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Behave, Chavez warns dairy farmers

CARACAS: President Hugo Chavez threatened on Sunday to take over farms or milk plants if owners refuse to sell their milk for domestic consumption and instead seek higher profits abroad or from cheese-makers.

With the country recently facing milk shortages, Mr. Chavez said “it’s treason” if farmers deny milk to Venezuelans while selling it across the border in Colombia or for gourmet cheeses.

“In that case the farm must be expropriated,” he said, adding that the government could also take over milk plants.

“I’m putting you on alert,” he said. “If there’s a producer that refuses to sell the product ... and sells it at a higher price abroad ... Ministers, find me the proof so it can be expropriated.”

Addressing his Cabinet, he said: “If the Army must be brought in, you bring in the Army.” Mr. Chavez issued the warning on his weekly broadcast programme “Hello President” after announcing a hike in milk prices, a measure intended to counter recent shortages.

Mr. Chavez said the price for raw milk paid to farmers would be raised 36 per cent, to 1.5 strong bolivars ($.70) per litre.

He urged farmers to sell their milk to a new state-run plant that he toured in the western state of Zulia.

The plant in the town of Machiques was bought last year from Italy’s Parmalat SpA.

Mr. Chavez said it cost $3.7 million and was being re-launched as a “socialist business” by the state.

Mr. Chavez’s government said last month that it also planned to loosen price controls on a variety of basic foods to help stem shortages. — AP

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