There is nothing left to steal | Ya no queda con qué robar

By Oscar Antezana Malpartida, El Dia:

El biodiesel: another example of the MAS model

The model didn’t work, nor was it going to work because there was no investment. The economy grew because exports increased due to a rise in international prices like never before in history. As there was no investment in previous years, the government did nothing but exploit, exploit, and exploit, without investing; rather, it was wasted and stolen. And what was done with the money from exports? 1. Spend, spend, and spend on salaries and wages for a public sector that has ballooned. 2. Nationalize and create state-owned enterprises to provide employment that hasn’t generated profitability. 3. Spend on white elephants as long as: money can be stolen and locals can be appeased and votes won regardless of whether they were close to the raw materials or markets. A typical example: the urea and ammonia plant in Bulo Bulo, where more than a billion dollars were spent, the largest investment in the history of Bolivia. Or, “invest” in a lithium factory, without knowing how to read or write. The purpose was to steal with sirens singing to protect our immaculate “dignity” and our sovereignty pierced by Chinese. So, we wasted millions of dollars and wasted more than 15 years. 4. Not satisfied with spending, increase external debt by mortgaging our sovereignty and internal debt by spending the pension money of Bolivians. The economy has been mortgaged, and Bolivians’ savings have been tapped into. A “model” tailored to the inept who govern Bolivia. That’s how it was… and that’s how it will continue. Let’s look at one last example.

The future production of biodiesel, a combination of soybean, African palm, and macororó oils with conventional petroleum diesel. This announcement from weeks ago has generated more opinions against it than in favor. The first because it will contribute to increasing the diesel supply that the country has been importing for years, and the government subsidizes domestic consumption, and the latter because it’s not “bio” at all; quite the opposite. But there’s a third argument against it. Deepen the crisis.

Bolivia produces soybean oil, but not a liter of the other two oils. We’re already off to a bad start. Doesn’t it smell like Bulo Bulo, Buenaventura, and other deals? African palm cultivation requires luxurious land and climate conditions in general: deep soils, good drainage to prevent flooding, and a slope of less than 12%; well-distributed precipitation throughout the year; and the ideal annual temperature for African palm cultivation is between 22 and 28°C. (excerpted from https://www.intagri.com/articulos/frutales/cultivo-de-palma-africana-o-de-aceite). According to the experience in Colombia, each plant requires up to 350 liters of water per day (https://www.youtube.com/watch?v=RpVe2zBnnfY). This implies very good irrigation/rain conditions, a lot of risk in this era of climate change, or irrigation methods as they do in Colombia in several cases. Hydrocarbons Minister Franklin Molina announced that around 80,000 tons of vegetables will be required annually and admitted that the agricultural frontier will have to expand further. African palm is the main driver of tropical deforestation, accounting for 18% of all greenhouse gas emissions caused by humans in the world. Consider that Bolivia, after Brazil and the Democratic Republic of the Congo, is the third country that destroys the most forest in the world. Finally, African palm cultivation is harvested three years after being planted; that is, this raw material would only be available in 2027.

The production of palm oil is another matter. The plant needs to be processed, and surely the government will announce that this project will be “turnkey,” ready to produce. On January 22, the President mentioned that “… resources have been guaranteed for Bs.1,660 million for the implementation of three palm oil extraction plants… and a macororó and oil palm extraction plant…” How has this equivalent of $237 million been guaranteed if the available foreign currency reserves are almost zero? Furthermore, when fully operational, the plant will produce 1,500 barrels of “biodiesel” (Ministry of Hydrocarbons), equivalent to only 4% of the 35,000 barrels consumed daily in the country. The next government will have to bear the consequences, and the country will continue to import at least $1 billion more in hydrocarbons than it exports (2023). Not only will more biodiesel not be produced, or it will be produced in small quantities and poorly, but Bolivia will acquire another headache and more debt.

For all these reasons, surely the label “biodiesel” is because its composition contains vegetable oils. In addition to the impact of African palm cultivation, oil production itself produces three times more greenhouse gas emissions than fossil fuel production, hydrocarbons. That is, oil palm is not at all “bio”; quite the opposite. Furthermore, a few years ago, the European Union decided to ban palm oil as fuel.

Agroindustrial business associations support the production of these vegetable oils. They mentioned that more could be produced without encroaching on the forest if the Government accepts the use of transgenic seeds, which are prohibited in Bolivia. There aren’t many more options than for the private sector, peasants, or individual or business producers to engage in cultivation; it would be the height of absurdity for the State to produce crops while having African palm or other producers as public employees. (Although with this government, anything can happen as long as they can provide employment/benefits and win votes, spend, and steal). However, the State would take charge of oil production (it has already installed an agroindustrial plant and announced others) where the greatest value would be added. Don’t expect it to be an efficient and/or profitable agroindustrial plant because the MAS has abundantly demonstrated over 18 years that it doesn’t know how to do that. There would be no room for the private sector here. The practice of this government has been to take advantage of signing the contract to carry out the investment and during its operation because no one takes responsibility for the poor management or any misappropriation of funds. I’m not saying it, reality says it.

The “model” could have been something else if it weren’t for the fact that as soon as Evo took power, international prices went up a bit. From 2014, when these began to fall, the curtain was raised on the “model,” and only a mafia of thieves chanting demagogy and hypnotizing their subjects was seen.

But not satisfied, there was also a feast of indebtedness where more Chinese, Russians, and Iranians were seen, in addition to a bunch of Cubans and Venezuelans who were already part of the scene from the beginning. The years passed, and now desperation and putrefaction are seen because there is nothing left to steal, and therefore, the show is about to end.

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