Is it time for OGEC?

1LT Aaron Barr — Wed, 09 Dec 2015 13:06:40 -0500

I'm sure that most of us have heard of OPEC, the Organization of Petroleum Exporting Countries. This group, cartel really, controls about 42% of global oil production on an annual basis and is massively influential in the price of oil and, with that, all oil based products worldwide. These include obvious things like gasoline and diesel and less obvious things ranging from plastics to cosmetics. It also dramatically affects things like shipping costs and their decisions directly affect all of our lives on a daily basis.

That said, did you know that the U.S., Canada, Australia and France control nearly 38% of global wheat exports? Or that the U.S. alone accounts for just over a third of the entire corn market globally? Moreover, did you know that almost every OPEC nation, most of the nations that we regard as threats and every single nation we list as a state sponsor of terrorism is a net agricultural importer that depends on foreign-grown food to feed their population?

With all this, why is it that the U.S., along with other western nations with whom we're allied, have never formed an Organization of Grain Exporting Countries and done to the rest of the world what OPEC's done to us with virtual impunity? After all, as much as we depend on them, we have real leverage; they can pump all the oil they want but they can't eat it.

Response by SSG Michael Hartsfield made Dec 9 at 2015 1:10 PM

SSG Michael Hartsfield — Wed, 09 Dec 2015 13:10:15 -0500

You mean aside from it being morally wrong and morally reprehensible to withhold a food source from a nation because we don't like them?

Response by PO3 Private RallyPoint Member made Dec 9 at 2015 1:39 PM

PO3 Private RallyPoint Member — Wed, 09 Dec 2015 13:39:47 -0500

lol so become as evil as opec??? lol

Response by SSG Gerhard S. made Dec 9 at 2015 2:29 PM

SSG Gerhard S. — Wed, 09 Dec 2015 14:29:10 -0500

We would not have to withhold any food, we would only need to attach a premium excise on grains sent to those particular countries... Of course, such tactics have a way of coming back, with even higher premiums on the oil we get from them, leading to inflated prices for all.

Response by LTC Private RallyPoint Member made Dec 9 at 2015 3:55 PM

LTC Private RallyPoint Member — Wed, 09 Dec 2015 15:55:40 -0500

I think one of the main problems I see off the cuff on this is the uber-western lense that you are putting onto this problem set. Yes we produce a majority of the grain in the western world, and a large part of that is where we are on the globe and the colonization after the Treaty of Westphalia where western nations put their emphasis. At the end of the day, how is the Eastern World going to see this? As a slight that just needs to be repaid over the course of centuries not over the course of a month, year, or election cycle.
Want to really cut OPEC out? Get the auto industry and big industry out of the oil business, that would be easier and more productive on multiple levels than this would be in my opinion.

Response by LTC Bink Romanick made Dec 9 at 2015 6:52 PM

LTC Bink Romanick — Wed, 09 Dec 2015 18:52:11 -0500

1LT Aaron Barr A very bad idea manipulation of food supply and food prices an invitation to trade wars and reprisals. Remember the world economy is linked!

Response by SGT Private RallyPoint Member made Dec 9 at 2015 11:15 PM

SGT Private RallyPoint Member — Wed, 09 Dec 2015 23:15:21 -0500

This is pretty short sighted as far as applied strategies go.

We shouldn't be punishing innocent families for corrupt politicians decisions.