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Thread: Brazilian Military Deployed To Break Up Trucking Strike

  1. #1

    Brazilian Military Deployed To Break Up Trucking Strike

    A nationwide trucking strike in Brazil entered day six on Saturday, as blocked roads have prevented critical food and supplies from reaching their destinations.


    The protests, triggered by a 50% spike in fuel prices over the last year, have resulted in the declaration of a state of emergency across most major cities as shelves run bare and fuel supplies dwindle. Airports have reported running out of fuel, hospitals are running out of supplies, and public transport and trash collection have been reduced or halted across the country. Some food prices have also spiked as supplies dwindle. As we noted on Friday, a lack of livestock feed threatens a billion chickens and 20 million pigs who may starve to death.
    There's a trucker strike in Brazil, and it's impacting everything from air travel to chicken feed. @ShastaReports on Sao Paulo's State of Emergency https://t.co/X0e8Fcb4bH pic.twitter.com/ZvvdjXahCl
    — CNN International (@cnni) May 25, 2018
    Brazilian export group ABPA said that over 150 poultry and pork processing plants had indefinitely suspended production, while Brazil's sugar industry - the world's largest - is slowly halting cane harvest operations as their machines run out of fuel.


    How is our state? No gas, no food, welcome to the truckers strike in Brazil! Zero gasoline pic.twitter.com/9fIFBiVq6X
    — ScheilaSpaderGibson (=^・^=)♠️ (@spaderGibson) May 23, 2018
    Despite a Thursday agreement with the truckers and the Friday deployment of the military to physically unblock roads, the government has only reported a few blockades being lifted on major highways.
    Truckers Strike in Sapezal on BR-364, Mato Grosso State. High price of diesel and expensive taxes. The trucker can’t work with this current situation. #agro#brazil🇧🇷 pic.twitter.com/wtTXBgsJTA
    — Douglas Marangon (@DouglasMarangon) May 21, 2018

    In an attempt to end the dispute, oil company Petrobas cut the price of diesel by 10% for two weeks - however all that did was scare investors. The truckers were not impressed, considering that they've been subject to fuel price increases of around 50% over the last year.
    Petrobras shares plunged after the announcement and are down at least 20 percent this week, leading losses in the Ibovespa index, which has lost 4.3 percent in the period. That pushed the stock market’s monthly drop to 7.7 percent, one of the worst performers among major global benchmarks. -Bloomberg

    The main entity representing truckers, ABCAM, said they haven't changed their stance - and that they will call off protests only after federal diesel taxes are scrapped.
    truckers say they want a definitive solution, saying they will end the protest only when a decision to eliminate federal diesel taxes is published in the official gazette.
    Local TV showed footage of federal forces being deployed over the night to some critical areas to help police remove trucks from highways.
    There were no reports of violence, but main roads remained blocked in the morning, including a key transport ring around Sao Paulo, the country's largest city. -Yahoo
    Brazil's auto production, which constitutes around 25% of industrial output, also ground to a halt on Friday. Authorities say that even after the strike ends, it will take several days to replenish vital supplies.

    https://www.zerohedge.com/news/2018-...rgency-worsens
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
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  3. #2
    Seems like overkill. I mean, how many is a Brazilian?!
    "And now that the legislators and do-gooders have so futilely inflicted so many systems upon society, may they finally end where they should have begun: May they reject all systems, and try liberty; for liberty is an acknowledgment of faith in God and His works." - Bastiat

    "It is difficult to free fools from the chains they revere." - Voltaire

  4. #3
    Just as the Brazilian government made some progress towards settling matters with truckers that have paralyzed the country with protests against high fuel prices, another strike is looming on the horizon: a Petrobras workers union has demanded the removal of chief executive Pedro Parente and lower fuel prices.
    Union representatives have warned the government they will initiate a 72-hour strike that will begin on May 30. Parente, Bloomberg notes in a report on the developments, has been criticized about his approach to fuel pricing, but the company said on Friday he had no intention of leaving office.
    Meanwhile, striking truckers have removed some of the roadblocks that wreaked havoc on Brazil last week, after the government agreed to a demand for 60 days of lower fuel prices. Losses for the first five days of the strike, however, reached US$2.6 billion (9.5 billion reias), calculations from Brazilian daily Valor Economico showed.
    The protesters are also demanding a change in Petrobras’ pricing policy, which currently features a daily adjustment of prices. Government has offered protesters monthly price adjustments instead, Reuters reported last Friday, citing a source close to the negotiations.

    More at: https://oilprice.com/Latest-Energy-N...er-Coming.html
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  5. #4
    • Brazil's nationwide truck driver strike has entered its 10th day
    • Key exports have been severely affected, from beef and soybeans to coffee and cars
    • Bloomberg cuts GDP growth estimate from 3.2% to 2%, a decline of 37.5%
    • Concessions made to truckers will cost the Brazilian government 14.4b Real (US$3.85 Billion) throughout the remainder of 2018
    • Lower GDP may reduce revenue by additional 20b-25b reais, or 0.25% of GDP, could force govt to cut expenditures further by 3b-10b reais to meet 159b-real fiscal deficit target (Bloomberg)
    • Brazilian oil workers began a 72-hour strike on Wednesday, and have demanded that Petrobras fire CEOP Petro Parente while permanently lowering fuel prices
    • Millions of chickens have been prematurely slaughtered as feed failed to reach farmers




    More at: https://www.zerohedge.com/news/2018-...timate-down-38
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  6. #5
    Brain Winter, Editor-in-Chief of Americas Quarterly, has just returned from a week in Brazil, and what he describes is incredible...
    In 15 years of following Brazil, I have *never* been as pessimistic as I am following a week in Sao Paulo. Open clamor for military "intervention," politicians frozen, CRAZY ideas circulating in society at-large. Bolsonaro rising. More here: https://t.co/zCEK6F9vBD
    — Brian Winter (@BrazilBrian) May 31, 2018
    The once unthinkable is now becoming normal...
    SÃO PAULO - I arrived here on Sunday in the middle of the zombie apocalypse. Or so it seemed. A nationwide truckers’ strike was in its seventh day and 99 percent of São Paulo’s service stations had run out of gasoline. The roads of South America’s biggest city were deserted of cars and people, and the skies were a murky gray. The normally hellish drive from the airport, which often lasts two hours or more, took a disconcerting 23 minutes.
    Up on Avenida Paulista, the city’s closest thing to a public square, things seemed more normal – at first. Huge crowds milled about, vendors were grilling beef and sausage, and girls in hot pink roller skates clomped by. A quadruple amputee was belting out the falsetto ending of Pearl Jam’s “Black” to an enthralled crowd. The sun was out now, and families sat at wooden tables with sweaty buckets of beer, laughing. Of course, I mused, Brazilians are going to make a party out of a bad situation. I bought a can of Skol and decided to join the fun.
    Then I saw it. A huge banner, spanning the entire avenue, carried by a group of protesters:
    “SUPPORT FOR THE TRUCK DRIVERS. MILITARY INTERVENTION! ARMED FORCES, URGENT!”
    And that was the start of a week where I saw and heard things I never believed I would in Brazil.
    The Brazil of mid-2018 is a frightened, leaderless, shockingly pessimistic country. It is a country where four years of scandal, violence and economic destruction have obliterated faith in not just President Michel Temer, not just the political class, but in democracy itself. It is a country where there will be elections in October, but most voters profess little faith in any of the candidates. Given that vacuum, many Brazilians – perhaps 40 percent of them, according to a new private poll circulating among worried politicians – believe the military should somehow act to restore order. Amid this week’s strike, the clamor became so loud that both Temer and a senior military official had to publicly deny the possibility of an imminent coup.
    This was all unquestionably good news for the presidential candidate most identified with the armed forces, retired Army captain Jair Bolsonaro, who was already running first in polls. Many analysts expect him to rise further after this week’s events.
    It’s a red alert for anyone else – foreign investors and ordinary Brazilians alike – with the old-fashioned belief that healthy civilian institutions are the key to long-term prosperity, or who still hold out hope that Brazil’s economy and political outlook might finally stabilize this year.
    When I lived in Brazil as a reporter from 2010 to 2015, I heard hardly anyone defend military rule – at least out loud.
    The last dictatorship, which ran from 1964-85, left behind a legacy of debt, hyperinflation, falling wages and human rights abuses. Yet unlike Chile and Argentina, Brazilian soldiers were never judged for their crimes – and never fell into abject disgrace. So today, with Brazil at the forefront of a global backlash against “elites” and institutions, the military is increasingly perceived as the only credible vehicle for change. Polls show the armed forces are by far the country’s most respected institution (the press is a distant second). A year ago, 38 percent of Brazilians told the Pew Research Center that military rule would be “good for the country.” That number is surely higher now.
    The truckers’ strike started on May 21 after a government-sanctioned hike in diesel prices, but quickly grew into something much bigger. On WhatsApp groups and elsewhere, striking truckers shared videos and other messages calling for an end to Temer’s government. One cited by Estado de S.Paulo read: “Victory is near! Truckers + the people x legality x legitimacy = the fall of the Brazilian Bastille! Let’s not weaken. Come on, National Security Forces!” On Wednesday, the phrase intervenção militar was being mentioned on Twitter at a pace of 515 times per minute, according to one study. Smelling blood, many truckers continued to block roads even after a deal was truck with Temer to bring diesel prices back down. By this point, supermarkets around the country were running out of basic goods, and half of Brazilians had to change their daily routines because of lack of fuel, according to a Datafolha poll. Yet that same poll showed the strikers had the support of a whopping 87 percent of the population.
    Why? I spoke to many protesters on Avenida Paulista, and others over the course of the week. Many drew a direct link between the diesel price hike and corruption at Petrobras, the state-owned oil company at the heart of Brazil’s “Car Wash” corruption scandal. “Of course the politicians raise prices so they can steal more money!” one middle-aged woman told me. Virtually everyone thought that anything bad for Temer – the first Brazilian president ever to be charged with a crime while in office, and who has an approval rating of 5 percent – must be good for the country. Still others insisted democracy had proven an ineffective tool to fight street crime, corruption and general disorder. I found myself arguing about this with a salesman in his sixties who had lived through the last military regime.
    “I didn’t like the dictatorship,” he replied, “but right now, come on, não é muita democracia? Don’t we have too much democracy?”
    Polite society, especially in the big cities, continues to insist such voices are a minority. But I also spent part of the week among politicians, and just beneath their sunny bravado was a dark sentiment I could only describe as “end of days.” One group was discussing how the military commanders weren’t interested in taking power, but the rank-and-file was obviously restless. I heard of one recent instance in which a general approached a well-known politician to urge him to run for president and “save the country.”
    “I don’t think a majority of Brazilians want a coup,” a prominent political analyst told me, “but if it did happen, the people would probably support it.”
    In truth, a traditional coup with tanks in the streets is almost unthinkable – a “relic of the 20th century,” as one military leader put it this week. In the 21st century, when democracy erodes, it almost always happens via the ballot box. Bolsonaro has vowed if elected to appoint military officials to key cabinet positions, roll back human rights provisions and give security forces “carte blanche” to kill suspected criminals, among other measures. Gen. Joaquim Silva e Luna, whom Temer appointed as Brazil’s first non-civilian defense minister in February, told Bloomberg News last week that he welcomed Bolsonaro’s candidacy. “Brazil is looking for someone with values … and they consider that the armed forces have these attributes,” he said. Why bother with a coup, when there are easier ways to gain power?
    This week also brought a counterreaction of sorts from elsewhere in Brazilian society: There were signs of the left and some interesting pro-business bedfellows coalescing around Ciro Gomes, a former finance minister and governor. Elsewhere, leaders from the beleaguered center-right Brazilian Social Democracy Party (PSDB) were looking carefully at polls to decide whether to abandon Geraldo Alckmin as their presidential candidate and go with an “outsider” figure like João Doria instead. But overall, there was little sign of any political consensus that could bring the difficult reforms and bold investments that Brazil needs to recapture the promise it showed last decade. Instead, society seems entirely focused on tearing down existing structures, without much thought to what comes next. Perhaps surprisingly, the most lucid comment to that effect came from President Temer, at a press conference for foreign journalists.
    “Every 20 or 30 years in Brazil, there’s an attempt to reinvent things ... to destroy what is there and build a new order,” he said.
    He’s right. And for that, Brazilian politicians can largely blame themselves.




    https://www.zerohedge.com/news/2018-...bie-apocalypse
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  7. #6
    One day after Brazil's oil workers went on strike, further slowing Latin America's biggest economy which was already crippled by a trucker strike that has paralyzed the nation for the past 2 weeks, the CEO of the state energy giant, Petrobras, Pedro Parente unexpectedly resigned on Friday stepping down as chief of the state-controlled oil company he helped to revive in the aftermath of the Carwash scandal, as the nationwide strike against high fuel prices has unleashed criticism against his free-market policies.

    Pointing out the obvious, the President of the Lower House Rodrigo Maia told Bloomberg that "It’s not a good sign that he’s leaving" adding that Pedro Parente "has a lot of credibility and was doing a great job" something traders, suddenly panicking about what is really going on in Brazil, were clearly aware of.
    Parente became CEO of Petrobras in May, 2016, vowing to shift company strategy away from government interests and toward a business-oriented strategy. The former engineer was also tasked with cleaning up the image of the company that was at the center of the Brazil’s biggest corruption probe in modern history, Operation Carwash.
    As Bloomberg recounts, Parente gained praise in financial markets for plans to sell assets to cut debt, reducing costs, recovering cash flow and implementing a new and profitable fuel price policy. Under Parente’s watch, Petrobras posted its best quarterly financial results in five years, and the company’s stock price doubled.
    Ironically, it was exactly that fuel policy, which consisted in matching local fuel prices to international rates, that came under fire during a massive truckers strike that wreaked havoc on Latin America’s largest economy. And, as global oil prices rose this year, the cost of fuel in Brazil also increased, spurring discontent among consumers, led by truck drivers who depend on fuel to make their living.
    And so, less than two weeks after the strike which was launched as a result of Parente's policies, one of Brazil's most respected capitalists is out, leaving traders with the great unknown of what happens next to one of the world's export powerhouses.

    More at: https://www.zerohedge.com/news/2018-...-sending-stock
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment



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