NEWS January 14th 2004

UPDATE: Killer-Coke Campaign

On 22 July 2003, an international boycott was launched against Coca-Cola. The campaign wasdesigned to bring huge public pressure on the corporation to ensure that workers in its subsidiaries abroad are fully protected by the company from attacks, and are allowed to organise freely in trade unions. There are signs that the campaign is already having an impact with investors dumping large amounts of Coca-Cola shares due to the uncertain climate in which Coca-Cola now operates.

At the launch of the campaign in London, six protesters in north London brought the Coca-Cola processing plant to a standstill. Eleven arrests were made, although the people were later released without charge. The action is estimated to have have cost Coca-Cola at least £30,000 in lost revenue. In Piccadilly Circus hundreds of people listened to speeches and danced to samba beats while four ‘waitresses’ wiggled through the crowd offering everyone (literally) bloody Coke drinks.

Marta Hinestroza, a refugee lawyer representing peasant farmers displaced off their land by BP's pipelines in Colombia, called for a boycott of Coca-Cola as representative of how multinationals are plundering the natural resources of the Colombian people, and using violent methods to crush opposition.

A month after the international boycott had been called, an assassination attempt was made on Juan Carlos Galvis, Vice-president of SINALTRAINAL (the workers' union) as he was traveling in a bullet-proof vehicle through the neighbourhood of Buenos Aires.
The international boycott is already taking its toll. In Dublin, an Irish Cultural Centre, a leading tourist attraction, no longer sells Coca-Cola. University College Dublin has resolved to remove Coca-Cola from its campus. And the boycott in Ireland is rapidly spreading, with leading restaurants and bars removing Coke from their shelves.
Coke worldwide

In May 2002, several employees of Coca-Cola in Texas accused the company of repackaging nearly out-of-date soda cans and bottles and reselling them in stores frequented by people of colour - primarily Latino and African-American people.
Local residents in Mehdiganj, near the holy city of Varanasi, are also gearing up for a struggle against Coca-Cola. Coca-Cola has illegally occupied a portion of the common property of the village and was found guilty of evading payment of land revenue by a local court. Protesters were met at Coca-Cola's factory gates by about 200 police personnel, sent to 'protect' the plant along with 50 gun-toting private security guards. This was not for show - the demonstrators were beaten up. The Coca-Cola plant in Mehdiganj enjoys heavily subsidized electricity and is accused of spewing toxics into surrounding agricultural fields as well as causing serious water shortage as a result of its operations.

Under the rules of entry for Coca-Cola into India, it was agreed that Coca-Cola would divest 49% of its equity stake in India within 5 years. In an unprecedented move, the government of India seems to have bowed to Coca-Cola's pressure, and is on the verge of changing its policy in this regard to suit Coca-Cola's interest. We are faced with a situation where Indian investors will own 49% of Coca-Cola's Indian operations, but have no vote whatsoever. Just like in the Enron case, the US government played a significant role. Robert Blackwill, the US ambassador to India, in a letter to Brajesh Mishra, Principal Secretary to the Prime Minister of India, stated that, 'I would like to bring to your attention, and seek your help in resolving, a potentially serious investment problem of some significance to both our countries. The case involves Coca-Cola, one of the largest single foreign investors in India.'

Coca-Cola is also the target of an international campaign demanding that Coca-Cola guarantee access to care and treatment for all their employees and their families living with HIV/AIDS, especially in Africa where Coca-Cola is a major employer.
Holding Coca-Cola accountable for its pollution, as various communities in India are trying to do, will not be the first such instance. In May 2003, Coca-Cola de Panama was fined US$300,000 for polluting Matasnillo River in Panama.

Don’t drink Pepsi if you work for Coca-Cola. Rick Bronson, a driver at a Coca-Cola bottling plant in California found this out when he dared to attempt to consume a rival drink. He wasn’t aware that he was being watched by his bosses. A spokesman declined to comment on Bronson’s case and wouldn’t say whether drinking a rival company’s products was a disciplinary offence. Despite this Rick was apparently fired for drinking Pepsi but insists that he didn’t swallow.
In 2000, Coca-Cola paid out $192.5m (£120m) to African-American employees who accused the company of racial discrimination.
In Zambia, an aggressive advertising campaign reminiscent of Nestle peddling baby milk powder, has convinced mothers to substitute soft drinks instead of breast milk. 'Fanta baby syndrome' is now a common form of infant malnutrition.
A study in Rio de Janeiro has identified Coca-Cola as a major source of malnutrition and vitamin deficiency in kids.
Independent bottling plants

When activities carried out in its name can no longer be denied, Coca-Cola absolves itself of all responsibilities by claiming the plants are independent.
But are they? How independent are these bottling plants?
If we put aside the question of joint brand ownership, and tightly drawn contacts, and simply look at ownership, it can be seen the bottlers are not as independent as Coca-Coal would like us to believe.
Coca-Cola's main bottler in Colombia is Panamco Colombia. It operates 17 out of the 20 plants, and is a subsidiary of Miami based Panamerican Beverages Inc, (Panamco). Panamco is one of Coke's strategic 'anchor bottlers'. In December 2002 another major bottler, the firm Coca-Cola FEMSA announced it would buy Panamco for $3.6 billion. This acquisition was completed six months later.

Since, according to the South Florida Business Journal, "Coca-Cola owns about one-fourth of Panamco", the buy-out involved Coca-Cola Co. receiving about 304 million shares of Coca-Cola FEMSA worth $674 million, in exchange for its Panamco shares.
Coca-Cola Co. owns 25% of Panamco, it also owns 30% of Coca Cola-Femsa. The buy-out leaves Coca-Cola Co. with 40% of the combined entity Coca-Cola Femsa-Panamco.

Coca-Cola FEMSA-Panamco will have revenues estimated at $4.6 billion and estimated annual gross profits of $1 billion. It is the leading bottler of Coca-Cola products in Latin America, and with about 10% of Coca-Cola's worldwide sales, the second-largest Coca-Cola bottler (the largest is Atlanta-based Coca-Cola Enterprises).
The significance of the overseas bottling subsidiaries for group profits is immense. According to industry analyst Milton Boki "Coca-Cola obtains 75% of its profits outside the US, a considerable proportion of this comes from Latin America".
The merger enables the merged group to control the entire Latin American market.

An additional, rapidly growing and highly lucrative market for Coca-Cola, especially in Third World markets where local water quality is poor, is bottled water. Ironic, when as seen in Kerala, South India, it is Coca-Cola that is depleting and contaminating scarce local water resources. After passionate local protests and world-wide press coverage, Coc-Cola have now been ordered to stop their plundering of the Keralan community's resources.

Alternatives
You could drink Pepsi, but both Pepsi and Coca-Cola have lost in court in India for vandalising the Himalayas. There are Moslem alternatives, but why drink carbonated water, sugar, phosphoric acid, caffeine and aspartame at all? Why not drink water or fruit juice?

Globalisation
The activities of Coca-Cola should be seen as the real face of the neoliberal agenda. The boycott of Coca-Cola be seen as part of the international Boycott USA campaign following the illegal invasion of Iraq.
What we are seeing is yet another example of a US multinational acting as bully across the world. With the US intervening wherever it is necessary to protect its global empire. In India, the US Ambassador intervened to stop the Kerala bottling plant having its licence revoked and being forcibly shut down.

Action
Remove coke from your school, campus, bar, workplace. Spread the Killer-Coke message, ask your friends not to drink Coke and explain the reasons why.

References
David Bacon, The Coca-Cola killings, Guerrilla News Network, 12 February 2002
Amit Srivastava, Communities Reject Coca-Cola in India, India Resource Center, 10 July 2003
Amnistia International, Murder attempt against Coca-Cola worker, Indymedia UK, 30 August 2003
International Union 'Boycotts' Global Day of Action Against Killer Coke, Indymedia UK, 22 July 2003
John Waite, Face the Facts, Radio 4, BBC, 25 July 2003
Coca-Killer, SchNEWS Issue 416, Friday 25th July 2003
Coca-Cola not only kills but also does massive sackings, Indymedia UK, 14 September 2003
Coca-Cola try to kill again, Indymedia UK, 14 September 2003
Paul Vallely, Jon Clarke and Liz Stuart, Farmers Fighting to Stop Drinks Giant 'Destroying Livelihoods', Independent, July 25, 2003
Vandana Shiva, Water Wars: Privatization, Pollution and Profit, Pluto Press, 2002
Naomi Klein, No Logo, Flamingo, 2000
Noam Chomsky, Rogue States, Pluto Press, 2000
Irish Coca-Cola Boycott Spreads, Colombia Solidarity Campaign

Web
        http://www.bbc.co.uk/radio4/
        http://www.colombiasolidarity.org.uk
        http://www.caja.org/coke/
        http://www.corpwatchindia.org/
        http://www.corpwatchindia.org/issues/PID.jsp?articleid=4545
        http://www.sinaltrainal.org/
        http://www.killercoke.org/
        http://www.cokewatch.org/
        http://www.boycottcoke.org/
        http://www.corporatecampaign.org/killer-coke/pdf/sblcres.pdf
        http://www.colombiasolidarity.org.uk/
        http://www.mecca-cola.com/
        http://colombia.indymedia.org/
        http://www.heureka.clara.net/gaia/

Keith Parkins