Sunday, June 27, 2010

Business Monitor International: "Brazil Petrochemicals Report Q3 2010" - Some thoughts about it

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After reading this website, I would like to make some comment about Brazilian situation and compare it with Venezuela.

- Brazilian policies have proven so far to be succesful.
- Petrochemical business are no longer looking directly to exports, but domestic market (fueled by coming Olympics and World Cup), is increasingly important.
- Market funds specialists recomends to invest in three different places: China, India and Brazil.

Brazil actual position could offer competitive prices, but the real challenge is to offer differentiated position, a long chain of added value. R&D opportunities are huges.

Venezuela in the other hand, could benefit in the surge of polyolefins demand in Brazil, by strenghtening cooperation mechanism, petrochemical business in Venezuela should offer solution to some of the Brazilian challenges. A well planned strategy, focusing on regional integration and cost differentiation.

Finally, for both countries, Venezuela and Brazil, they have to focus in the long added value in petrochemical business. If one of the links is missing, the potential could be undermined.

Monday, June 7, 2010

Recycling policies in Venezuela

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This is a rough translation from this information first made by Javier Brassesco.

The "Law of Integrated Waste Management and Solid Waste" was approved in January (first discussion), and several organizations are waiting for the National Assembly's invitation to participate in the "street parliamentarism" a prerequisite for the second discussion.

The Venezuelan Confederation of Industries (Conindustria) made a very technical analysis of this law in its website ( where it identified a number of inaccuracies and inconsistencies and suggests amendments to some of its 164 articles.

There is clear that one of the items of greatest concern to the industry produces is number 42 of this law, which establishes that "(...) the producers, distributors and marketers of consumer products must implement programs return to ensure the effective reuse or recycle 100% of their packages within three months. "

In Conindustria argue that this obligation cannot be followed, because the country lacks the capacity to process recycle all packaging produced, let alone in the midst of a national electricity crisis.

The main complain is because it represents an attack on the producers of goods, while some punitive provisions (Article 151) are described as exaggerated , which among other things talks about the partial or total occupation of those places where inadequate waste management is carried out.

Tuesday, June 1, 2010

Clark Inciarte is back

Yes, the blog has fallen again into rumors and this is another mistake, so lets repair it.

Clark Inciarte is still Pequiven's CEO.