Mar
16
2012
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In Case You Missed It… Articles Roundup Week of 3/16/12

In this week’s roundup… Uncertainty about Hugo Chavez’ health begins to create infighting within the PSUV… Price controls and land seizures continues to erode Venezuela’s private industry; the last remaining publicly traded gold miner in Venezuela, Rusoro Mining Ltd., expects its assets to be seized; the government threatens to nationalize water utilities in the state if Monagas. The Venezuelan government refuses to open the door to the UN and IACHR to review potential threats to human rights, and Iran finds ways to elude economic sanctions through its partners in Ecuador and Venezuela.

Venezuela: opposition gathers strength, The Financial Times

As Hugo Chávez continues to languish in Cuba, recovering from an operation to remove a cancerous lesion, things are getting increasingly fraught amongst his followers back home.

PDVSA Oil Spill Exposes Fissures in Chavez’s Socialist Party, Bloomberg

An oil spill at a facility operated by Venezuela’s state oil company has sparked the first public spat in the ruling party since President Hugo Chavez was diagnosed with cancer in June.

Chavez’s ruling party suspends governor in Venezuela after public criticisms, The Washington Post via The Associated Press

A state governor was suspended from President Hugo Chavez’s governing party on Wednesday after making critical remarks about the president of Venezuela’s National Assembly.

Sinister forces at work in Venezuela power struggle, The Miami Herald

Venezuelans are facing a tumultuous year ahead that could bring an end to 13 years of authoritarian populism under cancer-stricken caudillo Hugo Chávez or make matters worse.

Hugo Chávez’s cancer dominates Venezuelan election campaign, The Guardian

Welcome to Venezuela’s presidential election campaign, a swirl of intrigue and conspiracy theories over the health of Hugo Chávez that has thrown the race wide open and stoked hope and dread on both sides.

Price caps pound manufacturers and wholesalers, El Universal

Standard prices, according to industry experts, imply that, as a result of Sundecop’s failure to recognize differences in product presentation, production costs will be greater than the price set by the governing agency for certain products.

Substantial losses out of land seizure, El Universal

Lands rescue announced by Venezuelan Vice-President Elías Jaua on October 12, 2011, encompassing 25 farms in Machiques de Perijá Municipality, western Zulia state, hit the daily production of 26,000 liters of milk.

Rusoro Expects Venezuela Gold Takeover as Talks Fail, Bloomberg Businessweek

Rusoro Mining Ltd. (RML), the last remaining publicly traded gold miner in Venezuela, expects its gold assets in the South American country to be taken over after a deadline to negotiate with the government lapsed, Chief Executive Officer Andre Agapov said. The stock slid 12 percent.

Authorities threaten to nationalize Monagas’ water utility, El Universal

The Venezuelan minister warned that the government will have to nationalize Monagas water supply company (Aguas Monagas) if José Gregorio Briceño, the governor of northeastern state of Monagas, continues refusing to supply water from the Guarapiche River. The water is fit for drinking, Hitcher stressed.

Venezuelan gov’t refuses to open the door to the UN and IACHR, El Universal

Venezuela’s doors will continue to be closed for the United Nations’ and the Inter-American Commission on Human Rights’ (IACHR) Special Rapporteurs, unless the government deems it “appropriate” to invite them.

Iran’s stealth financial partners in Latin America, The Miami Herald

One unconventional mechanism developed by Iran, with the help of Venezuela and Ecuador, is a way to bypass the economic sanctions, as Iran may be using a parallel financial system operated by members of ALBA countries — the Cuba-Venezuela-Bolivia-Ecuador-Nicaragua axis — to elude financial sanctions by the West and engage in money-laundering.

 
Feb
16
2012
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ICYMI: Venezuela’s homeless call racetrack home

Despite housing pledges from Chavez, Venezuela’s homeless call racetrack home
The Washington Post
February 16, 2012
By Juan Forero

CARACAS, Venezuela – The chestnut-colored 3-year-olds still take the turns hard and fast on the dirt track at La Rinconada, the once-elegant racing park inaugurated in 1959 as Venezuela began its oil-fueled heyday.

But these days, dozens of homeless families live under the vast concrete grandstands, moved by President Hugo Chavez’s government into cramped cubicles to alleviate a critical housing shortage. Water service is spotty, foul-smelling bathrooms overflow with sewage and gangs of young thieves steal what little residents have.

“God takes care of us,” explained Maria Valera, 61, saying the weekend races she sees for free are the saving grace of living at the track.

For those trying to survive here – indeed, for thousands more in similar conditions across Venezuela’s capital – it is just another symbol of this city’s long slide into squalor, decay and fear. And that is a serious problem for a leftist populist government that is frantically trying to build housing ahead of an October presidential election in which Chavez will be challenged by a young, energetic opposition candidate, Henrique Capriles.

Even among the masses of destitute in this country – for 13 years the backbone for Chavez’s so-called people’s revolution – there is a tinge of despair that El Comandante has been unable to deliver on a long-held promise: housing.

Just 200 yards from where thoroughbreds rumble, Valera said she is opting to wait for Chavez to provide a new home. But she and her family – she says there are about 50 of them here counting extended relatives – have been waiting for more than 14 months, leaving some in despair.

“We are waiting for him to resolve things because we know he will give to us,” Valera said, as her grandchildren squealed and ran along darkened corridors. “He said that all of us who are here would go to our own apartment.”

It is an often-heard refrain across Caracas, a city of about 5 million. Tens of thousands of people such as Valera were made homeless by torrential rains in 2010 that flooded over the slap-dash neighborhoods where they lived. Those homeless families left harried government officials with little alternative than to move them into shelters, abandoned buildings, love motels and even tents near the presidential palace.

Shortage of materials

Venezuela already faced a housing shortage of 2 million units, the government’s own statistics show, the state only managing to build a third of the 100,000 new units needed each year.

Julio Borges, an opposition deputy in the National Assembly who frequently clashes with Chavez on housing issues, said governments that preceded Chavez’s built more housing. “And we think it is the government’s own policies that are contributing to this problem.”

Indeed, Chavez’s government has nationalized the country’s steel and cement industries, leading to shortages in building materials, while seeking construction know-how from allies such as Cuba that have a spotty record in alleviating housing shortages. The president’s frustration was plainly evident as he spoke on national television last week after a group of homeless families took to the streets to demand government action.

“Does one pull homes out of one’s sleeve?” Chavez said.

“These are counter-revolutionary actions,” he added, referring to the demonstrators. “They act like enemies of the government.”

In more guarded moments, though, the government and its maximum leader offer rosy forecasts and issue impressive statistics. There are programs such as the “Grand Housing Mission,” designed to build tens of thousands of new units, and “My Well-Equipped Home,” in which the government provides free or low-priced Chinese furnishings being imported at a cost of $1 billion.

In all, some 200,000 homes will be completed this year, Chavez claimed. Looking ahead to his own reelection to another six-year term, he predicted the end of the housing crisis by 2019. “There should not be one Venezuelan family that does not have a dignified, good and pretty home,” Chavez said.

To be sure, with the government’s oil-funded money machine in high gear, construction is taking place. One collection of new apartment blocks is going up on a hillside overlooking La Rinconada, winning several hundred supporters ahead of the October election.

“The one I am going to thank is the president of the republic,” said Hilda Rivero, 62, who lives in a new government apartment, having been moved from slum housing, known here as ranchos. “I had a rancho and my president took me out of there and gave me a dignified home.”

‘No one responds to us’

It is hard, though, to ignore the grim realities of a city that in the 1970s was the continent’s most modern but has since become its most violent and, in some ways, anarchic.

Vast slums cover hillsides while towering housing projects have the feel of some tropical version of the brutal futuristic city in “Blade Runner.”

Hundreds of families have for years occupied one uncompleted 45-story tower, even though many of the floors lack elevator service, running water or even walls and windows to protect children from tumbling to the streets below. A block away is a vast half-built shopping mall, the expropriation of which Chavez announced in a national address and which now houses hundreds of other families.

The hallways of the tower are dark and forbidding, but “you get used to it,” said Franci Coronado, 19, her two small children wriggling playfully at her side.

Across town at the horse racing track, several residents reeled off the downside of life there: the killing of a young man thrown from a grandstand, the harrowing birth of a baby in a cubicle separated by dry wall from other living spaces, old shower stalls covered in feces.

Residents said they are on government waiting lists for housing, and asked that their full names not be used for fear that they would be punished for talking to a reporter.

“It is terrible,” said one 30-something man named Pedro, who is raising a family here. “There is no safety, the food is sometimes terrible, and no one responds to us.”

Some like Maria Valera, though, went out of their way to avoid criticizing the president, saying she believed other officials were to blame.

“There has been no president like this president,” she said. “This one has helped poor people a lot, the people who do not have the way of getting a home, who have no way to buy an apartment.”

To read the full article on the Washington Post please click here.

 
Sep
9
2011
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In Case You Missed It… Articles Roundup Week of 9/9/11

In this week’s roundup… The Unites States adds four top-ranking Venezuelan officials to its list of drug kingpins at the same time that new WikiLeaks cables reveal more ties between the Chávez government and drug trafficking; Irish cardboard maker, Smurfit Kappa Group Plc, will not be compensated for its confiscated land; Chavez’s gold repatriation could further hurt Venezuela’s credit rating; a new poll shows that the majority of Venezuelans disapprove of the Chávez administration’s performance as concerns about his health persist and 12-month inflation rate hits 25.8% through August in Venezuela.

U.S. Sanctions Venezuela Officials, Citing Drug Ties, The Wall Street Journal (By José de Córdoba)

The U.S. added a Venezuelan general, two legislators and a top intelligence official to a kingpins list for their alleged involvement in drug dealing and arms trafficking with Colombian guerrillas, the U.S. Treasury said Thursday.

Caracas Cables: Drug Trafficking Venezuelan Airline? Senator Dodd’s Meeting With Chávez; Wild West Border Region, The Huffington Post

For the past year or so, I’ve been writing steadily about WikiLeaks and U.S. diplomatic correspondence between various American embassies in Latin America and the State Department in Washington, D.C.

Venezuela Says Smurfit Kappa Won’t Be Compensated for Forestry Seizure, Bloomberg

Venezuela won’t compensate Smurfit Kappa Group Plc (SKG) for the seizure of 12,000 hectares of forestry plantations the Irish cardboard maker controlled in the South American country, Agriculture Minister Juan Carlos Loyo said.

ANALYSIS-Venezuela gold repatriation may hurt credit rating, Reuters via TD Waterhouse

Venezuelan President Hugo Chavez’s plan to repatriate the country’s external gold reserves could weaken its credit ratings, causing losses for bondholders while attracting a new wave of high-risk investors. The 57-year-old socialist leader announced last month he was nationalizing the country’s gold industry and bringing back some $11 billion in international bullion reserves that Venezuela holds in banks abroad.

Venezuela poll: Chavez’s popularity unchanged, The Associated Press via Forbes (Also posted on The Washington Post)

President Hugo Chavez’s approval ratings remain in the 50 percent range, but a majority of Venezuelans disapprove of the government’s performance on key issues such as crime, corruption and the economy, according to a poll released Wednesday.

UPDATE: Venezuela’s August CPI Up 2.2% On Month, The Wall Street Journal

12-month inflation rate hits 25.8% Through Last Month – Venezuela’s Inflation Rate Jumps 2.2% In August – Food Prices Continue to Drive Inflation

Chavez expects cancer recovery to stretch, AFP via Emirates 24/7

Venezuelan President Hugo Chavez on Wednesday said he would continue his cancer recovery through the end of this year but pledged to be fit and in form to run for reelection in the new year.