Government reports ethanol production fell by 32% in 2020, but YPFB defaulted on purchase target

The production of anhydrous alcohol, the additive is mixed with superior gasoline, fell by 32% in 2020, a year marked by the stoppage of activities resulting from the pandemic. However, the sugar cane sector, which supplies the raw material, points out that the production of anhydrous alcohol did not fall, but rather that there was a failure by Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) to withdraw the agreed volumes.

An agreement will allow reusing more than 1 million discarded tyres per year

An agreement signed yesterday between the Cochabamba Chamber of Industry, Commerce and Services (ICAM) and the Swiss Foundation for Technical Development Cooperation (Swisscontact) will allow the reuse of more than one million vehicle tyres discarded annually in the country. The agreement aimed at recycling waste from the vehicle fleet. In addition to tyres, the agreement provides for the reuse of 742,664 batteries, 10,659 tonnes of lubricating oils and 606,477 tonnes of scrap metal. The industries will deliver these products to the collection companies.

Results in Vaca Muerta warn that Argentina will stop using Bolivian gas

The return of gas exports from Argentina to Brazil due to the development of Vaca Muerta, the world's second-largest unconventional gas field, is a sign that in at least three years, Argentina will no longer need Bolivian gas to cover its domestic demand. Private companies operating in Vaca Muerta have a strategy to supply gas to northern Argentina and Chile in the next three years. Northern Argentina is the region that demands Bolivian gas. The fifth addendum to the contract signed on 31 December 2020 establishes 8 million cubic metres per day (MMm3d) in summer and 14 MMm3d in winter.

IDB signs alliance with the private sector to promote investment in Latin America

The Inter-American Development Bank (IDB) has signed a partnership with leaders of 40 global and regional companies to promote investment in Latin America. The meeting between the multilateral organisation and the business sector is the first in a series of collaborations that the institution plans to carry out with the private sector to promote private investment and generate employment in the region.

Crude oil prices rise, and Bolivian needs to pay more to import fuels

The price of Texas Intermediate Crude Oil (WTI) (the Bolivian benchmark) closed at 60.52 dollars, causing the country to pay more to import gasoline and diesel. Bolivia imports 70 per cent of diesel and about 50 per cent of petrol, as production is insufficient. Although gas exports improve the price and the regions and universities improve resource's income, the effect is neutral.

Salaries of Vinto and Colquiri executives cut by up to 28.5%

The government ordered a reduction in the salaries of the executive staff at Empresa Minera Colquiri and Empresa Metalúrgica de Vinto in percentages ranging from 15.8% to 28.5% austerity policy and to guarantee the financial sustainability of the state-owned companies. Colquiri's main problem is its debt to suppliers. Outstanding obligations exceed 43 million dollars.