Identifier
Created
Classification
Origin
06LAPAZ2603
2006-09-26 21:59:00
CONFIDENTIAL
Embassy La Paz
Cable title:  

SANTA CRUZ: FRUSTRATED AND ANNOYED WITH MORALES

Tags:  ECON PGOV PREL BL 
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RUEATRS/DEPT OF TREASURY WASHINGTON DC
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C O N F I D E N T I A L SECTION 01 OF 02 LA PAZ 002603 

SIPDIS

SIPDIS

E.O. 12958: DECL: 09/26/2016
TAGS: ECON PGOV PREL BL
SUBJECT: SANTA CRUZ: FRUSTRATED AND ANNOYED WITH MORALES

REF: LA PAZ 2557

Classified By: Charge Kris R. Urs for reasons 1.4 (b) and (d).

C O N F I D E N T I A L SECTION 01 OF 02 LA PAZ 002603

SIPDIS

SIPDIS

E.O. 12958: DECL: 09/26/2016
TAGS: ECON PGOV PREL BL
SUBJECT: SANTA CRUZ: FRUSTRATED AND ANNOYED WITH MORALES

REF: LA PAZ 2557

Classified By: Charge Kris R. Urs for reasons 1.4 (b) and (d).


1. (C) Summary: Charge visited Santa Cruz September 23-24
and met with politicians and the business community, as well
as participated in the opening of Bolivia's largest trade
fair, Expocruz. Virtually all interlocultors expressed
frustration, annoyance, and great uncertainty when it comes
to dealing with the Morales government. End summary.

SANTA CRUZ PREFECT

2. (C) Santa Cruz interlocutors report frustration,
annoyance, and great uncertainty in their dealings with the
Morales administration. Santa Cruz Prefect Ruben Costas told
Charge that he and the other prefects are frustrated and
annoyed that the president and vice president tell them one
thing in closed door meetings and then turn around and say
and do exactly the opposite in public. In that respect,
Costas was not surprised by Garcia Linera's recent call to
arms (reftel). The prefect professed that that Santa Cruz
does not want to split the country, arguing that the Santa
Cruz government "respects liberty and democracy." Costas
voiced deep concern that the situation will heat up after
September and fear that Santa Cruz could be the flash point.
He vowed that Santa Cruz will not start any violence, but "if
attacked, we will defend." Costas made a point to thank
Charge for USAID support in the region and to express his
solidarity with the United States' vision of democracy and
capitalism.


PRO SANTA CRUZ COMMITTEE, HEALTH CLINIC, AND PARADE

3. (C) Pro Santa Cruz Committee President German Antelo
visibly seethed as he told Charge that people in Santa Cruz
are fed up with "being insulted" by their national government
and that the youth groups especially are reaching the boiling
point. Antelo claims the Comittee is trying to keep a calm
environment. He complained about the climate of uncertainty
the Morales government has created and that "there are no
clear rules as they are always changing the rules of the
game." During a site visit to a USAID partially funded
community health clinic in the poor outskirts of Santa Cruz,
many in the largely indigenous audience criticized the
Morales government and had harsh words about Cubans sent to
the area. The September 24 Santa Cruz day parade was filled
with banners repudiating the federal government.

BUSINESS CHAMBERS

4. (C) Meetings with the Eastern Agriculture Chamber (CAO),
Chamber of Industry, Commerce, Services, and Tourism
(CAINCO),Santa Cruz Chamber of Exporters (CADEX),
Hydrocarbons Chamber, and the Bolivian Institute for
International Trade (IBCE) all revolved around the uncertain
business environment and political instability which has left
the business community paralyzed. From the cake shop owner
to the transnational petroleum company executive, the
complaints were the same: no new investment, difficulty
obtaining credit, problems in securing raw materials and
shipping products, an exodus of skilled workers, and a
federal government which seems intent on neutralizing the
business class. Most businesses appear to have gone into
survival mode and are taking steps to minimize their risks,
hoping that the future will bring stability and clear rules
of engagement.

EXPOCRUZ

5. (C) Bolivia's largest trade fair, Expocruz, took on a
political nature when the organizing committee decided not to
invite the president, as has been customary in past fairs.
While President Morales was attending the Santa Cruz
Department Council meeting (where he was booed),Expocruz
officials hurriedly proceeded with the inauguration ceremony
so as to not allow any chance for Morales to participate.
Attendees dutifully sang the Bolivian national anthem and

LA PAZ 00002603 002 OF 002


then belted out the Santa Cruz anthem followed by shouts of
"long live Santa Cruz" and "yes to autonomy".


6. (C) Comment: Many segments of Santa Cruz society appear
to be fed up with the Morales government. All whom Charge
met with were very careful to say that they do not want
separation or violence, but are tired of being verbally
attacked. Politicians are frustrated with a lack of clear
rules and government double talk. The business community
clamors for support and stability. It remains to be seen if
Morales and his government have strained relations with Santa
Cruz beyond the point of repair. End Comment.

URS