Chavez orders expropriation of Cargill rice plant

[bijou]

CARACAS, Venezuela (AP) — President Hugo Chavez ordered the expropriation of a rice-processing plant in Venezuela owned by American food giant Cargill Inc. on Wednesday because the company allegedly was not distributing rice at prices imposed by the government.

The socialist leader also threatened to nationalize Venezuela's largest food producer, Empresas Polar, amid rising tension between his government and privately owned food producers that authorities accuse of sidestepping price controls aimed at stemming high inflation.

Chavez said Cargill's plant in Portuguesa state violated local laws by distributing rice without printing the regulated price on its packages. He instructed Agriculture Minister Elias Jaua to "begin the expropriation process."

"Prepare the decree and we'll expropriate Cargill," he said.

Cargill's rice-processing plant in Portuguesa is one of 13 food-processing plants the Minneapolis, Minnesota-based company operates in Venezuela. ...

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I wonder if Obama will do anything?

[thundley4]

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I wonder if Obama will do anything?

Yes, he will. He will take note of the excuse Hugo used for taking over the plant.

Chavez said Cargill's plant in Portuguesa state violated local laws by distributing rice without printing the regulated price on its packages

They weren't even accused of selling the rice at higher prices.

[ironhorsedriver]

He says that they are not producing enough white rice. He says white rice is the major food staple of the poorer population.
That's his excuse. I wonder why anyone does business with them?
I think the report said the budget was based on oil selling for 60 dollars a barrel, it's down to 30. He's grasping at anything, to keep his poor voter base.

[RightCoast]

obama: "Hugo is a genius!"

[docstew]

anyone else foresee cargill pulling out of venezuela completely if this happens?  good job hugo, piss off a company that is FEEDING your people.  when the food riots start, you think they might want to come lynch your socialist dictator ass?

[Rebel]

anyone else foresee cargill pulling out of venezuela completely if this happens?  good job hugo, piss off a company that is FEEDING your people.  when the food riots start, you think they might want to come lynch your socialist dictator ass?

Nah, he's just giving it back to the people. The people can run it just as efficiently. Just look at what Mugabe did in Zimbabwe. That worked out, right? ....oh.....wait......