Contents 3 Editorial Expocruz 2000, the products from the 4 on display

Tourism on a grand scale in 10 the Cochabamba Tropics Private sector: investment 12 and opportunities

Five lines of action for 16 progress Publication funded by the United Nations International Drug Control Programme (UNDCP) through project AD/BOL99/D69, “Articulation of Alternative Development with the National Planning System”, and pub- lished by the Vice-Ministry of Alternative Development. "The people of the •Editorial Committee Members: Vice-ministry of Alternative Cochabamba Tropics are Development, UNDCP, PRAEDAC (EU), USAID/PAS. 18 building an exceptionally •General Co-ordination: Mónica Portillo Páez promising future ..." •Front Cover Photograph: Banana selection process for export Archive: Office of the United Nations for Drug Control and Crime Prevention (ODCCP) - International Day Against Drug Abuse and Illicit •Printed by: Artes Gráficas LAVADENZ Calle Gustavo Medinacelli 2220. - Bolivia,Tel: 330358 20 Trafficking NUEVO GRAN ANGULAR The views reflected in this issue are not necessarily those of the entities Convention against mentioned above. Articles may be reproduced if the source is cited. Transnational Organized Free copies are available at the office of project AD/BOL/99/D69 Av. 14 de Septiembre 5369 • Calle 7 – Obrajes 22 Crime E-mail: [email protected] P.O. Box 14973 La Paz, Bolivia 23 Contacts

Ministry of Agriculture, Livestock AD/BOL/99/D69 Project and Rural Development “Articulation of Alternative Micronews Vice-ministry Development with the National of Alternative Development Planning System” 24 NUEVO GRAN ANGULAR And today...

The Bolivian strategy to combat drug trafficking, known as the Dignity Plan, is comprised of four pillars: Alternative Development, Eradication, Interdiction, and Drug Prevention and Rehabilitation. By applying this strategy over the last four years, Bolivia has obtained amazing results in the fight against drugs, including laying a productive foundation for sustainable development in the Cochabamba Tropics.

Alternative Development activities carried out in this vast, fertile region of the country have transformed the productive characteristics of the land, projecting a new regional and national image.

For many years, Alternative Development has focused on replacing the illegal regional economy with legal productive activities that, in addition to developing natural conditions, would represent a commercially viable way to change the course of the economy.

It is obvious that these efforts could not produce results in the short term. Much effort time has been required, for instance, to coordinate actions in agricultural research and the building of a social and production support infrastructure. Production chains had to be established from the farming phase all the way to the processing and marketing phase. Today, we have new roads, schools, hospitals and health posts, and basic services such as electricity and potable water. All this, together with the new products introduced in the region has generated the conditions needed to successfully transform the Cochabamba Tropics.

The Bolivian State’s approach to Alternative Development is now viewed with interest by the private business sector that has seen important growth in the possibilities for profitable activities in the region. Apart from agricultural products, some of which are now being successfully exported, other products with more added-value have joined the list of viable private investment options. The agro- industrial and forestry sectors have developed significantly; the production of palm heart, pineapples, bananas, timber, dairy products and others show concrete results which are beneficial for the peasant farmers. Likewise, tourism is becoming a significant source of employment, increasingly offering better services both to Bolivian and foreign tourists who wish to be in touch with nature.

New economic and social actors are appearing attracted by this promising scenario. Producers associations, private business enterprises, cooperatives, and communities are now much closer to achieving a future that was initially viewed with scepticism rather than enthusiasm. Little by little, a scenario is being put in place for development to be truly sustainable, independent of public investment and international cooperation. This is a difficult yet promising process, in spite of the existing problems.

As testimony to these encouraging developments, the second issue of Nuevo Gran Angular focuses on the views of those emerging actors who have made the effort to move development in the Cochabamba Tropics forward, leaving the coca-cocaine industry behind. A productive country and a life with dignity for all Bolivians awaits us at the finishing line.

WALDO TELLERÍA VICE - MINISTER OF ALTERNATIVE DEVELOPMENT NUEVO GRAN ANGULAR

EXPOCRUZ 2000 The products from the Cochabamba Tropics on display

The expansion of markets for alternative products is a daily task that is beginning to bear fruit, giving hope for a better future to thousands of producers in the Cochabamba Tropics.

The commercial fair held each year in the city of has become the best showcase for Bolivian products. Three decades ago, the first of Each year thousands of visitors come to EXPOCRUZ looking for new business opportunities. these fairs was organized as a strictly agricul-tural event. Since is a potential market for genetically display then it has grown significantly to improved animals adapted to A group of visionary entrepre- include a number of other tropical climate conditions. Later neurs from the Cochabamba commercial and industrial on, with the economic boom Tropics soon realized that the fair activities in fully equipped resulting from large-scale is an excellent opportunity to exhibition areas. agricultural indus-trialization, showcase their products and gain EXPOCRUZ beca-me one of the access to foreign markets. Built in the heart of Santa Cruz de most important fairs in the region. la Sierra, the fair has attracted a It also gives them the chance to growing number of local and Over the years, the number of compare their products with those foreign exhibitors. First were countries represented at the fair, from other countries. Unfortunately, livestock breeders from the number of exhibitors and the seven companies of the initial neighbouring countries with a number of visitors have steadily business group from the longstanding tradition in the field increased, making EXPOCRUZ a Cochabamba Tropics were unable such as , and first-rate event. to participate this year due to the Paraguay who realized that Bolivia social conflicts that occurred in The Cochabamba Tropics on

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The Alternative Development Programme supports many sustainable productive activities.

September. fair’s traditional and most included: successful events, also reflected Those who did participate, Ecological Products growing interest in industrial or however, passed the test with Naturaleza SRL exhibited a broad semi-processed products in flying colours. The entire range of array of natural products from the addition to raw material. Each products from this bountiful region region. Visitors showed particular year, the Round Table brings of the country was on display interest in the natural medicines together businessmen from during the two weeks of presented in attrac-tively designed different countries that wish to EXPOCRUZ 2000. envelopes. make useful contacts. During the Thousands of visitors were able to 2000 event, several companies These products come in different appreciate the quality of the offered to be representatives flavours such as pineapple and products. In many cases, direct abroad, which will translate into other fruits of the region. Their use, sales to the public surpassed the larger markets for their products. particularly as protection against a exhibitors’ initial expectations. Prize-winning Companies number of diseases, is clearly Some of them sold out their A number of companies based in explained on the package. products very quickly and others, the Cochabamba Tropics were Ecological products already have with larger stocks, were able to rewarded with high interest and a potentially important market in cope with the demand until the attention by the public. Their countries such as Germany, Italy, end of the exhibition. products were very well displayed and competent staff members in , Costa Rica, and Worldwide Contacts charge of the exhibition stands Japan. The success of direct sales was readily provided information. The pineapple used by this not the only sign of a bright future industry is purchased from the for private investment in the A brief summary of the products Left Bank Agro-industrial Cochabamba Tropics. The Busi- and activities from the Pineapple Producers Organi- ness Round Table, one of the Cochabamba Tropics repre- sented at EXPOCRUZ 2000 zation (APAMI), an association of

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nities. EMCOPAIVI also produces tropical fruit, jams and extracts.

A Feminine Touch Highly successful at EXPO-CRUZ 2000 were the jams made by women in Cocha-bamba Tropics.

This fertile region provides the women with the fresh fruit they need for their cottage industry. Neither chemical preservatives nor artificial flavourings are used to prepare the jams. Homemade papaya, pineapple and passion fruit Pineapple varieties adapted to the agro ecological conditions of the region do well in foreign markets. jams were exhibited and sold at the fair. more than one hundred families good news for fruit growers, The women are well organized and growing organic pineapples in the particularly for La Cochabamba Tropics. Estrella and Villa Imperial, two of the Passion Fruit leading passion fruit Considered the tropical fruit par producers associa-tions excellence, passion fruit is a very in the Cocha-bamba sought-after product. World Tropics. demand currently surpasses supply, an encouraging fact for Another noteworthy passion fruit growers. The fruit’s exhibitor at the fair was pleasant bittersweet taste is ideal the Ivirgarzama for preparing all types of beverages Agricultural Trading and for pastry making. Company (EMCO- PAIVI), based in Ivir- One of the major constraints garzama, 129 km from passion fruit producers face is the city of transportation. A perishable Cochabamba. The product, passion fruit is not easily company exhibited transported to distant markets; passion fruit, pine- however, industrial processing, apples, carambolo (star consisting basically in the fruit), mangoes, papaya development of juice concentrates and citrus fruit at offers new possibilities. EXPOCRUZ 2000. OCS SRL showcased its product, "El The processing of Negrito", at EXPOCRUZ 2000. The passion fruit and company currently produces 1.5 metric carambolo – an exotic tonnes per month and expects production fruit practically unknown to grow to 2.5 metric tonnes in 2001. even to local residents - The increase in pro-duction is absorbs the production Passion fruit reaches foreign markets. This exotic fruit has a of 14 rural commu- promising future in the region.

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form part of the Association of spite of an abundant supply of found the quality and price of the Pineapple Producers (AS-PROPI). milk and a well-developed dairy product very attractive. A Peruvian The Alternative Deve-lopment industry in the Santa Cruz region. company made a commitment to Programme provides ASPROPI buy the first 250 metric tonnes of Product quality was obviously the with technical assistance, annatto seeds. Brazilian reason. The yoghurt immediately businessmen put in a preliminary equipment and technology as part appealed to consumers, and demand order for 212 metric tonnes. of a strategy to involve women in was twice of what was expected by licit productive activities. Milka. Annatto trees grow well in the Cochabamba Tropics because of The jams, produced under strict Milka is gradually securing its its humidity and soil conditions. hygiene standards, were a clear position in all the local markets of The region could easily become a demonstration of the Bolivia. profitable trading centre for the entrepreneurial capability of the product. women in the Cochabamba Natural Colour Tropics. The presence of Bolivian Traders at This would enable Bolivia to EXPOCRUZ 2000 paved the way The Flavour of Milka at consolidate its position as an toward a bright future for annatto EXPOCRUZ 2000 important annatto producer. The producers. A number of companies EXPOCRUZ visitors responded country already has the will, the from neighbouring countries enthusiastically to the yoghurt land and the desire to do so. expressed interest in buying produced by the Milka dairy plant. annatto seeds and powder extract. A Miracle Called Palm Hearts This dairy product is being sold The demand for palm hearts is on Business representatives from the rise. The tembe tree (common successfully in the local market, in Brazil, Argentina, Chile and Peru

Modern techniques applied to banana production give excellent results.

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name used in Bolivia for Bactris experience selling flowers supermarkets of Santa Cruz de Gasipaes), from which palm heart worldwide, made favourable la Sierra, FIDALGA and is extracted, grows naturally in the comments on the prospects for HIPERMAXI, agreed to market tropical and subtropical regions of these tropical flowers. They honey from the Cochabamba the departments of Santa Cruz, agreed to purchase fifty dozen Tropics. Cochabamba, La Paz, Beni and flowers per week as part of an • The effort made by the Palm Pando. Many indigenous groups initial pilot project that could Heart Producers Association use palm hearts as part of their open the door for new possi- (PROASPA) to participate in diet and to feed domestic animals. bilities. EXPOCRUZ 2000 is praise- Palm hearts are rich in proteins, worthy. PROASPA is com-posed vitamin A and cholesterol-free • Timber and wood products from of six hundred families and runs a oils. the Cochabamba Tropics are attracting more and more local modern processing plant built and The tembe is a high-quality, fast- and foreign buyers. The city of equipped through an Alternative growing palm tree. Its fruit is now Santa Cruz de la Sierra, where the Deve-lopment project. used almost entirely to meet the construction sector is very active, The level of quality control demand for canned products, but is a natural market for the region’s practiced at the plant drew the it can also be used to make flour, wood products. Parquet floors, for attention of many visitors to the oil and feed for poultry and example, sell very well in Santa fair. The method, appli-cable in livestock. Cruz and are expected to be the food and be-verage industry, The largest Bolivian palm heart exported to the United States and is known as the Hazard Analysis producer is Tropical Agro- Europe. Argentinean and Control of Critical Points businessmen, on the other hand, industries (INDATROP S.A.). At (HACCP) system. Because it is were very interested in importing EXPOCRUZ 2000, the company highly effective, producers can wooden doors. amply justified its position as be certain that their products leader of the industry. • Honey, a well-managed meet the standards set by even INDATROP S.A. has its own natural product of the region, the most deman-ding markets. tembe plantations and a canning will penetrate new markets. To Conclude facility in the region. It has The two most im-portant Valuable lessons may be drawn developed a very efficient system of seed selection, planting, harvesting and distribution. INDATROP S.A. is able to meet local demand, but has yet to explore all the possibilities offered by international markets (United States and Europe) of this tasty and nutritious product.

More Alternative Products with Market Demand Private endeavours in the cultivation of exotic flowers were highly praised during EXPOCRUZ 2000. Chilean Tropical flowers were part of the novelties brought to EXPOCRUZ 2000 by the producers of the Cochabamba Tropics. entrepreneurs, who have vast

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Attractive presentation and accessible prices, two reasons for the success of honey at EXPOCRUZ 2000. from the participation of the new hope to thousands of farm private business sector of the families who were driven into tropical region of Cochabamba in growing coca because, at a EXPOCRUZ 2000. The most certain time, it was the only important one is that opening means of subsistence. Today, markets takes time and is not an Alternative Development opens easy task. a new path and its consolidation depends on the joint efforts of Consumers demand quality, the Bolivian State, international competitive prices and conve- coope-ration and private nient delivery arrangements. initiative. Producers must be able to meet that demand. Large international markets need to be supplied with large volu-mes of product of homo-genous quality.

The first steps have been taken. The vicious circle where small farmers hesitate to increase their production because of the lack of markets and buyers who are discouraged by precarious production runs can be broken.

EXPOCRUZ 2000 has shown that constraints can be overcome. The expansion of markets for alternative pro- ducts is a daily task that is The high demand for palm heart has enabled several companies to industrialize the product generating new income for producers in the region. beginning to bear fruit, giving

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CHAPARE TROPICAL RESORT Tourism on a grand scale in the Cochabamba Tropics

The initiative of hotel includes 186 luxury rooms, approximately 160 km from the building a first-rate fully equipped to provide all the city of Cochabamba and 340 km resort hotel reveals comfort guests need. The resort from the city of Santa Cruz de la one of the will have a golf course, tennis Sierra. The location will allow for vocations of the courts, beach volleyball and a a permanent flow of tourists Cochabamba Tropics: swimming pool. Guests will also coming from either of these two tourism and its be able to visit the national parks cities. and enjoy the virtually untouched multiple facets. Once the local airport at Chimoré natural riches they have to offer. is opened to public transport, this The possibilities are limitless for tourist complex will be a regular adventure tourism, observation of destination for local commercial The tropical region of Cocha- unique plants and animals, and airline flights. bamba departament is the study of indigenous peoples living gateway to the Carrasco and in harmony with the tropical A Giant in the Jungle Isiboro-Sécure national parks. environment. The first phase of the project, This privileged location makes it The Chapare Tropical Resort is which covers an area of 70 ideal for developing projects in located in Villa Tunari, ecotourism. The region already hectares, will soon be com-pleted. has a reasonable number of hotels offering accommodations for tourists at different prices.

The building of a world-class resort hotel seemed like an unachievable goal for Bolivia’s small economy. Nonetheless, a group of visionary Bolivian investors rose to the challenge and decided to build the Chapare Tropical Resort in the heart of this tropical paradise.

A Promising Infrastructure Surrounded by exuberant vegetation, the main buildings of the Chapare Tropical Resort start to The elegant design of this modern take shape.

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The Chapare Tropical Resort will inaugurate a block of 59 luxury rooms, a 1,700 square meter swimming pool, the first nine holes of the golf course, several tennis courts, a gourmet restaurant, and other hotel areas.

According to the investors, the second phase will consist of an additional 59 rooms, a second restaurant, a disco-thèque and the remaining nine holes of the The extensive golf course of the Chapare Tropical Resort. golf course. Once the golf course is completed, the resort selected to operate the resort’s The people who not long ago will be an ideal venue for inter- time-sharing plans. Interval undertook what seemed like a national golf tournaments. International currently ope-rates preposterous endeavour, can with 1,800 resorts in 70 different now see their dreams come The final phase of the project countries. true. includes building the remaining 68 luxury rooms, a fully equipped Barceló, also an experienced firm The conclusion of this project conference/events facility, the spa with an impeccable record in the means more sources of perma- and other minor works. hotel industry, will manage the nent employment and a way to resort hotel. show the many opportunities the The total investment is esti-mated Cochabamba Tropics, and at US$ 5 million. Tourism for All Bolivia in general, have to offer. The "giant of the jungle" will The Business Strategy initiate its activities in the coming This large-scale project will months. The owners have require effective marketing to announced that the hotel’s succeed. Local efforts will not be inaugural prices will be very enough and, in an in-creasingly attractive for both national and globalised economy, the right foreign visitors, taking into decision is to join forces account the investments made regardless of national borders. and the quality of the services With this in mind, the Chapare offered. Tropical Resort plans to Special vacation plans for participate in an innovative time- families, week-ends and other sharing vacation system and will surprises are being enthu- be part of a worldwide selection siastically prepared to open the of travel destinations. Cochabamba Tropics to tourists A highly experienced company, from around the world. Interval International, has been DECEMBER 2000 11 NUEVO GRAN ANGULAR

Economic potential of Alternative Development activities Private Sector: Investments and Opportunities The Alternative Development Programme seeks the sustainability of productive activities, whether these are carried out by private companies or producers associations in the Cochabamba Tropics.

Today, bananas are one of the most succesful crops for export and local markets.

The Cochabamba Tropics has enormous economic possibilities for diversified agroforestry production potential as can easily be seen by the abundance of its through a combination of trees and crops, as well as renewable and non-renewable natural resources and production of forest products from management plans. the growing experience by tourism and agro-industries. Also, national and international markets are opening up to the large variety of alternative tropical woods grown in the Support to production and marketing increase the region’s export capacity, thus helping to consolidate region. As far as non-timber products are concerned, Alternative Development efforts. palm heart already has a local and international market, and medicinal plants could be the basis for a small Agriculture and Agroforestry pharmaceutical industry run by local farmers and their Agriculture contributes significantly to develop-ment in families. the region. Bananas, for example, are now exported to Argentina and northern Chile. Fish farming is also an interesting and viable option. The region’s rivers contain a large variety of species The natural ecosystems of the region offer attractive

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Forest management plans ensure the sustainable use of forest resources. such as "surubí", "pacú", "corvina" and others, which can employing qualified technicians and applying appropriate be bred in natural and/or artificial ponds. This would technology to avoid damaging the forest and ensure its generate a new source of income for the local population. sustainable use.

Producers Associations In this case, the establishment of producers associations By providing financial support, capacity building and training enables families to participate in the benefits and income to producers associations, the Alternative Development offered from rationally using local forest resources. In Programme seeks to ensure the sustainability of productive this way, much of the income generated stays in the activities in the region. region and serves to improve social and economic conditions. The Programme currently works with some 120 producers associations. Considering that ten years ago, Another clear example of the good work done by when Alternative Development Programme started, there producers in the tropical region of Cochabamba is the were less than a dozen associations and cooperatives, Ingavi Banana Producers Association (ABIB) which the process of building up these groups has been very manages 477 hectares of banana plantations for the successful. The associations supported by the production of export-quality fruit using state-of-the-art Programme focus on the production of new products: production, harvesting and post-harvesting technology. palm heart, bananas, pineapple, passion fruit, black pepper, agroforestry products, lumber, honey, flowers ABIB’s principal markets are Santa Cruz (45%), Oruro and handicrafts. (40%) and Cochabamba (15%). The association is planning to enter local markets in the departments of La Alternative Development support is provided principally Paz and Tarija. through Revolving Funds set up for this purpose. The funds are used by the associations to start up activities in Marketing plans for the immediate future include agriculture, agroforestry and forestry continuing exports to Argentina (1,000 boxes per week) and expanding into Chilean and Peruvian markets to The association El Mapajo is a good example of the reach weekly exports of 3,000 boxes. entrepreneurial development of producers in the region. It processes and supplies timber to private firms that export Gas, Oil and Energy finished added-value products, such as parquet and doors The large gas and hydrocarbon reserves found in the area to Europe and the United States. account for the presence of many oil companies Cochabamba Tropics. The department of Cochabamba has El Mapajo plans and monitors forest utilization by the potential to become a major national producer of these

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non-renewable energy resources.

Moreover, the thermoelectric plants located in the region produce electricity not only for the population of the Cochabamba Tropics but is also distributed to the rest of the country.

Tourism The tourist industry is taking shape and could become one of the most representative sectors of the region, generating significant income for local municipalities. The national parks are already visited by many Bolivian and foreign tourists who are attracted by the Producers expand their technical knowledge with the support of the Alternative Development Programme. wildlife, vegetation and magnificent tropical landscapes. the Peruvian border. The region’s production can thus be easily transported to domestic and foreign markets. The expansion of the hotel infrastructure in Villa Tunari is the first step toward consolidating tourism as a profitable It is estimated that some US$ 30 million have so far business and attracting new investments to the region. The been invested in the region by private companies aim is to create a competitive environment that will boost attracted by these advantages. service quality. Marketing Support Training and Investment One of the objectives of the Alternative Development The population of the Cochabamba Tropics is ethnically Programme is to promote private investment in the diverse, but possesses a great capacity for organizing itself Cochabamba Tropics and provide support to the to make decisions and implement actions. The presence of production chain, from crop management to product workers unions, producers associations and the marketing. The region already supplies markets in participation of women in different organizations is decisive Europe, South America and the United States with its for resolving conflicts and implementing Alternative products, and efforts are ongoing to open up new Development projects. markets.

Producers have gained sound technical knowledge in Support to the private sector is crucial to help access crop and post-harvest management through extension capital markets and competitive technologies. The lines and technology transfer projects. They also benefit of action pursued by the Alternative Development from good infrastructure (cable transport systems, Programme are therefore based on the following packing centres, mobile sawmills), year-round roads aspects: and markets for their products. • Understanding of market demand in order to improve The advantages of investing in the area include low land product quality for the benefit of regular consumers. prices and favourable climate conditions for the production • Demand-driven production based on both domestic of tropical crops. To this should be added the strategic and international markets. location of the Cochabamba Tropics along the main national highway running between Cochabamba and • Market segmentation to identify and occupy specific Santa Cruz , and then on to Puerto Suárez on the border niches providing commercial value to products. with Brazil and, in the other direction, to Desaguadero on

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The industrial production of palm heart creates jobs in the region.

• Diversification in the production of several crops to 25,000 from the Incentives Fund. provide producers with a greater number of options.

Support to marketing also includes assistance in quality control practices. The method favoured is the Hazard Analysis and Control of Critical Points system that has proven to be very effective and will enable the region’s agroindustries to penetrate international markets by ensuring that they meet high quality product, packing and labelling standards.

Promising Crops Among the alternative products, bananas and palm heart are the crops with greatest potential for growth. In 1999, farm gate prices for bananas and palm hearts totalled US$ 5.7 million, representing 27% of the total value of the produce coming out of the region.

Some 8,000 boxes of bananas, weighing 22 kilogrammes each, are exported every week to Argentina and northern Chile.

An Incentives Fund and a Revolving Fund were set up to stimulate and increase exports. Ingavi B, a banana producers association, was able to invest US$ 25,000 in cardboard boxes for packing thanks to this initiative.

Andean Group, another banana producer of the region, has likewise benefited with US$ Premium quality canned palm heart for the most demanding markets.

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The Business Association of the Cochabamba Tropics Five lines of action for progress The Business Association of the Cochabamba Tropics decided upon five lines of action. Its president, Hugo Valdivia, comments on where to focus State efforts.

According to its president, Hugo jects to develop ecotourism and constant problems and disrupt the Valdivia, the region must adventure tourism. normal flow of traffic. The section consolidate itself as an open In the short term, the Asso-ciation has not been paved and this space for national and foreign intends to focus its efforts on increases travel time and investment. launching these priority actions. transportation costs. This then The arrival of fresh capital and However, Hugo Valdivia considers affects product prices and, in turn, successful experiences from other that improving road infrastructure compe-titiveness. Engineering parts of the world will facilitate the is a top priority. Improvement studies have already been sustainable development of the efforts should not only focus on conducted to solve this long- region. the main highway to the region standing problem. According to and local secondary roads, but engineering studies, topo-graphic Five Lines of Action most importantly on impro-ving constraints may be overcome by: According to the members of the the road system connec-ting the Association, five lines of action Cochabamba Tropics with foreign • Building suspension bridges must be followed in order to markets. This will certainly over certain ravines; achieve this goal: encourage foreign investment. • Building viaducts and • Consolidate the involvement of The Roads to Progress construction works to facilitate the private business sector in The Business Association of the drainage; regional development; Tropics believes that a • Laying a type of asphalt comprehensive road impro- • Conduct lobbying at different surface adapted to the vement plan should include the levels with regard to the private geologically unstable ground of following: sector’s demand; the area. First, the main road between • Promote and provide incentives for Secondly, the road between Cochabamba and Santa Cruz, private investment; Chimoré and Yapacaní is particularly the section called El seriously damaged due to lack of • Promote exports by iden-tifying Sillar. It is a known fact that the maintenance and deficient control markets for the region’s produce. topography of the area and of cargo weights. This road adverse climate conditions cause • Promote and encourage pro- connects the Cochabamba

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Tropics to Santa Cruz and from avoiding unnecessary delays and more private investors will turn their there to the markets in Argen-tina inconveniences. eyes toward the region and its and Brazil. undeniable production potential The opening of the Chimoré supported by the results achieved Finally, the road between Abapó airstrip to commercial flights is by the different Alternative and Camiri needs patching and also a priority. This will Development projects. maintenance. The road is increase the flow of tourists important for fruit exports to and provide fast transportation The coordination of public and Argentina and to promote trade for pe-rishable products to and private sector efforts in the in general between Argentina from the tropical region of Cochabamba Tropics is a matter and Bolivia for the benefit of both Cochabamba. Lloyd Aéreo of national interest. It is time to countries. Boliviano (LAB), the national reap the reward of years of hard More Coordination airline, has already announced work. Not only better roads are needed to that it will operate regular promote development, it is equally flights to Chimoré. important to draw up common A bank is also needed to facilitate agendas for other initiatives. With this business transactions. Many in mind, the Business Association of banks have already expressed the Cochabamba Tropics met with interest in setting up offices in the senior officers of the Regional region. Alternative Development Programme to set common objectives and draw up More Private Participation guidelines to coordinate actions. Hugo Valdivia is convinced that if the some of the above-mentioned The meeting re-commended recommendations made by the that awa-reness be raised among Business Association are transporters with re-gard to the implemented in the near future, importance of taking care of the country’s road system. This includes ensuring an adequate control of authorized loads.

A series of suggestions were made to improve the efficiency with which the Rural Mobile Patrol Unit (UMOPAR) operates its control points. The aim is to control illegal trafficking of drugs and other controlled substances while at the same time facilitating the trans-portation of Hugo Valdivia, President of the Business Association of the Cochabamba Tropics, urges authorities to improve products and people, road infrastructure.

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Pino Arlacchi affirms that: "The people of the Cochabamba Tropics are building an exceptionally promising future ..."

During his mission in Bolivia, Pino Arlacchi, ODCCP that occasion by Oswaldo Antezana, Executive Director, expressed satisfaction over the (former) Minister of Agriculture, results obtained by the Dignity Plan, particularly with Livestock and Rural Develop-ment, regard to Alternative Development and the reduction Waldo Tellería, Vice-Minister of of illegal coca crops in the Cochabamba Tropics. Alternative Develop-ment, José Orías, Prefect of Cochabamba, René Bastiaans, ODCCP Representative in Bolivia and Aldo Lale-Demoz, UNDCP Senior Programme Management Officer for Latin America and the Caribbean.

Arlacchi said that eradication of illegal coca crops in Bolivia was unprecedented. "The people of the Cochabamba Tropics are building an exceptionally pro-mising future; this region of Bolivia will be known not by of its illegal crops but rather its prosperous development", he emphasized.

Pino Arlacchi talks to producers and the local and international press during his visit to the The Economic Crisis Cochabamba Tropics. Asked whether there was concern The United Nations will continue to United Nations Under-Secretary- about the high economic and social support Alternative Develop-ment in General and Executive Director of cost of eradicating illegal coca crops, the Cochabamba Tropics in order to the Office of the United Nations for Arlacchi pointed out "when you open a provide sustainability to the Drug Control and Crime Prevention new page in the history of a region, interventions that have already taken (ODCCP), during a press conference there is always a price to be paid. It is place. The informa-tion comes from in Chimoré on 16 September 2000. like surgery, first there is pain, but in declarations made by Pino Arlacchi, Mr. Arlacchi was accompanied on the long-run the wound heals and is

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Santa Cruz de la Sierra in early 2001 to discuss the opening up of markets and other issues.

Inauguration of the CETEFOR Office During his visit to Cochabamba Tropics, Pino Arlacchi partici-pated in the inauguration of the main field office of the Technical Forestry Centre, a private foun-dation (CETEFOR). CETEFOR’s key objective is to implement a comprehensive forestry pro-gramme in the region.

Pino Arlacchi invited the municipalities, private companies, producers associations and, governmental The Executive Director of ODCCP receives the drawing from the school girl who won first place in an organizations to work together with art contest held among local schools whose theme was the environment. CETEFOR in sustainable transformed into a very positive thing". Markets development and support the efforts Arlacchi explained that the strategy made by the Bolivian government and He underlined two concrete results: adopted consisted of building a solid inter-national cooperation to improve first, the development that has productive capacity and then opening the standards of living of the people of gradually taken place and second, the national and international markets. the Cochabamba Tropics. security enjoyed by the population of He said that negotiations are living in a environment without the underway to place the region’s violence generated by illegal drug products in European markets. trafficking. An international conference of Arlacchi added that current economic congressmen from Bolivia, Europe, problems in Bolivia should not be United States, Japan, MERCOSUR attributed specifically to the coca – and other countries will be held in cocaine circuit. "To get rid of this industry is a great benefit for the country; there will always be a transition period when passing from an illegal to a legal economy, but there will no longer be the scourge of illegal economy”.

In support of the Dignity Plan, the total budget for ongoing UNDCP projects is US$ 22 million. This cooperation includes several areas such as alternative development, drug prevention, precursors control and social communication. Pino Arlacchi with national authorities and board members of CETEFOR.

DECEMBER 2000 19 NUEVO GRAN ANGULAR

26 June – Commemoration of the International Day Against Drug Abuse and Illicit Trafficking

Public awareness about the destructive effects caused by drug abuse and illicit trafficking is on the rise. The opinion of some renowned personalities.

rehabilitation”.

“The concept of responsibility must translate into a concrete expression as the contribution of the international community to our efforts benefits humanity as a whole. This is why I call upon countries and international organizations to cooperate in the challenging task undertaken by the government and people of Bolivia”.

“By producing illegal crops, farmers put themselves at the mercy of exploitation and fear. What may seem like a high-value crop can become the basis for indefinite dependency upon criminals who exploit the conditions of poverty of the rural population”.

“We must look ahead. We have almost fulfilled our goals and it is essential to secure sustainability for all that has been done. We must have the ability to prevent future conflicts and minimize expressions of President Hugo Banzer Suárez violence and continue firmly on the path of of the Republic of Bolivia. alternative development, without letting ourselves The world celebrated the International Day against deviate in other directions. This is a difficult and long Drug Abuse and Illicit Trafficking on 26 June, endeavour. Bolivia asks for your support”. stressing the need to continue the fight against drugs Kofi Annan on all fronts. Following are the highlights of the United Nations messages delivered by three renowned personalities Secretary-General on that day. “As we look back on an unprecedented mobilization President Hugo Banzer Suárez of Bolivia against drug abuse and trafficking, we have much to “We have made a commitment, so that Bolivia may celebrate”. preserve its dignity, to implement an integrated policy “Greater international cooperation is finally catching up based on alternative development, eradication of with the global nature of the drug trade”. illegal crops, interdiction, and drug prevention and

20 DECEMBER 2000 NUEVO GRAN ANGULAR

Kofi Annan, United Nations Secretary-General. Pino Arlacchi, ODCCP Executive Director.

“Awareness about the destructive effects of drug “At the global level, it is time for us all to stand up and trafficking and abuse is on the rise. And, crucially, the proclaim that we have had enough. No family, no perception is gradually taking hold that solutions to community and no country should tolerate a drug the drug problem are attainable”. trafficker in its midst. They must be seen as the exploiters that they are, making profits as merchants “In this rapidly globalising world the drug menace knows of misery”. no boundaries. It is restricted to no social class and is exclusive to no one region. It is a global problem with “When we succeed in ejecting drug abuse from our staggering economic and social costs”. communities, we will see that we have made a major step forward in ejecting violence as well”. “The weapons in this fight are simple: common sense and good will, which are available in every “On this International Day against Drug Abuse and neighbourhood”. Illicit Trafficking, I call on every community to pull together and rid itself of this threat to the security and “The eradication of drug abuse from our planet is a well-being of its residents”. daunting task. But with the combined forces of all levels of human organization and endeavour, I am convinced we can and will make headway”.

Pino Arlacchi ODCCP Executive Director

“We must have the ability to prevent future conflicts and minimize expressions of violence and continue firmly on the path of alternative development..”.

His Excellency President Hugo Banzer Suárez of Bolivia

DECEMBER 2000 21 NUEVO GRAN ANGULAR

United Nations Member States Met in Palermo, Italy Convention against Transnational Organized Crime

"We can now affirm that Today’s criminals may plot a crime guest of Pino Arlacchi. Luis the tide is turning on in one country, perpetrate it in a Angel Vásquez, the Bolivian cross-border crime”. second and launder the profits in Minister of Justice and Human Pino Arlacchi, Executive yet another one. Organized crime Rights and Fernando Messmer, Director, ODCCP. forms the dark side of globa- the Bolivian Vice-Minister of lisation, reaching across conti- Foreign Affairs accompanied nents, exploiting open borders and him. misusing the advantages of new The United Nations Convention technology. For these and other against Transnational Organized reasons, to establish a common Crime was open for signature by legal framework is a Member States at a high-level priority to combat conference held in Palermo, Italy on transnational crime. 12-15 December 2000. "The world community is freeing itself of the The Convention spells decades-old losing approach of out how coun-tries can trying to address international crime improve cooperation with local solutions," said Pino on such matters as Arlacchi, Executive Director of the extra-dition, mutual United Nations Office for Drug legal assistance, Control and Crime Prevention transfer of proceedings (ODCCP). and joint investigations. It con-tains provisions Heads of state and authorities for victim and witness from United Nations Member protection, and mea- States, together with experts, sures to combat renowned personalities and media trafficking in women representatives seeking to ensure and children, mi-grants that domestic laws are consistent and illicit arms. and effective to combat organized crime, addressed this widespread President Hugo problem. Banzer Suárez of Bolivia attended the conference as special

22 DECEMBER 2000 Cont@cts OF SELECTED AGRICULTURAL PRODUCERS ASSOCIATIONS AND AGROINDUSTRIES PALM HEART PRODUCERS SAN CARLOS 268007 ASSOCIATIONS IN THE Location: San Carlos Contact in Cochabamba City: Andrés COCHABAMBA TROPICS Tel: (591) 014-97749 Morales Contact: León Montaño OCS PROASPA Location of plant: Sipe-Sipe Location: Senda 3 SENDA B Tel/Fax: (591) 04-223315 Tel: (591) 014-97669 Location: Senda B E-mail: [email protected] Contact: Angel Zambrana Tel: (591) 0411-4311 Contact in Cochabamba City: Contact: Germán Ibáñez Omar Montaño AINPROB Location: Samuzabeti SAN LUIS EMCOPAIVI Tel: (591) 0411-4144 Location: San Louis Location of plant: Ivirgarzama Contact: Adrián Morales Tel: (591) 014-98793 Tel: (591) 019-63592 Contact: Andrés López Contact: René Bustamante PALM HEART AGROINDUSTRIES IN THE 16 DE JULIO PINEAPPLE PRODUCERS COCHABAMBA TROPICS Location: 16 de Julio ASSOCIATIONS IN THE Tel: (591) 014-93431 COCHABAMBA TROPICS FABOPAL Contact: Liborio Loza Location of the plant: Sinahota APAMI Tel/Fax: (591) 04-530792 BANANA AGROINDUSTRIES Location: Eterazama (591) 0411-4446 IN THE COCHABAMBA Tel: (591) 014-96764 E-mail: [email protected] TROPICS Contact: Miguel Claros Contact: Manuel Alfaro CHAPARE EXPORTA ASPROCUT INDATROP Location of collection centre: Location: Germán Busch Tel: (591) 017-15184 Location of the plant: Sinahota Senda 3 Contact: Benjamín Montes Tel/Fax: (591) 04-268555 Tel/Fax: (591) 03-542721 Contact in Santa Cruz: Miguel E-mail: [email protected] ASPROPI Website: www.indatrop.com Zambrana Location: Mariposas Contact in Cochabamba City: Tel: (591) 0411-4319 Christian Marañón THE ANDEAN GROUP INC. Location of collection centre: "La Contact: Jean Stavrakopoulos BOLHISPANIA Jota" Tel/Fax: (591) 03-433315 FINCA ELIA Location of the plant: Senda 3 E-mail:[email protected] Location: Mariposas Tel: (591) 02-444280 Contact in Santa Cruz: Andrés Tel: (591) 019-69830 Fax: (591) 02-441308 Judeh Contact: Jean Stavrakopoulos E-mail: [email protected] BANABOL COFRUT Contact in La Paz: Miguel Location of collection centre: Location: Ivirgarzama Gonzáles Ivirgarzama Tel: (591) 04-271508 Tel/Fax: (591) 0411-4218 Contact in Cochabamba City: BANANA PRODUCERS Contact: Carlos Flores Javier Tejada ASSOCIATIONS IN COCHABAMBA TROPICS ABIB BLACK PEPPER PRODUCERS Location of collection centre: ASSOCIATIONS IN THE INGAVI B Ingavi B COCHABAMBA TROPICS Location: INGAVI Tel: (591) 014-93431 Tel: (591) 014-93431 Contact: Erasmo Flores SAMUZABETI Contact: Erasmo Flores Location: Samuzabeti PASSION FRUIT Tel/Fax: (591) 0411-4144 VILLA FERNANDEZ AGROINDUSTRIES IN THE Contact: Adrián Morales Location: Villa Fernandez COCHABAMBA TROPICS Tel: (591) 019-66676 CHIMOREZILLO Contact: Herminio Luna DEL VALLE Location: Chimore Location of plant: Samuzabeti Tel: (591) 0411-4302 Tel: (591) 04-268001 Fax: (591) 04- Contact: Luis Choque DECEMBER 2000 23 Micronews

New job With the assistance of UNDCP, ILO and FAO, project AD/BOL/OO/EO7, Vocational Training and Promotion opportunities of Micro-enterprises in the Cochabamba Tropics, will soon start activities aimed at generating more and through better work opportunities for the population of the region. The local beneficiaries will be trained in different skills and activities, mainly non- vocational training agricultural, based on market demand for skilled labour to spur on the region’s development.

The project is intended to complement Alternative Development efforts by training more than 8,500 young men and women of the Cochabamba Tropics to carry out productive activities in areas such as metalwork, textiles, handicrafts, and carpentry among others.

Support will also be given through technical assistance and financial guidance to those who are self-employed with a view to promote micro- enterprises in the agroindustrial and services sectors. US$ 900,000 for secondary road improvement

The Alternative Development Programme, through the USAID- CONCADE project, is working hard to make up for the time lost during the road blockades that affected the region in September 2000. The Secondary Road Improvement Unit of CONCADE will have completed 40 km of stone-paved roads by the end of March 2001 (Eterazama- Mambuelo=10 km; Cesarzama-Ingavi B=10 km; Senda 3- Puerto Aurora=19.2 km) at a cost of US$ 900,000.

New publications

These two new publications are in circulation. The first one provides a valuable insight to better understand the coca-cocaine industry. The other one is a compendium of all the multilateral and bilateral agreements signed by Bolivia since 1961.

We wish to thank the following people for their contributions to this issue: Claudia Vargas, Javier Ramallo, Erick Foronda and Fernando Valdivia.