Iran executed a former deputy Iranian defense minister, who was a British-Iranian, on allegations of spying for British intelligence, marking the first execution of a prominent official in over a decade in a clear sign of deteriorating relations with the West.
Alireza Akbari, a 61-year-old British-Iranian dual national, was executed for spying on behalf of the U.K., an accusation he had always denied since he was arrested in Iran in 2019.
Akbari was accused of “harming the country’s internal and external security by passing on intelligence,” an activity he carried out between 2004 and 2009 and for which he would have received a payment of over €2 million, the judiciary’s official news outlet Mizan said.
U.K. Prime Minister Rishi Sunak called the execution a “callous and cowardly act, carried out by a barbaric regime.”
Akbari’s death would “not stand unchallenged,” said U.K. Foreign Secretary James Cleverly, in a statement that prompted Persian authorities to summon the British ambassador in Teheran.
BBC Persian aired an audio message from Akbari earlier this week in which the inmate said he had been tortured and forced to confess crimes on camera he hadn’t committed — something that human rights NGO Amnesty International is now urging London to investigate.
Maryam Samadi, Akbari’s wife, said she was “just shocked,” in a phone interview with the New York Times on Friday. “We saw no reason or indication for the charges,” she said. “We could have never imagined this, and I don’t understand the politics behind it.”
The U.K. Foreign Office is now seeking the possibility of giving asylum to Akbari’s family, considered at risk, but that’s proving difficult, as the country does not recognize dual nationality for its citizens.
They’re dazzlingly rich, and they expect to be in charge for a long, long time.
The monarchs leading Qatar, the United Arab Emirates and Saudi Arabia might seem from the outside like a trio of like-minded Persian Gulf autocrats. Yet their regional rivalry is intense, and Western capitals have become a key venue in a reputational battle royale.
“All of these governments … really want to have the largest mindspace among Western governments,” said Jon B. Alterman, director of the Middle East Program at the Washington-based Center for Strategic and International Studies.
As the Gulf states seek to wean themselves off the oil that made them rich, they know they’ll need friends to help transform their economies (and modernize their societies).
“They think it’s important not to be tarred as mere hydrocarbon producers who are ruining the planet,” Alterman added.
The Qatari government categorically denies any unlawful behavior, saying it “works through institution-to-institution engagement and operates in full compliance with international laws and regulations.”
Against the background of regional rivalries, that engagement has become increasingly robust. While tensions with Riyadh have eased over the past few years, Qatar’s mutual antagonism with the United Arab Emirates has been particularly severe.
Qatar’s survival strategy
Regional rivalries burst beyond the Middle East in 2017 in a standoff that would reshape regional dynamics.
Until then, Qatar, Saudi Arabia and the United Arab Emirates had been essentially frenemies. As members of the Gulf Coordination Council, they’d been working toward building a common market and currency in the region — not so different from the European Union.
But different responses to the Arab Spring frayed relations to a breaking point.
The Qatar-based Al Jazeera news network gave a platform to the Muslim Brotherhood, the Islamist party that rode a wave of unrest into power in Egypt and challenged governments throughout the Arab world. And Doha didn’t just offer a bullhorn — it gave the Muslim Brotherhood direct financial backing.
Saudi Arabia and the United Arab Emirates, meanwhile, considered the Muslim Brotherhood to be a terrorist group.
Along with Bahrain, Saudi Arabia and the UAE severed diplomatic ties with Doha in June 2017, barring Qatar’s access to airspace and sea routes; Saudi Arabia closed its border, blocking Qatar’s only land crossing.
Among the demands: close Al Jazeera, end military coordination with Turkey and step away from Iran. Qatar refused — even though it was crunch time for building infrastructure ahead of the 2022 World Cup and 40 percent of Qatar’s food supplies came through Saudi Arabia.
Fighting what it called an illegal “blockade” became an existential mission for Doha.
“The only thing Qatar could do was make sure everyone knew Qatar exists and is a nice place,” said MEP Hannah Neumann, chair of the Parliament’s delegation for relations with the Arab Peninsula (DARP).
“They really stepped up the diplomatic efforts all around the world to also show, ‘We are the good ones,’” said Neumann, of the German Greens.
Qatar needed Brussels because it had already lost an even bigger ally: Washington. Not only did then-President Donald Trump take the side of Qatar’s rivals in the fight; he also appeared to take credit for the idea of isolating Qatar — even though the U.S.’s largest military base in the region is just southwest of Doha.
Elsewhere, Qatar had already been working with the London-headquartered consultancy Portland Communications since at least 2014 — as its World Cup hosting coup was becoming a PR nightmare, with stories emerging over bribed FIFA officials and exploited migrant workers.
Exploding onto the EU scene
In Brussels, Doha leaned on the head of its EU Mission, Abdulrahman Mohammed Al-Khulaifi, who had moved to Belgium in 2017 from Germany, to step up European relations.
Within days of the fissure, Al-Khulaifi appeared in meetings at NATO, and within months opened a think tank called the Middle East Dialogue Center to hone Doha’s image as an open promoter of debate (in contrast,it contended, to its neighbors) and pressure the EU to intervene in the Mideast.
By the next year, he was speaking on panels about combating violent extremism — alongside Dutch and Belgian federal police. By late 2019, Al-Khulaifi hosted the first meeting of embassy’s Qatar-EU friendship group with a “working dinner.”
“The situation following the blockade has pushed Qatar to establish closer relations outside the context of the regional crisis with, for example, the European Union,” Pier Antonio Panzeri, then chair of the Parliament’s human rights subcommittee, told Euractiv in 2018.
The following year, Panzeri would attend the Qatari-hosted “International Conference on National, Regional and International Mechanisms to Combat Impunity and Ensure Accountability under International Law,” and heap praise on the country’s human rights record.
Panzeri is now in a Belgian prison, facing corruption charges; his NGO, Fight Impunity, is under intense scrutiny for being a possible front.
Neumann said that Qatar’s survival strategy has paid off. “Absolutely, it worked,” she said. “I think it’s fair enough, if they didn’t do it with illegal means.”
Directly or indirectly, Qatar clocked several big victories during this period, including multiple resolutions in Parliament on human rights in Saudi Arabia and a call to end arms exports to Riyadh in the wake of the murder of journalist Jamal Khashoggi. Doha also inked a cooperation arrangement with the EU in March 2018, setting the stage for closer ties.
Frenemies once again
Since Saudi Arabia and Qatar signed a deal to end the crisis two years ago, Riyadh-Doha relations have generally thawed. Saudi Crown Prince Mohammed bin Salman, 37, traveled to Qatar in November for the World Cup and embraced Qatar’s emir, Sheikh Tamim bin Hamad al-Thani, 42, while wearing a scarf in the host’s colors.
However, relations between Qatar and the United Arab Emirates — led by Sheikh Mohammed bin Zayed Al Nahyan, 61 — remain chilly.
As the Gulf transforms, the United Arab Emirates “has come to see that role as being a status quo power,” said Alterman. On the part of its neighbor, “Qatar has come to see that role as aligning with forces of change in the region, and that’s created a certain amount of mutual resentment.”
Qatar’s smaller scale contributes to Doha’s sense of internal security, fueling its openness to engaging with groups that others see as an existential threat.
Qataris see themselves as “champions of the Davids against the Goliath,” said Andreas Krieg, an assistant professor at King’s College London who has worked in the past as a consultant for the Qatari armed forces. Civil society organizations founded by “a range of different opposition figures, Saudi opposition figures in the West, have been supported financially by Qatar as well,” Krieg added. (Khashoggi, one of the era’s most prominent Saudi opposition figures, had connections to the state-backed Qatar Foundation.) “Hence why Qatar was always seen as sort of a thorn in the side of its neighbors.”
And while the €1.5 million cash haul confiscated by Belgian federal police looks like an eye-popping sum, it certainly pales in comparison to the amount the Gulf states spend on legal lobbying in Brussels. And that sum, in turn, pales in comparison to what those countries spend in Washington.
“Brussels isn’t that important,” Krieg said. “If you look at the money that these Gulf countries spend in Washington, these are tens of millions of dollars every year on think tanks, academics … creating their own media outlets, investing strategically into Fox News, investing into massive PR operations.”
Nonetheless, the EU remains a key target. Abu Dhabi is strengthening its “long-standing partnership” with Brussels on economic and regional security matters “through deep, strategic cooperation with EU institutions and Member States,” said a UAE official, in a statement.
“Brussels was always a hub to create a narrative,” said Krieg.
And right now, each of the region’s power players is deeply motivated to change that narrative.
Alterman invoked a broad impression of the Gulf countries as “people who have more money than God who want to take the world back to the 7th Century.”
But that’s wrong, he said. “This is all about shaping the future with remarkably high stakes, profound discomfort about how the world will relate to them over the next 30 to 50 years — and frankly, a series of rulers who see themselves being in power for the next 30 to 50 years.”
Watchdogs say it could be the “most serious,” “most shocking,” “most egregious” corruption scandal to hit Brussels in years.
A series of at least 16 raids by the Belgian federal police Friday netted five people they said had committed “alleged offenses of criminal organization, corruption and money laundering.” The morning searches yielded €600,000 in cash, plus phones and computers.
Initially, the culprits weren’t major names by Brussels standards: A former member of the European Parliament, a few parliamentary assistants, and a trade union boss, all allegedly on the take for World Cup host Qatar. But to what end, really? Some questioned whether — if the charges were true — Doha had really made a smart investment.
By the evening, however, it was clear this wasn’t just a story of some has-beens and wannabes lining their pockets. Eva Kaili, a vice president of the European Parliament and vocal defender of Doha, landed in police custody, according to the Belgian federal police. The case also centers around an NGO that, until recently, counted some of the biggest luminaries in left-wing politics among its board members.
“The State of Qatar categorically rejects any attempts to associate it with accusations of misconduct,” said a Qatari official in a statement e-mailed Sunday morning.
As this potentially superlative scandal continues to unfold, POLITICO answers all your questions about the controversy roiling the EU capital.
Q: Who is Eva Kaili?
As one of Parliament’s 14 vice presidents, Kaili is one of the institution’s most powerful players — and as a former news presenter with celebrity status in her native Greece, one of Brussels’ most glamorous figures.
But Kaili has also emerged as one of the most vocal defenders of Qatar. She recently called the country a “frontrunner in labor rights” after meeting with the country’s labor minister, despite deep international concerns about conditions for stadium construction workers. A member of the center-left Socialist & Democrat (S&D) party, her portfolio includes special responsibilities related to the Middle East.
Kaili’s partner and co-parent, Francesco Giorgi, has also been detained, according to police and people with direct knowledge. He’s an adviser on the Middle East and North Africa region in the European Parliament — and a founder of an NGO called Fight Impunity, which aims to promote “accountability as a central pillar of the architecture of international justice.”
Crucially, Fight Impunity’s president is Pier Antonio Panzeri, a central figure in the case.
Q: Who else is involved?
Panzeri, an Italian ex-MEP also from the S&D, was among those arrested Friday morning. By the evening, his wife and daughter were also nabbed by Italian police. A warrant for their arrest, seen by POLITICO, accused Panzeri of “intervening politically with members working at the European Parliament for the benefit of Qatar and Morocco.”
41 Rue Ducale in Brussels where both No Peace Without Justice and Fight Impunity have offices | Eddy Wax | Eddy Wax
Former parliamentary aides, especially those with ties to Fight Impunity, are also falling under scrutiny. In addition to arresting Giorgi, police also sealed the office of another parliamentary assistant who used to work for Fight Impunity, currently serving as an aide to Belgian S&D MEP Marie Arena.
Arena, who inherited the chairmanship of the human rights subcommittee from Panzeri and works closely with Fight Impunity, confirmed that her aide’s office was under seal. Arena said she herself has not been questioned by police.
According to Italian newswire Ansa, Niccolò Figà-Talamanca has also been detained. He’s the director general of another NGO, No Peace Without Justice. Focused on international criminal justice, human rights and promoting democracy in the Middle East and North Africa, the organization is officially based in New York and Rome. However, it has the same Brussels address as Fight Impunity, at 41 Rue Ducale.
Emma Bonino, a former liberal MEP and foreign affairs minister for Italy, founded No Peace Without Justice. She is listed as an honorary board member of Fight Impunity. She and Figà-Talamanca did not immediately respond to requests for comment through Peace Without Justice.
In a sign of Panzeri’s connections, former French Prime Minister Bernard Cazeneuve, former European Migration Commissioner Dimitris Avramopoulos, former EU foreign policy chief Federica Mogherini and former MEP Cecilia Wikström are also listed as honorary board members.
Mogherini resigned from the board on Saturday morning, according to a spokesperson for the College of Europe, where Mogherini is now rector. Avramopoulos said in an email Sunday morning that he, Cazeneuve and Wikström had also resigned “immediately when we were informed back on Friday.”
The list of staff at Fight Impunity has apparently been deleted; however, web archives show Giorgi and other current parliamentary assistants holding key roles in January.
Q: Is this limited to the European Parliament?
Nope. Also detained: Luca Visentini, who just last month became secretary general of the International Trade Union Confederation (ITUC). Before that, he was the longtime chief of the European Trade Union Confederation. (He didn’t have to move for the new role: Both the global and the European organizations are based at the same address in Brussels, on Rue Albert II.)
Builders’ unions have been some of the top critics of Qatar’s record on worker’s rights in the lead-up to the World Cup. But even before Visentini took over, ITUC was a notable exception. Sharan Burrow, the previous ITUC chief, urged external critics of the country’s labor laws to “go and have a look at a look at the change” in a video posted by the Qatari labor ministry in June.
Q: Why would Qatar want to lobby?
The Gulf emirate is hosting the World Cup, but rather than a public relations coup, the tournament turned out to shine a negative spotlight on the country. Accusations of bribery in the bidding process and slave-like conditions for foreign workers cast doubt on the choice, and liberal critics seized on the moment to attack the conservative Muslim country’s position on women’s and LGBTQ+ rights.
Fans arrive prior to kick off of the FIFA World Cup Qatar 2022 | Dan Mullan/Getty Images
Maintaining a good reputation is crucial, as Qatar works to hash out deals with EU countries for its natural gas. A proposal to give Qataris visa-free travel to the EU’s Schengen area is also moving forward in Parliament — at least, it was.
Q: How has Kaili advocated for Qatar?
Kaili has arguably been the dean of the (sizeable group of) Doha defenders within the S&D.
On November 24, for example, as the plenary passed a resolution “deplor[ing] the deaths of thousands of migrant workers,” Kaili took to the floor to praise the “historical transformation” of Qatar brought on by the World Cup. Similarly, 10 days ago, she showed up to vote in favor of visa liberalization for Qatar and Kuwait in the Parliament’s justice and home affairs committee — even though she’s not a member of the committee.
Kaili also alienated MEPs on a panel dedicated to the Middle East when she freelanced her own trip after Doha canceled the group’s visit. The Parliament’s Delegation for Relations With the Arab Peninsula (DARP) had been planning to head to Qatar just ahead of the World Cup in November, to visit tournament facilities and observe labor law changes.
With barely a month’s notice, however, Qatar’s consultative assembly, known as the Shura Council, asked to postpone. Instead, Kaili went to Qatar the week the full delegation was supposed to be there — and gave full-throated praise to the emirate’s labor reforms. According to local press, she said she was there representing 500 million European citizens who see the country’s progress as representing common values.
“She was somehow going behind my back,” said MEP Hannah Neumann, the German Green at the helm of DARP. Doha was “uninviting the group that would have had a balanced position” and “instead invited her, knowing that her statements would be less critical.”
Repeated calls to Kaili’s mobile phone Friday and Saturday went unanswered.
Q: How big a deal is this?
Watchdog groups agree on the superlatives. The Qatar scandal could be “the most egregious case” of alleged corruption Parliament has seen in years, said Transparency International chief Michiel van Hulten. Alberto Alemanno, a law professor at HEC Paris, called it the “most shocking integrity scandal in the history of the EU.”
German Green MEP Daniel Freund, co-chair of the Parliament’s anti-corruption intergroup, called it one of the “most serious corruption scandals in Brussels in recent decades.”
Van Hulten said the Parliament has created a “culture of impunity … with a combination of lax financial rules and controls and a complete lack of independent (or indeed any) ethics oversight.” Alemmano likewise predicted this would just be the “tip of the iceberg,” hoping a pile-up of scandals would create political momentum for an independent ethics system.
Freund argued that countries that are not part of the EU should have to follow the “relatively good lobbying rules already in force” in Brussels. At the moment, countries don’t have to register in the EU’s transparency register of interest groups, for example, and MEPs don’t need to report those contacts. “The EU must improve this immediately,” Freund said.
Incidentally, Panzeri’s NGO, Fight Impunity, is not listed in the transparency register. That’s an apparent violation of the existing rules for EU-based groups that want to make their case in Parliament. Under the latest transparency register guidelines, NGOs are required to include extensive details about their funding.
Arena, the current chair of the human rights subcommittee, has worked closely with Panzeri and Fight Impunity, including the NGO in press conferences and traveling with Panzeri for discussions on civil liberties.
Even as she defended her own independence, Arena predicted that more revelations would come out. “If Qatar is doing so, I know that others are doing exactly the same,” Arena said. “And so we have to really prevent this kind of capacity to influence.”
Current chair of the human rights subcommittee Maria Arena | EP
Q: How’s it going now for Qatar?
The blowback from these accusations is already coming fast.
The S&D has called for the visa liberalization proposal to be put on hold, and the Green rapporteur said he would vote against the measure if it comes up for a vote next week.
Separately, Parliament’s Foreign Affairs Committee planned to head to Saudi Arabia and Qatar in the coming weeks. Now the latter part has been canceled — meaning a top rival of Doha gets all the attention.
“Any association of the Qatari government with the reported claims is baseless and gravely misinformed,” said the Qatari official statement issued Sunday. “The State of Qatar works through institution-to-institution engagement and operates in full compliance with international laws and regulations.”
Q: What’s next in the Parliament?
Late Saturday, Parliament President Roberta Metsola suspended all of Kaili’s “powers, duties and tasks” related to being a vice president. To revoke the title completely would require a decision by the Parliament’s conference of presidents, and then a vote in the plenary.
When the plenary gathers in Strasbourg this week, MEPs are likely to revoke Kaili’s parliamentary immunity. The Left has already formally called for a debate about the incident to be added to the agenda, with a vote slated for Monday evening.
Kaili has also been suspended from the S&D group and her domestic party in Greece, Pasok.
Eddy Wax, Nektaria Stamouli, Hannah Roberts and Vincent Manancourt contributed reporting.
The EU wants to slash the amount of packaging waste produced across the bloc, banning everything from mini hotel toiletries to throwaway plastic wrapping around some fresh fruit and vegetables.
The proposal is part of the European Commission’s circular economy package, legislation aimed at slashing waste and reducing emissions to help the bloc reach climate neutrality by 2050.
The new rules include mandatory targets for the amount of recycled materials used in plastic packaging and pushes cafés, shops and hotels to switch to reusable, rather than single-use packaging. It calls for all packaging on the EU market to be recyclable by 2030.
Countries will also be told to set up schemes to increase recycling of bottles and cans: Customers would pay a small additional sum on top of their purchase, which is refunded on the bottle’s return.
Packaging is a “key environmental concern,” the Commission said in its preamble to the new rules. The sector is one of the “main users of virgin materials,” hoovering up 40 percent of plastics and 50 percent of paper, and accounting for 36 percent of municipal solid waste.
In 2020, every EU resident generated nearly 180 kilograms of waste, according to new EU data. Paper and cardboard are the main culprit, accounting for 32.7 million tons in 2020, followed by plastic and glass at about 15 million tons each.
“Without action, the EU would see a further 19 percent increase in packaging waste by 2030, and for plastic packaging waste even a 46 percent increase,” according to the Commission.
But its proposal isn’t going down particularly well. Industry groups have pushed back hard against higher reuse targets in recent weeks, while NGOs are accusing the Commission of bowing to those demands and watering down its proposal.
Here are four key points of contention.
End of single-use
One key element of the Commission’s proposal is a ban on some types of single-use packaging in the hospitality sector — such as disposable plates and cups, sugar packets and other condiments, or mini soaps and shampoos.
Businesses won’t let that happen without a fight.
Ever since a first draft of the new rules leaked last month, they’ve been hammering home the argument that the energy and water needed to clean the reusable packaging would outweigh the environmental benefits of moving away from single-use items.
A ban would “require a full cost analysis of businesses in particular energy, water and operational costs,” hospitality lobby HOTREC argued in an emailed statement, adding that the cost of those assessments shouldn’t fall to the businesses.
The rules also set targets for companies to ensure a certain quantity of products are provided in reusable or refillable packaging. For example, 20 percent of takeaway beverage sales made by a café must be served in reusable packaging or using customers’ own containers by 2030, with the target ramping up to 80 percent in 2040. Beer retailers will have to sell 10 percent of their products in refillable bottles by 2030 and 20 percent by 2040.
That’s another sore point for industry.
The Commission should “look at the full life cycle impact of all packaging products,” according to the European Paper Packaging Alliance lobby. It argues that “scientific evidence shows that recyclable, single-use, paper-based packaging has a lower environmental impact than reusable systems, in takeaway settings as well as in quick service restaurants.”
Recycling concerns
Industry groups also complain that the proposal unfairly favors reusable packaging over recyclable single-use packaging, meaning wasted money on investments in recycling facilities — even though the text seeks to boost recycling in the bloc. There’s a minimum amount of recycled content that must be used in the manufacturing of certain plastic packaging, for example.
“There’s a real concern for the industry — we don’t know which horse to back now, because the policy itself has conflicting goals,” said Ian Ellington, senior vice president at Pepsico and president of EU soft drinks lobby UNESDA. “I think the likely outcome of that is we would pause some of those investments while we figure out what the regulatory framework is really going to be.”
Brussels seems to have listened: The rules proposed on Wednesday lay down lower targets on what percentage of packaging must be reusable.
But now environmental groups are sounding the alarm, saying the EU needs to focus on boosting reusable packaging rather than relying on recycling as the solution.
Campaigners have argued that positive messaging around recycling could be promoting additional consumption — and additional waste. They also point out that the average recycling rate is only 64.4 percent.
In rowing back the reuse targets in its current proposal, the EU executive “seems to have fallen into industry’s false promises on investments on recycling,” Larissa Copello, a policy officer for Zero Waste Europe said in an emailed statement.
Death of marketing
The Commission’s proposal would also ban “superfluous” packaging, like double walls or false bottoms aimed at making products appear to contain more than they do.
That essentially means all packaging should be designed for functionality and to minimize the amount of packaging used.
The idea isn’t going down well with businesses that use distinctive packaging to stand out, such as spirits and perfume manufacturers.
In a letter to the Commission, several lobbies argued the new rules will lead to “standardisation of packaging and have negative competitive repercussions for EU consumers, brands and industry.”
“An awful lot of work goes into presenting your products to the market,” said Adeline Farrelly, secretary-general of the association of European manufacturers of glass containers. “The image of your product, the way it looks and feels is a huge part of the value added product.”
Biodegradable packaging in the crosshairs
Compostable and bio-based packaging manufacturers will also have to abide by new rules, as such products can jam up recycling processes and take a long time to fully biodegrade in certain environments.
The Commission has designated a “very small list of products” that should be designed for composting — tea bags, filter coffee pods, sticky labels attached to fruit and vegetables, and lightweight plastic carrier bags — while the rest should go into recycling.
The compostable packaging industry isn’t happy about that, saying it will seriously hamper their business.
The new rules are still “effectively … a ban, or sort of very tight control of what can be composted and what can’t,” said Jack McKeivor, the director of public affairs for compostable packaging company TIPA.
“Why would investors want to invest in it? Why would customers want to buy this stuff if they can’t use it for its originally designated purpose?” he added.
The move would jeopardize the EU’s “current leadership role in the sector” and “freeze” further research and investments into such products, a coalition of bioplastic companies wrote in a letter.
The Commission’s proposal will now be examined by the European Parliament and EU countries, but faces a rocky road ahead — a number of MEPs have already sent a letter to the Commission echoing industry concerns.
Europe, the world’s biggest consumer of chocolate, and West Africa, the leading grower of the cocoa beans used to make it, share a common goal to make the sector sustainable.
But they have opposing views on how to put an end to the social, economic and environmental harms caused by satisfying Europe’s sweet tooth, heralding a showdown over who will bear the costs of complying: Big Chocolate or cocoa farmers.
The EU is finalizing regulations that seek to ensure that chocolate entering the market is free from deforestation and child labor. At the same time, Ghana and Ivory Coast, the world’s biggest cocoa producers, are demanding higher prices. That’s vital, they say, to make sustainable chocolate a possibility — and not a pipe dream.
The stakes are high: For the EU, cocoa is a test case for how companies and producers react when the bloc tries to impose higher standards. For producers, the push to set up a cartel could drive up prices in the short term — but also risks stimulating oversupply and ultimately causing a price crash that would deepen the poverty already suffered by most cocoa farmers. Chocolate makers, facing rising costs and greater scrutiny, may reroute supply chains to other cocoa-producing countries seen as less risky.
Doing nothing is not an option, said Alex Assanvo, who heads the joint West African initiative to support cocoa prices.
“We are not asking to pay them more, we are asking to pay them a fair price,” Assanvo told POLITICO in an interview. “If we believe that this is going to create oversupply, well then I don’t know, maybe we should stop eating chocolate.”
Bittersweet taste
Chocolate may be sweet but the industry that makes it is not. Most of the beans used to produce the world’s supply are grown by impoverished West African farmers; all too often from trees planted on deforested land and harvested by children. One problem drives the others. Poverty pushes farmers to chop down forests to produce more beans and profits and to put children to work as they cannot afford to pay wages to adult laborers.
To address this, Ghana and Ivory Coast, which produce 60 percent of the world’s cocoa, formed an export cartel in 2019 modeled on the Organization of the Petroleum Exporting Countries (OPEC). They introduced a $400 per ton Living Income Differential, which aims to bring the floor price up enough to cover the cost of production.
In public, big chocolate manufacturers and traders, including Barry Callebaut, Cargill, Ferrero, Hersey, Lindt, Mars, Mondelez and Nestlé, welcomed the initiative.
Yet behind the scenes many of the firms — which between them account for about 90 percent of the industry’s $130 billion in annual profits — have done everything possible to avoid paying the premium and to drive prices back down, according to the Ivorian Coffee-Cocoa Council (CCC), the Ghana Cocoa Board (Cocobod) and their joint Initiative Cacao Ivory Coast-Ghana (ICCIG).
The companies that responded to requests for comment from POLITICO said that they have paid the Living Income Differential (LID) since its introduction. The Ghanian and Ivorian trade boards and the ICCIG claim, however, that they have negated the LID’s value by forcing down a different premium, the origin differential.
Fed up, these countries boycotted the World Cocoa Foundation Partnership Meeting at the end of October in Brussels. They then gave the companies a deadline: commit to the premiums by November 20 or the countries would ban their buyers from visiting fields to carry out harvest forecasts and suspend their Corporate Social Responsibility programs – which sell well with ethically-minded consumers.
More harm than good?
Another proposed remedy comes from Brussels. Cocoa is one of the products to which the new EU legislation on due diligence — Brussels speak for supply-chain oversight and compliance — would apply.
Under this, large firms operating in the bloc will be forced to evaluate their global supply chains for human rights and environmental abuses, and compensate injured parties. In theory, this should reduce deforestation and child labor and improve the lot of farmers.
Yet, as European ambassadors thrash out the terms — and big players like France push for them to be watered down — concerns are growing that the legislation could turn out at best to be ineffective in practice, and at worst do more harm than good.
Cocoa farmers, and the NGOs that support them, have reason to be skeptical: Back in 2000, a BBC documentary exposed the widespread use of child labor on cocoa plantations in Ivory Coast and Ghana. The resulting media pressure led to a proposal for legislation in the United States forcing companies to certify chocolate bars free of child labor.
Companies pushed back hard, Antonie Fountain, managing director of cocoa NGO coalition The Voice Network, told POLITICO. The proposal was dropped and companies committed instead to a voluntary plan to solve child labor, he explained: “And that turned into a two-decade failure of policy.”
The resulting patchwork of pilot projects failed to transform the sector. Despite an initial decline, nearly 20 years after the framework was introduced 790,000 children in Ivory Coast and 770,000 in Ghana are still working in cocoa, with 95 percent of them exposed to the worst forms of child labor, according to a 2020 report.
Deforestation has meanwhile accelerated.
Ivory Coast has lost up to 90 percent of its forest in the last half century. Between 2000 and 2019 alone 2.4 million hectares of forest was cleared for cocoa farms, representing 45 percent of the total deforestation and forest degradation in the country, according to Trase, a data-driven transparency initiative.
The government’s attempts to safeguard what remains are half-hearted and often undermined by corruption: In 2019 a quarter of Ivory Coast’s cocoa production was in protected areas and forest reserves, the Trase study found. This left the EU exposed to 838,000 hectares of deforestation from Ivorian cocoa. Commodity trader Cargill leads the pack, according to Trase, with its 2019 exports exposed to 183,000 hectares of deforestation.
Over the last decade companies have proposed corporate social responsibility (CSR) initiatives that aim to tackle both ills. For instance, Mondelez, the maker of Cadbury and Toblerone, recently committed $600 million to tackle deforestation and forced labor in cocoa-producing countries, bringing its total funding for environmental and social issues to $1 billion since 2010.
These sums are, however, puny by comparison with the profits earned by those firms, said Fountain. Mondelez returned $2.5 billion to investors in the first half of 2022.
Mondelez is “excited” about its investments, the firm said in a statement. But it is calling for more sector-wide actions and rethinking its incentive model. Cargill did not respond to a request for comment.
Social responsibility
The big numbers that companies cite about their CSR programs’ reach often boil down to one-off training sessions on productivity for farmers, Uwe Gneiting, senior researcher at Oxfam, told POLITICO. This was the case for 98 percent of the 400 farmers interviewed for research recently carried out by Gneiting and others from the charity into the impact of sustainability programs over the last decade in Ghana on farmers’ incomes.
The research finds that CSR initiatives, which companies use to tout their sustainability credentials to European consumers, have not meaningfully increased farmers’ productivity or profits, pointed out Gneiting. In fact, farmers end up shouldering the associated costs, because companies offer the training but do not pay for extra labor or the fertilizer that farmers need to put it into action.
Instead, Ghanian and Ivorian farmers have been hammered by the soaring cost of production and of living over the last three years, finds the new Oxfam research. Fertilizer costs have increased by more than 200 percent, said Gneiting, along with labor and transportation costs. That in turn has contributed to a decline in yields that have also been hurt by climate change, with weather patterns becoming increasingly unpredictable.
All of this has meant incomes have declined close to 20 percent since 2019, said Gneiting, which for farmers already living on the poverty line is “existential.” The decline would have been much worse, he added, if it hadn’t been for the Living Income Differential. Nonetheless, 90 percent of the farmers interviewed say they are worse off than three years ago.
Over the same period, as cocoa prices have fallen, companies have made “windfall gains,” said Isaac Gyamfi, director of Solidaridad West Africa. “The raw material became cheaper for them. But the price of chocolate didn’t change.”
Can Brussels sort it out?
To what extent the new due diligence directive will make a difference depends on the final text that was put to a meeting of EU trade ministers on Friday.
When the European Commission first came up with the draft it was seen as a game changer, but subsequent wrangling over the regulation’s scope has raised doubts. Last week, ambassadors from France, Spain, Italy and some smaller countries voted down the text in the European Council, seeing the value chain and civil liability provisions as too wide and too ambitious.
Two-thirds of Ivorian cocoa is exported to the EU and the U.K. | Issouf Sanogo/AFP via Getty Images
A European diplomat told POLITICO that France supported the proposed directive “very strongly,” and its view that it was important to concentrate on the “upstream” part of the supply chain was shared by a majority of EU member countries.
NGOs take the view that, while it’s positive that the EU is proposing broad legislation, there is a risk that it ends up replicating the mistakes that undermined the voluntary initiatives. One of these is the potential limitation of the companies’ due diligence obligations to “established business relations.”
“What you’re going to get is a whole bunch of companies that are going to try to have as few established business relations as possible, which just makes supplying commodities more precarious, rather than less,” said Fountain.
Analysis from Trase finds that 55 percent of Ivorian cocoa, two-thirds of which is exported to the EU and the U.K., comes from untraceable sources. NGOs working on cocoa and on other sectors due to be impacted by the new directive are calling for it to be applied to business relationships based on their risk rather than their duration.
The civil liability mechanism, which should guarantee compensation for people whose rights have been violated, has also come under scrutiny. The latest compromise proposal debated in the Council, seen by POLITICO, reduces the risk of companies getting sued by stipulating that a company can only be held liable if it “intentionally or negligently” failed to comply with a due diligence obligation aimed to protect a “natural or legal person” — not a forest, for instance — and subsequently caused damage to that person’s “legal interest protected under national law.” But, it states, a company cannot be held liable “if the damage was caused only by its business partners in its chain of activities.”
Earlier this year, the EU, Ivory Coast and Ghana and the cocoa sector all committed to a roadmap to make cocoa more sustainable, which, they agreed, includes improving farmers’ incomes. Yet it remains unclear whether this will be mentioned in the final draft of the due diligence directive.
“Sustainability cannot exist without a living income,” said Heidi Hautala, Green MEP and chair of the European Parliament’s Responsible Business Conduct Working Group. Hautala, who is among those pushing for the reference to a living income to be included in the final text, added that responsible purchasing practices are “a prerequisite for respect of human rights, environment and climate.”
Living income “needs to be a part of it because otherwise you’re in trouble,” agreed Fountain.
“If you don’t look at what does a farmer need in order to comply, if you don’t make sure that a farmer actually has the right set of income, then all you’re doing is pushing the responsibility for being sustainable back to the farmer. And this is what we’ve done for the last two decades.”
Russian President Vladimir Putin turned back to his bloody, destructive playbook from Syria with a barrage of rocket attacks against civilian targets across Ukraine on Monday, ramping up pressure on Western allies to supply Kyiv with the air defenses it has long sought.
Monday’s rush-hour bombardment on the streets of Kyiv, Lviv, Dnipro, Zaporizhzhia and other regions came as little surprise, given that Putin had already signaled his willingness to switch to ever more brutal tactics by appointing Sergey Surovikin, the general who oversaw Russian forces in Syria on-and-off from 2017 to 2020, as commander of his struggling war effort in Ukraine.
In a speech at an emergency meeting of his National Security Council on Monday, Putin claimed the strikes came in response to this weekend’s attack on the Kerch Bridge linking illegally occupied Crimea to Russia. Putin said Russia had deployed “high-precision, long-range weapons from the air, sea and land” to deliver “massive attacks on targets of Ukraine’s energy, military command and communications facilities.” He added that Russia would continue to dole out retribution if Ukraine continued to strike so-called “Russian” territory.
Ukraine’s defense ministry said 75 missiles were launched, 41 of which were shot down.
Moscow’s claims to precision attacks on strategic targets seemed to mask the fact that the aim was clearly to kill civilians, as the missiles struck the Shevchenkivskyi district in the heart of Kyiv during peak morning traffic. Pictures and footage taken by reporters and from security cameras show cars on fire; a crater beside a children’s playground in the Shevchenko Park and a pedestrian bridge destroyed.
Ukrainian President Volodymyr Zelenskyy said on Telegram that Russia appeared to have two targets in its assault: energy facilities throughout the country — and Ukrainians going about their daily lives.
“They want panic and chaos,” Zelenskyy said, in a video that appeared to have been shot on his cell phone on the streets of Kyiv. Monday’s attacks came at a time “especially chosen to cause as much damage as possible … Why such strikes exactly? The enemy wants us to be afraid, wants to make people run. But we can only run forward — and we demonstrate this on the battlefield. It will continue to be so.”
Zelenskyy also renewed his appeals to the West to provide Ukraine with additional air defenses. Kyiv has been seeking this additional firepower for weeks, arguing that Russia is likely to try to knock out Ukraine’s energy and industrial infrastructure over the winter, and it has been disappointed by the slow response.
In tweets, Zelenskyy said he had spoken with German Chancellor Olaf Scholz and his French counterpart Emmanuel Macron in the wake of the strikes on the capital and other cities. With Macron, Zelenskyy said: “We discussed the strengthening of our air defense, the need for a tough European and international reaction, as well as increased pressure on the Russian Federation.”
Those discussions on air defense batteries are now likely to loom large at the U.S.-led Ukraine Defense Contact Group — also known as the Ramstein format — where senior defense officials from across the globe will gather in Brussels later this week.
Ukraine’s Defense Minister Oleksii Reznikov said on Monday: “The best response to Russian missile terror is the supply of anti-aircraft and anti-missile systems to Ukraine — protect the sky over Ukraine! This will protect our cities and our people. This will protect the future of Europe. Evil must be punished.”
The butcher of Syria takes over
Surovikin was only announced as the new Russian commander for Ukraine on Saturday.
The 55-year-old general, who before his promotion had been charged with leading Russia’s Southern Military District and Russian troops in Syria, has long been an infamous figure with a reputation for being ruthless.
He was linked to the violent suppression of the anti-Soviet 1990 Dushanbe riots in Tajikistan, and was reportedly imprisoned (before being freed without charge) after soldiers under his command killed three protesters in Moscow during the failed coup against then Soviet President Mikhail Gorbachev in August 1991. In 1995, Surovikin received a suspended sentence (which was later overturned) for participating in the illegal arms trade. Surovikin also played a role in Russia’s second Chechen war, commanding the 42nd Guards Motorized Rifle Division.
But Surovikin is best known — and most feared — for his command of Russian forces in Syria, where Moscow intervened to prop up Bashar al-Assad’s regime. Human Rights Watch, a non-governmental organization, listed Surovikin as one of the commanders “who may bear command responsibility” for human rights violations during the 2019-2020 offensive in Syria’s Idlib province, when Syrian and Russian forces launched dozens of air and ground attacks on civilian targets and infrastructure, striking homes, schools, health care facilities and markets.
It was not the first time Russian forces were accused of war crimes in Syria. The Kremlin’s troops, working with Syrians, undertook a month-long bombing campaign of opposition-controlled territory in Aleppo in 2016, killing hundreds of civilians, including 90 children, with indiscriminate airstrikes, cluster munitions and incendiary weapons hitting civilian targets including medical facilities.
Now, with Russian forces on the back foot in Ukraine and Putin’s full-throated rhetoric out of step with the situation on the ground in his war, Surovikin appears to be turning to his old tactic of inflicting massive damage on civilians in an attempt to turn the tide of the war.
The EU is seeking to reset its often testy relationship with Israel next week, convening a summit on Monday of senior political figures for the first time in a decade.
The meeting format, known as the EU-Israel Association Council, has essentially been dormant since 2013, when Israel canceled a gathering in protest over the EU’s stance on Israeli settlements in the West Bank. Since then, the two sides have continued to clash over similar issues.
But the 2021 exit of hardline Israeli Prime Minister Benjamin Netanyahu opened the door for current rapprochement. His replacement, Yair Lapid, who also holds the foreign minister role, has embraced a two-state solution with Palestine — a position more in line with many EU countries’ approach, even if several countries are still expected to express disapproval of Israel’s Palestinian policies on Monday. Brussels is also eager to shore up energy supplies from Israel amid Russia’s war in Ukraine.
Lapid is expected to attend Monday’s council meeting.
“There’s a big hope that the upcoming association council between the EU and Israel will bring … a new wind into our relationship,” Czech Foreign Minister Jan Lipavský told POLITICO last week at the United Nations General Assembly, expressing optimism that the development will be one of the key achievements of the Czechs’ six-month rotating EU presidency.
Still, getting EU consensus on one of the world’s most notoriously contentious conflicts is not going to be easy.
Countries like Ireland and Sweden have traditionally taken a more pro-Palestinian stance — Palestinian President Mahmoud Abbas stopped off in Dublin for a meeting with the Irish prime minister earlier this month en route to the U.N. annual gathering. On the other end of the spectrum, Israel has strong supporters within the EU. Hungary, for example, is a staunch ally with economic and ideological bonds forged over the years between Prime Minister Viktor Orbán and Netanyahu.
Before the EU-Israel council went dark, it had served for more than a decade as a forum for officials to regularly meet and discuss these issues. Now, with the council set to be revived, member states are tinkering with an official communique that needs to satisfy the spectrum of views regarding EU-Israeli relations.
Finding common language can mean weeks of fighting over a single word while backroom deals are cut to appease the myriad interests at play. Palestinian officials are also watching closely, demanding not to be left out of a similar diplomatic engagement with Brussels.
The EU’s complicated role in the Israel-Palestine conflict has played out in numerous controversies this year alone.
This spring, the European Commission was forced to delay funding for the Palestinian Authority over the content of textbooks, which critics say included anti-Israeli incitements to violence.
The decision to block the funds was led by Hungarian EU Enlargement Commissioner Olivér Várhelyi. As POLITICO first reported, 15 countries sent a letter to the Commission in April blasting the move. Commission President Ursula von der Leyen finally announced the money would be disbursed during a visit to the Palestinian city Ramallah in July.
EU commissioner for neighbourhood and enlargement Olivér Várhelyi | Kenzo Tribouillard/AFP via Getty Images
Further tensions with Tel Aviv emerged following an Israeli raid in July on the offices of Palestinian NGOs.
Israel had accused the groups — some of which received funds from EU countries — of being terrorist organizations. But numerous EU countries weren’t convinced.
In a joint statement at the time, Belgium, Denmark, France, Germany, Ireland, Italy, the Netherlands, Spain and Sweden all blasted Israel, saying it had not supplied “substantial information” to justify the raids. The bloc reiterated those “deep concerns” in August after further Israeli raids on civil society groups.
Another dynamic affecting the EU’s relationship with Israel is the Continent’s energy woes. As Europe scrambles to find alternative sources of Russian gas, furthering energy ties with Israel is one possible answer.
In a June visit to Israel, von der Leyen signed a memorandum of understanding with Israel and Egypt to boost gas exports. The EU is also Israel’s largest trade market and accounts for about a third of Israel’s total trade.
But while economic imperatives explain part of the new push for engagement with Israel, long-term observers say the outreach also reflects a new willingness to engage with Tel Aviv after Lapid came to power this summer. Lapid entered office as part of a power-sharing arrangement with Naftali Bennett, who held the job for a year prior to him.
“I think it is a genuine shift,” said Maya Sion-Tzidkiyahu, who helms the Israel-Europe Program at Mitvim Institute, an Israeli think tank. “The change of tone was made by Lapid, who shares much of the EU’s normative stance on the liberal democratic world order. It’s now much more positive than during Netanyahu’s government, even if Bennett and now Lapid government is not advancing the peace process.”
Sion-Tzidkiyahu said mutually beneficial scenarios are helping to replace “megaphone diplomacy” with closer dialogue.
“Disagreements on contentious issues such as the Palestinian or Iranian one will not disappear, but perhaps there are now better understanding for the concerns of each side,” she said.
Lipavský, the Czech foreign minister, is aware of the concerns some EU countries have about the Israeli’s government actions in the West Bank and towards Palestinians.
“We need to discuss [these concerns] openly, but I don’t think that one issue should block the debate about the others,” he said.
European Commission President Ursula von der Leyen poses for pictures with Israel’s Yair Lapid | Pool photo by Maya Alleruzzo/AFP via Getty Images
Officially, the EU supports the two-state solution that sees a Palestinian state living side-by-side in peace and security with Israel — a vision also shared by the United States. But making that prospect a reality seems as far away as ever.
Sven Koopmans, the EU special representative for the Middle East peace process, wrote earlier this month that all parties needed to help identify ways to solve the man-made conflict.
“The current situation is increasingly seen as a structural human rights problem, in which Israel has the upper hand,” he wrote in the Israeli outlet Haaretz. “That negatively affects how the world perceives Israel, and holds risks for the long-term. It should not be that way.”
When it comes to resuming the peace process, Sion-Tzidkiyahu is not confident.
“Under the current political circumstances in the Palestinian Authority and Israel, such development is not foreseen,” she said. “At most, the EU can push for more practical steps by Israel to improve Palestinian’s condition.”