Financial Reform ~ Black Farmers Prepare For Access to Global Capital Markets

Oakland, CA – U.S. Senate recently voted in favor of major financial reform changes and the proposed law now moves forward to a conference committee process with the U.S. House of Representatives. Rule making and the regulations process are way down the road and we celebrate the journey to arrive at this historic access to global markets.

Excessive financial speculation in the commodity futures markets continue to create wide swings in the marketplace. During early 2008 Farm Bill conversations as part of the USDA/Community Based Organizations Solutions Team there was a brief exposure to the Bank of International Settlements in the heated battle seeking equity and accountability from the New Orleans Financial Office of the USDA, in the wake of Katrina.

"The financial crisis has shown the need for central banks to have a broad financial stability mandate, which will require them to take into account financial considerations when devising monetary policy," according to Jaime Caruana, General Manager of the Bank for International Settlements, from a European vantage point montoring closely the U.S. Senate action.

Today, many are beginning to listen closely and wanting to help to frame the proper questions toward participating in a fluid open process to understand “hidden structures” that impact the entire the world.

Transparency is the goal and hope for all agriculture producers.

Financial markets control the final price of commodities in the previously unregulated over-the-counter (OTC) market. Public exchanges should be able to document and share how transactions clear daily. Currently, OTC trades are exempt from regulatory oversight by the Commodity Futures Trading Commission (CFTC).

The California Chapter of the National Black Farmers and Agriculturalist Association joined the process through the Commodity Markets Oversight Coalition and Derivatives Reform Alliance to work toward closing regulatory loopholes and excessive speculation in a multi trillion daily "Private Casino" with the belief that access to global market capital would be a natural outcome.

The "Wall Street Reform and Consumer Protection Act" H.R. 4173 will begin to make market functions in an open and transparent action, instead of like a casino. Today, primarilary five big financial firms know what is or is not happening at the top of the financial marketplace, "food chain."

Excessive speculation and lack of regulation join forces to cause the collapse global financial markets with a healthy dose of greed and probably some level of probable criminal activity, time will tell.

U.S. Black Farmers have begun to expand and build capacity to access the broader U.S. Agriculture market while leading expansion of mutually beneficial global trade and commerce projects. Past cultural exchanges with global partners now include extended family members throughout Africa, Caribbean, Asia, Europe, Central and South America.

New rules and requirements for publicly traded and regulated exchanges will allow greater accuracy in trade analysis that will facilitate broader market access and competition.

Financial reform will fuel expanding the documentation of new commodity movements creating increased competition and market volume. New exotic ethnic specialty crop commodities that provide better health outcomes will supply the demand to reduce health care costs.

The lack of access to basic fresh fruits and vegetables throughout many ethnic communities in America and abroad in tandem with poor nutritional content of institutional food purchases will provide an explosive emerging market for modern Black agriculture producers.

Continuing to building a collaborative relationships with Wall Street firms, the new USDA leadership, and global counterparts is a new approach to "Restore Agriculture as the Foundation of Black Culture."

The past global food crisis caused by extreme volatility in the financial markets offers an opportunity to have a broader conversation of how Black Farmers in America can utilize our unique experience to provide solutions that bring international partners together, people are listening today.

Our U.S. Congress, through the conference committee process, may reconcile and pass legislation that President Barack Obama will be able to sign a bill, Juneteenth 2010 will take a miracle.

Black Ag producers once 14% of all U.S. Ag producers, today we have been reduced to around 1% of all U.S. Ag producers.

Financial reform and access to global capital will facilitate our prophetic comeback from the brink of Endangered Species status," according to Michael Harris, Project Director, Black Agriculture Summit, July 15-16, 2010, Oakland, California.

Documenting implementation of the "Juneteenth", Food, Conservation and Energy Act of 2008 will quantify progress at the restructured USDA under the Obama Administration led by Agriculture Secretary Vilsack.

The Obama Administration is beginning to provide new opportunities throughout all aspects of the U.S. Department of Agriculture. The 2010 USDA is budgeted at @ 150 billion inclusive of Recovery Funds, Discresionary Spending and Mandatory Spending.

After Memorial Day Weekend 2010 a reconciliation process of the "Wall Street Reform and Consumer Protection Act" should begin to provide strong new regulations of the "American Casino" a multi-trillion dollar daily construct, yes, trillion ~ $1,000,000,000,000.00.

The proposed entire 2011 United States Government Budget is 3.69 trillion, for comparison.

http://www.nytimes.com/interactive/2010/02/01/us/budget.html

Together we will move collectively to expand knowledge and participation in our broader U.S. economy to attract global capital, imagination and innovation, probably the greatest commodity of our U.S. Democracy.