Tanning group gives up on Cochabamba
03/01/2013
The company says it has become frustrated by delays in having its operating licence renewed by the authorities in Cochabamba.
Tauro has been running for more than 30 years and has customers in all parts of Bolivia as well as in other countries. More than 20 years ago it moved its wet-end operations to Santa Cruz, using its production unit in Cochabamba for finishing. Even so, the authorities there have been slow to give it their ongoing support.
In the face of this uncertainty, the company announced at the start of 2013 that it would close all its operations in Cochabamba and move them to Santa Cruz within two years.
Chief executive, Fernando Antezana, has told local media that the work Tauro carries out in Cochabamba represents no threat to the environment. “I believe we are meeting 100% of the requirements to have an operating licence,” he said. “All we are responsible for in Cochabamba is the wellbeing of the 55 workers we have there and that of their families.”
He explained that cattle slaughter in Santa Cruz is around 1,500 head a day, making it the best place for processing raw material. However, he said Tauro had set up its finishing plant in Cochabamba, the traditional centre of the Bolivian leather industry, because it valued the quality of life and the skilled workforce there. However, he warned that the department was at risk of losing out more widely to Santa Cruz because manufacturing companies are unsure about local government policy in Cochabamba.
Mr Antezana said: “I think a lot of companies view Santa Cruz as a good place to invest. In Cochabamba there is no clear policy. Business people don’t expect anyone to hand over land for free or for special reductions in prices or taxes. What we want is a clear set of regulations so that when we apply for an operating licence, we can secure one in good time.”