http://www.marxist.com/Latinam/venepal_nationalised.htm

Chavez nationalises Venepal under workers' control
"We want to liberate ourselves from capitalism"
By Jorge Martin
Chavez talks to Venepal worker  after signing the decree.


On the morning of January 19th, in the Ayacucho room of the Presidential
Palace in Caracas, and with the presence of Venepal workers and trade
union leaders, Chavez signed decree number 3438 which expropriates
Venepal. From now on it will be co-managed by the workers and the state.

This is a very important victory for the workers of Venepal but more
than that it is a massive step forward for the Bolivarian revolution.

Venepal is one of the main producers of paper and cardboard in Venezuela
and its plant is located in Morón, in the industrial state of Carabobo.
At one point it employed a total of 1,600 workers, controlled 40% of the
national market and was one of the main Latin American producers in this
sector. But the company's management allowed the paper mill to slowly
lose market shares and revenues. In April 2002, at the time of the short
lived military coup against Chávez, some of its main shareholders were
present at the swearing in ceremony for the new, illegitimate,
"president" Pedro Carmona. During the bosses' lockout against the Chávez
government in December 2002-January 2003 the workers resisted attempts
by the employers to paralyse the plant.

In July 2003, the owners declared bankruptcy and the workers responded
by occupying the plant and starting to run production under workers'
control. Rowan Jimenez, a trade union activist and member of the action
committee, explained how during the occupation, "the workers organised
production, broke all productivity records and reduced unproductive
waste to a level never seen before", (El Topo Obrero interview,
16/09/04). After a 77-day long struggle an uneasy truce was reached. But
that was not to last. On September 7th of last year, the company again
ceased operations and the workers' struggle started again.

>From the outset of the struggle the workers adopted the demand for
nationalisation under workers' control that was being proposed by the
comrades of the Revolutionary Marxist Current (The Workers' Mole). There
were a number of demonstrations in Moron and in Caracas, and solidarity
actions were being organised by workers in other factories, particularly
those organised by the Carabobo region of the newly established trade
union federation, the UNT.

After months of struggle, finally, on January 13th, when a delegation of
Venepal workers went to Caracas to demand a solution, the National
Assembly declared Venepal and its installations to be of "public
usefulness and social interest". This was the prelude for Chavez signing
decree n. 3438. This is the result of the struggle and the resilience of
the workers in Venepal who consciously sought the support of the local
community for their struggle.


Adressing Venepal workers
Picture: Agencia Bolivariana de Noticias

In his speech at the signing ceremony, in front of a large number of
Venepal workers and UNT trade union leaders, Chavez said "here we are
creating a new model, and that is why in Washington they are angry...
our model of development implies a change in the productive apparatus.
The working class must be united, learn and participate".

Before Chavez, the oldest worker in Venepal took the stage and described
their four month long struggle and the sacrifices they had had to make.
Edgar Peńa, general secretary of the Venepal workers' union explained
how the workers had drafted a project that proved the company could be
profitable and how this paved the way for expropriation. Peńa also asked
for National Guard protection of the installations, since there are
still those bent on sabotaging them. He also explained how, when they
resume production in a few weeks' time, the first products will be
destined for the government's social programmes (Misiones), "for the
benefit of the working class".

In his intervention, Chavez stated that capitalism is a model based on
slavery, "and this is why in Washington they are angry, because we want
to liberate ourselves from capitalism, in the same way that they were
angry many years ago with the ideas of Libertador Simon Bolivar".

Referring to Condolezza Rice's recent criticisms of Venezuela, he said
that there are good remedies in the market to cure ulcers, "for those
who might need it". He added that some might be annoyed at what is
happening in Venezuela, but "they will continue to be annoyed by the
revolutionary process, because no one is going to dislodge us from it".

Chavez added that the "role of the workers in this model is fundamental
and this is the difference between this model and the capitalist model".
He emphasised that "it is necessary to change the productive relations".

"Capitalism wants to annihilate the workers... here we are carrying out
a process of liberation of the workers, and this is why they are annoyed
in Washington".

Paraphrasing Lenin, Chavez said, "neoliberal capitalism is the highest
stage of capitalist madness."

"In Venezuela we are at war, but not invading other countries or
violating other countries' sovereignty... here we are at war against
misery and poverty".

He explained that the recovery of factories on the part of the state is
aimed at changing the conditions of exploitation the workers have been
submitted to by the capitalist model and the recovery of the country's
industrial capacity. He added that these new companies should not be
viewed through the lens of state capitalism, but rather as
co-management. "We must not fear the workers since they are the soul of
the companies".

Chavez also announced the "recovery" of a maize processing plant and all
of the basic industries in Guyana (this means the massive SIDOR
steelworks amongst others).

Though he said that "today's expropriation of Venepal is an exceptional
measure... we are not going to take away land, if it is yours it is
yours", he was also clear that "any factories closed or abandoned, we
are going to take them over. All of them."


"I invite the workers' leaders to follow on this path" he said. This is
a clear appeal to workers in other factories who were also involved in
the struggle of the occupied factories in July-August 2003, like the
CNV, Fenix, Industrial de Perfumes, CODIMA, among others. Workers in
these factories have already started to remobilise.

This is without doubt a massive step forward in the right direction. But
it must also be extended to all those other sectors of the economy that
are under monopoly and imperialist control. This should include the
banking system (which is largely in the hands of the two Spanish
multinationals), the telecoms sector (in the hands of US
multinationals), the food distribution sector (in the hands of a couple
of Venezuelan companies owned by known coup organisers), and others.
This needs to be done, as in the case of Venepal, under workers'
control. In this way the whole economy could be planned to the benefit
of the majority of working people. This would be the only way of
guaranteeing the final victory of the revolution. Workers' control or
management, if it remains isolated in one single company, cannot, in the
longer term, fundamentally solve the problem.

Through its own experience, the Bolivarian revolution has come up
against the wall of capitalism. Now it needs to break it down and move
to a democratically planned socialist economy in order to win the war
against poverty and misery.

See also:

The struggle of the Venepal workers – a crucial turning point for the
Venezuelan revolution By Jorge Martin. (October 11, 2004)
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