FacebookTwitterRedditEmail

To Overthrow a Government With Beer: Trumpism in Latin America

Yet another multibillionaire wants to run a country: Lorenzo Mendoza. He is a member of one of the most rich and powerful families of Venezuela and is positioning himself to be president – not by votes, but by stealth, by economic warfare against the democratic government of Venezuela.

USA-educated Mendoza is considered the richest man in the country with a fortune of $5 billion and ranked among the 500 richest people in the world by Forbes magazine (2016). He is using the power of the 75- year industry, which his father and grandfather built up through their crooked and intimate link to the previous anti-democratic governments, to overthrow the government of Nicolás Maduro.

His weapons of preference to discredit and destabilize the government are the foodstuffs he imports, packages and sells, especially the beer.  Very little of what his industry does is actually produced in the country. Polar does not invest its gains in the country just parks it in foreign banks. Polar processes and packs imported corn, rice, tuna, tomato paste so that the government classifies its industry as “necessary” and worthy to receive dollars.  It is a parasitic enterprise.

The item that is key in this economic war is his beer, Polar. It is considered one of the 10 best beers in Latin America. He is threatening to close the production of beer because the government, which controls the exchange, will not GIVE him the dollars he says he need to import barley. Mendoza is threatening to fire 10,000 workers plus the loss of 300 indirect jobs if the government does not hand over the dollars he wants. It is called: blackmail.

This is typical of the so-called Venezuelan “capitalists” who do not like to produce but to import, do not like to create wealth, but to sink parasitic teeth into public funds. A few facts need to be stated:

* In 2014, of the $46.233 million that entered Venezuela, $45,525 million were generated by the State mainly through the state-owned petroleum company. The private sector however, only created $708 million (1.53%) of total dollars;

* Mendoza has shown little or no interest in exporting his beer, which is what a smart capitalist would do: generate his own dollars and not depend on any government.  In the few years that he did, he only managed to export 0.5% of his production. Yet it is through exports that his industry could independently gain dollars.

* Since the year 2003, when currency control was established, the government has given the beer producers more than a billion dollars ($1,359,741,404), the imports of barley went up at that time but in the last 10 years the amount of beer sold was reduced. Just last year, in the middle of the financial crisis, Polar was GIVEN 120.7% more in monthly dollars. From 2003 to 2014, the average price of beer has gone up 1.79% higher than the world prices of beer.

In short, dollars are given to Mendoza, he buys barley at higher prices than the going rate, he ups the price of beer, then holds the government at ransom when, having audited these sums, the government refuses to hand over any more subsidies.

It is curious that a man who has an immense personal fortune (in Swiss banks), plus runs an industry that produces great profit, still cries foul because the State will not give him a subsidy.

Real capitalists would feel shame.

But it is not about the economy.

It is not about making profit, as the elite does not really need it.

It is about overthrowing the Bolivarian Government so that the corrupt and murderous elites can once again control petroleum rich Venezuela.

Reference

“Polar No Produce Alimentos de William Serafino,  publicado en la http://misionverdad.com, el 04/02/2016

“La estafa cervecera de Lorenzo Mendoza al descubierto

http://misionverdad.com/la-guerra-en-venezuela/la-estafa-cervecera-de-lorenzo-mendoza-al-descubierto-graficos

“Polar amenaza con despedir 10,000 trabajadores”

www.radiomundial.com.ve/jarticle/polar-amenaza-con-despedir-trabajadores-si-no-recibe-divisas

More articles by:

María Páez Victor, Ph.D. is a Venezuelan born sociologist living in Canada. 

bernie-the-sandernistas-cover-344x550
April 01, 2020
Steve Early - Suzanne Gordon
No Pandemic-Related Pause? VA Privatization Leaves Veterans Waist Deep in Another Big Muddy 
Kenneth Surin
The UK and Covid-19 Crisis
Jack Wareham - Dylan Burgoon
“Whose University? Our University!” The Struggle for a COLA at UC Berkeley
Erik Molvar
Oil industry Exploits Pandemic as Excuse to Dodge Federal Regulations, Fees
Robert Jensen
Apocalypse, Now and Forever
Jake Johnston – Kira Paulemon
COVID-19 in Haiti: the Current Response and Challenges
Jen Moore
Guatemalan Water Protectors Persist, Despite Mining Company Threats
Danny Shaw
“The Coronavirus is Man-Made:” the Conspiracy Theory Trap 
Nafeez Ahmed
Former WHO Director: 8-Week Suppression Strategy Could Stop US COVID Crisis in Its Tracks
Frances Madeson
Death Camps in the Making: New York’s Prisons During a Time of Pandemic
Clark T. Scott
The White House and the CDC are United in Stupidity
George Ochenski
What Does COVID-19 Have to Do With Industrial Pollution?
Norman Solomon
Trump’s Mass Negligent Homicide Doesn’t Let Democratic Leaders Off the Hook
Scott Owen
Another New Peace
Elizabeth Schmidt
Lessons From Africa: Military Intervention Fails to Counter Terrorism
Greta Anderson
What’s the Hang Up on Releasing Adult Lobos?
Ted Rall
The Speech Trump Must But Cannot Give
Marshall Sahlins
Trumpty’s Country
March 31, 2020
Jonathan Cook
Netanyahu Uses Coronavirus to Lure Rival Gantz into ‘Emergency’ Government
Vijay Prashad, Du Xiaojun – Weiyan Zhu
Growing Xenophobia Against China in the Midst of CoronaShock
Patrick Cockburn
Trump’s Chernobyl Moment: the US May Lose Its Status as World Superpower and Not Recover
Roger Harris
Beyond Chutzpah: US Charges Venezuela With Nacro-Terrorism
M. K. Bhadrakumar
Has America Reached Its Endgame in Afghanistan?
Thomas Klikauer
COVID-19 in Germany: Explaining a Low Death Rate
Dave Lindorff
We’ve Met the Enemy and It’s a Tiny Virus
Binoy Kampmark
Barbaric Decisions: Coronavirus, Refusing Bail and Julian Assange
Nicolas J S Davies
Why is the U.S. so Exceptionally Vulnerable to Covid-19?
James Bovard
The Deep State’s Demolition of Democracy
Michael Doliner
Face Off: the Problem With Social Distancing
John Feffer
The Politics of COVID-19
Mel Gurtov
Trump’s Cure and Our Disease
Howard Lisnoff
The Fault Lines of a Failed Society Begin to Open Up Into Chasms
Nino Pagliccia
Cuba: An Example of Solidarity In a Time of Crisis
Ralph Nader
Out of the Coronavirus Crisis Can Come Efficient Historic Changes for Justice
Thomas Stephens
Apocalyptic and Revolutionary Education in Times of Pandemic
Edward Martin
Erik Olin Wright and the Anti-Capitalist Economy
March 30, 2020
Marshall Auerback
Washington Uses the Pandemic to Create a $2 Trillion Slush Fund for Its Cronies
Ron Jacobs
Going After Maduro
Justin Podur
When Economists Try to Solve Health Crises, the Results Can Often be Disastrous
Thomas Knapp
Decarceration: COVID-19 is Opportunity Knocking
Arshad Khan - Meena Miriam Yust
Dying Planet and a Virus Unleashed
William Astore
How My Dad Predicted the Decline of America
Seth Sandronsky
Reclaiming Vacant Homes in the COVID-19 Pandemic
John G. Russell
Racial Profiling Disorder: the All-American Pandemic
Vijay Prashad, Paola Estrada, Ana Maldonado, and Zoe PC
As the World Tackles the COVID-19 Pandemic, the U.S. Raises the Pressure on Venezuela
FacebookTwitterRedditEmail