L A b o u R RESOURCE A N d R E S E A R C H INSTITUTE

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for Social Justice

May 2008

and the Straggle

AN ALTERNATIVE f O GLOBAIJSATICW

A N ALTERNATIVE TO GLOBALISATION!

Caribbean
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Valencia

CiuJiid Guayana

. ^ V E N E Z U E L A
GUYANA

BRAZIL

President Hugo Chavez

Contents
Acknowledgement Hugo Chavez's coming to power The attempted coup Tackling mass poverty Education for all Healthcare for all Provision of decent housing and shelter Food Security for all Participatory democracy Redistribution through new economic policies The Bank of the South Alternatives,inspirations and lessons 1 2 4 5 8 11 12 14 15 18 18

Herbert J a u c h a n d Hilma Shindondola - Mote May 2008

ISBN: 99916-64-87-4

This booklet was written by Herbert J a u c h a n d Hilma ShindondolaMote. We are grateful to Ronald Wesso for allowing us to extensively draw o n his writings o n Venezuela. We also wish to thank Ambassador Marco G u z m a n a n d Adrlana G u z m a n for providing us with additional information a n d with the photos used in this publication. A word of thanks must g o to our international partner organisations for their continuous support of LaRRI's work. They are the Finnish Trade Union Solidarity Centre SASK, the Netherlands Trade Union Federation (FNV Mandicial), the Belgian Fund for Development C o operation (FOS) a n d the Rosa Luxembourg Foundation (RLS) In Germany.

A N ALTERNATIVE TO GEOBAEISATION!
During the past 9 years, the government of the South American state of Venezuela e m P a r k e d on several remarkaPle initiatives to improve the lives of the Venezuelan people, especially the poor. Venezuela's President Hugo C h a v e z was also at the centre of several international projects to c h a l l e n g e the power of global capital a n d the US administration. Regardless of the country's progressive policies a n d despite the benefits for poor Venezuelans, global m e d i a corporations (especially In the USA) have either completely ignored or distorted these events. They usually portray the C h a v e z government as militaristic a n d dictatorial a n d fail to accurately report on the country's achievements. It is against this background that LaRRI d e c i d e d to p r o d u c e this booklet to inform Namibians about those events in Venezuela that were never reported In the mainstream m e d i a . The Venezuelan government a n d p e o p l e have shown that the countries of the South d o not just have to a c c e p t the pressures of globalisation but c a n challenge the forces behind that process. This booklet aims to inform Namibians about s o m e of the policies a n d practices a d o p t e d by the government of Venezuela. These policies have directly benefited the poor a n d m a y b e a n Inspiration for p e o p l e elsewhere in their struggle for a better life a n d social justice.

Hugo Chavez's coming to power

Chavez's Bolivarian party won Venezuelan's national elections in 1998. The Bolivarian party's c a m p a i g n promised to c h a n g e the political, e c o n o m i c a n a social l a n d s c a p e of Venezuela in many significant ways. C h a v e z wanted a government that was able to

promote social justice a n d h e n c e he c o m m i t t e d himself to fight against exclusion, corruption a n d foreign interference. President C h a v e z believed in the ideals of the people's government as o p p o s e d to the government of the elite. He wanted to replace the system of capitalistic accumulation with an e c o n o m i c system that promotes people's control over their own national resources. Venezuela's new constitution was therefore prepared Py a national constituent assembly. This process culminated in the creation of the 'Constitution of the Bolivarian Republic of Venezuela' which was a d o p t e d by the majority of the p e o p l e of Venezuela through a national referendum in D e c e m b e r 1999. The n e w constitution d e s c r i b e s t h e R e p u b l i c a s a " s o c i a l , democratic state, respectful of law a n d justice'. The constitution emphasises a focus on alternative models to Western d e m o c r a c y a n d n e o - l i b e r a l i s m . The constitution also e n a b l e s t h e n e w g o v e r n m e n t to p r o m o t e ' p a r t i c i p a t o r y a n d c o - r e s p o n s i b l e d e m o c r a c y ' in order to decentralised power. It also promotes the ideals of social justice a n d encourages the country's p e o p l e to know that they h a v e the s a m e rights a n d that they are e g u a l partners with government a n d thus co-responsiPle for national development. Additionally, the constitution is a n instrument to foster a supportive a n d sustainable e c o n o m i c m a n a g e m e n t system which pays s p e c i a l attention to the social functioning of the economy.

as t h e country's interim president.

However, Mr C a r m o n a ' s

presidency lasted for only 2 days as thousands of poor Venezuelans gathered around the presidential p a l a c e a n d d e m a n d e d the reinstatement of Hugo C h a v e z . m a d e a triumphant return. In Venezuela, Latin America's tragic history of right wing, US-Packed c o u p s against progressive and democratically elected governments did not repeat itself. Instead, a popular government defied the pressure a n d interference by the USA a n d in the process b e c a m e a source of inspiration for oppressed a n d exploited p e o p l e around the world. It is in this context, that the distorted news c o v e r a g e of Venezuela Py gloPal news corporations has to b e understood. Right wing religious a n d business leaders in the USA went as far as calling for the assassination of Hugo C h a v e z as he b e c a m e a symbol of anti-imperialism in the 21st century. F a c e d with this huge w a v e of popular resistance, the c o u p plotters h a d to surrender a n d C h a v e z

The attempted coup

Hugo C h a v e z m a d e g l o b a l h e a d l i n e s w h e n h e (as a democratically e l e c t e d president) was overthrown In April 2002 during a military c o u p by sections of Venezuela's elite who h a d c o - o p t e d s o m e right wing unions a n d enjoyed the full backing of the US government a n a US corporations, The c o u p installed the president of Venezuela's C h a m b e r of C o m m e r c e , Pedro C a r m o n a ,
Popular resistence prevented the attempted coup of April 2002

Tackling mass poverty

At the time when C h a v e z was elected president in 1998, Venezuela was c h a r a c t e r i s e d Py mass poverty, h u g e levels of i n c o m e ineguality a n d political corruption. By that time, the country h a d followed the typical neo-liPeral market policies as promoted by the World Bank a n d the International Monetary Fund (IMF). These included privatisation, financial liberalisation, lax environmental a n d labour laws, trade liberalisation etc. Venezuela's indigenous people a n d w o m e n were worst affected by the deepening poverty that resulted from these policies while a small elite r e a p e d the Penefits of Venezuela's resources, including oil. The C h a v e z government c a m e to power with the promise of bringing about c h a n g e s to benefit the Impoverished majority a n d introduced a series of reforms. The a i m was to ensure Venezuelan political a n d e c o n o m i c sovereignty; grassroots political participation through popular votes a n d referenda; egufrable distribution of the country's oil revenues; eliminating corruption a n d instilling a national ethic of 'patriotic service', These aims were not necessarily revolutionary or socialist but significantly different from those pursued by previous regimes in Venezuela. They raised c o n c e r n amongst Venezuela's elite a n d their allies in the USA. The C h a v e z government was well aware Several that poverty a n d oppression could only b e r e d u c e d if Venezuela took a stand against the interests of US imperialism. measures were taken: A clause was Introduced into Venezuela's constitution that obliges the government to seek the approval of citizens before entering into trade a g r e e m e n t s . This ensures government accountability to its citizens a n d protection against trade agreements that might disadvantage Venezuelans' social a n d e c o n o m i c interests. It is certainly a n e x a m p l e of broadening d e m o c r a c y a n d encouraging popular participation in decisionmaking.

Education for all

The C h a v e z government inherited a poor public education system, Many Venezuelans were subjected to a system characterised by social exclusion a n d u n e g u a l a c c e s s to knowledge, The preC h a v e z regimes a n d their neo-liberal policies crippled the material bases of schools a n d c o m p r o m i s e d the guality of education of Venezuelans, This was d o n e through systematic privatisation of public education, Immediately after taking power, C h a v e z a n d his government e m b a r k e d upon a process of restructuring the e d u c a t i o n system. This i n c l u d e d Increasing t h e b u d g e t for education in order to bring the system o n par with international standards as well as to c o m p l e t e l y reform formal e d u c a t i o n . Another important strategy was the promotion a n d improvement of teacher-learner communication, In addition, nutrition a n d food security were improved Py providing learners with four meals a

d a y free of charge. The f o o d p r o g r a m m e was implemented to lessen the burden on parents who were unable to provide a proper diet to their children d u e to poverty. The educational reform went through various stages. The a i m was to start with the basics, reading and writing, primary a n d secondary education a n d making a c c e s s to higher e d u c a t i o n a n d university specialisation a reality. Four branches of education were established to achive these aims:

write, Due to this programme, Venezuela will soon b e d e c l a r e d a n illiteracy free country.

'Mission Robinson II'

This is the seconO stage which aims to e d u c a t e p e o p l e who were previously e x c l u d e d from basic e d u c a t i o n , The basic principle behind this mission is that o n c e a person has acguired the basic reading a n d writing skills, he/she is then given a n opportunity to c o m p l e t e primary education within two years.

'Mission Robinson I'

This mission was l a u n c h e d in June 2003 with the purpose of eradicating illiteracy. It is a mass literacy p r o g r a m m e which is carried out in different communities, public schools a n d public offices. About 100 0000 community facilitators volunteered their services. In addition, the C u b a n government supports this initiative by providing h u m a n resources a n d educational materials, As a result, in o n e year alone, 1.3 million p e o p l e learned to read a n d

'Mission Ribas'
This mission b e g a n In November 2003. It was establisheb to make sure that those citizens who did not have a c h a n c e to c o m p l e t e secondary education c o u l d d o so. About a million Venezuelans have enrolled for this course in all parts of the country. In order to reach as m a n y p e o p l e as possible, the p r o g r a m m e is designed to Include d i s t a n c e e d u c a t i o n as well as the c o o p e r a t i o n of

different private individuals a n d public institutions. Students c a n c o m p l e t e this course in two years.

'Mission Sucre'
Due to the inequalities that existed In the previous educational system, m a n y p e o p l e did not have the c h a n c e to a c c e s s higher education. This mission was therefore c r e a t e d to facilitate a c c e s s to higher education. Today, distance education is provided in m a n y communities through university villages that h a v e b e e n set u p nationwide. In order to m a k e the p r o g r a m m e relevant to the needs of Venezuelans, it was designed in conjunction with the Bollvarlan University of Venezuela to promote decentralisation of higher education a n d to m a k e this educational p r o g r a m m e relevant to the needs of the students a n d their communities. Half a million citizens are currently enrolled In this programme.

'Mission Barrio Adentro'

This p r o g r a m m e was a d a p t e d from C u b a a n d aims to offer preventive a n d basic health services. It also promotes healthy living in communities. Medical personnel Is deployed to a n d lives in the communities which they are supposed to serve. They then diagnose a n d treat the main illnesses found, O n c e a patient Is diagnosed, he/she will b e given free medicine to treat the illness. Furthermore, health committees were established a n d community health activists were trained. Together, the health committees a n d m e d i c a l staff encourage a n d promote precautionary basic health care measures such as clean drinking water, sanitation, b a l a n c e d diet, as well as sports activities. Other m e d i c a l services such as dentistry are also availed to patients at no cost. In order to release the 20 000 C u b a n doctors who were responsible for implementing this programme, many Venezuelans are now being trained to b e c o m e community doctors.

Healthcare for all

The C h a v e z government inherited a neo-liberal a p p r o a c h to health c a r e that h a d b e e n p r o m o t e d a n d e n f o r c e d by the previous regimes, The public health system was on the brink of collapse a n d m a n y services h a d b e e n privatised. The first step the new government took was to develop a n Inclusive health c a r e a n d social security system. The profit-driven health c a r e that the new government Inherited was dehumanising a n d c a t e r e d largely for the wealthy, middle a n d upper classes while excluding the poor. It was therefore r e p l a c e d with a n all-inclusive health c a r e system, b e c a u s e the C h a v e z government believes that a c c e s s to health c a r e a n d social security is the duty of the state a n d therefore took the following steps to reform the health sector:

'Barrio Adentro II'

This mission goes a little further than the first o n e a n d includes the establishment of rehabilitation centres within communities. These facilities were established to receive referrals from the primary health c a r e centres a n d diagnosis a n d offers therapy sessions as well. In the long run, Barrio Adentro III a d v a n c e s the health c a r e system by setting up a the national hospital network In order to promote efficiency in health care.

This p r o g r a m m e directly benefits poor p e o p l e with serious eyesight proPlems a n d the operation is carried out at no cost to the patient. To date, about 20 000 Venezuelans have b e e n o p e r a t e d a n d their eyesight restored.

Provision of decent housing and shelter

For m a n y years, Venezuela's poor, like many poor p e o p l e in other parts of the world were not provided with proper housing by the state. The urban poor h a d to resort to setting u p shelter for themselves, by constructing settlements o n the fringes of large towns a n d cities. These settlements were usually characterised by a lack of proper sanitation a n d general public services, To reverse this trend, the constitution of the Bolivarian Republic established the 'co-responsible right of every person to a d e c e n t house, with

'Mission Milagro'
By the time the C h a v e z g o v e r n m e n t c a m e to power, m a n y Venezuelans n e e d e d minor eye operations. Due to the lack of eye specialists in the country, these surgeries c o u l d not b e carried out. A cooperation agreement was therefore entered by C u b a a n d Venezuela for C u b a to assist in carrying out the eye operations.

basic utilities, obliging the State to ensure It through credits for building, the acquisition or expansion of existing houses a n d prioritising the sectors with lower resources', To deal with the housing problem, the Bollvarian government set up a b o d y c a l l e d the 'Urban Land C o m m i t t e e s ' to provide land to the p e o p l e . The Technical Boards on Water' were set up to ensure that p e o p l e have a c c e s s to public services. In addition, a l a w on the Protection of the Housing M o r t g a g e Debtor' was passed by the National Assembly to m a k e sure that credit reaches Venezuela's poor a n d middle classes, Venezuela's Housing Ministry launched 'Mission Habitai' to ensure that the shortage of descent housing Is given priority. The Mission intends to c h a n g e the type of houses that have b e e n provided to Venezuela's poor for over 40 years, Housing structures were c h a n g e d so that they d o not just represent a four wall block, but a p l a c e where the owner will feel that his/her human dignity Is restored. The C h a v e z government alms to provide descent housing for most nationals by 2021. In order to a c h i e v e that objective, financial a n d h u m a n resources will b e transferred to communities in order for them to take c h a r g e of the process of housing a n d shelter r e j u v e n a t i o n . To c o n s o l i d a t e t h e p a r t i c i p a t i o n of communities, a "Neighbourhood Transformation Programme' was already established In the area of the C a r a c a s - L a Guira highway, A p r o g r a m m e called 'Mission Mercal' was established to market population. The 'Special Programme for Food Security (PESA)' is a programme set up to oversee the coorOinatlon of food security. It Is also c h a r g e d with the promotion a n d distribution of seeds as well as the production a n d diversification of f o o d items. The Agricultural Supplies and Service Corporation (CASA) programme is entrusted with the purchase a n d storage of crops as well as the supply of food distribution programs. The government also protects artisan fishers, promotes agragrian reform a n d rural development.

Food security for all

For many years, too m a n y p e o p l e In Venezuela were f a c e d with abject poverty despite the wealth of the country. For too long, the country's agricultural a n d agro-Industries were neglected. This led to heavy reliance on Imports of f o o d products which are usually more expensive than the locally p r o d u c e d food. Today, hunger a n d malnutrition are almost a thing of the past for Venezuela's poor. The government designed two special programmes to ensure that there Is e n o u g h f o o d to m e e t the n e e d s of the whole

basic f o o d staff at lower prices. The a i m is to m a k e sure that food prices are subsidised for the poor in particular a n d to distribute free f o o d to those who cannot afford to pay. The mission buys directly from local food producers a n d exclude the 'middle m a n ' in order to lower the cost for the consumer. The mission has established more than 2 000 supply points. The suppliers consist of mobile grocery shops a n d bigger supermarkets. Additional programmes of this mission Include dining halls where p e o p l e c a n

have a m e a l at a n affordable price, f o o d houses for the extremely poor a n d s c h o o l cafeterias, where schools children are f e d . Canteens were set up at work p l a c e s to ensure that workers have a c c e s s to proper meals whilst at work. There is also a n 'education and recovery programme' which was set up to look after children with nutritional deficiencies. Venezuela's National Assembly passed a law on 'land a n d agricultural development' to create a n enabling legal framework for the implementation of these programmes. During the past 6 years, the government has distributed more than 2 million hectars of land with 10 000 families as beneficiaries.

represented their specific constituencies. They received funding from the municipalities a n d allocated them in line with the wishes of their communities. The overall result of these initiatives was that communities were able to take autonomous decisions a n d gain a c c e s s to healthcare, c h i l d c a r e a n d e d u c a t i o n . In turn,many were politicised a n d e n c o u r a g e d , The p r o g r a m m e also laid the foundation for a profound, long-term transformation, b a s e d o n direct forms of participatory democracy. The empowerment of poor communities at grassroots level also created a m e c h a n i s m of accountaPility a n d control through which Venezuelans c a n s h a p e government policies.

'Mission Zamora'
This p r o g r a m m e was established to ensure that land a n d f o o d Is distributed in an eguitable manner. People are not just given land, Put they are e g u i p p e d with m a c h i n e r y , seeds a n d g e n e r a l agricultural training. The p r o g r a m m e plays a n important role in making sure that the products of new farmers a n d producers reach the market.

Redistribution through new economic policies

Contrary to s o m e m e d i a reports, the C h a v e z government did not pursue policies of expropriation of private c o m p a n i e s when it c a m e to power. By the time Hugo C h a v e z was e l e c t e d president, the national oil c o m p a n y , several large manufacturing c o m p a n i e s a n d m u c h of Venezuela's farmland already b e l o n g e d to the state. This provided the C h a v e z government with resources that it c o u l d direct towards the poor, The policies to uplift their living standards were similar to those implemented in the welfare states of Europe after the S e c o n d World War. The C h a v e z government diverted a proportion of the revenue from state owned enterprises (such as the national oil c o m p a n y ) towards social welfare projects for the poor as outlined above, Secondly, the C h a v e z government m a d e areas of state land available to boor indigenous farmers. Rich Venezuelans h a d previously seized this land illegally a n d the Chavez g o v e r n m e n t ' s l a n d redistribution resulted in i m p r o v e d f o o d production a n d food security for millions of Venezuelans.

Participatory democracy
Perhaps t h e most revolutionary step t a k e n Py t h e C h a v e z government was the adoption of a p r o g r a m m e of participatory d e m o c r a c y . It encourages a n d empowers a mass m o v e m e n t of social actors independent of government. This strategy led to the establishment of new movements outside the state structures. The new movements were e g u i p p e d to take control of important a s p e c t s of social life such as welfare missions. Government provided support a n d resources for the poor to d e v e l o p their own organisational c a p a c i t i e s a n d thus to help themselves instead of waiting for handouts from the state. C o n c r e t e examples in this regard are the networks of community organisations that Oirectly

government then a d o p t e d a policy of expropriating a n d reopening of a b a n d o n e d c o m p a n i e s . In addition, s o m e private c o m p a n i e s in strategic e c o n o m i c sectors like oil a n d c e m e n t production were nationalised,

Worker controlled company

'Recovered companies'
The initially m o d e r a t e e c o n o m i c p r o g r a m m e of the C h a v e z government started changing in 2005 d u e to pressure 'from below'. Former workers at a paper mill that h a d b e e n d e c l a r e d bankrupt a n a c l o s e d by Its owners d e c i d e d to o c c u p y the mill a n d reo p e n e d it with the support of the local community. The c o m p a n y owners asked the Venezuelan government to intervene a n d the National AssemPly discussed the matter, Instead of a c c e p t i n g the c o m p a n y closure a n d the a c c o m p a n y i n g retrenchments, Venezuela's parliamentarians d e c i d e d to expropriate the mill plants a n d to let It operate under d e m o c r a t i c workers m a n a g e m e n t . This c a s e o p e n e d the floodgates as workers started seizing other c o m p a n i e s that h a d closed down, A worker a n d community-led m o v e m e n t for the "recovery" of c o m p a n i e s was born a n d by the e n d of 2005 h a d targeted about 800 c o m p a n i e s , The C h a v e z
Cemex is one of the companies that was nationalised in Venezuela.

'Social production'
Besides re-opening c l o s e d c o m p a n i e s , Venezuelan workers also started to discuss t h e s h o r t c o m i n g of previous worker selfm a n a g e m e n t Initiatives. They identified the dangers of 'market socialism' where worker-controlled c o m p a n i e s c o m p e t e with e a c h other. Workers thus d e c i d e d to initiate ' c o m p a n i e s for social p r o d u c t i o n ' w h e r e t h e g o a l s of p r o d u c t i o n a r e d e c i d e d democratically by workers a n d the community for w h o m they produce. This initiative has also b e c o m e government policy a n a Venezuela has shown that it Is possible to break the stranglehold of 'free market' policies that p l a c e the interest of capital a P o v e those of workers a n d their communities.

The Bank of the South

Another key a c h i e v e m e n t of the C h a v e z government was to break the stranglehold that the US-dominated IMF a n d World Bank h a d over Latin America. In return for loans, these institutions h a d forced lending countries to a d o p t neo-liberal, 'market-friendly' policies for the past 30 years. In 2005, the Venezuelan government started providing loans to Its neighbours that h a d no such conditions a t t a c h e d a n d thus allowed lending countries to set their own d e v e l o p m e n t a l priorities. In 2006, C h a v e z went a step further a n d proposed the estaPlishment of a new lending institution, the "Bank of the South" which Latin American countries c o u l d use as a n alternative to the IMF a n d World Bank. Venezuela, Argentina, Bolivia, Ecuador, Paraguay a n d Brazil a g r e e d to establish this Bank by the e n d of 2007. E a c h country will provide 1 0 % of its foreign currency reserves as start-up capital for the new Pank. This will certainly diminish the power of the IMF a n d World Bank a n d provide a c o n c r e t e alternative for m a n y countries in their stranglehold.

redistribution. Venezuela thus started building strategic alliances Internationally a n d there is already growing support for the C h a v e z government in m a n y parts of Latin A m e r i c a . Mutually beneficial ties were already established with C u b a , Bolivia a n d other Latin A m e r i c a n countries a n d V e n e z u e l a p l a y e d a critical role in developing a n alternative to the US-backed free trade a g r e e m e n t for the Americas. The 'Bolivarian Alternative for the Americas' (ALBA) was proposed by Hugo C h a v e z in D e c e m b e r 2001 a n d found Increasing support as a n alternative to further trade liberalisation a n d neo-liberal policies that r a v a g e d Latin A m e r i c a for the past 30 years. The developments initiated by Venezuela over the past 9 years are certainly an Inspiration to millions of Africans who still experience t h e e f f e c t s of e x p l o i t a t i o n a n d o p p r e s s i o n . Venezuela's achievements in terms of Improving healthcare, education, food security a n d participatory d e m o c r a c y are impressive - despite the p r e - o c c u p a t i o n of western m e d i a corporations with t h e leadership style of Hugo Chavez, which they descriPe as autocratic. O n e important lesson to keep In mind is that, while Hugo C h a v e z is certainly a powerful a n d c h a r i s m a t i c leader, Venezuela's revolution was safeguarded a n d driven to a significant extent 'from below'. Without this grassroots support, C h a v e z ' presidency would have e n d e d in the attempted c o u p of 2002. History has shown that individuals are always fallible a n d c a n b e corrupted or even assassinated, All too often, leaders of liberation movements e n d up as self-serving despots. The best safeguard to d e f e n d the achievements of a revolution is thus to lay a broad a n d solid f o u n d a t i o n through direct forms of p a r t i c i p a t o r y d e m o c r a c y . This will ensure that ideals are collectively held a n d d e f e n d e d instead of Peing d e p e n d e n t on individuals. Venezuela presents an Important e x a m p l e where the ideals of social justice

Alternatives, Inspirations and Lessons

The importance of the achievements of the Venezuelan p e o p l e a n d t h e C h a v e z g o v e r n m e n t for s o c i a l m o v e m e n t s a n d progressive organisations worldwide is enormous. At a time, when most countries have surrendered to the neo-liPeral d o g m a a n d a c c e p t e d the 'dictates of the market' without questioning the widespread poverty a n d exploitation it produces, Venezuela has shown that things c a n b e d o n e differently a n d that another world is really possible. There is no d o u b t that Venezuela still f a c e s m a n y c h a l l e n g e s (including a very hostile US administration) a n d not all of its policies will s u c c e e d . The Venezuelan revolution has taken p l a c e despite a hostile global environment that opposes any form of substantive

were put to test. The government of Venezuela has shown that equitable distribution of resources is possible a n d that a country's resources c a n b e u s e d to benefit the poor. The p e o p l e of Venezuela a n d their president Hugo C h a v e z have proved that a n alternative to globalisation Is indeed possible!