India just proposed an oil-for-drugs barter plan with cash-strapped Venezuela

[Bacchus4.0]

Source: Reuters

MUMBAI/NEW DELHI (Reuters) - Indian officials say they have proposed an oil-for-drugs barter plan with cash-strapped Venezuela to recoup millions of dollars in payments owed to some of India's largest pharmaceutical companies.

Several of India's generics producers, led by the country's second-largest player Dr Reddy's Laboratories Ltd, bet heavily on Venezuela as they sought emerging market alternatives to slower-growing economies such as the United States.

But the unraveling of Venezuela's socialist economy amid a fall in oil prices has triggered triple-digit inflation and a full-blown political and financial crisis. Unable to pay its bills, the country is facing severe shortages of even basic supplies such as food, water and medicines.

Dr Reddy's wrote off $65 million in the March quarter, which it said was almost all the money it was owed from Venezuela. Rival Glenmark Pharmaceuticals Inc, another major investor, says it is due $45 million.


Read more: http://www.businessinsider.com/india-proposes-oil-for-drugs-barter-plan-with-venezuela-2016-5

[beastie boy]

1. Whew! For a second I thought the deal involves an exchange of

Venezuela's drugs for India's oil...

[IronLionZion]

2. Low oil prices have screwed Venezuela more than anyone else

It sounds like things are dire over there. Which American pharma companies are helping them out with medicines?

I remember Chavez providing discounted heating oil to low-income areas of the US when prices were high.

[ronnie624]

4. US policy planners prefer this outcome. n/t

[joshcryer]

3. Um. Capriles just called for mass mobilization.

This is what they arrested (and then subsequently convicted for 14 years) Leopoldo López for. Something is going on.