Comments on: Aren’t These the Same? http://www.coyoteblog.com/coyote_blog/2008/01/arent-these-the.html Dispatches from a Small Business Sun, 12 Feb 2012 09:39:47 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: markm http://www.coyoteblog.com/coyote_blog/2008/01/arent-these-the.html/comment-page-1#comment-9387 markm Fri, 01 Feb 2008 16:30:24 +0000 http://coyote-blog.com/wordpress/2008/01/arent-these-the.html#comment-9387 <p>Is Chavez going to ask the ghost of Lysenko for advice on improving farm production next?</p> Is Chavez going to ask the ghost of Lysenko for advice on improving farm production next?

]]> By: Mike http://www.coyoteblog.com/coyote_blog/2008/01/arent-these-the.html/comment-page-1#comment-9386 Mike Tue, 29 Jan 2008 20:48:35 +0000 http://coyote-blog.com/wordpress/2008/01/arent-these-the.html#comment-9386 <p>I am in Venezuela quite frequently for business and let me tell you, the food situation is completely out of hand. Chavez forced the prices of milk so low that the dairy farmers ended up slaughtering much of their herds because they couldn't afford to feed them. Now, there is ZERO milk available in the supermarkets (dried, fresh, canned, whatever). Rebuilding those herds isn't going to happen overnight. There isn't anyone on this planet (in Cuba even) that believes for a second that Chavez can create government farms that can fill this void more cost effectively. This is simply a situation of mis-management. The situation is similar for chicken and eggs.</p> <p>People need to realize that whenever you read something about Venezuela that there are two currency rates: the official and the black market. Farmers have to sell their products at the official rate but must buy feed at the international commodity prices dictated by the black market. If you grow corn, you can either sell it in Columbia at 5.3 Bolivars to the dollar or sell them domestically at 2.1!</p> <p>Furthermore imagine this: If you are a farmer, you can't sell your stuff to whoever you want. You must sell it to the government(at their price)! The biggest joke is that it isn't as if farmers were working on such huge margins that they can sell to the government for 50% less!</p> I am in Venezuela quite frequently for business and let me tell you, the food situation is completely out of hand. Chavez forced the prices of milk so low that the dairy farmers ended up slaughtering much of their herds because they couldn’t afford to feed them. Now, there is ZERO milk available in the supermarkets (dried, fresh, canned, whatever). Rebuilding those herds isn’t going to happen overnight. There isn’t anyone on this planet (in Cuba even) that believes for a second that Chavez can create government farms that can fill this void more cost effectively. This is simply a situation of mis-management. The situation is similar for chicken and eggs.

People need to realize that whenever you read something about Venezuela that there are two currency rates: the official and the black market. Farmers have to sell their products at the official rate but must buy feed at the international commodity prices dictated by the black market. If you grow corn, you can either sell it in Columbia at 5.3 Bolivars to the dollar or sell them domestically at 2.1!

Furthermore imagine this: If you are a farmer, you can’t sell your stuff to whoever you want. You must sell it to the government(at their price)! The biggest joke is that it isn’t as if farmers were working on such huge margins that they can sell to the government for 50% less!

]]> By: chuck http://www.coyoteblog.com/coyote_blog/2008/01/arent-these-the.html/comment-page-1#comment-9385 chuck Tue, 29 Jan 2008 19:44:35 +0000 http://coyote-blog.com/wordpress/2008/01/arent-these-the.html#comment-9385 <p>Perhaps Singapore?</p> Perhaps Singapore?

]]> By: BobH http://www.coyoteblog.com/coyote_blog/2008/01/arent-these-the.html/comment-page-1#comment-9384 BobH Tue, 29 Jan 2008 15:51:18 +0000 http://coyote-blog.com/wordpress/2008/01/arent-these-the.html#comment-9384 <p>The irony is that we'll have to go to Cuba.</p> The irony is that we’ll have to go to Cuba.

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