The politics of Gum

I knew there might be a way to get politics legitimately on to the
alt-photo list :*)

I heard an interview on the BBC this morning with an author who
claimed that "Gum Arabic, Ltd." the largest exporter of gum in the
world is in fact owned by Osama Bin Laden (I'm sorry I didn't have a
pencil handy to write down her name). The BBC interviewer sounded
skeptical and referred to the authors claims as "alleged claims." So
I did a Google search and came up with this story from 1999. It seems
that things stand pretty much now where they did then - some claim Bin
Laden has no stake in the company while others claim he owns it. I'd
be curious if any one on the list could add to the topic. Thanks.

Best to all -greg schmitz

Gum Arabic Defenders Dispute Reports Of Terrorist Ties To Industry

By LAURENCE ARNOLD
Associated Press Writer

WASHINGTON (AP) -- Legislators and businessmen who import a tree
product widely used by U.S. candy, cosmetics and medical industries
are scrambling to respond to press reports that an accused terrorist
leader and multimillionaire has a big interest in Sudan's gum arabic
industry.

For more than a year, legislators and lobbyists have fought to protect
gum arabic from the effects of economic sanctions imposed on Sudan.

Now supporters and users of gum arabic confront a painful question: In
advocating for an obscure but extremely useful import, do they
inadvertently help Osama bin Laden, the Saudi Arabian businessman now
portrayed as America's No. 1 enemy?

Bin Laden's alleged terrorist base in Afghanistan and and chemical
plant in Sudan were hit by hit by U.S. missiles last week after
officials accused him of masterminding U.S. embassy bombings in
Africa.

Rep. Bob Menendez, D-N.J., who has pursued import exemptions for two
companies in his district that import gum arabic, said he would
withdraw his support for exemptions if he sees proof that bin Laden,
whose fortune is estimated at more than $200 million, is associated
with the industry.

The three major importers of gum arabic in the United States --
Importers Service Co. of Jersey City, N.J., TIC Gums of Belcamp, Md.,
and Frutaron Meer of North Bergen, N.J. -- do business with Sudan's
Gum Arabic Co. through P.L. Thomas & Co. of Morristown, N.J.

P.L. Thomas' president, Paul Flowerman, said he is convinced there is
no terrorist connection.

"I've been going to the Sudan for the last 20 years. I spend about a
week there, both in the capital city and in the bush. My family has
been involved in that gum arabic business for the last 50 years,"
Flowerman said. "I have never seen the slightest indication of any
participation of outside interests in gum arabic."

Chris Berliner, plant engineer for Importers Service Co., said he
spoke Monday to the chairman of the Gum Arabic Co. in Khartoum, the
Sudanese company that controls exports of the product, and asked if
bin Laden is connected with Sudan's gum arabic business.

"He reiterated his flat denial of any association with any company
owned by bin Laden, any land used by bin Laden, or bin Laden himself,"
Berliner said.

Sudan produces much of world's gum arabic

Sudan produces 70 percent to 90 percent of the world's gum arabic, a
sap from the acacia tree that is used in a wide variety of products
including candy, medicines and cosmetics. Working as an emulsifier,
gum arabic helps prevent fruit particles in soft drinks from falling
to the bottom, seals the inner portion of candies and maintains
consistency in shampoo.

A two-year-old State Department "fact sheet" says bin Laden held a
"near monopoly" over gum, corn, sunflower and sesame products in Sudan
through companies he controlled, according to Kenneth Katzman, a
senior analyst and terrorism expert at the Congressional Research
Service.

But industry representatives strongly dispute any bin Laden link. And
a State Department official said Monday there is "no indication" of a
connection between bin Laden and Gum Arabic Co.

Still, suspicions remain.

"Bin Laden has a foot in virtually everything that is profitable and
not so profitable in Sudan," said Yossef Bodansky, director of the
House Task Force on Terrorism and Unconventional Warfare.

When the possibility of economic sanctions against Sudan's pro-Iranian
regime arose in 1997, many interest groups lobbied for unfettered
access to Sudan's gum arabic, which they consider unrivaled in
quality.

When President Clinton imposed the sanctions, he created a loophole
for the product, advising the Congress that the U.S. government "may
consider" granting licenses for the importation of "certain products
unavailable from other sources, such as gum arabic."

That wording has allowed companies to continue importing gum arabic
under existing contracts. But once those contracts expire, companies
that import and use gum arabic may lose their access to the Sudanese
market.

Menendez has introduced legislation that would save gum arabic from
import prohibitions. But he said in a statement Monday that his
efforts came "prior to any press reports of allegations linking the
Sudanese gum arabic industry to Mr. Osama bin Laden."
Received on Fri Nov 7 10:24:17 2003