Peace Initiative

Project entitled “Barter for Peace and Public Welfare”
Applicant Organization: Needful Provision, Inc. (NPI), a 501©(3) charity
Primary Contact : David A. Nuttle, President Tel. 1-918-868-5710
Project Title : As shown above. Budget: $270,000 (for 12 mo.)
Project Directors: Charles A. Gourd, Ph.D., COO Tel. 1-918-868-5710
David A. Nuttle, President Funding Requested: $135,000

I.            Problem Addressed: According to United Nations and World Bank data, over one billion people are impoverished rural and tribal populations living in political, social, and economic isolation from the nations in which they reside. The populations generally have their own cashless economies, and when possible they use barter to obtain basic needs essential for survival. Such barter is limited by trade items available, local communications, transportation, and other barriers. Thus, current barter options seldom meet existing needs. For a variety of reasons, many of these populations blame the United States (and/or their own governments) for their poverty, and to retaliate they frequently provide support for terrorist groups. There is a dramatic need to improve subject barter economies to remove economic isolation of the people concerned—while also reducing their alienation, improving their well-being, reducing the terrorist threat, and increasing opportunities for world peace. At the same time, there is also a need to reduce the threats to the public welfare resulting from subject conditions.

II.            Related Work: Charles A. Gourd, Ph.D. is a specialist on the problems and rights of indigenous populations, and has worked with the United Nations in helping identify the problems and needs of remote rural and tribal populations. For several years, Dr. Gourd has directed the indigenous development programs for the applicant, NPI. David A. Nuttle, has worked with remote rural and tribal populations in Africa, Asia, Latin America, and the Middle East. Mr. Nuttle is a specialist in barter trade, and has invented a new type of barter trade designed to bring isolated rural and tribal peoples into the global economy. As a former GS-14 CIA Special Operations Officer, Nuttle worked to assist Third World Nations develop programs to help resolve major security problems in isolated rural and tribal areas. One of Nuttle’s first projects was to design, implement, and manage a large homeland security project for the Montagnard tribes of S. Viet-Nam. Thus, both Gourd and Nuttle have undertaken extensive work related to the above stated problem(s) that now erode our opportunities for peace.

III.            Project Contribution to a Solution: Subject project will undertake research to determine how improved barter, for isolated rural and tribal populations, will improve the economic conditions and well-being for populations who have previously acted to assist terrorists. Positive research results, are expected to provide one more solution for reducing conflict. This project will also develop and perfect an innovative (low-cost), telecommunication and entrepreneurship systems that will help to resolve the above problems, while acting to prevent their reoccurrence.

IV.            Research Methodology: To engage in research to prove or disprove the following hypotheses—“Increased, and more effective, barter trade—for isolated rural and tribal peoples—will act to reduce all types of violence while increasing opportunities for peace.” The stated hypotheses is based on six decades of relevant observations, by the Project Directors, on the basis of conflict in rural and tribal areas. (Poverty seldom creates violence, but those who seek to create violence, for their own selfish reasons, frequently enlist support from angry and poor populations.)

V.            Work Plan: The project research, to be performed, includes the following:

1. To collect information on terrorism and other acts of violence as they relate to, Or originate from remote rural and tribal areas of the world.

2. To determine the critical unmet needs of subject populations in two pilot research areas, one in Mexico and one in Kenya. These locations were selected because they have accessible, poor populations with the critical conditions needed to undertake subject research.

3. To identify the resources, handicrafts, and/or products, owned by these pilot study populations that are surplus to their needs.

4. To locate the potential users/ buyers of the items identified by the above efforts; e.g. W.R. Grace Company for purchase of Neem seeds (typically surplus in several tribal areas) used for organic insecticide manufacture.

5. To determine the resources and/or products most needed by the two pilot rural/tribal populations; e.g. solar water stills (for potable water), solar powered ovens and refrigerators, production means for nutrient supplements, and so on.

6. To identify the most efficient entrepreneurship and manufacturing system(s) for the above items, and to undertake initial production/ manufacturing of same.

7. To evaluate communications options to find a secure, efficient, and economical means of two-way contact with remote areas lacking any usual communications, and generally lacking a reliable source of power.

8. To compare the above communication options with the satellite, burst transmission, pager-messaging system being developed by NPI (see attachment).

9. To conduct an operational test of a model barter program, with the test being undertaken between the impoverished Huichol Indians (of Mexico), a poor Kikuyu tribal clan (in Kenya), and the Alabama-Quassarte Indians (of Oklahoma). The Alabama-Quassarte (AQ) are expected to operate the main barter center (a contract is pending).

10. To evaluate the above test, to determine the benefits realized by the Huichol and Kikuyu; e.g. improvements in economic conditions and well-being, as well as the reduction of violence and/or the threat of violence of all types.

Scientific method will be used for all the above research. Data collection shall be extensive from a variety of sources, and all data will be carefully analyzed to fully determine actual results. In Mexico, Wendee Hill (Director of NPI’s ACA Latin Div.) will supervise before and after project data collection in the Huichol tribal area. In Kenya, Reuben Lubanga (Director of Inter-Community Development of Kenya) will supervise before and after data collection for the Kikuyu clan used for the second pilot research area. Research will be undertaken over a 12-month period to allow more time to observe project results as related to the target populations being studied.

VI.            Scientific Method(s): The two Project Directors engaged in a combined total of more than six decades of study and research related to the causes of conflict in remote rural and tribal areas of the world. Based on their observations, subject hypothesis was created as heretofore stated. Since the problem(s) identified are huge, and they now involve some 1 (one) billion people, research was focused on two pilot areas to make data collection more accurate. Data will first be collected on the causes of conflict, and then on the degree of conflict reduction after identified causes of conflict are effectively removed in two pilot areas. Thus, applied research will form the foundation of scientific method(s) used for subject project. Basic or theoretical research is a minimal part of the effort since solutions to conflict must actually be tested to measure results. Once initial research conclusions are drawn, they will be validated by additional research in other rural and tribal areas.

VII.            Indirect Support of Hostile Forces: As with most types of assistance, barter items may be obtained & utilized for benefit of hostile forces responsible for causing and/or sustaining conflict in remote rural and tribal areas. The self-help items provided, to impoverished populations, will improve the health and strength of these peoples as well as for any hostile forces using these technologies. But at the same time, most supporters of insurgency and/or terrorism should experience a reduction in their anger as the original causes of anger are removed. By this means, efforts for peace will have a psychological advantage not previously possible. In brief, indirect aid to hostile forces may have benefits for peace so long as the support does not provide for increased weapons capabilities. For this reason, barter trade items will be carefully controlled to ensure that hostile forces do not utilize such trade to increase their means to continue a conflict. As part of this latter effort, no cash will ever go to trade areas where it could be used to buy weapons.

VIII.            The Basis for Barter Trade: Remote rural and tribal populations seldom have cash to acquire items to meet basic needs, but almost every group has some type of resource, handicraft, or product that may be used in barter trade. As was indicated above, some rural and tribal areas have Neem trees from which Neem page 4 seeds may be harvested. A local barter trade center could arrange for the trade of a quantity of Neem seeds for a quantity of solar powered refrigerators. The U.S. barter trade center would arrange for manufacture and shipping of the refrigerators, while also confirming harvesting and shipping arrangements for the Neem seeds. At the same time, the barter center would arrange for the cash sale of these seeds to W.R.  Grace Company. This company would then use the seeds to make their proprietary organic insecticide derived from Neem seeds. By creating such a trading system for a wide assortment of products, the rural and tribal poor may become active participants in the world’s economy. (The benefits of such participation is expected to include a reduction of violence for the populations concerned.)

IX.            Final Product: The final product is expected to be a book entitled, “Barter Economics for Peace.” There will be several chapters, in Part I, dedicated to the discussion of results from each aspect of the work plan, as well as a conclusion based upon project research. In Part II, seven chapters will detail the organization of barter trade with remote rural and tribal populations. These chapters are: 1) What to Trade For; 2) What to Trade With; 3) Establishment of Trading Posts; 4) Trading Security & Communications; 5) Selling Trade Items for Cash: 6) Management plus Manufacturing and Marketing Issues; and 7) Barter as a Tool for Peace.

X.            Project Evaluation: The University of Arkansas, under the direction of Janie Simms Hipp, J.D., LL.M., will evaluate all aspects of the research as well as results of the research.

XI.            Project Budget: The $135,000 grant requested represents 10 percent of NPI’s budget during the research period. Other major NPI projects, during the same time period, include $470,000 for a model Citizens Corps Project and $250,000 for a Community Food Security Project for the United Keetoowah Band of Cherokee Indians in Oklahoma. NPI receives funding from individuals, corporations, foundations, government agencies, and royalty from patents owned. During the project period, most funds will come from federal grants (DHS & USDA). Project costs, paid by grant funds, are as follows: 1) Salaries -- $42,000; 2) Various data collection activities -- $7,500; 3) Travel -- $13,100; 4) Barter trade demonstrations --$17,400; 5) Supplies -- $1,500; and 6) Innovative, remote area telecommunications equipment development -- $53,500. (NPI has already provided and expended $135,000 for the development of the proprietary barter trade system to be used for this project.)

XII.      Conclusion(s): The Economics of War and Peace Solicitation, by the U.S. Institute of Peace, seeks to find answers regarding the influence of humanitarian relief organizations in building peace. Subject research is focused on the peace benefits of barter trade, for isolated rural and tribal populations, as conducted by charitable organizations such as NPI (applicant). Thus, this research addresses the use of barter trade as a tool for policymakers and others interested in eliminating conflict. At the same time, NPI will carefully consider aspects of barter trade as related to exacerbating or ameliorating any conflict. Although there is an array of humanitarian relief activities, by various charitable organizations, the narrow focus of this research is designed to make the research results very comprehensive. The U.S. Peace Institute limits its grant funding to under $40,000 per project—so NPI is seeking another $95,000 to fully fund the subject research effort(s). Such research is necessary to document the feasibility and effectiveness of the proposed solution to conflict.

XIII.            Relationship to Southeast Asia (SEA) Research: NPI is also interested in finding ways to overcome the complex ethnic, religious, and socio-economic diversity that has resulted in sustained conflict and periodic government repression (by various SEA governments). In the early 1960s, David A. Nuttle used barter trade as part of an effort to provide economic ties between several diverse groups in S. Viet-Nam. Although this effort produced very promising results, the Govt. of S. Viet-Nam’s (GVN’s) President Ngo Dinh Diem ordered an end of the barter program fearing “that opposition to government might be encouraged if barter strengthened populations already hostile to the GVN.” For the same reason, President Diem also directed the end to a successful homeland security project (the CIDG Program) that joined several diverse groups together. (Nuttle also helped to start the CIDG effort.) Although NPI has the experience to research possible solutions to conflict in SEA, time factors and funding will require such an effort to be delayed. However, this prior SEA experience indicates that host government support is needed to sustain barter programs. (Some governments maintain control by sustaining the poverty of opposition groups.)

XIV.            General Opposition: Far too many people believe the poor have nothing of value, and are not worth considering as a possible market. On a short-term basis, refugees seldom have anything to market other than their labor. However, refugees do recover, and most of the world’s impoverished populations have trade items with market potential. Added to the above stated problem, there is a false belief that the poor simply do not matter ---and that violence is the product of others who simply exploit the poor. An extension of this false logic is that solving the many problems of the poor will do little to reduce violence, because the poor are not the primary force behind the violence. From our experience, violence is sustained by development of a strong base of support by, and for, those who initiate the violence. Our contention is that the poor are too often providing such a base of support for violence. We believe our research will show that by reducing the anger and frustration of the poor will reduce violence when the poor have reason(s) to withhold support from the perpetrators of violence.

XV. Attachments: As required.

Submitted by: David A. Nuttle, President Date: 23 August 2004