Tuesday, March 4, 2025

NOTES AND MATERIALS ON CONTEMPORARY PERU (III, continuation of Annexes II, 4)


 

ANNEX II

 

4. In VOZ POPULAR, which we have previously cited in these notes, from February-March 1972, regarding the concurrence of foreign investment from the superpowers, at that time the US and the revisionist Soviet Union and other powers, it says:

 

Analysis of the National Development Plan 1971-1975.- from the article:

Four years ago, in issue 3 of VOZ POPULAR, we published an "Analysis of the National Development Plan 71-75" whose last paragraph (the central thesis of the Report) said:

 

“From what has been stated, it cannot be concluded other than that the National Development Plan for 1971-1975 serves and is within the plans of North American imperialism for Latin America and serves the native exploiting classes, especially the great capitalists of the intermediary bourgeoisie. Thus, this new social economic plan is nothing but, as we said, the deepening of the bureaucratic capitalist path that imperialism imposes on the country; with the particularity that today it is carried out under the dynamic impulse and direct participation of the State in the economy and the participation of the armed forces as the central column and foundation of the Peruvian State. A plan that has been conceived and is being executed within the specific international conditions of our time and, very especially, in function of the social forces and the development of the class struggle in the country.”

 

Today, when reproducing this document, an introduction is required on some results of the economic plans of the regime, the current economic situation and the path that is really being followed in the country. This article serves this purpose.

 

I. THE GOVERNMENT'S ECONOMIC PLANS AND THEIR RESULTS

 

(…)

 

The question arises: WHAT ARE THE RESULTS UP TO NOW? This is the first thing we want to analyze

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Thus, in conclusion, the much-touted: “profound revolutionary structural reforms are not such but measures for the deepening of bureaucratic capitalism that, consequently, intensify the accumulation of capital at the cost of the exploitation and hunger of the popular masses, while being "redistribution of income", are nothing but part of the same process that also serves to broaden its support base, generating a form of "labor aristocracy" that is a breeding ground for "union bureaucracies" in favor of the corporate remodeling of Peruvian society for which the regime strives after its publicized "social democracy of full participation." And, furthermore, in summary, where do all these "deep revolutionary structural reforms" lead? To becoming trapped because they cannot destroy either imperialist oppression or feudal exploitation, and to generating crises because capitalism always generates them, even more so a bureaucratic capitalism like the one that is being promoted. And the masses? To fight harder for the obstacles that are raised in their path to defend their conquests that the crisis wants to rob them of. To defend their own physical and moral integrity and their development and for the need to change society to free itself from exploitation, hunger, misery, ignorance, and the reinforced political oppression that preys on its own children, taking their lives and shedding their blood.

(…)

What is the situation of the country's industry in the face of imperialist capital? It is good to raise this point, because here too there has been much demagogic talk. Let us turn once again to authors who are not blameless in "ultra-leftists." E. Anaya Franco in his work “Imperialism, Industrialization and Technology Transfer in Peru”, drawing conclusions from 20 years of industrialization, writes:

 

“The dynamics of industrial growth in Peru has been driven in recent decades by large multinational companies and conglomerates of North American, European and Japanese origin, the same ones that, upon penetrating our economy, have tended to establish either monopolistic or oligopolistic forms both in terms of production and distribution of the product they produce (p. 76, emphasis is VP's)

 

And analyzing the relations between imperialist penetration and the purchasing bourgeoisie, on page 78 of the same work, it is said:

 

“The penetration of large companies and multinational conglomerates in the `Peruvian' manufacturing industry has contributed to directly generating a slow, though sure, marginalization of the new and old sectors of the national bourgeoisie...Thus, in the last two decades The role that the `national bourgeoisie` has been assuming has been to develop new industrial groups that over time have been controlled by foreign capital. Therefore, what is currently developing is an intermediary bourgeoisie that has emerged from certain groups, which based on their prestige, experience and social and economic connections have been integrated into large multinational companies and conglomerates, becoming part of the ever-growing intermediary sector" (emphasis added).


Apart from the fact that when the author refers to the "national bourgeoisie" he is referring to the native bourgeoisie; the transcribed paragraphs show the process of imperialist control over our "industrialization" and, in addition, what must always be kept in mind, the development of the comprador bourgeoisie in the shadow of imperialism. Studying the industry J. A. Torres Z, in his work "Economic structure of the 'Peruvian industry", specifies imperialist control:

 

"Perhaps the most significant conclusion of the structural analysis is the high degree of control that foreign companies still have in the sectors and industry of Peru, moreover, a direct quantification of the level of foreign investment in the country "would not give an accurate picture of the degree of control of foreign capital in the economy. This control is substantially amplified by the strategic nature of the investment, by the fact that the most important companies in each industry are foreign, and because most of these companies are subsidiaries of large multinational corporations" (p. 67, emphasis added).

(...)

 

The problem is simple! Imperialist capital has increased its control over the industrialization of the country. To not go into too much detail, it is enough to mention the case of the automobile industry: under the protection of the measures of this Government, a greater monopolistic concentration has occurred; from 13 companies that previously controlled this industry, today there are 5 left, all of them powerful world monopolies, Chrysler (Yankee), Volkswagen (German), Nizan and Toyota (Japanese) and Volvo (Swedish), whose production has increased and from our country they target the Andean market (…)

 

This is concretely the results of the so-called “national industrialization”, the imperialist companies are expanding their domain. Some examples are the aforementioned Chrysler… the Bayer, this powerful German consortium in partnership with the State (which holds 30% of the shares) is expanding its production of acrylic fiber to cover the needs of the Andean Market; and the metal-mechanical complex of Trujillo in which A.B. Volvo (Swedish), Perkins Ingenio Ltd (English) and Masey Ferguson Ltd (American) in partnership with the State invest in diesel engines and agricultural machinery, also targeting, obviously, the Andean Market.

 

In conclusion, the general law of industries and other related measures are leading, as it should be, to greater imperialist control of the industrial process and its growing submission to the interests of the great powers of the world economy and, especially, the superpowers. What is happening in the fishing sector is very expressive, as they have long publicly shown off, invoking that it was "a sign of confidence in the solidity and future of the Peruvian process," the imperialist interests are notorious: Russians in Paita, Germans in Samanco, Dutch in Pisco, Poles in Tacna and Danes in the fishing infrastructure in the mountains. Another example is the financing of Cuajone, also invoked as an example of confidence, the 390 million dollars The contributions made in 1973 were made by the Chase Manhattan Bank, which headed the banks of the United States, Japan and Canada, contributing 175 million dollars, and also by the consumers or guarantors of the International Finance Co. and others for 215 million.

 

What does this show? Simply, the game of the great imperialist powers and the superpowers directly or indirectly, the latter especially in the case of the Soviet Union, which not only acts openly in our country but through countries subject to it. Regarding Soviet economic penetration, suffice it to say that trade with it and its subordinates has been growing since 1969 until it occupied the first place as a buyer, as the Minister of Commerce himself said (…) Thus, let us emphasize it because it is overlooked, the economic penetration of Soviet social-imperialism has begun in Peru and will necessarily develop, following the laws and paths of imperialism to oppress us as it already does in other places. On the other hand, we know what the revisionist opportunism of “Unidad” and its followers defends, among other things, and why the problem for them is trade and loans with the USSR.


Thus, the situation of the industry is essentially what Mariátegui had already pointed out in June 1929, when he wrote in “Capitalism and Socialism”:

"Industry is still very small in Peru, its possibilities for development are limited by the situation, structure and character of the national economy, but it is further limited by the dependence of economic life on the interests of foreign capitalism. The importing firms are, in many cases, the owners or shareholders of national firms. Logically, they are only interested in the existence of that industry that, for reasons of tariffs, raw materials or labor, they recommend; they tend, in general, to maintain Peru as a consumer market for foreign manufactures and producer of raw materials."

 

And, to conclude this transcription of extracts from the article in the VP reproduction No. 3 on “CURRENT ECONOMIC SITUATION AND GENERAL CORPORATE ADJUSTMENT”, to deal a devastating blow to what the LOD maintains, we quote the following from the same article.

 

Such is our situation and it is already clear that the cause of the crisis is the very process of deepening bureaucratic capitalism and that the world crisis only aggravates our critical economic situation, at the root of which is, no one doubts, our condition of a semi-feudal and semi-colonial country, characteristics that precisely the deepening of bureaucratic capitalism and the corporatization in progress evolve and preserve, despite everything that is said to the contrary.”

 

Finally, we will say: “Once again the revisionists of “Unity” are painted in full body” the so-called revisionists, in this case, the rats of the revisionist and capitulationist ROL, were written in the article

 

 

ANNEX III

 

Introduction . In the report on the SMEs, although it only deals with formal companies, we have seen an interesting comparison, which allows us to differentiate the productive structure of our countries with that of the developed or imperialist capitalist countries, starting, on our part, from the fact that we cannot erase the differences between the large company of imperialism and the large company of the countries of bureaucratic capitalism. We cannot say that “everything is monopoly”, although both have this character, the large monopoly imperialist companies play the dominant role, while the large monopoly company of bureaucratic capitalism (native) are intermediaries of the former, that is, economic agents of imperialism.


Likewise, the aforementioned Report allows us to document that we cannot see imperialism as a whole, as Lenin warned in his polemic against Bukharin (see this appendix), because there is no such thing as everything, but rather the conjunction of the two contradictory “principles” of competition and monopoly; this is all the more true for his sick child, bureaucratic capitalism, that is, the dominant path that imperialism imposes in a semi-feudal and semi-colonial country. There is not only large enterprise, but also medium-sized or national, small and even so-called micro-enterprise.


Chairman Mao specified:

“A handful of monopolistic capitalists occupy the dominant position in these (imperialist) countries. Together there is a large number of medium and small capitalists. It is said that American capital is both centralized and decentralized” (Notes on the Manual of Political Economy of the USSR).

“China already has a modern industry that constitutes approximately 10 percent of its economy; This is a factor of progress, this is different from ancient times (…)

China still has scattered and individual agriculture and handicrafts, which make up about 90 percent of its entire economy; this is a factor of backwardness, this is not very different from ancient times; about 90 percent of our economic life is still at the level of ancient times (…)

China's modern industry is highly concentrated, although the value of its output amounts to only about 10 percent of the total value of the national economy's output; the largest and most important part of capital is concentrated in the hands of the imperialists and their lackeys, the Chinese bureaucratic capitalists (…)

China's private capitalist industry, which ranks second in modern industry in the country, represents a force that should not be overlooked. The national bourgeoisie of China and its representatives, oppressed or restricted by imperialism, feudalism and bureaucratic capitalism, have often taken part or maintained a neutral position in the struggles of the popular democratic revolution.” (Chairman Mao, Report to the Second Plenary Session of the CC, March 5, 1949).

 

The CEPAL report on SMEs, as will be seen, refers to our countries as having “a heterogeneous productive structure”, trying to conceal the true character of the same!

 

Now let us look at the annex:

 

III. VIII CONGRESS OF THE CRP(b}R, REPORT ON THE PARTY PROGRAM, ...

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