[image: Logo Venezuela Analysis] Venezuela’s Chavez Nationalises British
Company Agroflora, Expropriates over 13,000 Hectares of Commercial Land

Nov 1st 2011, by Rachael Boothroyd - Venezuelanalysis.com
[image: Venezuelan president Hugo Chávez announced that the British bovine
company Agroflora will be expropriated with immediate effect]

Venezuelan president Hugo Chávez announced that the British bovine company
Agroflora will be expropriated with immediate effect (terra.com.ve)

Caracas, November 1st 2011 (Venezuelanalysis.com) – Venezuelan president
Hugo Chávez has ordered the immediate nationalisation of the British
agricultural company Agroflora - a subsidiary of Britain’s Vestey Group
which focuses on the commercial production of beef.

During a live broadcast from state-television channel Vive, the Venezuelan
president announced that the company’s 290,000 hectares of farmland would
be expropriated and brought under direct “operational and administrative
control” of the state through the country’s Food Security and Sovereignty
Law. This legislation allows the government to forcefully expropriate land
in “exceptional circumstances” relating to issues of national food security
and the public good.

“This is social property, it cannot be converted, as they have done, into
property for just a few people, so they can enrich themselves whilst
polluting waterways and rivers,” said Chavez from the live programme in
Aragua.

 According to the Venezuelan president, the move to nationalise the
business comes after a breakdown in compensation negotiations between the
state and the Vestey group, due to the English company’s demands that
reparations for the land be paid in US dollars.

“This is the option [forced expropriation], because they don’t want to
negotiate and they are asking us for dollars, well, it’s going to have to
be forced expropriation then,” said Chavez, who stressed that the company
would still receive compensation from the government in Venezuela’s
national currency.

“We’re going to undertake a fair evaluation and then we’ll pay them,” he
added.

Despite this, the Ranchers Federation of Venezuela has criticised the
decision as a “new attack against production and property” in Venezuela and
stated that the British business had tried to maintain “friendly relations”
with the government.

Classified as highly fertile type A1 lands, the eleven ranches currently
used by the company for cattle grazing are most appropriate for the
cultivation of basic food staples, such as coffee and vegetables.

“Extensive cattle farming of cows and buffalos should be done on a
different kind of land where the animals can feed on quality pastures, but
not on type A1 pastures, which are apt for a different type of agricultural
activity,” commented Braulio Alvarez, PSUV representative in the National
Assembly and former leader of the Ezequiel Zamora Peasant Front.

According to government estimates, the nationalisation of the land will
increase the national distribution of meat and create extensive employment
opportunities. Over 500.000 cattle workers are also expected to benefit
directly from the nationalisation.

*Social Production Business Created in Tacariguas*

As well as the expropriation of Agroflora, the Venezuelan president also
announced the creation of a “Social Production Business” (EPS) in
Tacariguas on the border between Aragua and Carabobo state. Over 13,000
hectares of land currently used for commercial purposes will be
expropriated to make way for the EPS, which will also require a degree of
state-sponsored industrialisation.

“In Aragua, there will be 8566 hectares [expropriated] and in Carabobo
5190, which integrate 10 social productive companies. We have to keep going
into all of these valleys and combating the latifundio [large
landed-estates] and the use of the best lands in the Tacarigua valley,”
stated the president, who also approved funds for agricultural projects in
the Quibor valley and the expropriation of pig farms alongside the polluted
Aragua River.

Of the ten social productive units that will make up the EPS are the
Manuelita Saenz collective (210 hectares) and the Cacique Guaicaipuro
collective (847 hectares).

Chavez confirmed that the lands had previously been in the hands of the
Venezuelan bourgeoisie who were not using the terrain effectively and were
damaging the environment and the region’s waterways.

*The Need for Food Sovereignty*

These expropriations are the latest step in the government’s policy to
promote food sovereignty and increase domestic agricultural production in
Venezuela, which suffers historically from a weak agricultural sector
related to the high profitability of its oil industry.

Throughout the 20th century, there was  an influx of foreign currency
occasioned by the discovery of oil, rendering agricultural activities
non-competitive and increasing national demand over and above the
capabilities of national production. When Chavez came to power in 1999,
Venezuela was almost totally reliant on imports in order to meet the
population’s basic food needs.

Since then, the Bolivarian government has implemented a series of
initiatives aimed at stimulating domestic agricultural production and
stemming Venezuela’s historical reliance on expensive imports from the West.

Some of the government’s projects include Agropatria and mission
AgroVenezuela, aimed at helping small rural producers and stimulating the
production of staple crops and urban agriculture. The government has also
encouraged South-South trade, with agriculture now constituting one of the
main areas of trade between member countries of the ALBA (Bolivarian
Alliance for the Peoples of Our America).

Yet, the Venezuelan president told viewers that the expropriations were not
just a matter of increasing national production, but a further step towards
creating a socialist society.

“Che (Guevara) got it right, this isn’t just about building houses, or
cement blocks, or producing cornflower or clothes, it’s about producing
something beyond all that, a new type of man, a type of new woman, a new
society”.
 ------------------------------
*Source URL (retrieved on 01/11/2011 - 6:20pm):*
http://venezuelanalysis.com/news/6596


[Non-text portions of this message have been removed]



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