Oil Exporters

The Dec. 9, 2007 New York Times: Oil-Nations Use More Energy, Cutting Exports.  “The economies of many big oil-exporting countries are growing so fast that their need for energy within their borders is crimping how much they can sell abroad, adding new strains to the global oil market.” Saudi Arabia, Russia, Mexico, Norway, Iran, the United Arab Emirates, Kuwait, Libya, Bahrain, Kuwiat, Qatar, Venezuela—all are producing—through petroleum sales—large wealthy and middle-classes, and we know what that means: more consumption per capita.  More cars, bigger homes, air conditioners, vacations, etc. 

And the fields in a number of large oil producers are already drying up.  “Indonesia flipped from exporting oil to importing it three years ago, because of sagging production and rising demand.  Iran [!!], Algeria and Malaysia are vulnerable over the next decade.  Most oil experts view Mexico [!] as the next country to flip, in as little as five years.” 

This, of course, affects peak oil debates, as well as rising oil prices, a struggling American economy and the global economy picture, in general.  The big losers, however, continue to be the quiet billions of people who increasingly depend on high-yield grains for their survival.  High-yield grains tend to require irrigation and intensive fertilizing, both of which are energy.  Pesticides and farm machinery—which also require great energy inputs—can be substituted by manual labor.  Rising oil prices will continue the squeeze on poor farmers and the three billion undernourished people who depend on them.