In a decade, Bolivia has exported 220 tons of metallic gold worth $7.202 million. Between January and November 2019, exports reached 43.5 tonnes worth $1.542 million. Metallic gold is one of the leading export products in the country, with 19% of total sales abroad. The United Arab Emirates became Bolivia’s third trading partner in 2019 after Brazil and Argentina.
The cotton sector expanded the planted area from 1,800 to almost 8,000 hectares in the 2018-2019 agricultural cycle, focused on partially meeting the demand for raw materials of the Textil TSM S.A. The lack of cash conditioned the purchase of the balance of 45,000 quintals produced, representing more than $3 million. The situation has created liquidity problems for the payment of operating expenses and is committed to the planting of cotton 2020.
The urea and ammonia plant installed in Bulo Bulo (Cochabamba) paralyzed for 72 days. It estimates a loss of $30 million in unrealized sales to customers mainly in Brazil, Uruguay and Argentina with 24,750 tonnes unaccommodated. The Bolivian agricultural sector requires between 10,000 and 20,000 tonnes per year, they are now unprovisioned, and the alternative is to import at much higher costs.
The EFE news agency reports that Bolivia (1.47%), Peru (1.9%) And Paraguay (2.8%) saw the lowest inflation during 2019, while Argentina (53.8%) and Venezuela (7,374.4%.) had the highest rates in Latin America. Brazil recorded 4.31%, Chile 3% and Uruguay 7.89%.
Petrobras will offer 10 million cubic meters of Bolivian gas per day on the border between the two countries, the director of the National Petroleum Agency (ANP), José Cesário Cecchi, reported yesterday. The company will sell the gas for the purchase price in Bolivia plus a commercial margin of 2.4%.
Fuel imports in Bolivia increased by 29% between January and October 2019 compared to the same period in 2018. In value, the increase is 26%. The National Hydrocarbons Agency (ANH) considers biodiesel production a challenge to reduce foreign exchange output by import and diesel subsidy, as well as lower pollution rates generated by fossil fuels.
Telephone company Nuevatel invested Bs210 million ($30.4 million) to renew its operating licences for the provision of mobile and internet services. This investment is in addition to others made in 2019, such as the deployment of a LTE network for home internet, in addition to the LTE service of Nuevatel which covers at least 170 municipal capitals, reported the company.
The National Chamber of Industries (CNI) proposed the Government to increase the basic salary by 1.47% and to freeze the national minimum wage at Bs.2122 ($307.06). CNI’s economist explained that the proposal to freeze the minimum wage is because of the lost of competitiveness in Bolivia’s companies, while the increase on the basic salary is be in line with 2019’s inflation.
Bolivia’s external debt reached $11.056 billion as of November last year, which represents 26% of Bolivia’s Gross Domestic Product (GDP). According to the president of Bolivia’s Central Bank (BCB) the current ratio is under the international standards. Bolivia’s external debt increased from $2.269 billion in 2007 to the mentioned $11.056 billion in November.
A technical commission from Bolivia is in Argentina to start negotiations for the signing of a new addendum to the gas purchase agreement and to stabilize the volumes demanded by the neighbouring country. Bolivia’s YPFB president, Herland Soliz, explained that the current contract addendum establishes export volumes of Bolivian gas of between 16 and 18 million cubic meters per day (MMmcd) in winter and from 10 MMmcd to 11 MMmcd in Summer.