NATO's Policy of Afghan Drugs

It boggles one's mind how twisted the official American logic is. The New York Times writes about the reluctance of NATO to eradicate the deadly crops and heroin laboratories in Afghanistan, explaining it by the chicaneries behind the formulations in the new NATO mandate and the concern about poor Afghan farmers 'toiling' in poppy fields.

'The drug trade (Afghanistan produces from 93 up per cent of the world heroin - H. S.) is estimated to account for about half of Afghanistan's meager economy, and some of the nation's poorest people, including farmers who toil in the poppy fields, are dependent on incomes that flow directly or indirectly from narcotics... Mr. Karzai has also opposed the forceful eradication of poppy crops, something that did not appear to be sanctioned by the new NATO mandate... According to the recent United Nations survey, 98 percent of Afghanistan's opium comes from seven provinces in the southwest, with no opium at all produced in half of the country's 34 provinces. The bulk of the NATO troops operating in the southwest come from the United States, Britain, Canada and Denmark... Together with the United States, Britain and Canada have already taken the heaviest casualties among the NATO nations fighting the Taliban and Al Qaeda, with NATO troops who have died in the seven-year war now approaching 1,000, including more than 600 Americans. (New York Times, October 11, 2008) End quote.

Amazing! Thus the troops, stationed in Afghanistan, and in many ways causing the grim situation there, are the main sufferers and potential victims... Not hundreds of thousands of the young Russian, Tajikistani, Kirgizstani, Uzbekistani, Kazakhstani, etc. who have fallen victims to the narcoagression (in Russia in some years up to 100,000 people a year).

During more than seven years of occupation the what meager economy Afghanistan had has been ruined, the infrastructure destroyed, industries hamstrung. While under Taliban the opium production was kept low, during the NATO occupation Afghanistan has become a legalized narcostate, a corporation of heroin production and genocidal traffic.

The logic cleared from the hypocrisy seems to be as follows. What is the annual loss of 100,000 young representatives of low-priority nations in comparison with the risks for NATO soldiers and the stability of Afghan narcoecomony?

But the real rationale, as some see it, may lie deeper still. Was it not Allan Dulles and Co. who advocated the reduction of the number of Russians to some 30-50 mln? Was it not Margaret Thatcher who once mentioned that only 15 mln people were economically justified on the territory of the USSR? Was it not Bill Clinton who echoed her?... The logical link seems obvious - we are subject to partial eradication and partial colonization.

Below I tabulate the data, illustrating the dynamics of opium production during 2000-2007.

(from http://narkotiki.ru/ocomments_6613.html)

Sown areas of opium poppies (thousand hectares)

2000 - 82

2001 - 8

2002 - 74

2003 - 80

2004 - 131

2005 - 104

2006 - 165

2007 - 193

Amount of opium produced (ton)

2000 - 3300

2001 - 185

2002 - 3400

2003 - 3600

2004 - 4200

2005 - 4100

2006 - 6100

2007 - 8200

Equivalent to heroin amount (ton)

2000 - 330

2001 - 18,5

2002 - 340

2003 - 360

2004 - 420

2005 - 410

2006 - 610

2007 - 820

As we see, since 2001 - the moment of bringing the NATO and American troops into Afghanistan - the production of opiates and heroin has increased 2-2.5 times. There is a streamlined credit and financial system and well-developed warehousing logistics to support the production and storage of narcotics. According to recent data, over 1,000 ton of pure heroin are stored in Afghan warehouses to serve as an 'insurance fund', damping the seasonal fluctuations of poppy crops. It is not surprising that banks willingly credit the farmers, engaged in opium production, which shows the lack of any serious risks.

According to Viktor Ivanov, head of the Russian Federal Service of Narcotics Control, this fact needs a serious analysis from the geopolitical perspective; the same is true about using narcomoney to influence the economic, political and other areas of life on the post-Soviet territory, among other things, to boost terrorism in the Caucasus. The problem of narcotics is also named as a reason for NATO advancement to the former Soviet republics (Kirgizstan, Tajikistan, etc.)

Let me turn your attention to the situation in Russia, where I belong. While there was an insignificant percentage of drug addiction when the 'iron curtain' was firmly in place to shield the USSR and socialist states from 'bourgeois influence', during the 20 years which followed the addiction has grown dramatically. Now, according to official statistics, about 2 per cent of the Russian population abuse narcotics, most of them - the 'heavy' ones of the opium group. And as clinical practice shows, those who regularly take heroin die within 5-7 years. In Russia the annual number of the deceased addicts ranges from 30,000 to 100,000 (predominantly young people), which is several times more than the death toll of the 10-year-long war of the USSR in Afghanistan. The supermortality of drug addicts at their stable total number means the systematic hidden inflow of new addicts instead of those quitting by death. Their contingent fully renews every 6-7 years, and the recruiting of young people never stops. It is a hidden Moloch, day by day gorging the young population of Russia.

But those addicts who remain to live also prove to be lost for the society, are excluded from social life and get involved in a criminal activity, recruiting new and new people. As a rule, they act as retailers of narcotics, working for wholesalers to earn a dose and relieve the 'breaking'. The established number of people convicted for narcocriminal activity is comparable to the number of servicemen in the Russian Army.

It is noteworthy, that the use of narcotics in Russia exceeds that in the European Union 8-10 times. This also testifies, apart from the proximity of Russia to the narcostate, to the directed narcoagression into Russia. The three main northern narco-streams from Afghanistan pass through Central Asia and Kazakhstan and lead to the Moscow Region, Urals and Siberia.

The social and economic consequences of the narcotic criminality in Russia are obvious: asocial and antisocial behavior, truncated fates, unborn children, and negative childbirth statistics in the situation of ongoing depopulation of the country. There is not a single family in Russia, which hasn't been confronted in some way with the problem of narcotics - all of them have relatives or acquaintances whose children have become addicted or died of narcotics.

Under the circumstances it is very strange to read in the New York Times of October 2, 2008, on page A8:

'The commander, Gen. David D. McKiernan, made clear that international troops in Afghanistan were not going to eradicate opium poppy crops. Afghanistan is the world's top supplier of opium poppies, which are processed into heroin.

But by drawing a clear link between the narcotics trade and its role in the insurgency, General McKiernan was outlining what could be an important and expanding role for American and NATO troops as they seek to eliminate a source of money and weapons for the insurgency.

"I think there's a need for increased involvement in I.S.A.F. in assisting the Afghan government in counternarcotics efforts," said General McKiernan, commander of NATO's International Security Assistance Force, or I.S.A.F. "Where we can make a clear intelligence linkage between a narcotics dealer or a facility and the insurgency, I consider that a force protection issue, and we can deal with that in a military way."

Well, perhaps it is sensible from the military viewpoint to selectively destroy only the crops and laboratories associated with the insurgents, but is it humane to continue conniving at the opium production? At whose expense is the shaky well-being of Afghanistan achieved? And why not co-operate with the CIS states (in the first place Russia, Kirgizstan, Turkmenistan, Tajikistan, Kazakhstan, Uzbekistan) to resolve the situation? These issues await solutions.

Machinery Loss of Profit Policy :- Can Help Business Concerns

A close up view of: -

Machinery loss of profit

Despite all the precautions taken by managers, companies may suddenly find itself in a situation that threaten its survival, e.g. as a result of natural disasters, accidents, fire, industrial espionage, sabotage, damage to their reputation, or the failure of a supplier, the power supply or a telecommunications network.

It is well accepted fact that risks can never be entirely eliminated. However, while corporate managements cannot guarantee that losses will be precluded, they are at least expected to deal with loss events and the attendant aftermath in a satisfactory manner.

In addition to the traditional tasks of risk management - identifying, analyzing, reducing and transferring risks companies are thus increasingly being expected to prepare systematically to deal with loss events. A step for this purpose is machinery loss of profit.

Introduction

Under both machinery and fire insurance, indemnity is provided, in respect of damaged or destroyed machinery, solely for the material loss sustained by the insured. These types of insurance do thus not protect the insured against all the losses which arise in connection with a fire or the breakdown of machinery, since in most cases a material loss also causes an interruption or interference of the insured's business operations. The result is a financial loss in the form of lost profit and unearned standing charges. In many cases the loss sustained as a result of an interruption or interference of business operations by far exceeds the mere material loss.

An awareness of the need for insurance protection against the financial consequences of material damage arose at the beginning of this century, and the result was the introduction of the two variants, loss of profits following fire insurance and loss of profits following machinery breakdown insurance - also called machinery loss of profits (MLOP) insurance. As the size of modern production facilities increases, MLOP insurance is becoming more and more important. The individual production stages in modern processes are often accomplished by just one machine, the failure of which leads to substantial interruption losses.

Machinery loss of profit policy is just a replica of fire loss of profit policy. Like fire loss of profit is require standard fire policy same with MLOP. It requires machinery break down policy or boiler and pressure plant policy or eclectic equipment policy. In US it is known as Business interruption insurance. Sometimes it is also called as business income coverage or loss of profit insurance, is typically a rider or endorsement added to a business's property/casualty policy. As such, what's covered under the main property/casualty policy will determine what is and is not covered for business interruption. For example, P/C policies typically cover fire, but not floods or earthquakes, so if an earthquake damages the business, your business interruption coverage won't kick in unless insured have obtained additional coverage for earthquakes.

Need for MLOP

Business expert Ms.Meenakshi Gupta said this policy is must for every business organization as the market competitions is so tight that one minor loss can ruin the whole business.

The incident of machinery breaks down not only cause loss of property to industry but result in stoppage of work, resulting in loss of production and loss of fixed charges which ultimately results in loss of profit. To cover loss of profit because of machinery breaks down it requires a specific policy given with machinery break down policy or boiler and pressure plant policy or eclectic equipment policy.

The basic features of MLOP insurance will be dealt with.

1 Subject matter insured

MLOP insurance provides cover for the actual loss of profits sustained as a result of a business interruption caused by material damage indemnifiable under machinery insurance. MLOP insurance provides indemnity also in cases where the material loss amount falls below the deductible to be borne by the insured under the machinery cover. Basically speaking, a loss due to an interruption or interference of business operations is made up of the following factors:

1. The reduction in operating profit, i.e. the profit from selling the goods produced and traded by the insured and from rendering services.

2. The standing charges, i.e. the costs incurred entirely or in part if operations are interrupted or impaired. These comprise wages and salaries, including social security contributions if they continue to become due during the interruption; interest, economic depreciations, basic rates for third-party energy, expenses for the current upkeep of buildings and machines, rent, taxes and other non-specified working expenses, expenses for the preservation of vested rights, insurance premiums and other business expenses, e.g. guaranteed commissions.

3. Not included in standing charges, however, are turnover taxes and expenses for raw or auxiliary materials, fuels and goods purchased unless they serve to continue operations; excise taxes, freight charges, specified license and inventor's fees and similar expenses. Loss minimization costs are also covered if they lower the insurer's obligation to indemnify. These include expenses that avoid, minimize or terminate an interruption loss soon after the occurrence of material damage.

Loss minimization is of great importance in MLOP insurance. The following are examples.

1. Purchase/sale of semi-finished goods

2. Provisional repairs

3. Early overhauls

4. Purchase of non-identical (but compatible) machinery

5. Express, airfreight

6. Overtime work, additional shifts, work on Sundays

7. To accelerate repairs on undamaged machines to reduce the interruption loss

8. Rent of machinery (e.g. transformers, boilers, compressors)

9. Shifting of operations to alternative plants

10. Making up for the production loss after reopening

Coverage

Machinery loss of profit policy gives cover against consequential losses following loss or damage to the property insured under machinery breakdown and/or boiler and pressure plant insurance. This policy covers actual financial losses suffered by the insured due to business interruption arising from:

a) Reduction in turnover and

b) Increase in cost of working

The standard policy thus insures the loss of gross profits in the business because of accident to the machinery, boiler and pressure plant, electric equipment covered under respective policy.

What Can Be Insured?

Continuing Overhead Expenses: - which have to be met out of reduced earnings such as rent, taxes, interest on debentures, mortgages and loans.

Increase in Cost of Working: - necessarily incurred to overcome or to minimize the effects of damage upon the business such as renting of temporary premises, hiring of machinery or extra labour costs.

Loss of Profit: - which would be earned by industry if there was no damage to machinery.

Wages: - of employees not gainfully employed during the interruption period and payments to employees whose services are no longer required.

Indemnity Period

In contrast to a material loss, the loss of profits following a business interruption depends on the time factor involved. In other words, the longer the period for which operation is interrupted or impaired, the greater the loss of profits. For this reason it is essential to set a certain limit for the period during which the insurer is obliged to provide indemnity for an interruption loss. This is done by the insured specifying an indemnity period limit which represents the maximum time for which an insurer is liable for loss of profits. The period of indemnity begins on the date on which material damage could first be said to have occurred, as judged according to the recognized principles of engineering, at the latest, however, on the date when the loss of profits commenced. Generally the indemnity period limit is three, six, nine or twelve months. The basic rule is that the indemnity period limit should relate to the amount of time required for removing the interruption loss, i.e. for repairing the machinery damaged or for the delivery of new machinery in cases of a total loss, assembly and trial run. Higher premiums are, of course, charged for long indemnity period limits.

In other words the indemnity period commences with the date of damage and lasts till such a time as the business is restored to its pre damaged level or the period stipulated policy which ever comes first. The policy insures earnings of the business lost during the indemnity period. But in any case indemnity period will not exceed 12 months.

Graph showing relation of indemnity period with damage

Sum Insured

Sum insured is net profit plus standing charges. For calculating profit past years data are taken. It is difficult to calculate gross profit for future so it is allowed to increase gross profit by 50%.

Refund of premium is allowed if estimated figure is more then the actual figure but subject to that refund does not exceed 50% of premium collected.

Premium

Premium rates depend on the critical nature of the machinery covered by the breakdown or explosion policies; their relative importance and contribution to final output; the repairs, maintenance and stand by facilities available and the indemnity period opted.

Exclusions

1. Loss or damage to machinery or other items which are not listed in the list of machinery insured even if the consequence of material damage to an item indicated in the list of machinery insured is involved

2. Any restriction on reconstruction or operation imposed by any public authority

3. Shortage, destruction, deterioration and spoilage of or damage to raw materials, semi-finished or finished products or catalyst or operating media even if the consequence of material damage to an item indicated in the list of machinery insured is involved

4. Alterations improvements or overhauls being made while repairs or replacements of damaged or destroyed property are being carried out

5. Extension of repair period beyond 4 weeks on account of

a. Inability to carry or delays in carrying out repairs

b. Prohibition to operate the machinery due to import and/or export customs & other restrictions or by statutory regulations

c. Inability to secure or delays in securing replacement parts, machines or technical services

d. Transport of parts to and from the insured premises

6. Willful acts or Gross Negligence on the part of Insured &/or his employees

7. War or warlike operations, Civil Commotion, Strike & Locked-out workers

8. Nuclear reaction, nuclear radiation or radioactive contamination

9. Loss or damage caused by any faults or defects existing at the time of commencement of this insurance within the knowledge of the insured or his responsible representatives whether such faults or defects were known to Company or not

Time exclusion

Explosive factory, petrochemical, power plant and fertilizers 14 days exclusion where as in other industry it is 7 days.

Underwriting consideration

- Risk inspection report.

- Description of plant

- Date of make

- Work performed

- Alternative means of working

- Repair time

- Spare parts held

- Unattended plant

- Percentage of daily loss. Incase production is halted.

- Any alternative means of working available.

- Stand by machine.

- Breakdown experience.

The possibilities of loss minimization

The results of MLOP insurance depend to a great extent on the loss minimization measures taken. It is therefore quite obvious that this topic deserves special attention. Such measures for loss minimization are, for example, the hiring of substitute motors, generators, transformers, boilers, small turbines, etc. or the speeding up of repair work by carrying out complex welding operations even on high-alloy materials or using metalock and other special repair methods on the damaged components.

Terms used in policy:

The following terms used in this policy will be defined as follows:

a. Gross Profit is defined as the sum produced by adding to the Net Profit the amount of all insured fixed charges. If there is no Net Profit the amount of all insured fixed charges less that proportion of any loss from business operations as the amount of the insured fixed charges bears to all fixed charges.

b. Net Profit is defined as the net operating profit exclusive of all:

1) Capital receipts and accruals; and

2) Outlay properly chargeable to capital;

Resulting from the business of the Insured at the described location after due provision has been made for all fixed charges and any other expenses, including depreciation, but before deduction of any taxes on Profits.

c. Insured Fixed Charges are defined as all fixed charges unless specifically excluded in the declarations.

d. Sales are defined as the money paid or payable to the Insured for:

1) Goods sold and delivered; and

2) Services rendered;

e. Rate of Gross Profit is defined as the rate of Gross Profit earned on the sales during the twelve (12) full calendar months immediately before the date of physical loss or damage to the insured property.

f. Standard Sales are defined as the sales during that period in the twelve (12) months immediately before the date of the loss or damage to the insured property which corresponds with the period of indemnity.

Marketing aspect for betterment of MLOP policy in India

Capered to other products of engineering insurance, MLOP is very less in number. This product requires proper advertisement and making the small business owner aware of this policy. This policy is more suitable for small industrial sector of India which facing many difficulties. Agents are required to train about coverage and usages of policy, so that they will be in position to explain other. Special advertisement campaign is required.

Vishnu Ramdeo

MBA (Insurance)

National Law University

Jodhpur.

India

mr.Vishnu Ramdeo has done his garduation in B.com honours in accounting and finance. He has done his MBA in Insurance from National Law University, Jodhpur India. his intreset areas are insurance, taxation,investment,equity research and law.

Cheap Rhode Island Car Insurance - How to Find the Cheapest RI Car Insurance Policy

The small size of RI lends itself nicely to offering rural residents the ability to find some very cheap Rhode Island auto insurance rates is one is simply willing to shop around. The reason for these cheap rates is that the population in Rhode Island is approximately 1,067,610 according to the United States Census Bureau; and the state itself unlike others, does not have really big cities. This is a perfect fit for the residents because the lower the number of people in the state, the lower theft rates and car accidents are going to be (which are two of the most important things when it comes to producing the price in a RI car insurance policy).

Residents of the state should also know that since most of Rhode Island consists of small towns and communities with many rural areas, their prices will be relatively lower in comparison to other places. The state however, like all the other ones in the nation mandates that a person must have automobile insurance before setting foot and actually driving a motor vehicle. But just how much coverage should a person expect to get if they want to transit the roads of Rhode Island?

The Rhode Island Department of Motor Vehicles will not give a license to anyone that does not show proof of having automobile insurance with what the state calls a 25/50/25 coverage. This means that a person expecting to drive in the state of Rhode Island has to have $25,000 for bodily injury liability coverage per person involved in the accident and up to $50,000. The third number simply refers to property damage coverage and a person in this state is required by law to have $25,000 to cover this expenses after an automobile accident.

One thing to note about this state is that it does not have a Personal Injury Protection Coverage (also called PIP). This coverage will take care of your medical expenses or the medical expenses of the passengers in the car you are driving at the time of an accident and it can be vital in saving you money or in helping you avoid being sued by one of your passengers after an injury. Although a lot of people don't see the need for these coverage it is always important to try and get a quote to see how much it really adds to the policy, and if the price does not go up as much and it's affordable then it is always good to have the coverage.

People in Rhode Island paid about $250 more in car insurance compared to the average rate in the nation. This means that although some people are saving money in this state, some others are paying high rates - the average is driven up quite a bit by those who live in Providence, Warwick, Pawtucket, Cranston, and some of the other relatively larger cities in RI.

In order to save some money those people with high rates can opt to shopping around for a more convenient price. They can do this by simply requesting quotes from their company and other institutions to see which one gives them the advantage when it comes to pricing (although it is important to highlight that not all the cheap policies have the same level of coverage, so you must always shop around).

There are other things however, that Rhode Island residents can do when it comes to trying to find low cost car insurance. They can try and stick with the minimum coverage (that does not have collision or comprehensive coverage) if they have an older car and money in the savings to fix the vehicle in case of an accident. The lowest rates possible will come when people purchase the minimum coverage.

If you are still making payments on the vehicle or you are leasing the car you will not be able to stick with the minimum requirements. The reason for this is that the company you bough or leased the vehicle from wants a guarantee that you will pay in full, so they make the buyer get collision and comprehensive coverage so that they can be paid back when the vehicle is damaged.

Rhode Island is a beautiful state without huge cities like New York or San Francisco where traffic is horrible and car theft is common. Because of this Rhode Island residents should know that lower cost RI car insurance rates are possible and should try to go out and search for better prices when it comes to automobile insurance. Get started finding cheap auto insurance today!

GM's Lutz Calls For National Renewable Energy Policy

During President George Bush's State of the Union Address in January this year, he pointed out that one of his administration's goals is energy independence for the country. He also promised to earmark a huge amount of funding for the development of alternative fuels which will reduce the United States' dependence on oil-producing countries.

This announcement was followed by the President's visit to the assembly plants of General Motors and Ford. The president also met with chief executive officers from Ford, General Motors and Chrysler as evidence of his dedication to making the United States energy independent. While the "Twenty in Ten" goal announced by the President is supported widely by U.S. car manufacturers, General Motors' Vice Chairman Bob Lutz seems to have taken a step back from the administration-inspired "global climate-change mania".

The journeyman of the auto industry who has worked for BMW, Chrysler and Ford and currently with General Motors pointed out that the administration should enact a national policy concerning the use of alternative fuels. Lutz pointed out that the current energy dependence issue is putting pressure on the auto industry only. He pointed out that the auto industry is already doing its part to reduce fuel dependence but it also needs help from other sectors of the country especially the alternative fuel industry with the support of the U.S. government.

One problem being faced by the auto industry is that there are few refilling stations that are catering to the need for bio-ethanol.

This issue has been raised recently by concerned individuals in the auto industry. The number of flex-fuel vehicles on the road is ever increasing but only one percent of these actually run on E85. This fact shows that the vehicles produced by car manufacturers to reduce fossil fuel consumption and greenhouse gas emissions are being rendered useless.

While tests have shown that if these vehicles run on E85, which is a combination of conventional gasoline and bio-ethanol, greenhouse gas emissions can be significantly reduced. Add to that the fact that these vehicles are still running on conventional gasoline shows that greenhouse gas emission is not really reduced.

Another problem being faced by the alternative fuel industry is that it cannot produce enough bio-ethanol for the nation's consumption. The Bush administration has already taken steps to support the alternative fuel industry by urging the U.S. Congress to approve the funding for companies developing alternative fuels. Bob Lutz though has suggested that the United States should import bio-ethanol from Brazil. Brazil is currently the fastest growing producer of bio-ethanol. "I'd much rather import from Brazil than from some of the countries that we're getting the oil from today," says Lutz.

In the United States, aside from developing bio-ethanol as an alternative to fossil fuel, biodiesel is also being promoted as a substitute to petroleum diesel.

As far as General Motors financial stability, Lutz said that GM is having a "pretty good year". This is in view of the fact that Toyota has overtaken them for the first quarter of 2007 in terms of global sales. General Motors, while losing billions for the past couple of years or so, has posted a good ending to the year 2006 with a fourth quarter profit of $950 million. Although the Detroit-based auto manufacturer ended 2006 on a high note, they still suffered from a $2 billion loss for the entire year. While Toyota's success may require highly efficient brake pads from EBC Active Brakes Direct to be slowed down, General Motors is already taking steps to take back their position as the top of the sales output list.

As far as the competitiveness in today's auto industry, Lutz has this to say: "This industry is more than 100 years old, and it has definitely seen some dog-eat-dog days, but I'd venture to say that it's never seen a period of more intense, more pressure-packed competition than right now."

Anthony Fontanelle is a 35-year-old automotive.buff who grew up in the Windy City. He does freelance work for an automotive magazine when he is not busy customizing cars in his shop.You can also visit EBC active brakes direct for more information.