Letter from Ethiopia

For Addis Ababa, hydropower is the future. Downriver, there’s a lot to lose.

"It's better to kill us first," says Olikoro, a Mursi tribesman, naked apart from the piece of cloth slung over his shoulder. An AK-47 rests by
his side. He is talking about the Gibe III dam, the latest in a series being built along the Omo River in south-western Ethiopia.

In Addis Ababa, the capital, the dam is considered essential for progress. But in the Omo Valley, far downstream of the dam's planned location, people depend on the river that begins in Ethiopia's emerald highlands, dropping through steep gorges before twisting towards Lake Turkana on the border with Kenya. Fifteen tribal groups depend on the seasonal floods to nourish their crops of maize and sorghum, and to provide grazing for their cattle. Gibe III will affect half a million lives. "If the dam is built, we will die," is how Olikoro puts it.

Yet along the Omo River, many of the people I meet don't even know that a dam is being built. "The government has no interest in these people," says Terri Hathaway, of the environmental organisation International Rivers. "The fact that many wander around wearing few clothes is an embarrassment to officials." When the government began building the dam, environmental impact assessment papers were prepared. However, little mention was made of the people living downstream.

Ethiopia needs electrical power if it is to develop quickly. At a cost of $1.7bn, Gibe III will be the country's biggest-ever infrastructure investment and one of the world's largest dams. Gibe I and II have already been built; IV and V are planned. They will allow expansion of the national grid and should stop the power shortages that have hampered manufacturing output. Ethiopia has few exploitable natural resources, but its river basins and high central mountains have huge potential for hydro­power. Energy can be exported to neighbouring Kenya and Sudan.

“Anyone opposed to the dams should suggest alternative solutions to creating vast amounts of energy to feed the fastest-growing non-oil economy in Africa," says Gail Warden, an official at the Ethiopian embassy in Nairobi.

But, in the short term, the extra power will mostly benefit those in the cities. The communities living along the Omo will still have no electricity. "We know the power is not for us," Olibisini, a Mursi elder, tells me. "We would prefer the river." Yet the government maintains that local communities stand to gain over time. "Electricity is essential for rural transformation, providing the basis for businesses in small towns and mechanised agriculture," says the energy minister, Alemayehu Tegenu. "Children need light for studying. We have identified 6,000 rural towns and villages in an ambitious rural electrification plan, penetrating half the country within five years."

These days, it seems as though everyone wants a piece of the Omo. Missionaries pour in, as do tourists in 4x4s. Recently formed national parks along the river limit the space for crops and grazing, and the area is being explored for oil. The tribes already fight over increasingly scarce water and land - but the dam could plunge them into more serious conflict. Weapons, which continuously flood over the border from Sudan, are worn like handbags.

Gibe III is more than just a problem in Ethiopia: its aftermath will stretch to Kenya. Approximately 300,000 Kenyans rely on Lake Turkana for their livelihood, catching tilapia, Nile perch and catfish. Reduced water flow will cause the lake to shrink and become saltier, destroying its ecosystem.

Wash away

The Ethiopian government has promised an annual ten-day artificial flood to help the farmers. But experts doubt this will fix the problem. "The natural flood builds slowly, rising and falling over several months, depositing nutritious silt all the time and letting the moisture sink in deep," explains David Turton, an anthropologist specialising in Mursi culture. "It's difficult to believe that ten days will be enough. It will act like a flash flood, washing away the silt and causing erosion."

The government insists that big, natural floods are damaging. But Ashote, who belongs to the Dassenech tribe, disagrees. "Big floods are celebrated," he tells me. "We just move to higher land when the floods come."

Last year's flood was not big, and even though my visit is during harvest time, cultivation sites along the river lie empty. Many people are hungry, selling their cows to buy grain or living on blood and milk. "What you see is the result of a low flood, a foretaste of what is to come if the dam is constructed," warns Will Tate, an Addis Ababa-based expert in displacement. "In the future, there will be starvation, economic loss and death."

Irrigation schemes have been proposed, but the idea makes Shoro, of the tiny Kara tribe, laugh. "We have so much experience of the government promising us things but never seeing them," she says. Food aid has also been pledged. "We don't want relief, we want food made with our own hands."

The dam's critics are urging financial institutions not to fund the project. The European Investment and African Development Banks are carrying out studies on its impact. Some still hope that the project can be stopped, but Turton says it is too late. Now, he says: "The crucial thing is for donors to make a condition of real compensation for the people downstream. They should be the main beneficiaries."

This article first appeared in the 21 June 2010 issue of the New Statesman, The age of ideas

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The secret anti-capitalist history of McDonald’s

As a new film focuses on the real founder of McDonald’s, his grandson reveals the unlikely story behind his family’s long-lost restaurant.

One afternoon in about the year 1988, an 11-year-old boy was eating at McDonald’s with his family in the city of Manchester, New Hampshire. During the meal, he noticed a plaque on the wall bearing a man’s face and declaring him the founder of McDonald’s. These plaques were prevalent in McDonald’s restaurants across the US at the time. The face – gleaming with pride – belonged to Ray Kroc, a businessman and former travelling salesman long hailed as the creator of the fast food franchise.

Flickr/Phillip Pessar

But this wasn’t the man the young boy munching on fries expected to see. That man was in the restaurant alongside him. “I looked at my grandfather and said, ‘But I thought you were the founder?’” he recalls. “And that’s when, in the late Eighties, early Nineties, my grandfather went back on the [McDonald’s] Corporation to set the history straight.”

Jason McDonald French, now a 40-year-old registered nurse with four children, is the grandson of Dick McDonald – the real founder of McDonald’s. When he turned to his grandfather as a confused child all those years ago, he spurred him on to correct decades of misinformation about the mysterious McDonald’s history. A story now being brought to mainstream attention by a new film, The Founder.


Jason McDonald French

“They [McDonald’s Corporation] seemed to forget where the name actually did come from,” says McDonald French, speaking on the phone from his home just outside Springfield, Massachusetts.

His grandfather Dick was one half of the McDonald brothers, an entrepreneurial duo of restaurateurs who started out with a standard drive-in hotdog stand in California, 1937.

Dick's father, an Irish immigrant, worked in a shoe factory in New Hampshire. He and his brother made their success from scratch. They founded a unique burger restaurant in San Bernardino, around 50 miles east of where they had been flogging hotdogs. It would become the first McDonald’s restaurant.

Most takeout restaurants back then were drive-ins, where you would park, order food from your car, and wait for a “carhop” server to bring you your meal on a plate, with cutlery. The McDonald brothers noticed that this was a slow, disorganised process with pointless costly overheads.

So they invented fast food.

***

In 1948, they built what came to be known as the “speedy system” for a fast food kitchen from scratch. Dick was the inventor out of the two brothers - as well as the bespoke kitchen design, he came up with both the iconic giant yellow “M” and its nickname, the “Golden Arches”.

“My grandfather was an innovator, a man ahead of his time,” McDonald French tells me. “For someone who was [only] high school-educated to come up with the ideas and have the foresight to see where the food service business was going, is pretty remarkable.”


The McDonald brothers with a milkshake machine.

McDonald French is still amazed at his grandfather’s contraptions. “He was inventing machines to do this automated system, just off-the-cuff,” he recalls. “They were using heat lamps to keep food warm beforehand, before anyone had ever thought of such a thing. They customised their grills to whip the grease away to cook the burgers more efficiently. It was six-feet-long, which was just unheard of.”

Dick even custom-made ketchup and mustard dispensers – like metal fireplace bellows – to speed up the process of garnishing each burger. The brothers’ system, which also cut out waiting staff and the cost of buying and washing crockery and cutlery, brought customers hamburgers from grill to counter in 30 seconds.


The McDonald brothers as depicted in The Founder. Photo: The Founder

McDonald French recounts a story of the McDonald brothers working late into the night, drafting and redrafting a blueprint for the perfect speedy kitchen in chalk on their tennis court for hours. By 3am, when they finally had it all mapped out, they went to bed – deciding to put it all to paper the next day. The dry, desert climate of San Bernardino meant it hadn’t rained in months.

 “And, of course, it rained that night in San Bernardino – washed it all away. And they had to redo it all over again,” chuckles McDonald French.

In another hiccup when starting out, a swarm of flies attracted by the light descended on an evening event they put on to drum up interest in their restaurant, driving customers away.


An original McDonald's restaurant, as depicted in The Founder. Photo: The Founder

***

These turned out to be the least of their setbacks. As depicted in painful detail in John Lee Hancock’s film, Ray Kroc – then a milkshake machine salesman – took interest in their restaurant after they purchased six of his “multi-mixers”. It was then that the three men drew up a fateful contract. This signed Kroc as the franchising agent for McDonald’s, who was tasked with rolling out other McDonald’s restaurants (the McDonalds already had a handful of restaurants in their franchise). 

Kroc soon became frustrated at having little influence. He was bound by the McDonalds’ inflexibility and stubborn standards (they wouldn’t allow him to cut costs by purchasing powdered milkshake, for example). The film also suggests he was fed up with the lack of money he was making from the deal. In the end, he wriggled his way around the contract by setting up the property company “McDonald’s Corporation” and buying up the land on which the franchises were built.


Ray Kroc, as depicted in The Founder. Photo: The Founder

Kroc ended up buying McDonald’s in 1961, for $2.7m. He gave the brothers $1m each and agreeing to an annual royalty of half a per cent, which the McDonald family says they never received.

“My father told us about the handshake deal [for a stake in the company] and how Kroc had gone back on his word. That was very upsetting to my grandfather, and he never publicly spoke about it,” McDonald French says. “It’s probably billions of dollars. But if my grandfather was never upset about it enough to go after the Corporation, why would we?”

They lost the rights to their own name, and had to rebrand their original restaurant “The Big M”. It was soon put out of business by a McDonald’s that sprang up close by.


An original McDonald restaurant in Arizona. Photo: Flickr/George

Soon after that meal when the 11-year-old Jason saw Kroc smiling down from the plaque for the first time, he learned the true story of what had happened to his grandfather. “It’s upsetting to hear that your family member was kind of duped,” he says. “But my grandfather always had a great respect for the McDonald’s Corporation as a whole. He never badmouthed the Corporation publicly, because he just wasn’t that type of man.”

Today, McDonalds' corporate website acknowledges the McDonalds brothers as the founders of the original restaurant, and credits Kroc with expanding the franchise. The McDonald’s Corporation was not involved with the making of The Founder, which outlines this story. I have contacted it for a response to this story, but it does not wish to comment.

***

Dick McDonald’s principles jar with the modern connotations of McDonald’s – now a garish symbol of global capitalism. The film shows Dick’s attention to the quality of the food, and commitment to ethics. In one scene, he refuses a lucrative deal to advertise Coca Cola in stores. “It’s a concept that goes beyond our core beliefs,” he rants. “It’s distasteful . . . crass commercialism.”

Kroc, enraged, curses going into business with “a beatnik”.


Photo: The Founder

Dick’s grandson agrees that McDonald’s has strayed from his family’s values. He talks of his grandfather’s generosity and desire to share his wealth – the McDonald brothers gave their restaurant to its employees, and when Dick returned to New Hampshire after the sale, he used some of the money to buy new Cadillacs with air conditioning for his old friends back home.

“[McDonald’s] is definitely a symbol of capitalism, and it definitely sometimes has a negative connotation in society,” McDonald French says. “If it was still under what my grandfather had started, I imagine it would be more like In'N'Out Burger [a fast food chain in the US known for its ethical standards] is now, where they pay their employees very well, where they stick to the simple menu and the quality.”

He adds: “I don’t think it would’ve ever blossomed into this, doing salads and everything else. It would’ve stayed simple, had quality products that were great all the time.

“I believe that he [my grandfather] wasn’t too unhappy that he wasn’t involved with it anymore.”


The McDonald’s Museum, Ray Kroc’s first franchised restaurant in the chain. Photo: Wikimedia Commons

Despite his history, Dick still took his children and grandchildren to eat at McDonald’s together – “all the time” – as does Jason McDonald French with his own children now. He’s a cheeseburger enthusiast, while his seven-year-old youngest child loves the chicken nuggets. But there was always a supersize elephant in the room.

“My grandfather never really spoke of Ray Kroc,” he says. “That was always kind of a touchy subject. It wasn’t until years later that my father told us about how Kroc was not a very nice man. And it was the only one time I ever remember my grandfather talking about Kroc, when he said: ‘Boy, that guy really got me.’”

The Founder is in UK cinemas from today.

Anoosh Chakelian is senior writer at the New Statesman.