Maria Ramirez Hair
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Photo William Urdaneta

The productivity problems appear in the metallic branch and nonmetalist

Nevertheless, the crease in this branch is not new. In the 2008, as much the first as secondly semestral one closed with a sharp decrease, of 0.2% in the first six months of the year and of 7.6% in the second part of the year.

The absence of investments in the transforming plants of raw materials, as well as in the zones of extraction of minerals as much metalists as metalists are not the causes of this negative behavior, in agreement with the president of the Mining Camera of Venezuela (Camiven), Gilberto Sanchez.

The specialist in the area indicated that while the rest of the countries of Latin America invests with discipline in the sector for being this a vitally important area for the sustenance and the economic diversification, in Venezuela does not know the reach of the investment.

But how important it is the mining sector for a monoproducing country whose economic sustenance is based preponderantly in the oil rent? Vital. Sanchez recalls that at the beginning of 2008, the Ministry of Basic Industries and Mining (Mibam) assured that the mining is the second sector that contributes currencies more to the country.

In the area of the metallic mining, the contraction of the activity is attributed to the multiple paralyzations of the producing companies, labor deterioration and conflicts in the processors and metallic mineral transforming, specifically, mineral of iron, bauxite, alumina and steel.

“This was begun to feel in 2006 and 2007. In the 2005 there was a small recovery, nongrowth, in some of the metallic headings, but the lack of a suitable handling in the extractive zones of these minerals has lead to the serious problems… and they must to a lack of vision as far as the investment that required the plants, in first term of the State”.

Sanchez aimed that the maintenances of the plants processors must be periodic, at the aims to avoid successive shutdowns for want of improvements and technological updates and of processes. “He is contemplated to much deterioration in the companies processors”, said.

In which to the extractive mining one talks about, the new engineering is required and to make the modifications pertinent. “All this requires investment, and it has not had, and if there is no investment is no development”, it expressed.

Mining cadastre
The sector has solicitd in different opportunities to realise a mining cadastre, in order to determine which are the reserves whereupon it counts the country.

This week, the national Executive signed an agreement with Cuba to quantify the gold reserves in the Pebble, state Bolivar.

“I have heard east announcement thousands of times not only in this administration but in the previous one, and one has not become”, it indicated, while it pointed that “to arrive at the proven reserves it is required a systematic exploration and technological and we do not see that the Mibam has the structure, the capacity nor the elements to realise a good exploration, for that require new technologies”.

Considering the fall mining of Venezuela, if it is compared with other countries of Latin America with mining production which is the difference? they are in the same situation or is totally different?

- In year 57, the average of investment in world-wide exploration was almost of 1,000 million dollars and 75% of that amount were reversed in Latin America, being Brazil, Chile, Peru and Mexico the main investors. Of Venezuela the amount of exploration is not known, but we think that not even it reaches to a 2% than was reversed in Latin America.

- Why happens this in a country where is spoken to diversify the economy to diminish the oil dependency?

- In Venezuela, the investment has been turned aside towards international territories. The same government - to traverse of the Ministry of Basic Industries and Mining it announced in January of 2008 that the mining was the second heading after the petroleum that provided from currencies to the country, there has the importance of this sector to diversify the economy.

Guayana case
The president of Camiven emphasized that the economic crisis and the loss of the commodities in the international market accentuated the deterioration that saw come from 2006, when the necessity was already noticed to invest in technological improvements to do of the industries of the iron, aluminum and steel a competitive sector in the global market.

Two referential examples. The pioneer of aluminum CVG Alcasa registered a production of 169 thousand 230 tons metric of liquid aluminum in the 2008, an amount 6% inferior to the registered one in 2007 of 180 thousand 85 tons.

In the case of Sidor, estatizada in 2008, the liquid steel production closed the 2008 in 3 million 578 thousand tons, which represents a diminution of 16.9% with respect to the production of 2007 of 4 million 308 thousand tons, backing down at a level almost similar to the one of the 2003.

The production of Ferrominera Orinoco in 2008 was of 20.0 million tons of fine and heavy mineral, volume 3.1% inferior to the 20.7 million tons produced throughout 2007. In the 2006, 22.1 million tons got to take place.

The progressive deterioration continues being protagonist in these factories.

Intentions without takeoff

In diverse opportunities the Venezuelan State has signed letters of intent with national and foreign investors to improve the operative conditions of the aluminum processors, for example. Nevertheless, the intentions have been only in the paper.

The last letter of intent signed with China CAMC Engineering Co Ltd. the 25 of March of 2008 considered - after a study of the sector the necessity of an investment of 5,500 million dollars for associated maintenance, expansions and endogenous projects with the industries of the aluminum that not only would correct the productive deterioration, but also would contribute to generate 9 thousand new uses.

Statistical x-ray

- The liquid steel production fell 15.6% in the 2008, in agreement with the Annual Report of the Venezuelan Institute of Siderurgia (IVES).

- Other links registered falls as in the case of the mineral of iron (3.1%), reduced iron (12.2%) and steel products for the sale (14.1%).

- The provision from pellets to the national market fell 55.2% when happening of 1.6 million tons in 2007 to 725 thousand tons in 2008. In resistance, the imports grew 264%.

- The briquet production was reduced 14.6%, whereas the exports were contracted 25.5%.