Paraguayan President Impeached and the Reverberations in Mercosur

article from June 28, 2012

By Jamie Douglas

Paraguay, a country that was long ruled by the iron fist of its dictators, the Alfredo Stroessner family, managed to slip into an uneasy kind of democracy a few years back subsequently electing the horny bishop who has fathered at least four illegitimate children, His Eminence Fernando Lugo.

But all that came to a screeching halt last week when he was “impeached” by Congress over a bloody shootout between landless peasants and the authorities that left 19 dead in total. His impeachment trial was a farce, with his side not being allowed to mount a defense. It basically was just a vote in the opposition Congress to get rid of him because, as a socialist, he had always taken the side of the poor, which rubbed the very wealthy elite of Asuncion the wrong way.

Paraguay, a founding member of Mercosur, suddenly found itself being chastised by its fellow members, Brazil, Argentina and Uruguay. They were also uninvited from the Mercosurial Presidential shindig to be held in Mendoza, Argentina, June 28-29. Lugo had initially announced that he would attend, but changed his mind because the new president would likely not let him go or not allow him back into the country.

While the leaders of South America, including Venezuela, expressed their outrage at the actions of the Paraguayan Congress, the United States of America is doing and saying nothing, probably wondering what country Paraguay belongs to. The State Department’s reaction is very similar to their initial reaction to the military coup in Honduras: nothing! The latest comments from Washington merely defer to future OAS actions and sanctions.

Meanwhile, with Paraguay’s suspension from Mercosur, business leaders in that landlocked nation are cheering for their leaving the flawed trade block altogether, going way back in history to the War of the Triple Alliance, where Brazil, Argentina and Uruguay banded together to carry out the extermination of almost 60% of Paraguay’s population. Old wounds to the national pride are still festering!

The fact of the matter is that, in spite of all the good intentions when Mercosur was formed in 1991, Brazil and Argentina have always treated the “junior members” of the alliance as their prostitutes, using their labor forces and resources for their own benefit, while at the same time (today) halting all imports from the small nations of Uruguay and Paraguay. To quote Paraguay’s head of the Industrial Union, Eduardo Felippo: 

 “Outside of Mercosur we will have greater options. We are going to develop our muscle to export to other countries, we are going to ensure that our trade partners in the future will be other countries, other continents and not our neighbors which whether we like it or not, were part of the Triple Alliance”

Best of luck, during these trying economic times.

Perhaps this would be a great time for Paraguay to renegotiate the agreements reached for selling electricity dirt cheap from the Itaipu Hydroelectric Plant, which supplies almost all of São Paulo’s energy, as well as a substantial amount of Argentinean electrical needs at a very unfair, low cost. Bringing the price of that energy up to market values would do a lot to bring much-needed foreign currency into the coffers of the impoverished nation, but it would also take on the risk of being invaded by the bully nations. As I have mentioned in previous articles, Argentina is charging Uruguay three times the cost of the electricity transmitted from Paraguay through its grid just for the use of it, in addition to Uruguay having to pay for the original cost of the energy it is buying. That is particularly harsh when there is a draught in Uruguay, as presently exists, limiting the tiny nation’s electricity generation from its own hydroelectric sources.

It is my opinion that for all practical purposes, Mercosur is useless. It might as well be just a customs union between Argentina and Brazil. But currently even those two nations are bickering over imports and exports with each other. The current summit in Mendoza may clarify things a bit, but I may just as easily be confusing many of the issues with multiple meaningless political grandstanding by Argentinean President Cristina Fernández de Kirchner and Brazil’s Dilma Rousseff.

Jamie Douglas

(Not) holding my breath in La Paloma

[Image of disposed Paraguayan President Fernando Lugo via Flickr]

I encourage you to write me at cruzansailor [at] gmail [dot] com with any questions or suggestions you may have. Disclaimer: I am not in any travel-related business. My advice is based on my own experiences and is free of charge (Donations welcome). It is always my pleasure to act as a beneficial counselor to those who are seekers of the next adventure.

South America News Roundup May 11, 2012: Dignified Death in Argentina, Quinoa in the Andes, Floods in Paraguay, Water Cannons in Chile

article from May 11, 2012

by Julie R Butler

Argentina: Dignified death law

The Argentine Senate has approved a “dignified death” law by a vote of 55-0, with 17 abstentions. The law was already passed in the Lower House last year. It eliminates the need for family members to find a judge who would sign a court order to refuse treatment or put an end to life-support.

Medical ethicists assure that removing feeding tubes is more humane than force-feeding the dying because the human body naturally shuts down its systems and can even induce feelings of euphoria that make the passing more calm and comfortable. Euthanasia is expressly prohibited by the new law, and the patient or representative must have signed document stating their wishes before a notary and two witnesses.

The Andes: Quinoa exports soar

Quinoa, a grain-like member of the spinach family, has been grown for food in the Andean regions of Ecuador, Bolivia, Peru, and Colombia for thousands of years. It is high in protein and has an excellent amino acid profile and good amounts of calcium, iron, and phosphorous. Like many indigenous foods, it was once looked down upon as “Indian food,” fit only for the poorest of the poor. But now, it has become a profitable cash crop for Peru and Bolivia, with a growing market in industrialized nations.

While this is good news for the farmers of these countries, it also raises several concerns. Suitable land is scarce in regions of Bolivia, causing violence over land claims. Another issue is that all of this nutritious food will be exported, leaving none left for the poorest of the poor.

Paraguay: Widespread flooding

Devastating floods began to hit the Chaco region of western Paraguay in mid-April. Some areas could not even accommodate emergency helicopters because of a lack of dry land.

The Paraguayan Chaco is nicknamed “Infierno Verde” (Green Hell), due to its extreme weather. The heat in the summer is intense, and the agriculture in the region has been plagued by extended droughts in recent years.

Heavy rains there continued through the end of the month, causing the affected area to spread to the capital city of Asunción, the latest region to have been declared a “state of emergency” due to flooding along the banks of the Río Paraguay.

As of April 29, 1,000 people had to be evacuated in Asunción and about 500 in Concepción, 570 km from the capital, while some 70,000 have been displaced in the Chaco.

Chile: Piñera, polls, and police

Recent news out of Chile serves as the perfect follow-up to the point I made recently in my article about the "Red Diaper Baby."

First, there is the recent polling that has Piñera’s approval rating dipping lower than it has ever been since he became president of Chile in 2010. This, despite the healthy economy, as food and fuel prices have fallen over the past few weeks. Political scientist Jose Viacava says that Chileans want more than good economic indicators; they are pushing for deeper reform in the country’s political and economic model. At least the president can take solace in the fact that the Concertación, the center-left opposition party, fares even worse in the polls. Perhaps part of the reason for so much discontent is that the carabineros spent US$6.7 million on 10 new riot control vehicles equipped with water cannons, feeding directly into the point that education reform activist, Camila Vallejo, was making in her response, as reported by The New York Times, to Piñera’s comment that “nothing in life is free. Someone has to pay”:

“Obviously someone has to pay, but there’s no reason why it must be families financing between 80 and 100 percent of it.” Why not the state — through taxes on large corporations, the nationalization of resources, a reduction in financing for the military? When yet another march ended in violence, Vallejo and her fellow students collected hundreds of tear-gas shells and brought them to La Moneda. “Here are more than 50 million pesos worth of tear-gas bombs,” announced Vallejo, money, she said, that could have been spent on education. Students formed the shells into a peace sign on the plaza, and Vallejo crouched in the center. The resulting image was published all over the world.

Julie R Butler is a writer, journalist, editor, and author of several books, including Nine Months in Uruguay and No Stranger To Strange Lands (click here for more info). She is a contributor to Speakout at Truthout.org, and her current blog is Connectively Speaking.

email: julierbutler [at] yahoo [dot] com, Twitter: @JulieRButler

The Lowest Cost of Living in the World for Expats: South America

article from August 1, 2011

by Julie R Butler

After having given brief profiles of the cities of Central American cities with the lowest cost of living for expats, another group of cities that may be attractive as well as inexpensive are those in South America. These cities are somewhat off the beaten track, being more difficult to get to from the States or Europe, and some knowledge of Spanish is a must.

Quito, Ecuador

Quito is the capital of Ecuador and an important center of Latin American heritage. Quito’s Old City is considered to be the largest in all of the Americas. It is one of the oldest Spanish colonial cities in South America as well as one of the first locations where

the cry for independence from Spain rang out. This city is also known as Luz de América, Light of America.

At about 2,800 meters (10,000 feet) above sea level, Quito’s altitude is a formidable challenge. Additionally, Quito’s location between two high mountain ranges makes for weather that is unpredictable, and changes can be extreme. The weather is one reason why Cuenca, in the south, is more popular with expats, as it is consistent throughout the year and the altitude makes it moderate and pleasant. Another factor making Cuenca more popular is that Quito is in a more culturally traditional region, whereas Cuenca is about a third of the size of the capital, which is home to about 1.5 million people.

Among country’s greatest attractions are its natural beauty and amazing biodiversity, having the coastal plain, the sierra, and the Amazon Basin as well as the Galapagos Islands, all in a relatively small area. Ecuador also has one of the lowest costs of living in South America.

Although Ecuador has been a very popular destination for expats for the past few years, one of the main concerns is political volatility. The Correa administration has made great strides in reducing poverty in Ecuador, but authoritarianism, the expelling of the US Ambassador to Ecuador, and the police coup or whatever that was that occurred in September of last year have not exactly been signs of stability. Another problem to be aware of is growing drug violence.

Asunción, Paraguay

Paraguay is a landlocked nation that sits between Argentina, Bolivia, and Brazil. It is defined by the Paraguay River, one of South America’s major river systems, which divides Paraguay into two distinct geographic regions: the largely uninhabited semiarid Chaco to the west and the forested Paraná to the east.

The population center is in and around the capital, Asunción, located on the Paraguay River in the south of the country. It is another of the continent’s oldest Spanish colonial cities, having served as a base from which both colonial expeditions and Jesuit missionaries were launched, a trading port, and after Buenos Aires was sacked by indigenous warriors, the uncontested regional center of power. It is also known as the location where one of the first rebellions against the Spanish arose.

Paraguay’s history, tragically, has been one of the most war-torn in Latin America, which has stifled the country’s economic development. Although the most recent political upheaval was in 1999, Paraguay has continued to face daunting problems caused by poverty due to marginalization of the Guarani people as well as corruption and political uncertainty, and it is a major smuggling and piracy haven.

Asunción is just below the Tropic of Cancer, so the weather is mostly hot and humid, with a dry season from June to September. Typhoid vaccinations are recommended, and mosquito-borne dengue fever is a concern. This city of more than two million inhabitants has its charms, among them, lack of infrastructure such as paved roads, and farm animals wandering about at will.

La Paz, Bolivia

Bolivia is South America’s other landlocked nation, although both of these interior nations do have access to the Atlantic Ocean via the Paraguay River. There seems to be a direct correlation between the astoundingly high rate of poverty – more than 60% of the population – and the large number of indigenous peoples. This country has also had its fair share of military and political upheaval, having lost over half of the territory claimed upon independence from Spain in wars with its neighbors as well as experiencing the familiar destabilizing politics that are common throughout South America. Despite fierce political opposition and pressing economic factors, President Evo Morales, Bolivia’s first indigenous leader, has managed to spur growth and induce modest improvements in poverty levels.

Very diverse geographic regions range from the Bolivian Altiplano in the west, to Amazonian rainforests in the northeast, to the Chaco in the east. The administrative capital, Nuestra Señora de la Paz, is located in a bowl at 3,650 meters (11,975 feet) in altitude among the high mountains of the altiplano. Its climate is cool year round and fairly dry, with more rain falling during the warmer austral spring and summer months.

La Paz’s early history is marked with several sieges by the indigenous Aymara people, and yet again, the city lays claim to South America’s first call for independence from Spain. Today, 2.3 million inhabitants live in this metropolitan center in the Andes.

Probably the biggest challenge to living in this, the least expensive major city in all of South America, is dealing with the altitude, which affects not only us humans, but will also ruin computer hard drives that are not specially made for high-altitude use. And, of course, there are the common issues that come with being in such an economically split society. Spanish is a necessity, as is understanding that Bolivia under Morales is yet another Latin American country that does not have good relations with the United States and is lacking a US ambassador.

Julie R Butler is a writer, journalist, editor, and author of several books, including Nine Months in Uruguay and No Stranger To Strange Lands (click here for more info). She is a contributor to Speakout at Truthout.org, and her current blog is Connectively Speaking.

email: julierbutler [at] yahoo [dot] com, Twitter: @JulieRButler