This chart reflects the Gross Domestic Product (PIB in Spanish) and the national industry growth since 2005. Data provided by the National Chamber of Industries (CNI).

Yellow bars is GDP and red line is the industry GDP, source CNI data and chart was produced by Pagina Siete.

The Bolivian annual industrial growth has contracted in 8% for 2006 to 2.7% for the first semester of 2011. It is the lowest rate of the region. It is attributed to energy availability issues, export restrictions, dollar devaluation, lack of markets among others.

Since 2007 the annual industrial activities slowed down from 6% to 3.6% in 2008; recovering to 4.81% in 2009 and going down again to 2.5% last year, trend that is confirmed for this year. In addition to the reasons outlined above, there is also excessive bureaucracy in the public sector that slows down the creation of companies and their growth; and having lost markets like the ATPDEA with the USA and higher labor costs, said CNI president Mario Yaffar.

There is also uncertainty about the new laws: Investment, Exports, Banking, Competition, Consumer Defense, Commerce Code, and the deficient and limited transport infrastructure.

At the macroeconomic level, the contraction of the industrial production relies, according to Yaffar, on the economic policies focusing on inflation and do not support private activity growth.

All of the above, led the Bolivian industry to the sixth place in the region to the last one in 2010. The industry growth for Peru was 6.9%, Argentina 6.4%, Chile 6%, Colombia 5.3%, Venezuela 4.9%, Ecuador 3.8%, Uruguay 3.6% and Brazil 2.7%. The average expansion growth of the region was 4.7% this year.

And if you forgot already… Bolivia 2.7%

http://www.paginasiete.bo/2011-10-28/Economia/NoticiaPrincipal/7Eco00228.aspx

It is something to worry and reflect, this last five years did little to boost employment and industrial production. Instead, many State-owned companies were created and others in the verge… need say more??