Belarus, Venezuela Agree On Arms Sale
Belarus and Venezuela have drafted military contracts worth U.S. $1 billion, ITAR-TASS reported with reference to Viktor Sheiman, Belarus’ Security Council Secretary, co-chairman of the Belarusian-Venezuelan commission on economic cooperation told.
“The contracts on military cooperation have been coordinated with the Venezuelan Defense Ministry and approved by President Hugo Chavez,” Sheiman said in his comment on a recent visit of the Belarusian state delegation to Caracas. “These contracts are to be signed by the end of July 2007.”
As many as 18 agreements on trade and economic cooperation were signed during the visit to Caracas. A most important result was Belarus’ plan to launch commercial oil production in Venezuela by the end of 2007. According to Sheiman, without calling for tenders, Venezuela allowed Belarus to choose two oil deposits with a developed infrastructure and big oil reserves.
Three joint enterprises involving Minsk Tractor Plant (MTZ), Minsk Automobile Plant (MAZ) and the Belarusian Automobile Plant (BelAZ) are to be set up by October in Venezuela.
A Belarusian-Venezuelan investment fund with a capital stock of $500 million will be created to finance large-scale joint projects.
Belarus will also supply Venezuela with $49 million worth of building and road machinery, 1,000 tonnes of whole milk powder and $14.5 million worth of equipment made by Minsk Wheeled Tractor Plant (MZKT).
The total of trade and economic contracts, excluding military ones, amounted to $250 million, Sheiman said.