Mozambique tackles violent insurgents, recognising #MilkTeaAlliance and the sneaker resale market
5 - 11 April 2021
Back from Easter holiday! 👋
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NORTHERN MOZAMBIQUE ASSAULT
Leaders from southern Africa met in the Mozambican capital of Maputo on Thursday to discuss the rising threat of terrorism across the region.
The Islamist insurgency in northern Mozambique, which has been simmering since 2017, turned incredibly violent at the end of March. Militants attacked the coastal town of Palma and laid siege to a hotel. Dozens were killed, including some foreign workers, and several others injured over the course of 10 days.
During the assault, thousands of people fled to the port city of Pemba and to neighbouring Tanzania, where the UN asked the government not to deny entry to those seeking refuge.
On Monday, Mozambican authorities said the army had reclaimed Palma - but the worsening situation in the resource-rich Cabo Delgado province suggests that Maputo’s strategy is failing. For months now, human rights groups have sounded the alarm on abuses and bloodshed in the country’s north. In one startling report, Save the Children said teenagers and young children were being beheaded.
Following the Palma attack, the US and Portugal (Mozambique’s former colonial master) vowed to send military trainers to bolster security efforts on the ground. However, there are concerns that President Filipe Nyusi is relying on private mercenary companies instead of seeking more official assistance.
Furthermore, researchers and journalists have voiced their frustration with the Mozambican government’s attempts to obstruct their investigations and access to Cabo Delgado.
As a result, questions still remain about the members of these militias, their funding sources, and what their ultimate goal is. Although the insurgents are known locally as al-Shabab, they aren’t affiliated with the Somali group of the same name. Similarly, the connection with so-called Islamic State is murky. A recent NY Times article cites numerous experts who believe IS/Daesh is collaborating with these homegrown extremists to enhance its profile while also giving them legitimacy.
Unfortunately, the conflict in Cabo Delgado looks set to continue. Huge deposits of rubies and natural gas are pulling in major investors even as the province’s population suffers. It seems poverty and a lack of jobs are partly responsible for driving the radicalisation of youths - a problem Maputo has yet to properly address despite the area’s potential mineral wealth.
The Afungi peninsula is Africa’s largest liquefied natural gas construction site, with projects worth an estimated US$60 billion. French energy giant Total had already embarked on a US$20 billion development, but executives have suspended operations until President Nyusi can guarantee protection of the company’s facilities.
A VIRTUAL COALITION
From Taiwan and Hong Kong to Thailand and Myanmar, young activists fighting for democracy across the region have found solidarity online. These digitally savvy demonstrators frequently exchange tactics on organising and sustaining protests, while trying to ensure their peers know how to avoid identification or arrest.
This virtual collaboration has been dubbed the ‘Milk Tea Alliance’ because of the popularity of sweet tea drinks in East/Southeast Asia. The first sign of the coalition emerged in April 2020 when a Thai actor sent a tweet that seemed to endorse Hong Kong’s independence from China. Chinese nationalists quickly hit back, triggering an internet spat with the actor’s fans - and then the hashtag was born.
When pro-democracy rallies gained momentum in Bangkok some months later, many Hongkongers found parallels with their own struggles and offered guidance based on their experiences. And in February, Burmese activists were welcomed into the fold after the military coup in Myanmar sparked a mass uprising.
Given Twitter’s role in the pan-Asian movement, the platform chose to celebrate the anniversary of #MilkTeaAlliance on Thursday by launching a custom emoji. The symbol is a white cup set against three coloured bands representing the different shades of milk tea in Thailand, Hong Kong and Taiwan. It automatically appears in any tweet with the hashtag written in English, Thai, Korean and other Asian languages.
According to Twitter, there were 11+ million tweets featuring #MilkTeaAlliance over the past year.
Ironically, China’s “wolf warrior” diplomats regularly use Twitter to spread Beijing’s views and preferred narratives, ignoring the fact that the network was blocked behind the Great Firewall in 2009.
PRICEY KICKS
Sneakers - or trainers as we say in the UK - are a multi-billion dollar industry. That bit of information probably isn’t surprising. But what about the lucrative business of reselling these shoes, especially limited edition models?
The furore over Lil Nas X’s unauthorised “Satan Shoes” provides a glimpse into the thriving secondary market. Before reaching a settlement with Nike, MSCHF Product Studio had sold all 666 pairs at US$1,018 a pop. As part of the legal terms, MSCHF will offer full refunds to buyers to remove the shoes from circulation. However, there’s little incentive for “sneakerheads” to do so. Why? The “Satan Shoes” are controversial and rare, meaning they could fetch premium prices among collectors despite Nike’s displeasure.
The biggest scandal of the season, though, is the resignation of a senior Nike executive over her son’s sportswear reselling venture. A Bloomberg Businessweek story revealed the connection between the Nike vice president and West Coast Streetwear, highlighting a possibly unfair trading relationship.
Granted, collecting and flipping designer shoes for profit is hardly a new activity. What’s interesting is how sneakers are now considered an alternative asset class with their own marketplaces and rules. Analysts at Cowen Equity Research say the sneaker resale sector could swell to US$30 billion by 2030.
As industry pioneers Nike and Adidas have discovered, the right shoe can capture a unique blend of sport, fashion, art and music. In May 2020, Michael Jordan’s 1985 “Game Worn Autographed Nike Air Jordan 1s” sold for a jaw-dropping US$560,000 at a Sotheby’s auction.
Previously, sneakerheads relied on store sales, eBay and internet forums to purchase their favourite kicks. But often there were issues with fake items and authentication processes.
Naturally, the evolution of digital channels has significantly impacted the business. Apps like Nike’s SNKRS and Adidas CONFIRMED are adding to the hype. Instagram is also fuelling the subculture, while resellers such as StockX and GOAT are hailed as game changers. Just this week, StockX announced the completion of a funding round that increases its value to US$3.8 billion. An IPO is said to be on the cards for the second half of 2021.
Have a wonderful week ahead! Stay curious, Sara x