The socialist productive model the Venezuelan government has been trying to boost -as outlined under the First Socialist Plan 2007-2013-, has not started yet. Following a number of attempts at establishing an alternative economic platform intended to replace the private sector, the government is now aiming at Social Production Enterprises (EPS). However, Hugo Chávez's administration has not produced any concrete projects to bolster such companies.

All of the experiments have failed. First there was joint management, a scheme under which workers were supposedly to own a majority stake in idle companies that were expropriated. However, the original promise of the Executive Branch was changed and suddenly the workforce was moved away from the possibility of becoming owners of productive units.

Delayed plans
Joint management was at the origin of companies such as Inveval, Invepal and Invetex, among the most important examples. The first two companies have experienced serious production problems, while Invetex has not even been able to start operations. 

The only positive experiences in the area of joint management came in the cases were private entrepreneurs and workers united, with no participation of the government in mergers.

Meanwhile, the plan to operate socialist factories, which was supposed to prop up the government's goal to secure supply, was left on the back burner until 2009, but to a lesser extent than originally intended.

Only 73 socialist factories will start operations under the program. This represents a significant reduction compared to the initial goal of 200 plants.

Translated by Gerardo Cárdenas