Friday, April 04, 2008

Cement shoes for Venezuela economy?

Further proving that he is a menace to his own country, Hugo Chavez this morning nationalized the cement industry.
In a TV address, he said his government could not allow private companies to export cement that was needed to tackle a severe housing shortage.

Mr Chavez promised they would be paid fair compensation for the forthcoming state takeover of what he described as a strategic industry.

Three of Venezuela's largest cement companies are foreign-owned.

Mexico's Cemex has almost half the market, with most of the remainder controlled by Lafarge of France and Switzerland's Holcim.

This man doesn't understand simple economics. If he wants the domestic industry to stop exporting cement, then he should pay more for the cement, not steal from others. The sooner Chavez is gone from power, the better.