Thursday, June 21, 2018

Baby Powder Is the Secret Weapon in the Afghanistan War

Mining materials like talc could bring the country great wealth, but for now only fuels corruption and violence.

After a few days of hopeful cease-fire for the Eid holiday -- and remarkable images of Taliban and government security forces embracing -- Afghanistan seems headed back to the insurgency that has plagued it for 15 years. 

America’s longest war grinds on with little hope, with neither side able achieve a lasting victory. What could break the deadlock? Where should the U.S. focus its efforts to find a path to a negotiated ending to a violent civil war, such as we saw in the Balkans in the 1990s and in Colombia this decade?

Two vital fronts of this challenge are closely linked:  addressing the endemic problem of corruption and finding a viable economic model for the country.  And a key source of both potential wealth and ongoing corruption is Afghanistan’s abundance of minerals, thought to be worth as much as $1 trillion by some sources

Yes, instability is adding to the difficulty of attracting initial investment, but over time there is every possibility for large-scale mining of lithium, gold, iron, copper, lead, rare earths, gemstones and talc.

But right now, that wealth is more likely to do harm than good. For example, consider talc, an unglamorous industrial mineral used in everything from baby powder to plastics. The U.S. and Europe are the ultimate markets for much of Afghanistan’s talc production. Yet new research from Global Witness, an international nonprofit that monitors links between natural resources and corruption, reveals that almost all Afghan talc producers pay a tax to insurgents.

As for the Taliban, Global Witness estimated they are raking in $300 million a year from the nation's mineral bounty. Indeed, mining is thought to be the second-largest source of revenue for the insurgency after narcotics. Militias supposedly on the side of the government and corrupt provincial strongmen also benefit. These various groups often find themselves in bloody confrontations over the mines.

Unlike illegal drugs, mineral resources could be generating major revenue for the Afghan government. Instead, they are fuelling conflict and corruption.

And that directly relates to one of the key weaknesses of the U.S. mission since 2001. Afghanistan’s mines powerfully illustrate how governance problems like corruption and illegal mining are not just about development -- they are hard-edged issues of national security.  

Yet U.S. efforts to improve governance have consistently fallen short of the mark. Since 2001, the U.S. has invested hundreds of millions in developing the mining sector -- but the money was spent with inadequate coordination and oversight, and had very little impact, as a 2016 report from the special inspector general for Afghanistan reconstruction documented.

When I was the supreme commander of the 150,000 international forces there, we concentrated on getting new contracts off the ground. This was a laudable goal, but was always likely to fail without strengthening oversight and addressing the massive abuses that have held back the sector.

In the end, the point of military action is to create space to deal with the underlying drivers of the conflict. Corruption, along with a wider lack of justice and rule of law in politics and the economy, is among the most important.

By one estimate, there are about $3.3 billion in bribes passed every year in Afghanistan.  This weakens the already fractured Afghan government, holds back development and increases support for the insurgency. Unfortunately, short-term security challenges tend to take priority over longer-term reforms.

So how do we help Afghanistan fight corruption? Initially, by breaking the military and civilian approaches out of their silos so we can strike a better balance between short-term military action and longer-term goals like fighting corruption. That’s not easy, and it needs leadership from the top -- in this case, the incoming commander of U.S. forces in Afghanistan, General Scott Miller. - More

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