Thursday, March 5, 2009

Cargill Inc. apacitated

"President Hugo Chavez ordered the expropriation of a rice-processing plant in Venezuela owned by American food giant Cargill Inc. on Wednesday because the company allegedly was not distributing rice at prices imposed by the government.

The socialist leader also threatened to nationalize Venezuela's largest food producer, Empresas Polar, amid rising tension between his government and privately owned food producers that authorities accuse of sidestepping price controls aimed at stemming high inflation.

Chavez said Cargill's plant in Portuguesa state violated local laws by distributing rice without printing the regulated price on its packages. He instructed Agriculture Minister Elias Jaua to "begin the expropriation process."

"Prepare the decree and we'll expropriate Cargill," he said."

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