El Diario reports:
Minister of Rural Development
Government installed sugar mill “without taking an interest if there was sugar cane or not”
The Government was not interested in whether or not there was raw material in northern La Paz to implement the sugar mill of San Buenaventura, but to respond to an “aspiration of La Paz,” said Minister of Rural Development and Lands, César Cocarico, according to a report by ANF.
“You know that as we have asked the sugar factory for 50 years, it is a departmental aspiration. We did not care if there was sugarcane or not,” said the head of the Ministry of Rural Development.
The authority referred to the issue after opposition senator Yerko Núñez said that the construction of the sugar production company in northern La Paz is a “failure” because the area is not producing sugar cane to provide the company with raw material .
President Evo Morales in August of this year complained about the lack of cane production, since the plant capacity is 10,000 hectares of sugar cane, however the area cultivated could increase from 1,200 to 1,600 hectares.
EL DIARIO recently published an article referring to the San Buenaventura mill, which indicated that while the annual operating costs of the mill reached $31.58 million dollars, its reported revenues would be $3.6 million dollars. This amount barely covers 30% of the interest owed by the project to the Central Bank of Bolivia and 18% of the financial costs.
The appreciation corresponded to a publication of the ag-technician, Daniel Robison, spread on the internet, in his page stated that “without turning on the lights of the mill or starting a single tractor or super harvester nor pay a penny to a farmer producer, the country is assuming the costs of operating a project that will bring more headaches than benefits to the country.”
The project, which is paralyzed by the lack of raw materials, has required an investment of US $265 million dollars, which the Government obtained from the Central Bank of Bolivia (BCB), charged to the International Net Reserves (RIN), according to data provided by the author.
Bolivian Thoughts opinion: In this case, ignorance is certainly no bliss!
The total incompetence of current government along with its demagogue and delusions of grandeur have led to this catastrophe of ridiculous proportions!
The coca grower caudillo has in fact, managed to waste over $160 billion dollars in the eleven years of his absolute control of ALL State powers!
This ochlocracy has many sorry examples of their incompetence as well as blooming corruption.
The nest economic times in ALL our history under the worst possible government!