Skip to comments.Chavez seizes Cargill Venezuela unit
Posted on 03/04/2009 7:57:28 PM PST by Free ThinkerNY
CARACAS (Reuters) - President Hugo Chavez seized a local unit of American food giant Cargill on Wednesday and threatened to nationalize Venezuela's largest private company, Polar, as he demanded industry produce cheaper rice.
The clash with the food companies came less than three weeks after Chavez, a Cuba ally who has nationalized swaths of the Venezuelan economy, won a referendum on allowing him to run for reelection.
"I warn you this revolution means business," said Chavez.
The anti-U.S. president is popular among the poor for pressuring companies to produce cheap goods and for government programs that provide subsidized food in city slums.
In recent days Chavez has seized some Polar rice mills after accusing the food industry of skirting his price controls and failing to produce enough cheap rice.
(Excerpt) Read more at reuters.com ...
Okay, so he’s run out of other people’s money. What happens when he runs out of other people’s food?
—when I was there in ‘81, Polar was a good beer—
Following the path of Mugabe, it appears...
What a flaming idiot! Within three years his people will be starving.
Chavez has to do something to take away from the fact that Oil is cheap at the moment, that means steal another private company.
Since the price of oil dropped, Chavez needs an enemy because the money is drying up. Look for more of this in the coming months.
Let’s see, he seized oil industry assets and then lost billions when he found his thugs didn’t have the talent to run them.
Is there any chance he’ll learn that his tactics don’t work, before his people toss him overboard?
Oh....no.....I’m still talking about Chavez....
Next he’ll be demanding cheaper frijoles...
Chavez likes the symbolism of picking a fight with “American Food Giant Cargill” but Cargill’s rice business in Venezuela is a very small, marginal business for them. And Cargill very likely have not been investing or trying to grow the business either these last few years, with Chavez around.
I thought he’d seized everything already!
Yes, grab property and then demand more production.
Kind of like when Xerxes made 10,000 of him men beat a river that had not been on his map.
Obama will seize Safeway in return.......
“What a flaming idiot! Within three years his people will be starving.”
Who’s an idiot? Three years from now, Chavez will still be eating grandly, I think, and Venezuela will still be his plaything, regardless of the state it’s in.
Beginning of a coming food shortage?
Hugo Chavez is a Marxist jerk. When is somebody going to shoot him and put him out of our misery?
So it has come to this, communists are openly stealing from Americans abroad, and not only is it tolerated, its hardly even reported on.
It’s more than an enemy. It’s a typical leftist reaction to the economic problems that escalate due to their actions.
Of course the fascist Chavez doesn’t see it that way. He’s delusional. The guy goes out to make a speak and drones on for eight hours!
That’s not someone who is connected to reality.
Let them eat oil!
There's already a food shortage there.
I was disappointed when the USA was placid at the oil expropriation(Exxon, Chevron, etc). This has enboldened them. Communists will continue to encroach on other peoples property until they are pounded down. Will be interesting to see what happens with Citgo.
Or less. Perhaps Chavez good buddy Sean Penn can feed them.
Good thing Chavez is gonna ban elections... he will have lost his base as a result.
Foreign investment in US companies can certainly be a great thing with great upside. Unfortunately, it can also have some downside as well. I suspect will be seeing more downside in the coming months, rather than up.
Are Exxon and Chevron no longer considered American companies?
Chavez stole their assets long ago.
Unlike coups and dictatorships, democracies can elect popular demagogues and the voters ultimately will be held responsible. Thus when Venezeula starves, the US who have been insulted and vilified by the leader they elected must live with the consequences. Let Venezeulans starve. That will teach the rest of Latin America and their political class not to use Americans as a step ladder to power or a punching bag.
Three years from now, Chavez will have fled Venezuela, or will have faced the business end of a rifle.
I’m thinking world food shortage.
The destruction of food producers and government ration books are a key Marxist technique.
This is the “Cubafication” of the once food-rich Venezuela.
That wasn't Chavezz doing the expropriating, either. He was in school at the time.
Point is: don't invest in Venezuela or Mexico EVER, unless -- as our fellow FReeper Eric-in-the-Ozarks says, you can arrange to take hostages.
This was a confidence building exercise for all those oil companies that do work in Venezuela on government IOUs.
spyone - There’s excess capacity and from the way the economy looks, there’s going to be excess capacity for a while. Still, it would be nice to have our wells ready when oil prices get back up there.
I was there a couple of times in the early ‘90s, looked for Polar here in the USA, couldn’t find it. I’d pass on it now just because of sluggo.
There will be riots and massive chaos and thievery. Mostly because people still have to eat, even after all the money has all been stolen by Hugo.
Socialism NEVER works.
Sounds a lot like Stalin seizing all the farmers food and grains because they failed to meet the quota's he set.
I guess all those "poor" hungry Venezualians who Voted for Chavez are going to be scratching their heads and rubbing their empty bellies wondering why they have no rice when dear leader "cracked the whip" at the "evil" food processors.
-looked for it in California at a couple of places purportng to have all the world’s beers when I got back , too—no luck—
Time to bring out the pressure cooker and mason jars?
Only if you are living solely on Venezuelan rice. Food (at least rice)shortages for Venezuelans though. Mind you they can always run next door and pick some Brazil nuts...
Well, my thinking is this evil dictator is
nationalizing the the main staple food supply for a reason..just like he did the oil fields...Will this create short supply? If you research the world drought maps, things look pretty bleak.
Only after you prepare some soil for a garden and grow something.
Not in the entire upper mid west. Too wet and cool, which may have an impact on wheat and other hard grains.
Well, I’m thinking about the current situation in the WH and how it was in the mid seventies under that last horrible full blown, dimrat rule and how I was raised by two survivalist parents that took nothing for granted.
Shortages of basic foods have been sporadic since the government strengthened price controls in 2003 after a debilitating strike by oil workers.
But in recent weeks, the scarcity of items like meat and chicken has led to a panicked reaction by federal authorities as they try to understand how such shortages could develop in a seemingly flourishing economy.
Entering a supermarket here is a bizarre experience. Shelves are fully stocked with Scotch whiskey, Argentine wines and imported cheeses like brie and Camembert, but basic staples like black beans and desirable cuts of beef like sirloin are often absent.
Chavez is only going after the rice companies now, the rest later.
He did the ame with oil...What is he thinking?
Togliatti’s “Salami tactics” are work. Chavez is a good red, which means his American friends are friends of a communist. Let’s see who that includes: Penn, Belafonte, Ayers, Glover, etc.
It's early yet.