Concept in Definition ABC

There are acronyms that are internationally known, such as OPEC, which means Organization of Petroleum Exporting Countries.

Origin and role of OPEC

This entity brings together a group of 13 nations that at the beginning of the 60s decided to join forces to counteracting the role of the main multinational companies that controlled the market for Petroleum. These companies were known as the "Seven Sisters", and this term made perfect sense because they practiced a de facto monopoly on crude oil prices. Thus, OPEC was born to control oil prices and production by member countries. The promoters of this initiative were the governments of Venezuela and Saudi Arabia and over the years other members were incorporated (Iran, Iraq, Algeria, Ecuador, Angola ...). The purpose of this alliance goes beyond price control, since it also affects production, export and, ultimately, it is related to everything that revolves around oil.

The strategic value of oil

The role of OPEC as a supranational entity has international importance and a strategic dimension. It is logical that this is the case, since oil is associated with the global model of

economy. Do not forget that the so-called black gold is the main source of Energy and affects transportation, elaboration of products and, in short, the evolution of the economy as a whole. Today oil is a raw material irreplaceable and this produces excessive dependence, a circumstance that the countries that are members of OPEC try to use in their favor.

Dependence on oil is a problem that affects all of humanity, which is why for decades possible viable and non-polluting energy alternatives have been sought. Although there are energy sources that meet these parameters, oil continues to play a leading role.

Oil has been and continues to be a determining factor for the planet's economy and its control It has also become the main reason for military confrontation since World War II. World.

The historical origin of the role of oil

In the first Industrial Revolution coal was the fundamental raw material. From the second Revolution Industrial that began at the end of the 19th century, oil became the new raw material that was present in the complex process of industrialization Y globalization. This supposed a change in all the orders (in the means of transport, in the chemical industry or in the international Stock Exchange).

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Issues in OPEC