalism breeds paranoia and xenophobia, but even by capitalism’s standards the following is pretty scary stuff. “Our people must take an active part in the vigilant protection of our country. Civilians must assume roles in our civil defense as block watchers, neighborhood police, campus observers and providers of information to authorities about those who act suspiciously or who voice anti-American opinions.” Patrick Grant, New York City. Time Magazine (15 October).

More waste makers

Many years ago in his book The Waste Makers, Vance Packard wrote about “planned obsolescence”; the artful dodge of manufacturing products that needed to be replaced all the time. Some 40 years later we have the perfect example of this in the music business. Concerned about the misuse and selling on of the latest singles released to music executives for compiling play lists, the ingenious boffins of the music business have come up with a cunning ploy. “Tornado, the distributor of digital media products, has found a way of making Mission Impossible come to life. It has designed a voice recording that self-destructs after it has been played.” Sunday Times (7 October). There is no limit to the ingenuity of capitalism when it comes to protecting profits. Inside socialism, human inventiveness will be used for something more important than Mission Impossible recordings.

Classless society?

In his recent book Almost Like A Whale the geneticist Steve Jones comes up with some figures on land ownership that would seem to contradict those who argue that we live in a classless society where the barriers of ownership have been broken down. “Half the private land in Scotland is owned by three hundred and fifty people (in a country where half the population has no landed property at all); and the greatest proprietor of all, at a quarter of a million acres, is the Duke of Buccleuch. The Duke’s lesser titles include a couple of Earldoms, a Barony or two – and the Lordship of Eskdale”

Obituary: Trevor Gribble (1910-2001) (2001)

Obituary from the November 2001 issue of the Socialist Standard

"In memory of Trevor Gribble, died 25th August 2001. A worker and Socialist who, understanding the unjust nature of the present society in which we live, strived unceasingly to point out the ignoble, cruel and anti-social nature of capitalism to his fellow workers, and to march forward to a society where people shall not exploit each other. Inserted by members and friends of the World Socialist Party (New Zealand), P. O. Box 1929 Auckland, in memory of a life well spent."

This was the obituary notice the New Zealand Herald refused to run.

The WSP(NZ) lodged an appeal to the NZ Press Council. This was rejected, followed by an appeal to the NZ Advertising Complaints Board. This too was rejected, because the Board rules only on advertisements (including obituary notices) that appear in print — not on advertisements that should have appeared in print. Therefore we had to settle for a less inflammatory message that, in the view of the NZ Herald, would not upset the delicate sensitiveness of the NZ working class. So in death, as in life, Trevor Gribble was still fighting the capitalist system.

Trevor was a foundation member of the WSP(NZ) back in the 1930s along with Jack Humphrey, Rolf and Ron Everson, to mention but a few. He was secretary of the Auckland Branch for many years, seeing a rise and ebb of political consciousness, but managing to keep the party alive at the same time. Trevor was Literature Secretary from 1947 to 1998, as well as maintaining the Library for many years in between. In 1975, Trevor was one of seven WSP(NZ) members who stood in the parliamentary elections.

The funeral commenced with a recording of John Lennon's Imagine. The main oration was delivered by Trevor's eldest grandson, who outlined Comrade Trevor Gribble's life path up until his death, nine days before his 91st birthday.

A party comrade made the point that Trevor walked through life with his integrity intact and not a reformist bone in his body, which more than can be said for the parasites who reside in the Kremlin, the White House and Buckingham Palace. Trevor was not a platform speaker, but he was always ready to introduce the socialist case to anyone who would listen. His house was always open to crank out copies of the Socialist Viewpoint on an old Gestetner stencil machine long before the days of photocopiers and computers.

Our condolences go to his wife and family.

Executive Committee WSP(NZ)

Blogger's Note:

For those readers who are interested in learning more about the history of the World Socialist Party of New Zealand, there was an interesting article by the late Peter E. Newell that was published in the November 2004 issue of the Socialist Standard.

Socialist Party Meetings (2001)

Party News from the November 2001 issue of the Socialist Standard

Edinburgh Branch Day School

Against all war!

Public Meeting and discussion, Saturday 10th November,

Quaker Meeting House, Victoria Terrace, Grassmarket, Edinburgh.

Afghanistan - Another War For Oil? Speaker: Brian Gardner (Edinburgh), 4pm.

From Hitler to bin Laden - how do you defeat terrorism? Speaker: Richard Donnelly (Glasgow), 5pm.

Questions and Discussion.

Capital study group

The next meeting will be held on Saturday, 1 December 2001 4pm, Head Office, 52 Clapham High Street London (nearest tube: Clapham North). For more details, or if you would like to receive minutes or discussion papers,  please write to stuart_commie@yahoo.co.uk, Stuart Watkins, 173 Archway Road, London, N6 5BL. Tbel: 07785 106 XXX.

Rambles

Walk 1: Hampton Court and Bushey parks. Distance 5 miles. Pub stop for lunch. Meeting place: Hampton Court station, Sunday 4 November, 11am.

Walk 2: Cassiobury park, near Watford. Distance 7 miles. Pub stop for lunch. Meeting place: Watford Underground station (Metropolitan line), Sunday 9 December, 11am.

Enfield and Haringey Branch

Real democracy — local to global

Informal discussion. Thursday, 22 November at 8pm. Angel Community Centre, Raynham Road, Edmonton, N18.

Manchester Branch

Peter Kropotkin: Anarchist and Explorer

Monday, 26 November at 8pm, Hare and Hounds, Shadehill, City Centre. 

Speaker: Carl Pinel

London Sunday evening meetings

Lessons of the German Revolution 1918

Sunday, 25 November at 6.30pm, at Head Office, 52 Clapham High Street, nearest tube Clapham North.

Speaker: Bill Martin

London Day School

Revolutionary socialism versus left-wing reformism - an historical account

Saturday, 17 November at Friends House, Euston (just over the road from Euston mainline station), from 10.30 to 4.30, with break for refreshments.

10.30-11 am: Welcome and tea or coffee

11-12.15: Labouring in vain  — a brief history of Labour Party reformism. Speaker: Darren O'Neil.

12.15-1.15: Lunch

1.15-2.30: Leninism in practice — the Russian Revolution. Speaker: Robert Worden.

2.45-4.30: The Socialist Party — a history of no compromise. Speaker: Richard Donnelly.

Blogger's Note:

Bill Martin's talk on the Lessons of the German Revolution 1918 is available as an audio recording on the SPGB's website.

Afghanistan and the new Silk Road (2001)

From the November 2001 issue of the Socialist Standard

The following testimony by an oil and gas corporation executive (of Union Oil of California) to the Subcommittee on Asia and the Pacific of the US House of Representatives’ Committee on International Relations on 12 February 1998 throws much light on the strategic importance of Afghanistan to the Western capitalist powers and goes a long way to explain why they have gone to war there.

Mr. Chairman, I am John Maresca, Vice President, International Relations, of Unocal Corporation. Unocal is one of the world’s leading energy resource and project development companies. Our activities are focused on three major regions – Asia, Latin America and the US Gulf of Mexico. In Asia and the US Gulf of Mexico, we are a major oil and gas producer. I appreciate your invitation to speak here today. I believe these hearings are important and timely, and I congratulate you for focusing on Central Asia oil and gas reserves and the role they play in shaping US policy.

Today we would like to focus on three issues concerning this region, its resources and US policy:

• The need for multiple pipeline routes for Central Asian oil and gas.
• The need for US support for international and regional efforts to achieve balanced and lasting political settlements within Russia, other newly independent states and in Afghanistan.
• The need for structured assistance to encourage economic reforms and the development of appropriate investment climates in the region. In this regard, we specifically support repeal or removal of Section 907 of the Freedom Support Act.

For more than 2,000 years, Central Asia has been a meeting ground between Europe and Asia, the site of ancient east-west trade routes collectively called the Silk Road and, at various points in history, a cradle of scholarship, culture and power. It is also a region of truly enormous natural resources, which are revitalizing cross-border trade, creating positive political interaction and stimulating regional cooperation. These resources have the potential to recharge the economies of neighboring countries and put entire regions on the road to prosperity.

About 100 years ago, the international oil industry was born in the Caspian/Central Asian region with the discovery of oil. In the intervening years, under Soviet rule, the existence of the region’s oil and gas resources was generally known, but only partially or poorly developed.

As we near the end of the 20th century, history brings us full circle. With political barriers falling, Central Asia and the Caspian are once again attracting people from around the globe who are seeking ways to develop and deliver its bountiful energy resources to the markets of the world.

The Caspian region contains tremendous untapped hydrocarbon reserves, much of them located in the Caspian Sea basin itself. Proven natural gas reserves within Azerbaijan, Uzbekistan, Turkmenistan and Kazakhstan equal more than 236 trillion cubic feet. The region’s total oil reserves may reach more than 60 billion barrels of oil – enough to service Europe’s oil needs for 11 years. Some estimates are as high as 200 billion barrels. In 1995, the region was producing only 870,000 barrels per day (44 million tons per year [Mt/y]).

By 2010, Western companies could increase production to about 4.5 million barrels a day (Mb/d) – an increase of more than 500 percent in only 15 years. If this occurs, the region would represent about five percent of the world’s total oil production, and almost 20 percent of oil produced among non-OPEC countries.

One major problem has yet to be resolved: how to get the region’s vast energy resources to the markets where they are needed. There are few, if any, other areas of the world where there can be such a dramatic increase in the supply of oil and gas to the world market. The solution seems simple: build a “new” Silk Road. Implementing this solution, however, is far from simple. The risks are high, but so are the rewards.

Finding and Building Routes to World Markets

One of the main problems is that Central Asia is isolated. The region is bounded on the north by the Arctic Circle, on the east and west by vast land distances, and on the south by a series of natural obstacles – mountains and seas – as well as political obstacles, such as conflict zones or sanctioned countries.

This means that the area’s natural resources are landlocked, both geographically and politically. Each of the countries in the Caucasus and Central Asia faces difficult political challenges. Some have unsettled wars or latent conflicts. Others have evolving systems where the laws – and even the courts – are dynamic and changing. Business commitments can be rescinded without warning, or they can be displaced by new geopolitical realities.

In addition, a chief technical obstacle we face in transporting oil is the region’s existing pipeline infrastructure. Because the region’s pipelines were constructed during the Moscow-centered Soviet period, they tend to head north and west toward Russia. There are no connections to the south and east.

Depending wholly on this infrastructure to export Central Asia oil is not practical. Russia currently is unlikely to absorb large new quantities of “foreign” oil, is unlikely to be a significant market for energy in the next decade, and lacks the capacity to deliver it to other markets.

Certainly there is no easy way out of Central Asia. If there are to be other routes, in other directions, they must be built.

Two major energy infrastructure projects are seeking to meet this challenge. One, under the aegis of the Caspian Pipeline Consortium, or CPC, plans to build a pipeline west from the Northern Caspian to the Russian Black Sea port of Novorossisk. From Novorossisk, oil from this line would be transported by tanker through the Bosphorus to the Mediterranean and world markets.

The other project is sponsored by the Azerbaijan International Operating Company (AIOC), a consortium of 11 foreign oil companies including four American companies – Unocal, Amoco, Exxon and Pennzoil. It will follow one or both of two routes west from Baku. One line will angle north and cross the North Caucasus to Novorossisk. The other route would cross Georgia and extend to a shipping terminal on the Black Sea port of Supsa. This second route may be extended west and south across Turkey to the Mediterranean port of Ceyhan.

But even if both pipelines were built, they would not have enough total capacity to transport all the oil expected to flow from the region in the future; nor would they have the capability to move it to the right markets. Other export pipelines must be built.

Unocal believes that the central factor in planning these pipelines should be the location of the future energy markets that are most likely to need these new supplies. Just as Central Asia was the meeting ground between Europe and Asia in centuries past, it is again in a unique position to potentially service markets in both of these regions – if export routes to these markets can be built. Let’s take a look at some of the potential markets.

Western Europe

Western Europe is a tough market. It is characterized by high prices for oil products, an aging population, and increasing competition from natural gas. Between 1995 and 2010, we estimate that demand for oil will increase from 14.1 Mb/d (705 Mt/y) to 15.0 Mb/d (750 Mt/y), an average growth rate of only 0.5 percent annually. Furthermore, the region is already amply supplied from fields in the Middle East, North Sea, Scandinavia and Russia. Although there is perhaps room for some of Central Asia’s oil, the Western European market is unlikely to be able to absorb all of the production from the Caspian region.

Central and Eastern Europe

Central and Eastern Europe markets do not look any better. Although there is increased demand for oil in the region’s transport sector, natural gas is gaining strength as a competitor. Between 1995 and 2010, demand for oil is expected to increase by only half a million barrels per day, from 1.3 Mb/d (67 Mt/y) to 1.8 Mb/d (91.5 Mt/y). Like Western Europe, this market is also very competitive. In addition to supplies of oil from the North Sea, Africa and the Middle East, Russia supplies the majority of the oil to this region.

The Domestic NIS Market

The growth in demand for oil also will be weak in the Newly Independent States (NIS). We expect Russian and other NIS markets to increase demand by only 1.2 percent annually between 1997 and 2010.

Asia/Pacific

In stark contrast to the other three markets, the Asia/Pacific region has a rapidly increasing demand for oil and an expected significant increase in population. Prior to the recent turbulence in the various Asian/Pacific economies, we anticipated that this region’s demand for oil would almost double by 2010. Although the short-term increase in demand will probably not meet these expectations, Unocal stands behind its long-term estimates.

Energy demand growth will remain strong for one key reason: the region’s population is expected to grow by 700 million people by 2010.

It is in everyone’s interests that there be adequate supplies for Asia’s increasing energy requirements. If Asia’s energy needs are not satisfied, they will simply put pressure on all world markets, driving prices upwards everywhere.

The key question is how the energy resources of Central Asia can be made available to satisfy the energy needs of nearby Asian markets. There are two possible solutions – with several variations.

Export Routes

East to China: Prohibitively Long?

One option is to go east across China. But this would mean constructing a pipeline of more than 3,000 kilometers to central China – as well as a 2,000-kilometer connection to reach the main population centers along the coast. Even with these formidable challenges, China National Petroleum Corporation is considering building a pipeline east from Kazakhstan to Chinese markets.

Unocal had a team in Beijing just last week for consultations with the Chinese. Given China’s long-range outlook and its ability to concentrate resources to meet its own needs, China is almost certain to build such a line. The question is what will the costs of transporting oil through this pipeline be and what netback will the producers receive.

South to the Indian Ocean: A Shorter Distance to Growing Markets

A second option is to build a pipeline south from Central Asia to the Indian Ocean.

One obvious potential route south would be across Iran. However, this option is foreclosed for American companies because of US sanctions legislation. The only other possible route option is across Afghanistan, which has its own unique challenges.

The country has been involved in bitter warfare for almost two decades. The territory across which the pipeline would extend is controlled by the Taliban, an Islamic movement that is not recognized as a government by most other nations. From the outset, we have made it clear that construction of our proposed pipeline cannot begin until a recognized government is in place that has the confidence of governments, lenders and our company.

In spite of this, a route through Afghanistan appears to be the best option with the fewest technical obstacles. It is the shortest route to the sea and has relatively favorable terrain for a pipeline. The route through Afghanistan is the one that would bring Central Asian oil closest to Asian markets and thus would be the cheapest in terms of transporting the oil.

Unocal envisions the creation of a Central Asian Oil Pipeline Consortium. The pipeline would become an integral part of a regional oil pipeline system that will utilize and gather oil from existing pipeline infrastructure in Turkmenistan, Uzbekistan, Kazakhstan and Russia.

The 1,040-mile-long oil pipeline would begin near the town of Chardzhou, in northern Turkmenistan, and extend southeasterly through Afghanistan to an export terminal that would be constructed on the Pakistan coast on the Arabian Sea. Only about 440 miles of the pipeline would be in Afghanistan.

This 42-inch-diameter pipeline will have a shipping capacity of one million barrels of oil per day. Estimated cost of the project – which is similar in scope to the Trans Alaska Pipeline – is about US$2.5 billion.

There is considerable international and regional political interest in this pipeline. Asian crude oil importers, particularly from Japan, are looking to Central Asia and the Caspian as a new strategic source of supply to satisfy their desire for resource diversity. The pipeline benefits Central Asian countries because it would allow them to sell their oil in expanding and highly prospective hard currency markets. The pipeline would benefit Afghanistan, which would receive revenues from transport tariffs, and would promote stability and encourage trade and economic development. Although Unocal has not negotiated with any one group, and does not favor any group, we have had contacts with and briefings for all of them. We know that the different factions in Afghanistan understand the importance of the pipeline project for their country, and have expressed their support of it.

A recent study for the World Bank states that the proposed pipeline from Central Asia across Afghanistan and Pakistan to the Arabian Sea would provide more favorable netbacks to oil producers through access to higher value markets than those currently being accessed through the traditional Baltic and Black Sea export routes.

This is evidenced by the netback values producers will receive as determined by the World Bank study. For West Siberian crude, the netback value will increase by nearly $2.00 per barrel by going south to Asia. For a producer in western Kazakhstan, the netback value will increase by more than $1 per barrel by going south to Asia as compared to west to the Mediterranean via the Black Sea.

Natural Gas Export

Given the plentiful natural gas supplies of Central Asia, our aim is to link a specific natural resource with the nearest viable market. This is basic for the commercial viability of any gas project. As with all projects being considered in this region, the following projects face geo-political challenges, as well as market issues.

Unocal and the Turkish company, Koc Holding A.S., are interested in bringing competitive gas supplies to the Turkey market. The proposed Eurasia Natural Gas Pipeline would transport gas from Turkmenistan directly across the Caspian Sea through Azerbaijan and Georgia to Turkey. Sixty percent of this proposed gas pipeline would follow the same route as the oil pipeline proposed to run from Baku to Ceyhan. Of course, the demarcation of the Caspian remains an issue.

Last October, the Central Asia Pipeline, Ltd. (CentGas) consortium, in which Unocal holds an interest, was formed to develop a gas pipeline that will link Turkmenistan’s vast natural gas reserves in the Dauletabad Field with markets in Pakistan and possibly India. An independent evaluation shows that the field’s resources are adequate for the project’s needs, assuming production rates rising over time to 2 billion cubic feet of gas per day for 30 years or more.

In production since 1983, the Dauletabad Field’s natural gas has been delivered north via Uzbekistan, Kazakhstan and Russia to markets in the Caspian and Black Sea areas. The proposed 790-mile pipeline will open up new markets for this gas, travelling from Turkmenistan through Afghanistan to Multan, Pakistan. A proposed extension would link with the existing Sui pipeline system, moving gas to near New Delhi, where it would connect with the existing HBJ pipeline. By serving these additional volumes, the extension would enhance the economics of the project, leading to overall reductions in delivered natural gas costs for all users and better margins. As currently planned, the CentGas pipeline would cost approximately $2 billion. A 400-mile extension into India could add $600 million to the overall project cost.

As with the proposed Central Asia Oil Pipeline, CentGas cannot begin construction until an internationally recognized Afghanistan government is in place. For the project to advance, it must have international financing, government-to-government agreements and government-to-consortium agreements.

Conclusion

The Central Asia and Caspian region is blessed with abundant oil and gas that can enhance the lives of the region’s residents and provide energy for growth for Europe and Asia.

The impact of these resources on US commercial interests and US foreign policy is also significant and intertwined. Without peaceful settlement of conflicts within the region, cross-border oil and gas pipelines are not likely to be built. We urge the Administration and the Congress to give strong support to the United Nations-led peace process in Afghanistan.

US assistance in developing these new economies will be crucial to business’ success. We encourage strong technical assistance programs throughout the region. We also urge repeal or removal of Section 907 of the Freedom Support Act. This section unfairly restricts US government assistance to the government of Azerbaijan and limits US influence in the region.

Developing cost-effective, profitable and efficient export routes for Central Asia resources is a formidable, but not impossible, task. It has been accomplished before. A commercial corridor, a “new” Silk Road, can link the Central Asia supply with the demand – once again making Central Asia the crossroads between Europe and Asia.

Thank you.

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