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Shopkeepers March on La Paz in Protest of Customs Reform

Posted: Nate on Aug 04 | Business & Economy

For the second consecutive day, shopkeepers and small business owners from La Paz and the superferia commercial area of Oruro shut down central La Paz with large demonstrations and marches.  Within eight hours of protests today between 3,000 to 4,000 protesters had surrounded Plaza Murillo and approached the Legislative Assembly and Presidential Palace.  The marchers are protesting a new law prohibiting contraband and smuggled goods and are threatening more radical measures if the desired changes aren´t made to the law.  The Tax Code Modification Law and the General Customs Law will impose taxes on merchandise and prohibit smuggling.

Business owners have protested the new laws saying that the changes will raise prices and make some products harder to find.  Bolivian Vice President Álvaro García Linera countered the protesters´ claims saying, “[this law] is good for the country, for the State, and for the business owner.”  Mr. Linera also said that smugglers are pressuring businesspeople with threats of raised prices but that the small tax of one or two bolivianos on items will aid the country by improving healthcare, education, and transportation.

Business owners disagree.  According to leading retailer Francisco Figueroa, “The authorities should face smugglers on the borders and not in our shops.”  Protesters are asking that legislators change three sections of the law: Article 2 which ends substitute measures in the crime of smuggling, Article 4 in which smuggled goods can be confiscated, and Article 7 which triples the penalties for selling smuggled goods.

For more in Spanish see:

http://www.la-razon.com/version.php?ArticleId=61333&a=1&EditionId=1362

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1 Comment so far

  1. Chris Sarage on August 12, 2010 10:47 pm

    Of course everyone should extend a Factura/tax receipt for their business. The problem is that probably 50 percent of the population are merchants of some sort: local grocery stores, clothes, electrodomestics (Linea Blanca),computers,even fruits and vegetables..it seems that almost everyone is selling something to get by. The government is not providing enough jobs to eliminate the informal sector of the economy in fact the leader is the president of the coca growers who are never persecuted to pay taxes on the product they produce which in cochabamba is exclusive for a specific linea blanca.

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