NewsWhore
08-01-2007, 05:40 PM
If the Dominican Republic does not or is not able to pay for the petroleum products it is purchasing from Venezuela under the Petrocaribe Accords, the country can pay Venezuela back in goods and services. According to the Venezuelan ambassador in the DR Francisco Belisario Landis, this has already been agreed, and Venezuela has studies pointing to the areas of service it is interested in. So far the Dominican Republic has been paying its oil bills on time. Research carried out by Venezuela points to the poultry industry and other agro-businesses as a starting point, especially lands dedicated to cultivating black beans, a Venezuelan favorite. Two other areas of major interest are service-based, and tourism is the most important area, followed by sports administration. The Petrocaribe Accord allows the DR to purchase Venezuelan oil, and when the price of oil is above US$40 a barrel the payments can be extended to 25 years, with two years' grace and the interest reduced to 1%. As payment Venezuela could accept goods and services for which it would offer preferential prices.
An editorial in El Dia today points out that PetroCaribe is not a grant, nor kindness on behalf of Venezuela and its controversial President Hugo Chavez. "...in reality Petrocaribe is a Venezuelan marketing strategy to ensure that its petroleum is purchased at high market prices," writes the editorialist. With the scheme, it has enticed governments to buy from them instead of from Mexico. The editorialist explains that the DR is taking on at least US$350 million in debt every year with Venezuela. "One would have to ask if it is convenient to consume a product now and leave it up to future generations to pay?" comments the editorial writer. The writer concludes that since it is but trade, Venezuela cannot blackmail the DR.
More... (http://www.dr1.com/index.html#7)
An editorial in El Dia today points out that PetroCaribe is not a grant, nor kindness on behalf of Venezuela and its controversial President Hugo Chavez. "...in reality Petrocaribe is a Venezuelan marketing strategy to ensure that its petroleum is purchased at high market prices," writes the editorialist. With the scheme, it has enticed governments to buy from them instead of from Mexico. The editorialist explains that the DR is taking on at least US$350 million in debt every year with Venezuela. "One would have to ask if it is convenient to consume a product now and leave it up to future generations to pay?" comments the editorial writer. The writer concludes that since it is but trade, Venezuela cannot blackmail the DR.
More... (http://www.dr1.com/index.html#7)